Understanding Identity Theft

• Identity crimes refer to the theft of personal information used to commit fraud.
• Stolen information includes names and Social Security numbers.
• Stolen information is used to open accounts, use existing accounts, or obtain medical services.
• Thieves may present another's identity to law enforcement, leading to consequences for the victim and their family.
• Consequences of Identity Theft includes damaged credit, lawsuits for others' debts, incorrect medical information, and potential arrest.
• Identity crime is the misuse of personal or financial identifiers to gain value or facilitate crime.
• Websites for identity theft data:
  • Insurance Information Institute: Facts + Statistics: Identity theft and cybercrime
  • Federal Trade Commission: Consumer Sentinel Network
• Identity theft happens when someone uses a Social Security number or other personal information to open new accounts, make purchases, or get a tax refund.

Top 5 Types of Identity Theft (2019)

• Credit card fraud involving new accounts
• Miscellaneous theft, including online shopping and payment account fraud, e-mail and social media fraud, and medical service, insurance, and securities account fraud
• Mobile telephone accounts
• Business and personal loans
• Auto loans or leases
• In 2019, Texas was 4th in the state rank with 73,553 identity theft reports.
• Identity crime is a facilitator for crimes like mail theft, narcotics, financial fraud, homicide, terrorism, wire fraud, or internet intrusions, beginning with robbery, theft, burglary, computer intrusion, or theft of trash/documents.
• Special forms of identity theft:
  • Tax
  • Child
  • Medical

Identifying Information

• Information that identifies a person alone or with other information, including:
  • Name
  • Date of birth
  • Unique biometric data (fingerprint, voice print, retina, or iris image)
  • Unique electronic identification number, address, routing code, or financial institution account number
  • Telecommunication identifying information or access device
  • Social Security number or other government-issued identification number
• Telecommunication access device: card, plate, code, account number, PIN, electronic serial number, mobile identification number, or identifier used to obtain money, goods, services, or transfer funds.
• Using only an individual's name lacks enough identifiers. Another identifier such as date of birth and social security number in conjunction with the name is necessary to be a true identity theft.
• Current trends in identity theft involve current technologies, including listening in, reading emails, hacking, telephone/email scams, and taking advantage of careless online habits.
• The Identity Theft Resource Center offers information on new trends, scams, and consumer alerts.
• Identity crime can be perpetrated by:
  • Stealing wallets/purses/briefcases containing personal identification.
  • Stealing mail with bank/credit card statements, pre-approved credit offers, or new checks/tax info.
  • Completing a "change of address" to divert mail.
  • Rummaging in trash ("dumpster diving") to find data.
  • Fraudulently obtaining credit reports as a landlord or employer.
  • Finding personal information inside homes or shared on the internet.

Methods of Obtaining Information

• Stealing information from the workplace ("business record theft") via file theft, bribery, or hacking.
• "Shoulder surfing" to observe PIN entries at ATMs, using hidden cameras.
• "Spoofing" involves fake emails and websites impersonating legitimate businesses to obtain personal data for fraud.
• Publications that provide criminals step-by-step instructions on techniques for producing false documents.
• Resources for becoming aware of how criminals can create false documents.
• Federal statues include:
  • The 1998 Identity Theft and Assumption Deterrence Act made it a federal crime to knowingly transfer or use identification without authority to commit unlawful activities that violates federal, state, or local law.
  • The 2004 Identity Theft Penalty Enhancement Act established aggravated identity theft penalties for felony crimes that have been committed.
  • The 2008 Identity Theft Enforcement and Restitution Act allowed courts to prosecute when the criminal and victim live in the same state involving victim’s time spent remediating.

Texas Penal Code §32.51 on Fraudulent Use or Possession of Identifying Information:

• Committing offense with intent to harm or defraud another.
• Obtaining, possessing, transferring, or using identifying information of another without consent.
• Obtaining, possessing, transferring, or using information of a deceased person without legal authorization.
• Obtaining, possessing, transferring, or using identifying information of a child under 18.
• Presumed intent to harm/defraud if possessing information of three or more others/deceased.
• Presumption doesn't apply to legitimate business/government activities.
• Penalties increase with the number of items involved.
• Penalites can be increased if the offense was committed against an elderly individual.
• Victim restitution may include lost income/expenses but not attorney's fees.
• Actor can be proscecuted under a different law if the offense also constitutes an offense under the different law.
• Two other statutes in the Texas Penal Code related to identity crimes are Mail Theft and Fraudulent Use or Possession of Credit Card or Debit Card Information.
• Theft of mail containing identifying information with intent to facilitate identity theft.
• Purpose of Fraudulent Use or Possession of Credit Card or Debit Card Information is to crack down on gas pump credit card skimmers.
• Texas Penal Code §31.20 on mail theft:
  • "Mail" is letters, cards, packages delivered by a carrier and not yet received, or left for collection.
  • Offense if intentionally appropriating from another's mailbox without consent to deprive the addressee of the mail.
  • Penalties depend on count of addresses the mail was stolen, the more addresses mail was stolen from, the higher the penalty. Also if the appropriated mail contained a identifying information and of with the intent to use that information to facilitate an offense.
  • Penalties increased if the victim knew the mail was being taken from a elderly or a disabled individual.
• Texas Penal Code §32.315 regards the Fraudulent Use or Possession of Credit Card or Debit Card Information.
• The code defines - "counterfeit credit card or debit card" - "credit card" and "debit card" (as assigned by Section 32.31) - "digital imprint" on a card
  • An offense is committed when there is a intent to harm by possessing a fake/ number and experation date without consent/data from a stolen card.
  • Rebuttable presumption if someone possesses five or more items.
  • Penalties increased with item numbers, it also is influenced by if the vicitim has to make restitution to the victim of the offense.
  • Actor can be proscecuted under a different law if the offense also constitutes an offense under the different law.
• Texas Code of Criminal Procedure Art. 55.02, Sec. 2a outlines how criminals can expunge fraudulent information associated with their name.
• Texas Business and Commerce Code include Consumer Credit Reporting Agencies and Payment Card Skimmers on Motor Fuel Dispensers.
• Texas Code requires a “security alert" and “security freeze” can be added if the business and commerce code is followed.
• A written police report is vital for victims it is needed as evidence for credit bureus and financial instituiotuons.
• Officer’s can use form B when filling a report of this kind to ensure they get all appropriate information.
• Govermental and business entity examples to notifiy if a crime involves identity theft are, Fedral Bureu of Investigation, Secret Service, Postal Service, Social Security Administration, and the Fedral Trade Commison.

Credit Reporting Agencies

• Experian
• Trans Union
• Equifax
• Advise vicims to contact their financial instituiotuons to report any suspisions of identity crime.
• UTility companys should be checked for any unusual activtiy.
• Educating law enforcement agencies is a proactive approach to take.
• If a victum is asked to make a police report it should be complied with, these police reports are sometimes needed in order to resolve the offense.
• The more knowlage a person has about their fiancial records the better prepered they will be to protect themselves, don't give out information over the phone unless you initiated the call.
• Limit what you carry, only wear with what you need, and never carry a social security card.
• Limit the mount of personal information you have on checks.
• If you notice late billing cycles, contact the sender, compare recipts with account statments.
• Shred all recipts, credit offers, applications, insurance, or other financial documents.
• Secure Social Security card, and only give it out when nesscary.

Keeping Information Secure Online

• Create complex and long passwords, and create new passwords on a regular basis.
• Be aware of who you may be giving information to, do not provide it to people on the phone, or mail if you did'nt initiate the conversation.
• Use security software (anti-virus and anti-spyware) and a firewall.
• Report any suspicious activity.
• Encrypt data and keep browsers secure.
• Do not open files from unknown senders.
• If you spot identity crime you should notify Sheriff's offices/local police, contact local licenses/DMV, notify creditors/merchants where your card was used.
• Other things that can be done are:
  • Notify your Bank.
  • Automatic Teller Machine (ATM) Cards:
  • Contact the Social Security Administration (SSA).
  • Federal Trade Commission (FTC): The FTC is one place to report identity theft to the federal government.
  • Notify the U.S. Passport Agency