How Identity Theft Occurs
Identity theft is becoming one of the most common crimes in the world today and much of the activity of identity theft centers around online activity. With this type of activity, you could lose much of your online identity and the thief could take advantage of your credit. In 2010, about 8.6 million households were negatively affected by identity theft in some way. With such high numbers of people being affected, figuring out how identity theft occurs and then how to stop it is essential.
How Identity Theft Occurs
Online identity theft can occur in many different ways. One common technique that identity thieves use is a phishing scam. With a phishing scam, the scam artist sets up a fake website or email that looks like it is from a legitimate source. When you enter your login credentials into the email or site, the thief then has your information and can use it to access your account.
In other cases, a hacker can simply gain access to your email or other online accounts. This can be done with advanced software or simply by guessing a password. Once the hacker has access to your account, he can do many different things that will affect you negatively. In some extreme cases, the hacker could login to your bank account and transfer money out of it.
When you enter your personal information into questionable websites, it could be misused. For example, if someone took your Social Security number, he could use it to open new credit accounts in your name. The thief could also ask for a credit line increase on one of your credit card accounts and then use the credit with this information.
It is estimated that over $1 trillion of property is stolen each year through cyber crime and this amount continues to increase each year.
In other cases, a hacker can simply gain access to your email or other online accounts. This can be done with advanced software or simply by guessing a password. Once the hacker has access to your account, he can do many different things that will affect you negatively. In some extreme cases, the hacker could login to your bank account and transfer money out of it.
When you enter your personal information into questionable websites, it could be misused. For example, if someone took your Social Security number, he could use it to open new credit accounts in your name. The thief could also ask for a credit line increase on one of your credit card accounts and then use the credit with this information.
It is estimated that over $1 trillion of property is stolen each year through cyber crime and this amount continues to increase each year.
Protecting Your Credit
While identity theft is a common problem, there are steps you can take to prevent it. One of the best ways to avoid this problem is to subscribe to the service LifeLock. LifeLock is a credit monitoring service that closely watches your credit activity. If someone tries to open an account in your name or change the billing address on one of your accounts, you will be notified immediately. This makes it almost impossible for anyone else to assume your identity and use it to access your credit profile. By using this service, you can effectively eliminate the chances of identity theft.