Identity theft using credit cards is still on the rise despite the best efforts of the credit card companies. The use of credit cards, online banking, etc is a boon to the financial industry and the consumers, the only downside being identity theft.
"Running into debt isn't so bad.
It's running into creditors that hurts.”
- Unknown |
Though it has been noticed that this crime is on the rise since the early 1990's, there is increasing evidence that it continues to plague the financial industry. So in order to prevent being a victim of identity theft, there are a number of precautions that can be taken. Identity theft is a crime in which the criminal accesses a person's personal information like social security number, name and other identification - and uses the information illegally. One such crime is identity theft using credit cards, in which the criminal uses the personal details off the stolen identity to open a new credit account, uses up the credit limit, and does not pay it back. This bold act damages the real cardholders' credit report. Leaving it up to the victim to clean up the mess. This often involves a great amount of time and money. Identity theft using credit cards can occur in a number of ways. One way is to duplicate the credit card by scanning the card details when the owner is not aware. It can also be done by stealing the card itself, starting a new account using personal details that have been acquired, but registering a fake address and eventually, not paying bills. The cases of identity theft have been increasing drastically and have grabbed the attention of the law enforcers. It is a frightening fact that now we are seeing organized crime syndicates using identity theft as a way of obtaining massive amounts of money illegally. This is because they take advantage of the fact that the law enforcers do not have the necessary resources to investigate such cases. What makes it easier for identity theft using credit cards is that most of the criminals are rarely caught. Those who are caught rarely face a jail term, and are let off leniently with minimal penalties like parole or community service. One way of securing your personal details is to ensure that all papers that contain any financial data should be shredded. Another precaution is to take off your name from mailing lists of credit card companies or any mailing list that reveals your personal details. One piece of good news is that if you find yourself a victim of identity theft, and you act quickly to report it to your bank, you will not be liable for any of the fraudulent charges. However, you may still be required to spend considerable time and effort in providing proof of what has happened.
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"Who goes a-borrowing goeth a-sorrowing."
- Thomas Tusser |
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Debt is NOT your friend. It's not a wonderful "tool" for building wealth. That's a myth.
