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What is an Identity Theft Affidavit?

Identity theft is an increasing problem in the United States. After an identity theft incident, there are several steps that victims should take to ensure that they obtain the justice they deserve. Often, this process involves a document called an identity theft affidavit. An identity theft affidavit is used by victims of identity theft to prove that their personal information was illegally used to open a fraudulent account. In this article, we discuss identity theft affidavits and their role in the identity theft reporting process. 

Where to Get an Identity Theft Affidavit 

If you believe that your identity has been stolen, you should consider contacting the Federal Trade Commission (FTC) to file a complaint. After reporting the suspected theft, the FTC will provide you with an FTC Identity Theft Report, which should include an identity theft affidavit. As noted above, an identity theft affidavit will serve as official proof of the fraud when you dispute marks on your credit or new accounts.

Information Needed to File an Identity Theft Affidavit

To complete an identity theft affidavit, you will have to provide certain personal information, including your contact information, address, Social Security number, and identification card or driver’s license. After providing your information, you will be requested to provide certain details of the identity theft, including: 

  • Whether any new inquiries or accounts were included in your credit report due to the fraud.
  • Details of any accounts that have been affected or any accounts that were fraudulently opened due to the identity theft.
  • Whether any of your personal information that appears in your credit report is incorrect due to the identify theft.
  • Whether you obtained any benefits from the fraud, whether you permitted anyone to use your information, and whether you will cooperate with law enforcement officials if charges are eventually filed against the perpetrator of the fraud. 

Is an Identity Theft Affidavit Needed to Report Fraudulent Use of an Account?

In the majority of cases, an identity theft affidavit isn’t needed to report fraud on any of your existing accounts. Identity theft affidavits are instead usually used to dispute new accounts that were fraudulently opened in your name. However, it is possible that your lender may require you to complete an affidavit before initiating a fraud investigation. Each business or creditor that you work with will have its own fraud procedures and protocols, so you should contact each of them directly to determine what they require.

Contact a Consumer Class Action Lawyer 

If you are an identity theft victim, you must act fast. Identity theft is often the result of the negligence of organizations that fail to protect people’s personal information. When an organization exposes your personal information, our firm believes that it should be held accountable for its actions, and you should be compensated for any resulting financial losses. Please contact consumer class action lawyer Seth Lehrman today to arrange a free and confidential consultation.

Older woman on the phone upset

Preventing Senior Identity Theft

Although everyone is a potential identity theft victim, senior citizens are particularly vulnerable. In fact, seniors lose approximately $3 billion every year in financial scams. Therefore, seniors and their loved ones must always remain vigilant for signs of identity theft. In this article, we discuss how to prevent senior identity theft.  

What Makes Seniors Vulnerable to Identity Theft? 

There are many reasons that criminals target senior citizens. For one, many seniors have substantial savings and investments, and many have begun to access their retirement funds. In addition, seniors are likely to require medical services and use government services, both of which are industries that identity thieves target. And perhaps most importantly, as people age, they often suffer from cognitive ailments, such as dementia, which can affect their ability to make sound decisions. Finally, many seniors are isolated, making them more likely to unknowingly communicate with criminals and provide them with sensitive information. 

Common Types of Senior Identity Theft 

As noted above, seniors are particularly vulnerable to identity theft. Common types of senior identity theft include: 

  • IRS scams
  • Tech scams
  • Medicare fraud 
  • Funeral scams
  • Phone scams
  • Estate identity theft 
  • Military identity theft
  • Romance scams

Tips for Preventing Identity Theft

Although no one is 100% safe from identity theft, there are several things seniors and their families can do to decrease the odds of becoming an identity theft victim, including:

  • Create a list of contact information for family members, friends, health care providers, and anyone who may call on a regular basis. This can help seniors determine if a call is legitimate. 
  • Let calls from unknown numbers go to voicemail. 
  • Hang up if an unknown caller requests financial or personal information.  
  • Keep in mind that government agencies don’t usually contact people via phone or email. Therefore, all phone calls or emails that purport to be from government agencies should be viewed with suspicion.  
  • Routinely check credit card statements, financial records, and bank accounts for signs of suspicious activity. 
  • Keep all important documents, including Social Security and Medicare cards, in a safe place.  
  • If available, request direct deposit of funds instead of paper checks.  
  • Be suspicious of offers that sound too good to be true. 
  • Be suspicious of all communication that is of a threatening nature, such as threats of legal action if certain information isn’t provided. 
  • Ask for help from family members or close friends following any suspicious contact or other signs of possible fraud. 

Contact a Consumer Class Action Lawyer 

If you have had your identity stolen, you should immediately take legal action. Identity theft is routinely the result of negligence on the part of organizations that store your personal information. When an organization releases your personal information to an unauthorized party, regardless of whether this was done intentionally, you should receive financial compensation for your losses. Please contact consumer class action attorney Seth Lehrman today to schedule a free consultation.

elder on phone with credit card company

Is Identity Theft on the Rise?

Identity theft is a major problem in the U.S. Every day, people have their identities stolen, costing them money, time, and peace of mind. And unfortunately, reported incidents of identity theft rise each year. In fact, identity theft surged in 2021, presumably due to the COVID-19 pandemic. However, even with the pandemic behind us, identity theft shows no signs of slowing down. In this article, we discuss the rise of identity theft in the U.S.  

Identity Theft Statistics

In 2021, identity theft complaints increased 3.3% over the previous year. Specifically, there were approximately 1.39 million identity theft complaints in 2020, and this number increased to 1.43 million identity theft complaints in 2021. The most common type of identity theft in 2021 was government benefits or documents fraud. This type of identity theft accounted for over 396,000 complaints in 2021. Experts believe that this increase was at least partially related to the COVID-19 pandemic. The second most common type of identity theft in 2021 was credit card fraud, which was the leading type of identity theft from 2017 to 2019, with nearly 390,000 reported incidents. However, for the first half of 2022, credit card fraud was the most common type of reported identity theft in the U.S., generating approximately 231,000 complaints.

Main Kinds of Identity Theft 

There are a variety of methods by which thieves commit identity theft. According to the FTC, the most common types of identity theft are: 

  • Government benefits or documents fraud
  • Credit card fraud
  • Lease or loan fraud
  • Bank fraud
  • Tax-related or employment fraud
  • Utilities or phone fraud

Most Common Identity Theft Tactics 

One of the most dangerous things about identity theft is that it can occur in a variety of ways. In 2021, the most common way that identity thieves engaged their victims was via phone. In fact, telephone identity theft scams resulted in over 646,000 complaints and estimated financial losses of approximately $700 million in 2021. 

Another common source of identity theft in 2021 was social media. Although social media identity theft scams only resulted in around a quarter of the number of complaints generated due to telephone scams, they resulted in a higher total amount of financial losses than any other means of contact. Specifically, social media scams resulted in total losses of approximately $797 million. Other common forms of contact utilized by identity thieves include:

  • Text messages
  • Email
  • Websites
  • Online advertisements
  • Applications
  • Mail

Contact a Consumer Class Action Lawyer 

If you are a victim of identity theft, you should take immediate legal action. Identity theft is often the result of negligence on the part of entities that store your personal information. And when a business releases your personal information to an unauthorized party, you should obtain financial compensation for your losses. Please contact attorney Seth Lehrman today to schedule a free consultation.

Woman looking at her computer

Is Identity Theft Considered a White-Collar Crime?

Identity theft affects people of all ages and income brackets in the United States. In fact, identity theft costs victims billions of dollars each year—and the problem is only getting worse. Clearly, identity theft is illegal and creates widespread harm. However, is identity theft considered a white-collar crime? In this article, we answer this question and review some of the federal and state laws related to this illicit practice. 

What is a White-Collar Crime? 

White-collar crime is an illegal act that is typically committed by people in the business world who have access to large amounts of other people’s money. However, it also involves the theft of people’s personal information for financial gain. Examples of white-collar crimes are money laundering, insider trading, tax evasion, bribery, insurance fraud, embezzlement, and the focus of this article: identity theft. 

Identity Theft and White-Collar Crime

Identity theft is a type of white-collar crime that can originate both online and in the physical world.  It occurs when an individual uses the personal information of another person, such as his or her name, Social Security number, or address to commit financial fraud. Identity theft is considered a white-collar crime because it doesn’t typically involve physical contact between the perpetrator and victim. 

Identity Theft Laws

There are many laws in the U.S. that criminalize the practice of identity theft. The first major piece of federal legislation that criminalizes identity theft in the U.S. is the Identity Theft and Assumption Deterrence Act. This act makes it illegal to use another person’s personal information to commit a crime. The second major federal law criminalizing identity theft is the Identity Theft Penalty Enhancement Act, which provides severe penalties for persons who are found guilty of committing identity theft in furtherance of other felony crimes.

Is Identity Theft a Felony?

In addition to federal law, states also penalize identity theft. In fact, in many states, identity theft is a felony. In Florida, for example, it is illegal for an individual to willfully and without permission possess or use a person’s personal information without first obtaining that person’s consent. Violation of this law is a third-degree felony, and it is punishable by up to five years in prison and a fine of up to $5,000.

Contact a Consumer Class Action Lawyer 

If you have had your identity stolen, you need the assistance of an experienced consumer class action attorney. Although identity thieves sometimes target victims directly, identity theft is often the result of negligence by institutions that store people’s personal information. When a business releases a person’s personal information without their permission it may be required to compensate the victim for their losses. For help with your identity theft issue, please contact attorney Seth Lehrman today to schedule a free initial consultation.

Older woman on the phone with class action lawyer

An Overview of Different Types of Identity Theft

Identity theft occurs when a thief uses another person’s personal or financial data for monetary gain. Common targets of identity theft include Social Security numbers, birthdates, names, addresses, driver’s license information, and financial account numbers. In today’s digital world, everyone is a potential victim of identity theft. However, not many people understand the ways in which criminals go about stealing people’s identities. In this article, we examine the most common types of identity theft. 

Theft of Financial Information

Financial identity theft occurs when a criminal uses another’s personal financial data without his or her permission. Financial theft is the most common form of identity theft. Examples of this type of identity theft include:  

  • The opening of new accounts using a victim’s Social Security number or other data
  • The use of stolen credit card information to make purchases
  • The use of stolen funds from financial accounts

Theft of Medical Information

Medical identity theft occurs when a criminal uses someone else’s identity to obtain health care services. With this type of theft, a criminal may use a person’s name and insurance information to:

  • Obtain prescription drugs
  • Obtain expensive medical services
  • Obtain medical supplies and equipment 

Criminal Identity Theft

The next common type of identity theft is called criminal identity theft. This type of identity theft occurs when an individual who is arrested by law enforcement uses another person’s name instead of his or her own. A person may accomplish this by presenting a fake or stolen ID to the police. 

Synthetic Identity Theft

Synthetic identity theft is a practice that involves creating false identities using the information of real people. To do so, criminals use information like addresses, birthdates, and Social Security numbers to create fake profiles. These new personas can then be used to apply for loans or to commit other types of financial crimes. 

Theft of Children’s Information

Finally, perhaps the most disturbing type of identity theft involves children. Sadly, the theft of children’s identities is increasingly common in the United States. This type of identity theft involves using a child’s personal information to commit fraud. For example, identity thieves often use children’s information to open lines of credit, apply for government benefits, obtain a driver’s license, apply for government benefits, or even purchase a home. 

Contact a Consumer Class Action Lawyer 

If you or a loved one are a victim of identity theft, you need an experienced consumer class action attorney in your corner. Often, identity theft is the result of negligence on the part of entities that store our personal information. And when an entity releases such information without permission, it should be forced to provide financial compensation to those who suffer losses as a result. For assistance with your legal matter, please contact us today to schedule a consultation with our experienced class action lawyer.

Client sitting with class action attorney

Phishing Attacks and Identity Theft

A phishing attack is an online scam in which a fraudster sends an email that appears to be from a reputable source with the goal extracting personal information from the target. Once such information is obtained, criminals use it in several ways, one of which is to commit identity theft. In this article, we examine phishing attacks and identity theft. 

Identifying Phishing Attacks

Phishing attacks share several characteristics. Some of the telltale signs of phishing attacks include: 

The email requests sensitive information: Companies don’t send customers emails requesting passwords, credit card data, or other personal information. Therefore, the receipt of an email that requests such information is a sign that a phishing attack may be underway.

The email is poorly written: Another sign that an email may actually be a phishing attack is if it is poorly written. It is rare for a legitimate organization to send out an email that contains bad grammar and poor punctuation. 

The email contains a suspicious attachment: Phishing attacks are often conducted with the assistance of malicious email attachments. Fraudsters use such attachments to install viruses on victims’ computers and to direct them to URLs that mimic the websites of legitimate organizations. 

The email incites fear: One characteristic of many phishing scams is that they attempt to create a sense of urgency on the part of the recipient. Often, this is done by inciting fear. For example, a phishing email may claim that a recipient’s bank account will be closed if he or she fails to click on a link or provide certain information. 

The email claims the recipient won something: One way that fraudsters attempt to steal information through phishing emails is by promising an award or prize of some sort. Therefore, any message that purports to offer something for free should always be viewed with suspicion. 

The email claims to be from a government agency: Finally, the government doesn’t generally contact people directly. In addition, government agencies don’t request information via email. Unfortunately, however, phishing scammers often claim to be government agencies in an attempt to solicit personal information from victims. 

Protecting Yourself from Phishing Attacks

In addition to recognizing the above common signs, the following actions can provide protection from phishing attacks:

  • Install security software on your computer
  • Schedule automatic software updates
  • Enable multi-factor authentication
  • Back up all data on your devices

Contact a Consumer Class Action Lawyer 

In addition to directly targeting victims, phishing attacks are often directed at organizations that store people’s personal information. And when an entity releases people’s private information without their permission, it should be forced to compensate those who suffer losses as a result. If your personal information has been exposed, experienced attorney Seth Lehrman is here to help you seek compensation. Please contact us today to schedule an a free consultation with our experienced class action lawyer.

Woman victim of identity theft

Identity Theft and the Elderly

The number of identity theft victims in the U.S. increases every year. Unfortunately, a large percentage of victims are elderly. In this article, we examine why the elderly are vulnerable to identity theft, common identity theft scams perpetrated against the elderly, and ways to prevent identity theft. 

Reasons Identity Thieves Target the Elderly 

There are several reasons that identity thieves target the elderly. For example, in a study by the Massachusetts Institute of Technology, elderly participants were found to be more trustworthy than other age groups. This trustworthiness can make the elderly more vulnerable than others to becoming victims of identity theft. Also, in a study at the University of California, Los Angeles, older adults were found to have diminished “gut responses” to cues of untrustworthiness. 

Common Identity Theft Scams That Target the Elderly

Common identity theft scams that target the elderly include:

Telephone scams: Identity thieves often target the elderly over the telephone, attempting to gain their trust and obtain personal and financial data from them that can be used to commit fraud. To obtain such information, thieves may pretend to be a person in authority, and they may employ a sense of urgency that prompts the victim to move quickly without taking time to contemplate the consequences.

Internet scams: Online identity thieves often use phishing techniques to obtain personal data via email. With these scams, thieves send seemingly legitimate requests for personal information to victims. Often, when committing these scams, thieves claim to be associated with legitimate financial institutions. 

Tips to Prevent Identity Theft

Seniors must always remain vigilant when it comes to identity theft. Below are some helpful identity theft prevention tips: 

Just hang up: If someone calls and requests personal or financial information, it’s perfectly acceptable to just hang up. If the person claims to be a bank or credit card representative, hang up and call back using the organization’s listed phone number.

Don’t click on links: Rather than clicking on links received in emails, type in web addresses manually. Often, such links lead to phishing sites that illegally collect personal information.  

Use direct deposit: One downside to paper checks is that they can easily be stolen and used in the commission of identity theft. Therefore, if the option is available, it is advisable to opt for direct deposit over paper checks. 

Review all statements: Finally, it pays to regularly review all credit card, bank, and other financial statements. When doing so, be on the lookout for unfamiliar transactions. If anything looks unfamiliar, immediately contact the applicable institution to investigate

Contact a Consumer Class Action Lawyer 

Often, identity theft is the result of the negligence of a financial institution or other entity. When an entity releases people’s private information without their permission, whether purposely or due to negligence, it should be forced to compensate the victims for any resulting losses. If you are a victim of identity theft, experienced attorney Seth Lehrman is here to help you seek financial compensation for your losses. Please contact us today to schedule an initial consultation with our talented class action lawyer.

An attorney helping a couple with their class action lawsuit.

Over 42 Million People Affected by Identity Theft in 2021

Identity theft is a major problem in the United States. In fact, a recent report by Javelin reveals that this illicit practice is more prevalent than ever. Specifically, in 2021, nearly 42 million Americans were victims of identity theft, costing consumers over $50 billion in total losses. This represents an increase in fraud of nearly 80 percent over 2020. Experts believe that this increase was at least partially caused by thieves’ eagerness to capitalize on the billions of dollars in stimulus funds that many people obtained in response to the COVID-19 pandemic. 

Traditional Identity Fraud Up in 2021

In 2021, losses caused by traditional identity fraud, which Javelin defines as the unauthorized use of another’s personal information to achieve illicit financial gain, increased by nearly 80 percent over 2020. Surprisingly, many victims of identity fraud never find out when or how their personal information was compromised.

Identity Theft Scams

The report differentiates traditional identity fraud from identity fraud scams. Unlike traditional identity fraud, in which victims often remain unaware of how their information was compromised, identity fraud scams happen when a thief deceives someone into giving away some of their personal information, either through email, phone calls, text messages or some other manner. As opposed to traditional identity fraud, identity fraud scams decreased in 2021, with 12 million fewer victims of such scams in 2021. However, with a total of 27 million victims losing approximately $28 billion combined, identity fraud scams continue to be a huge problem.

Together, these two types of identity fraud—traditional identity fraud and identity fraud scams—cost 42 million victims approximately $52 billion in losses in 2021.

Additional Statistics

Additional noteworthy statistics from the report include:  

  • Fraud involving existing credit cards increased by nearly 70 percent. 
  • Fraudulent charges involving existing credit cards cost consumers over $9 billion.
  • Seventy percent of respondents to a survey associated with the report stated that they trust facial recognition, fingerprint scanning, and retinal scanning to combat fraud. 
  • Consumers spent around 16 hours on average disputing charges on fake accounts. 
  • Identity fraud in which identity thieves opened a new account using a person’s personal information affected approximately 5 million victims and totaled nearly $7 billion in losses.
  • Identity fraud involving existing savings, checking, insurance and other accounts totaled around $8 billion, which represents a 73 percent increase from 2020.

Contact a Consumer Class Action Lawyer 

Identity theft occurs for many reasons, one of which is negligence on the part of organizations that store your personal information. If you believe that the negligence of a financial institution or other entity has resulted in the theft of your identity, experienced attorney Seth Lehrman is here to help you seek financial compensation for your losses. Please contact us today to schedule a free initial consultation with our talented class action lawyer.

Teenager looking at locked phone

Keeping Your Children Safe from Identity Theft

Most people think identity theft only affects adults. Unfortunately, this is not the case. In fact, a large percentage of identity theft victims are children. Therefore, if you have kids, you must remain vigilant when it comes to their identities. In this article, we discuss how to keep your children safe from identity theft. 

How Thieves Use Children’s Personal Information

There are many ways that identity thieves use children’s personal information, including:

  • To apply for and open credit card accounts
  • To obtain loans
  • To seek unemployment, Social Security benefits, and other government services
  • To open bank accounts for use in fraudulent money transfers

Steps to Take to Protect Your Child’s Identity

Although it is impossible to protect against identity theft completely, there are several steps you can take to reduce your child’s odds of becoming an identity theft victim, including:

Place security freezes on your child’s credit reports: There’s no reason for the majority of children to have credit reports, as it is illegal for anyone under the age of 16 to apply for a loan or credit card in their own name. However, if a fraudulent loan or credit card application has been submitted in your child’s name, then he or she may have one or more credit reports. If this is the case, you should place a freeze on the reports. 

Guard your child’s Social Security numbers: You should be very careful about sharing your child’s Social Security number. For instance, there is rarely a reason to share your child’s Social Security number with a private business. In fact, even just the last four digits of your child’s Social Security number can be useful to identity thieves. Therefore, a good rule of thumb is to never share this information unless dealing with a government entity or other reputable source. 

Avoid oversharing on social media: Social media is a goldmine for identity thieves—especially when people overshare personal information. Identity thieves routinely comb social media for personal information, from addresses and birthdays to clues about security questions. Therefore, in order to reduce the odds of your child becoming a victim of identity theft, you should minimize the amount of information you share online.

Monitor your child’s social media activity: Finally, to prevent identity theft, you should carefully monitor your child’s social media activity. In fact, you should seriously consider not allowing your child to use social media at all—there are simply too many risks involved. However, if you do allow your child to use social media, you should establish strict rules and provide him or her with a list of the kinds of information to never disclose online. 

Contact a Consumer Class Action Lawyer 

Identity theft is often the result of negligence on the part of organizations that store people’s personal information. If you believe that the negligence of a business or other entity has resulted in the theft of your child’s identity, experienced attorney Seth Lehrman is here to help you seek financial compensation for all losses stemming from the theft. Please contact us today to schedule a free initial consultation with our talented class action lawyer.

Victim of identity theft on a computer

An Overview of the Effects of Identity Theft

Identity theft affects victims in many ways. And although there are steps you can take to reduce your risk of becoming an identity theft victim, it’s impossible to immunize yourself against it completely. Therefore, it’s important to understand the ways that identity theft can affect you. In this article, we examine the effects of identity theft. 

Tangible Effects of Identity Theft

Identity theft has a number of tangible effects on victims, including:

Damaged credit: If a criminal uses a person’s Social Security number (SSN) to open new credit accounts, this can severely damage the victim’s credit. Not only can this affect a person’s ability to obtain new lines of credit, but it can also hurt the victim’s job prospects and increase his or her insurance premiums.

Tax debt: Identity theft can also leave victims with a hefty tax bill. For example, identity thieves sometimes file fraudulent returns in a victim’s name to obtain a tax refund, leaving the victim to deal with the aftermath. 

A criminal record: When a criminal uses a person’s identity to commit a crime and then gives the victim’s information to the police following an arrest, the identity theft victim can end up (at least temporarily) with a criminal record.  

Lost time and money: Finally, it can take years to recover from identity theft, and victims routinely lose money in the form of expenses caused by the theft.

Emotional Effects of Identity Theft 

As discussed above, identity theft clearly has tangible effects on its victims. However, identity theft can also take a heavy emotional toll on those unlucky enough to be affected by the illicit practice. Unfortunately, the emotional effects that identity theft has on victims are often overlooked. Victims of identity theft often feel violated, anxious, and unsafe. In addition, when a victim has trouble proving identity theft, this can lead to anger and frustration. Further, the stress suffered by identity theft victims can even take a toll on them physically. For example, studies have shown that many identity theft victims experience physical symptoms, such as sleep disturbances, heart palpitations, aches and pains, sweating, and stomach issues.

The Bottom Line

Given the seriousness of the effects of identity theft, it is important that victims take steps to remedy the harm they have suffered. One way to recover from the effects of identity theft is to seek legal recourse. Therefore, if you are a victim of identity theft, you should contact an attorney as soon as possible for help. 

Contact an Identity Theft Lawyer 

Identity theft is routinely the result of the negligent actions or inactions of organizations that store your personal information. If an organization’s negligence has resulted in the theft of your identity, our attorneys are here to help you seek financial compensation for all losses stemming from the theft. Please contact our Identity Theft lawyer as soon as possible to schedule a free initial consultation.