Report: Identity Fraud Slightly Down in 2014
March 9, 2015
In 2014, around $16 billion was stolen from 12.7 million victims through identity fraud, according to Javelin Strategy and Research. While stolen identities are still a significant problem, however, those numbers represent a slight decrease from the year before, when the Pleasanton, Calif.-based reasearch and consulting company said 13.1 million victims yielded $18 billion.
The 2015 Identity Fraud Study also found that new-account fraud—using stolen credentials to open an account—hit a record low in 2014, but was more difficult to discover than simple account takeover. Victims of new account fraud are three times more likely to take a year or more to discover that their identities were misused compared to other types of fraud, such as existing non-card accounts, the report found. Heightened sensitivity to data breaches and fraud by consumers, businesses and the media has had a positive effect.
“Despite the headlines, the occurrence of identity fraud hasn’t changed much over the past year, and it is still a significant problem,” said Al Pascual, director of fraud and security for Javelin Strategy & Research. “Consumers, financial institutions and retailers are all taking aggressive steps, yet we must remain vigilant. The criminals will continue to find new ways to commit fraud, so taking advantage of available technology and services to protect against, detect and resolve identity fraud is a must for all individuals and corporations.”