7 Secrets of Fraud & Identity Theft

Between the media attention and ever increasing security & audit requirements, here are some interesting points on what is behind all this.


#1 -- How broad is the impact?

• 10 million of US Citizens (1 in 10) were victims of ID Theft in 2008 (Javelin Strategy and Research, 2009).
• U.S. fraud totaled $31 billion in 2008 (Javelin Strategy and Research, 2009).
• Across the world businesses lost $221 billion a year due to identity theft (Aberdeen Group).
• Average vicitims lost $851 and $1,378 out-of-pocket trying to resolve identity theft (ITRC Aftermath Study, 2004).

# 2 -- How hard is it to fix?

• Almost 20% of victims don't learn that their identity has been stolen for four or more years (Identity Theft Resource Center Aftermath Study, 2004).
• 50.2 million Americans were using a credit monitoring service as of September 2008 (Javelin Strategy and Research, 2009).
• Taking up to almost 6,000 hours (Average 330), the equivalent of the time working 2 full-time jobs for a year, to correct the damage from ID theft (ITRC Aftermath Study, 2004).
• 25.9 million Americans carry identity theft insurance (as of September 2008, from Javelin Strategy and Research, 2009).
• After suffering identity theft, 46% of victims installed antivirus, anti-spyware, or a firewall on their computer. 23% switched their primary bank or credit union, and 22% switched credit card companies (Javelin Strategy and Research, 2009).

# 3 -- What are the Common Sense ways to avoid it?

• One of these things doesn't belong – Check your bills, question things that don't make sense and question charges or bills that are missing.
• WHY? Thieves may make a charge and reverse it just to test that the number is valid before stealing it. Also if you did not get the bill, it might be going to someone else that hijacked your account.
• Don't call us... - Never give out identity data to someone who called or emailed you, if your bank or credit provider needs info contact them on a known-good phone number or website
• WHY? Odds are they wouldn't ask if they knew, many thieves go on phising trips over the phone, web, or email often telling you they are from your bank and “here to help”.
• Pick up the phone – Frequently service providers will request that you write down and mail your credit card information, give it to them by phone instead.
• WHY? How hard is it for someone in the mail room to copy them.
• Somebody is watching you – They put those mirrors on ATM machines for a reason, watch out for someone looking over your shoulder in the real world or online.
• WHY? Ever take a Quiz on Facebook like “Which cat would I be? These can be loaded with questions that are also used as your secret questions to retrieve passwords with banks, credit cards, etc. Take a quiz, get your id hijacked.
  

#4 -- How are we getting attacked?

• Stolen wallets and physical paperwork accounts for almost half (43%) of all identity theft (Javelin Strategy and Research, 2009).
• Web/email attacks account for only 11% (Javelin Strategy and Research, 2009).
• Credit/Debit cards were stolen from 38% of victims (Javelin Strategy and Research, 2009).
• Social Security number were stolen from 37% (Javelin Strategy and Research, 2009).
• Name and phone for 36% (Javelin Strategy and Research, 2009).
• Financial account for 24% (Javelin Strategy and Research, 2009).
• 35 million+ records were compromised in corporate breaches in 2008 (ITRC).
• Racking up your phone bill with long distance calls, and not let you know until it's too late.
• Getting a replacement for your credit card just by making a phone call
• Starting a new life under a dead person's identity.
• Sell your home, or take out a mortgage against it, without your knowledge.
• Use up electricity and leave you with the bill.

# 5 -- Does Ice make it feel better?
Freezing your credit report won't always stop many ways of committing


# 6 -- Is there a Conference for this?

• Starting on the 19th of January 2010, will be the 12th annual IIR Fraud World conference
• Opening & Chairing the event will be Oracle's own Des Powley; Technology Director, Security & Identity for Oracle UK, Ireland, & Israel
• Des will also be delivering a session on “The Importance of Delivering Enhanced Identity Management, Fraud Detection & Risk Management”

#7 -- Can you watch the movie instead?

• The 2008 documentary "HACKERS ARE PEOPLE TOO" takes an honest look at the subculture and it original origin and the hijacking of the term “hacker”.
• The more theatrical version directed by Iain Softley from 1995 “Hackers” is also enjoyable.