Finance & Banking , Fraud Management & Cybercrime , Industry Specific

Identity Theft Reports Fall, But Attempts at ID Misuse Rise

Fewer victims reported identity crimes in 2023, but the number of attempts to commit multiple identity crimes grew, according to the trends report released by the Identity Theft Resource Center. That means criminals are diversifying their methods and attempting to perform multiple types of misuse.

See Also: The Evolution of Online Fraud in 2023 and Best Practices to Plug the Gaps

"We've seen fewer victims report identity misuses," said James E. Lee, COO of the Identity Theft Resource Center. "However, the number of attempts at misuse has risen, indicating more proactive measures by potential victims. This trend suggests that while overall identity crimes are decreasing, criminals are diversifying their methods and attempting multiple types of misuses."

The new report uncovers several significant trends:

• Reports of false employment rose by 117%, and job scams increased by 118%, driven by artificial intelligence tools making scams more convincing.
• Criminal misuse of PII to avoid arrest or judicial orders grew by 23%.
• Attempted identity misuse related to financial accounts grew by 11%.

Lee emphasized the importance of organizational vigilance. "No matter the size, organizations are targets. Protecting data is crucial as identity crimes can lead to significant organizational breaches."

In this video interview with Information Security Media Group, Lee discussed:

• The persistent threat of scams using Google Voice numbers;
• Why data breaches are the starting point for many identity crimes;
• The need for organizations to train employees to recognize and prevent social engineering attacks.

Lee, a data protection and technology veteran, is the former executive vice president and company secretary of Irish application security company Waratek and former senior vice president and chief marketing officer for Atlanta-based data pioneer ChoicePoint - now LexisNexis. He chaired two working groups for the American National Standards Institute on identity management and privacy. Prior to joining ChoicePoint, Lee served as a global public affairs and communication executive at International Paper Co.