Project Business Ethics

Thieves on Internet:

Identity theft is one of the fastest growing crimes in the United States. Credit card numbers, driver’s license numbers, social security numbers, and other personal identification can net criminals thousands of dollars in a very short period of time.

Identity theft accounted for the bulk of fraud complaints filed with the FTC and represented 42 percent of fraud reports entered into the FTC's database in 2001. The FTC's associate director for planning and information Hugh Stevenson states that a good portion of ID theft are tied to the Internet.

The Information Age affords would-be identity thieves countless opportunities to steal or purchase your personal information thereby fraudulently incurring high debts in your name and leaving your credit history in disaster. The Internet gives thieves easy access to personal information through a variety of unethical means. Web site hacking, password fishing, and phony credit card offers are just a few of the ways that thieves can get your information. Despite your best efforts to manage the flow of your personal information or to keep it to yourself, skilled identity thieves may use a variety of methods - low- and hi-tech - to gain access to your data.

While the financial loss incurred by this type of crime is not always incurred by the consumer, it can significantly traumatize them, and take them months if not years to restore their credit and good name, and may keep them from being able to cash checks, obtain loans, or even rent an apartment or obtain utilities.

In many instances it may take months or even years before the ID theft is uncovered and many victims report spending countless hours convincing creditors, credit agencies, government agencies and others that transactions are fraudulent and should be purged from their files. This damage to victims' credit history and reputation can result in denial of credit for things such as auto and home loans.

Victims of identity theft report that it is extremely difficult to get information related to financial transactions. If a business has information relating to violations of the Identity Theft Act and may have done business with the thief, the business must provide, upon the request of the victim, copies of all relevant information. Before providing the requested information, businesses may require the victim to verify his or her identity. Businesses may require proof of identity and charge reasonable fees for providing the information.