Consequence Of Identity Theft

Why Stopping Identity Theft Is So Important To Your Well-Being

The consequence of identity theft in today's society is huge. Surveys have shown that identity theft claims over ten million victims each year in North America.

Criminals purposely steal credit cards, debit cards, driver's licenses, Social Security Numbers (Canadian Social Insurance Numbers), personal mail, cell phones, and anything else they get their hands on that offers up your personal information.

They either obtain this information to sell to other thieves, or they use it themselves to impersonate their unknowing victims, obtaining as much cash and valuable goods as they can in as short a time as possible before targeting another hapless victim.

Here are several effects that identity theft can have on its victims:

The identity thief could steal money from your bank accounts or credit cards. With a checkbook, debit card, or credit card, a thief could access your current funds or existing credit. When a credit card is used in a fraudulent manner, there are set limits of liability, but often there are no such limits to fraudulent bank account withdrawals.

The identity thief could open new accounts in your name. Anyone can apply for a loan, mortgage, or credit card using your identity. Once approval is given, the thief can then use the proceeds as he/she pleases and not bother to make payments. Since the bills will be in your name, it's your credit rating that suffers when the bills are not paid.

Damage done to your credit report by the identity thief can make it very difficult or impossible to obtain new credit, and if you do receive credit, it will carry a much higher interest rate than you would normally be assigned.

Damage done to your credit report could also make it more difficult to land a job, lease a car, or rent an apartment. Employers, car dealers, and landlords often check an applicant's credit report to determine credit worthiness, and when they spot a delinquent account, they'll move on to another applicant.

A stolen identity could even land you in jail with a criminal record. Criminals steal identities to avoid jail time, or to keep their criminal records clean. They commit fraud using a stolen identity. If your identity is used for such a purpose, the police could issue a warrant for your arrest.

"An ounce of prevention is worth a pound of cure." This old expression is never more true than when applied to stopping identity theft.

Frequently, identity theft occurs through no fault of the victim, however, there are things you can do to avoid the consequence of identity theft and greatly reduce your chances of ever becoming its target.

Be sure to read the helpful tips and free identity theft facts provided on this website.

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