Identity theft

Are you being impersonated?
Has someone stolen your identity?

How do you know if you are being impersonated?

What is identity theft?
What can a victim of identity theft do?
What is the law regarding identity theft?
Can I protect my identity?

Useful links for identity theft victims

Identity Theft is one of the fastest growing crimes in the UK. In fact, it's thought that more than 100,000 people are affected by it each year at a cost of more than £1.3 billion to the British economy. Yet, strangely enough, it isn't yet a crime - it only becomes one when a stolen identity is actually used to 'obtain goods and services by deception' at which point it becomes identity fraud which is a crime. Nevertheless, identity theft is distressing for the victim and time-consuming to sort out once discovered.

Fraudsters act by stealing your personal information in any way they can - going through your rubbish looking for bank and credit card statements, for example, or contacting you for information and claiming to be from a legitimate organisation. They then apply for loans and credits cards in your name and run up bills which then damage your credit rating. Often you don't find out about it for months until a lender contacts you demanding payment for debts you know nothing about.

Not surprisingly, as it's such a fast-growing crime, insurance companies have jumped on the band wagon offering identity theft insurance. But this is a product that is not worth paying for because there's nothing you can't sort out yourself. If it happens to you, report it to the police, contact any lenders who may have been a victim of the fraudster and add a 'Notice of Correction' to your credit file so prospective lenders know that your credit rating isn't quite as bad as it looks. And take preventative action anyway by ensuring that you check statements properly, protect passwords, shred statements you're throwing out and being careful who you give your card details to.

Be careful if you live in a property where others could get access to your post.  Gordon Brown has expressed how he "profoundly regrets" the loss of the 25 million child benefit records and potentially damaging personal identity theft information.  Check what the latest update is regarding the lost child benefit records.  It is  worth getting hold of a copy of your credit file on a regular basis to see who might have accessed your file and check for mystery loans and credit cards that are in your name. It's particularly important to check your file a few months after moving when there's a higher chance that your mail may have gone astray.

You can get a free 30-day trial of your credit file from Experian and learn more about Identity Theft at the Home Office Identity Theft information site by clicking the following link www.identity-theft.org.uk (Source=TMF 04/08/05)