Identity theft: what is it?

Identity theft happens when criminals use the confidential data of a victim to carry out their crimes. A criminal assumes the victim’s identity using this stolen information and engages in a number of fraudulent actions in their name.

Identity theft is a complex cybercrime that is carried out by cybercriminals using malware, phishing, and social engineering. Rudimentary methods like mail theft, dumpster diving, and overhearing phone conversations in public areas can also lead to identity theft.

The ultimate objective of many cyberattacks is to obtain enough personal data about a victim so that the attacker can use it to conduct fraud in their name. Unfortunately, most victims of identity theft don’t become aware of their situation until they submit an application for a loan, try to open a bank account, apply for a job, get a call from a collection agency, or ask for a new credit card.

Cybercriminals target businesses, universities, governmental organizations, hospitals, and other entities that store the personal data of their victims’ employees. Because of this, identity fraud causes extensive harm. The goal of cybercriminals is to gain access to databases of personal and financial information by tricking an employee with access to personal information into clicking a link in a scam email.

Identity theft harm has a cascading effect, causing psychological trauma for the victim who unintentionally provides the hacker access to personal information. Additionally, there are serious repercussions for the reputation of the offended group as well as the individuals whose personal information was stolen.

Identity fraud, cyberattacks, and social engineering

Theft of identities does not occur accidentally. Social engineering is a strategic cyber attack technique used by cybercriminals to coerce victims into disclosing private information that they are aware should not be shared with outsiders.

The fundamental human instincts of trust, greed, curiosity, and the desire to reveal private information are what social engineering depends on to exploit.

This series of incidents frequently begins with a single well-crafted scam email. The cybercriminal gains access to a corporate database and the confidential information of workers, clients, investors, third parties, etc. by persuading the victim to click a link to update their password.

What Causes Identity Theft?

1. Social engineering through a text, phone, or email communication. One single file downloaded or one single link opened in an email or text message is all it takes to create a gateway to private data.

2. Malware, such as the network’s installation of malware or keyloggers. Keyloggers and spyware are tools used by criminals to monitor your keyboard and online behavior and record passwords, usernames, and other private data.

3. Looking up personal information, email addresses, links to coworkers, recent conferences, promotions, etc. on social networking sites. Cybercriminals link and familiarize themselves with their emails, texts, social media posts, and phone messages using this information, luring victims into responding.

4. Using a variety of methods to hack systems and databases. Cybercriminals use a wide variety of hacking techniques, including false websites that are used to steal passwords, attachments that install ransomware, system flaws, and fake wi-fi access points that allow access to confidential information.

5. Listening in on phone conversations in public areas, such as the lobby of an office building, a bus, etc. To perpetrate identity theft, all it takes is to overhear credit card and address information.

6. Taking paper records out of mailboxes, recycling containers, or trash cans and using them to launch identity theft or other cyberattacks like spear phishing or business email compromise.

7. Making false online profiles to deceive staff into believing an unknown caller or email sender is authentic and to be trusted when they have done their due research.

How do online thieves make use of stolen identities?

1. Charge a victim’s credit card a growing number of expenses.
2. Obtain a fresh loan or credit account in the victim’s name.
3. Without the victim’s knowledge, withdraw money from their account.
4. Place the victim’s identity on a lease.
5. Acquire any due victim compensation from the government.
6. In the victim’s identity, file false insurance claims.
7. Get your travel or identification papers.
8. Apply for employment, colleges and universities, grants, and bursaries.
9. Change the victim’s password and login, locking them out of their accounts.
10. Send phishing, vishing, or smishing messages to individuals the target of identity theft knows.
11. Use the victim’s identity to conceal criminal activity.

How to stop identity theft

1. Unless you are certain of the recipient’s trustworthiness, never give confidential personal or business information over the phone or online.

2. Verify that websites that house online forms have a padlock icon in the URL field and use https://. This prefix denotes a safe website.

3. Pick secure passwords to guard entry to your online accounts, and change them frequently. Enable two-factor verification whenever it is feasible.

4. Be careful how much of your private information you post on social media. Cybercriminals gather information about you and your workplace on websites like LinkedIn, Twitter, Instagram, and Facebook in order to con you into believing they are who they say they are.

5. Never record your PIN or credentials on paper.

6. Confidential information on papers should be securely disposed of and shred. Keep these papers out of sight and out of reach.

7. Never give out personal information over the phone without first confirming the caller’s name. Do not be afraid to probe the caller several times to ascertain their name.

8. If in question, delete the email or text message, and avoid taking incoming calls from people you don’t know.

9. Avoid giving out confidential information to individuals posing as pollsters or government representatives.

10. Don’t ever give out personal information to telemarketers via phone calls, texts, or emails, including your birthday, location, mother’s maiden name, income, and educational background.

First of all, don’t freak out. Cybercriminals may approach you under the guise of an organization that can assist you in recovering from identity theft if they notice any signs that you are panicking.