Identity theft is the use of another person’s personal data – name, ID or social security number, bank details, account credentials – to commit fraud or other crimes in their name.
How identity theft happens
Criminals collect personal data from many sources:
- data breaches at companies, sold or published on dark web forums;
- phishing sites and calls that ask for passport, card or login details;
- infostealers that copy saved passwords, cookies and documents from infected computers;
- stolen mail, lost documents and oversharing on social media.
With this data they open bank accounts and credit cards, take out loans, file fake tax returns, register companies or SIM cards, hijack online accounts and commit further social engineering attacks on the victim’s contacts. SIM swapping – convincing a mobile operator to move the victim’s number to a new SIM – lets them intercept one-time passwords as well.
Why it matters
Identity theft is one of the most frequently reported types of fraud: in the US, the FTC receives around a million identity theft reports each year. Victims may face debts, ruined credit history and months of paperwork, and the fraud is often discovered only when a debt collector calls. AI-generated documents and deepfakes are making verification harder for banks and services.
How to protect yourself
- Use unique passwords and multi-factor authentication for email, banking and government services.
- Freeze your credit with credit bureaus where possible and monitor bank statements.
- Set a PIN or port-out protection with your mobile operator.
- Share copies of ID documents only when necessary, and report suspected misuse to the bank and police quickly.
