Identify fraud 'affects more and more people'
Published On 12 April 2007
Recent reports suggest that instances of identity theft in the UK is increasing rapidly, meaning that people could find themselves in the situation where they have to take out debt consolidation loans, or even seek an IVA, after falling victim to this kind of crime.Figures recently published by a global information solutions provider, Experian, show that the number of people reporting that they had become identity fraud victims increased by 69 per cent in the second half of 2006 when compared to the same period the year before.
Experian's report found that people in London were far more likely to be targeted by identity fraudsters, who use people's details to falsely obtain credit cards, loans and even mortgages. This can mean that the victims find themselves seriously in debt before they even realise they have been affected.
People living in the UK's capital are almost three-and-a-half times more likely to suffer from identity theft and those living around Victoria Street in Westminster are the most likely to find themselves a victim.
"We should all be looking after our personal information because it is as precious as the cash in our wallets," said Jill Stevens, the director of consumer affairs at Experian.
"But we must also be aware of the need to protect our technology, as organised criminal gangs often source vast amounts of data online before implementing sophisticated fraud against a wide range of victims."
Similarly, Neil Munroe, the external affairs director at a credit reference agency called Equifax, explained that the number of phishing attacks against UK consumers had increased very significantly in recent years.
Phishing is when fraudsters send bogus emails or other communications to attempt to get private information from consumers that can be used to steal money or that person's identity.
"Online activity is being targeted by identity fraudsters. If you look at the recent set of figures from Apacs, the credit card trade organisation, their last set of figures showed, year-on-year, something like a five thousand per cent increase in what they call phishing attacks," Mr Munroe explained.
He added that there was compelling evidence which suggested that "fraudsters are now looking at the internet as a way of getting information off individuals…to then commit ID fraud".
However, experts had said that there are several simple measures that consumers can undertake to prevent them finding themselves in debt as a result of identity theft.
Neil Munroe said that "things like shredding and not giving out information to banks, or people purporting to be banks, on the internet or on the phone," could help prevent identity theft.
Experian added that it was important for people to monitor their credit report on a regular basis and make sure they redirected all their mail in the event of moving house.
Should someone discover they have become an identity fraud victim, Mr Munroe advised: "If it does happen to you, I think the main thing is to report it as quickly as you possibly can, get a copy of your credit file and what you can also do if your are concerned, is register for CIFAS, which is a protective registration service."
