Identity Fraud
This term refers to the crime of using another’s personal identification related information to gain cash, goods or services.
This is done in many ways, usually through obtaining a consumer’s name, Social Security number, bank account numbers or credit card number. With that information, the thief has several options from which to profit. The thief can use that information to start another credit card account, naturally not paying the bill. Then, this information ends up on the victim’s credit report. The thief can simply call the victims existing credit card issuer and change the address on the account and use the credit card to falsely obtain goods and services. Because of the address change, the consumer may not realize what is happening right away.
Another common crime committed by identity thieves is to use stolen information to set up cell phone service. Some identity thieves open bank accounts in the name of their victim and write bad checks on the account. This is why government officials recommend that consumers frequently check current and complete credit reports, enabling them to be aware of irregularities on the report as soon as possible.