Identity Theft: A Growing Concern in Australia
Identity theft poses a significant threat to Australians. While the digital age has brought numerous benefits in communication, commerce, and financial management, it has also opened doors for cybercriminals to exploit vulnerabilities. These criminals are constantly finding new ways to steal personal information, making identity theft a more prevalent concern than ever before.
According to the Australian Bureau of Statistics, approximately 199,100 Australians aged 15 and over experienced identity theft during the 2022-23 financial year. The damage from such fraud, compounded by new technology and the vast amount of personal information shared online, can be devastating.
To effectively combat identity theft, it’s crucial to understand how it happens, what its effects are, and the proactive steps you can take to protect yourself.
What is Identity Theft?
Identity theft occurs when a criminal steals your personal information to commit fraud. This can range from taking over existing accounts to opening new ones in your name. The Australian Federal Police have highlighted ways criminals misuse stolen identities:
- Applying for a credit card
- Opening a bank or building society account
- Obtaining loans or financial products
- Running up debts
- Applying for government benefits
- Obtaining a driver’s license or registering a vehicle
- Applying for jobs or passports
- Signing up for mobile phone contracts
Victims often experience significant financial distress. Identity theft can lead to depleted accounts, mounting debt, and damaged credit scores.
How Does Identity Theft Happen?
Cybercriminals use various tactics:
- Data Breaches: Hackers target businesses and institutions to access sensitive customer data. If your information is compromised, it can be used for fraudulent activities.
- ATM Overlays: Skimming devices placed on ATMs capture card details and PINs.
- Malware & Viruses: Malicious software can infect devices, capturing credentials and credit card details.
- Mail Theft: Stolen mail containing bank statements, credit card offers, or personal documents can provide criminals with enough information to commit fraud.
- Dumpster Diving: Discarded documents with personal data can be retrieved and misused.
- Change of Address Fraud: Fraudsters redirect your mail to gain access to personal and financial information.
The Impacts of Identity Theft
The effects of identity theft can be severe, resulting in financial, legal, and emotional distress. For example, in 2022, Australian Sarah Luke fell victim to a data breach. Cybercriminals gained control of her PayPal account and used it to illicitly buy and sell counterfeit merchandise, resulting in over $1 million in fraudulent transactions.
Protecting Yourself Against Identity Theft
Here are security practices to minimize your risk:
- Use Strong, Unique Passwords: Use a password manager.
- Enable Multi-Factor Authentication (MFA): Add an extra layer of security.
- Monitor Financial Statements: Regularly review for suspicious transactions.
- Secure Personal Documents: Shred sensitive documents.
- Beware of Phishing Scams: Avoid suspicious links or requests for personal information.
- Use a VPN on Public Wi-Fi: Encrypt your internet connection.
- Regularly Update Software: Keep your devices and apps updated.
Can Identity Protection Services Help?
Identity protection services such as Norton Identity Advisor Plus can serve as a preventive measure, and also support recovery from identity theft.
Comprehensive identity protection can include:
- Financial and social media monitoring: Monitor accounts for suspicious activity.
- Dark web monitoring: Notify you if your personal information is found on the dark web.
- Identity restoration support: Provides guidance and helps resolve your identity theft issue.
- Identity theft insurance: Offers financial support.
Identity Restoration Support
If your identity is stolen, a specialist will provide guidance and help resolve your issue:
- Assess your claim and provide relevant guidance.
- Help resolve your identity theft issue with the relevant parties.
- Access over 7,000 verified merchant fraud processes globally.
- Dedicated Specialists provide care from beginning to end.
Having a dedicated identity restoration specialist can make recovery easier and reduce further damage.
Financial Monitoring
Financial monitoring will look out for unknown transactions and flag potential risks. This is a crucial line of defense against fraud, since cybercriminals often trade stolen credit card numbers.
Dark Web Monitoring
Dark web monitoring searches online marketplaces where stolen information is traded and notifies you if your personal information is found, allowing for proactive measures.
Social Media Monitoring
This service monitors your accounts across popular social media platforms, alerting you to suspicious activity, such as unauthorized logins or attempts to impersonate you.
Identity Theft Insurance
Identity protection services often include coverage for financial losses and legal fees. Norton Identity Advisor Plus provides Australians with:
- Up to $58K AUD in identity-theft insurance coverage
- Up to $25K AUD for legal expenses
- Up to $25K AUD for obligation to pay cover
- Up to $3K AUD for lost income
- Up to $5K AUD for miscellaneous expenses
Take Control of Your Digital Identity
Identity theft is a growing threat. By staying vigilant, using robust security measures, and leveraging identity protection services, you can reduce your risk and navigate the digital world more confidently.
