TEMPE, Ariz., Nov. 30, 2011 (GLOBE NEWSWIRE) -- It may be the season of giving but according to a recent report by the US Department of Justice, identity thieves are giving headaches and costing unsuspecting consumers billions of dollars. The Office of Justice Programs Bureau of Justice Statistics issued a report this week highlighting that in 2010, households reporting an identity theft reported a total financial loss of approximately $13.3 billion.
The Bureau of Justice Statistics details these findings in their report:
- Personal information and multiple types of identity theft (not related to existing accounts) resulted in 20.4% of the reported victimizations yielding more than half (50.8%) of the total loss ($6,736,475).
- Victims reported an average loss of $2,820 in 2005 related to identity theft through personal information. In 2010, that loss was reported to be $5,650, an increase of just over 100%.
- In 2010, 7.0% of households in the US (about 8.6 million households) had at least one member age 12 or older who experienced one or more types of identity theft victimization. In 2005, 5.5% of households (6.4 million households) experienced identity theft.
"Though it appears that this report focuses more on the credit related side of this crime, it reinforces what we have been telling consumers for years - the biggest cost to identity theft victims is not the compromise of their existing accounts but the misuse of their personal information to create new accounts, obtain medical treatment or other benefits, steal your tax return or commit a crime," said LifeLock Chairman and CEO Todd Davis. "The fact that this report shows that there is less than a 5% increase in the cost to victims related to existing credit card fraud and more than a 100% increase in the cost to victims related to the misuse of personal information, pretty much says it all."
Based on findings from the report, it is imperative that consumers protect what is most vulnerable and most valuable to an identity thief, personal information. LifeLock urges consumers to use a credit card vs. a debit card and to engage a proactive solution to help combat identity theft by enrolling in a proactive identity theft protection service like LifeLock or placing fraud alerts or a credit freeze through the credit bureaus. Consumers should also develop a habit of requesting their free credit report annually through www.annualcreditreport.com.
About LifeLock
LifeLock, Inc. is an industry leader in identity theft protection. Since 2005, LifeLock has been relentlessly protecting identities by providing consumers with the tools and confidence they need to help protect themselves from identity theft and manage their credit. The company has a strong focus on educating consumers and working with law enforcement and elected officials to better understand the increasing threats of identity theft. A multiple award-winning organization for two consecutive years, LifeLock has been recognized by Inc. magazine on their annual list of top 500 fastest growing privately held businesses in the United States and by the American Business Awards as having the 2011 Customer Service Team of the Year. In August 2011, Javelin Strategy & Research named LifeLock Command Center and Credit Score Manager as "Best in Prevention" in their annual Identity Protection Vendor Report.
This information was brought to you by Cision http://www.cisionwire.com
http://www.cisionwire.com/lifelock/r/report-demonstrates-increase-in-identity-theft-results-in-greater-cost-to-victims,c9194226