ID theft still on the rise, but victims respond faster

Share this article:

Incidents of identity fraud and the total cost of fraud once again climbed last year, but consumers are becoming better equipped to respond to the occurrences of theft, according to a report released Wednesday by Javelin Strategy & Research.

The seventh annual "2010 Identity Fraud Survey Report," which polled more than 5,000 U.S. consumers, concluded that the number of victims rose to 11.1 million adults in 2009, an increase of 12 percent. Meanwhile, the total annual fraud amount experienced by these victims jumped 12.5 percent to $54 billion.

This is the second straight year that both of those statistics have risen.

But there were some silver linings to be found. The study showed that the average fraud resolution time fell 30 percent to 21 hours, thanks to increased consumer awareness, as well as banks helping victims better respond to incidents through fraud detection and real-time alerts. And victims are more commonly filing police reports, which allowed the number of arrests and convictions of the culprits to double.

"The good news is consumers are getting more aggressive in monitoring, detecting and preventing fraud with the help of technology and partnerships with financial institutions, government agencies and resolution services," James Van Dyke, president and founder of Javelin, said in a statement.

The report also focused on areas that need improvement.

Victims ages 18 to 24 were the slowest to detect fraud, taking twice as long as other age groups, the report said. Meanwhile, small- and mid-size (SMB) business owners suffered fraud at a rate 1 1/2 times more than other adults. The report attributed this to SMB owners using personal accounts to make business transactions.

Share this article:

Sign up to our newsletters

More in News

Brazilian president signs internet 'Bill of Rights' into law

Brazilian president signs internet 'Bill of Rights' into ...

President Dilma Rousseff signed the legislation on Wednesday at the NetMundial conference in Sao Paulo.

Android trojan sends premium SMS messages, targets U.S. users for first time

Android trojan sends premium SMS messages, targets U.S. ...

An SMS trojan for Android, known as FakeInst, has been observed sending premium SMS messages to users all over the world, including, for the first time, the United States.

Report: DDoS up in Q4 2013, vulnerability scanners leveraged to exploit sites

Report: DDoS up in Q4 2013, vulnerability scanners ...

Researchers observed 346 DDoS attacks in the final quarter of 2013 and attackers used Vega and Skipfish vulnerability scanners to exploit web flaws at financial companies.