Definition of Identity Theft

The definition of identity theft was first formalized in the Identity Theft and Assumption Deterrence Act of 1998 (ID Theft Act).

The ID Theft Act made identity theft a crime unto itself.

To be more specific the Identity Theft Act did this:

Made amendments to the criminal code federal laws to include a definition of Identity Theft which is:

The definition of identity theft in the eyes of the law:
Anyone who knowingly uses or transfers the identity of another person with the intent to commit unlawful actions. Any unlawful actions using another persons identity constitute a felony under State or Local Law

The Fair and Accurate Credit Transactions Act of 2003 (FACTA) amended the Fair Credit Reporting Act (FCRA) to include a civil definition of identity theft:

The term "identity theft" means a fraud committed using the identifying information of another person, subject to such further definition as the [Federal Trade Commission] may prescribe, by regulation.

The FTC proposed that more exact definitions are required for "identifying information" as it relates to identity theft

1. The term "identity theft" means a fraud committed or attempted using the identifying information of another individual without lawful authority. 2. The term "identifying information" means any name or number that may be used, alone or in conjunction with any other information, to identify a specific individual, including any

Although the FTC's proposed definition refines the statute, both of them cover existing as well as newly created accounts, asset as well as credit accounts, and masquerading as someone else as well as creating a synthetic identity in an effort to obtain services or other benefits fraudulently. As noted above, the scope of this study is more narrowly defined, being limited to existing (but not newly created) accounts, asset (but not credit) accounts, and masquerading as someone else (but not creating a synthetic identity).

In its Identity Theft Survey Report, the FTC included a category of identity theft described:

"Misuse of existing non-credit card account or account number."

Some banks and lendors have created their own definitions for identity theft including:

There are numerous ways that identity thieves can hijack your information. The criminal minds that are masterminded ID thefts are very sophisticated and always on the prowl. I always recommend to my friends and family that they get an identity monitoring service as part of their overall financial plan.

Just like having money put away in an IRA to secure your financial future you should also have an identity monitoring service to protect your future as well. It is a sad state that it is necessary to have such services, however it is necessary in today's world.

To view new developments in combating identity theft, visit the Federal Trade Commission website at FTC.gov.

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