These techniques have evolved over take and take on a variety of names. Phishing occurs when a seemingly trustworthy company e-mail someone pretending that they need the person to update their personal information. The link the “company” provided is actually the scammer’s identical webpage. This is one way scammers can steal password information. Spearphishing occurs when the sender impersonates an employee in order to steal a password.
A program must layout the appropriate actions the organization must take when the red flags are detected. 4. A program must be maintained regularly to address new threats. Red flag rules concept is mainly being used in financial institutions that permit customer accounts, to have multiple payments & transactions, such as retail brokerage account, credit card account, margin account etc. The most common categories of red flags are: Alerts, notifications or warnings Suspicious documents Suspicious identification information Unusual use of a covered account Notices from customers, victims about the crime
Credit card frauds usually occurred at online stores websites requesting for credit card information or devices utilized by retail store employers acquired information from the magnetic strip on the credit card. Utility frauds transpired through the access of an unsecured or unlocked mailboxes. Many utility statements had account numbers and provided online access to thefts to order unwanted products or services. Individuals had to be careful where and when to use credit cards and what time to present their personal information. An individual’s personal information was always at risk when it came to dealing with people that practiced identity theft.
Identity theft can be categorized in two ways: true name and account takeover. True name identity theft means the thief will use the personal information they stole to open new accounts. The thief could open a new credit card account, establish cellular phone service, or open a new checking account in order to get blank checks. Account takeover identity theft means the thief uses personal information to gain access to the person's existing accounts. That individual ends up changing the mailing address on an account and they can run up a huge bill before the person whose identity has been stolen realizes there is a problem.
In order to explain what Identity Theft is some terminology is needed. Identity in this scope is personal information that is used to identify an individual, such as an individual’s name, social security number, birthdate, etc. A person who steals someone else’s identity is called the victimizer, and the person whose identity was stolen is called the victim. Identity theft happens when a victimizer acts as someone else, the victim, uses the victim’s personal information and acts as the victim to set up accounts using the victim’s identity. Some of the account types used in identity theft are credit card accounts, bank accounts, utility accounts (water, gas, electric, etc.
The text states, “With enough identifying information about an individual, a criminal can take over that individual's identity to conduct a wide range of crimes. For example, false applications for loans and credit cards, fraudulent withdrawals from bank accounts, fraudulent use of telephone calling cards or online accounts, or obtaining other goods or privileges which the criminal might be denied if he were to use their real name” (“What are identity Theft and Identity Fraud?”). When a thief does one of these things, the damage to your personal credit could be catastrophic. According to the Internal Revenue Service, the government agency responsible for collecting taxes, in April of 2017, a woman named Melissa Hayes deposited fraudulent tax refund checks that totaled to over $160,000. She was sentenced to 27 months in prison for her actions.
Identity Theft This paper will cover the topic of identity theft via the internet, phone and several other schemes. It will identify various ways in which your identity is stolen and ways which you can safeguard yourself from being victimized. I will also report what the Department of Justice is doing and the penalties associated with these crimes. Identity fraud is use of a persons name, social security number or other personal identifying information. Once armed with this information the thief can open accounts and rack up huge debts for goods and services.
In order for an act to be identity theft, the perpetrator must use the acquired personal information to obtain an advantage (Berghel, 2000). Techniques of gaining personal information There are various ways criminals can use to obtain personal information to use in identity theft. The information can be retrieved by stealing credit cards, rummaging through rubbish for personal information, advertising bogus jobs to obtain personal information and social engineering. Information technology has also made it possible for criminals to acquire personal information and the methods employed to acquire this information include hacking computer networks, abusing privileged IT access, impersonating trusted institutions in emails, the use of brute force techniques and exploiting social networks for personal information. Additionally, the information can be obtained from redundant information technology equipment and systems and stealing information from using breaches in the computers browser or using malware and Trojan horses (Smith & Lias, 2005).
Executive Summery Identity theft is a non ethical criminal offence. It is when someone gathers someone’s personal information and uses it against them. Fraudsters usually get a hold of personal information using three methods: information given away, offline methods and online methods. People commit this crime for many different reasons, but they all have one common goal of using some else’s identity to their advantage. There are many different type of identity thefts, which are categorized on what the criminal is using the identity for.
Understanding the types and methods of identity theft can reduce potential victimization. Identity theft refers to unlawful activities which specifically compromise another person’s identity. According to the US Department of Justice (DOJ), identity theft is an activity “in which someone wrongfully obtains and uses another person’s personal data in some way that involves fraud or deception, typically for economic gain.” Such personal data can include names, Social Security numbers, birthdates, bank accounts, credit card numbers, or medical records. Identity theft can also be part of or enable other types of crimes such as bank, credit card, document, employment, or immigration fraud; robbery; and burglary, for example (Finklea, 2010, p. 2). Identity theft exists on a continuum with simple unauthorized credit card charges on one end all the way to having one’s identity completely assumed by another.