Guest Blog by Jaimee Napp, Executive Director of Identity Theft Action Council of Nebraska

Julia Angwin’s article titled, The Fallacy of Identity Theft, has ignited a firestorm of comments, debates and blogs regarding her nonchalant and somewhat misguided attitude toward a serious crime. This article shows me exactly how confused society is about identity theft. Sorting out what’s true from outright lies and half truths isn’t easy because everyone and every company have their own opinions on identity theft, although most are skewed to help increase their bottom line. My opinion has been formed from experiencing the crime firsthand.

Identity theft isn’t only about credit cards. A criminal’s goal isn’t always financial gain; they use personal information to commit crimes, receive medical care, access government benefits and to become employed legally in this country. The damage they inflict can be a little or it can be a lot, it just depends on what the criminal chooses to do with the information.

Identity theft isn’t about money. As a victim myself and speaking on behalf other victims I’ve worked with over the years, we’d argue this crime isn’t about money at all; it’s all about soul, contrary to what Ms. Angwin says in her article. Have you ever had to explain to a debt collector the debt in question isn’t yours? Have you ever tried to reason with a police officer who’s handcuffed you for crimes you didn’t commit? Have you ever received a letter from the IRS demanding thousands of dollars in back taxes for a job you never worked from a state you’ve never been? Unfortunately, I know victims who have and money is the last thing on their minds.

While law enforcement and the judicial system continue to determine the level of our victimization solely based on dollars of creditor loss, the reality is victims aren’t really concerned about the amount the thief charged because the debt is not ours to pay. What we care about is the amount of time we’ve lost consumed in an unnecessary cycle of complete frustration trying to figure out how on earth we are ever going to set things right, while at the same time searching for answers we know we’ll never find.

The real victims of fraud are consumers, not retailers. Ms. Angwin references a study that came to the conclusion retailers are the real victims of fraud, which is completely insulting. In fact, retailers and their lax business practices are among the biggest contributors to fraud. Instead of adopting better business practices like checking IDs, checking signatures and making easy credit simply a little bit harder to get, retailers pass the huge cost of fraud onto the consumer.

Identity theft protection companies have added to the confusion. With the explosion of identity theft, a unique business opportunity came out of nowhere and hundreds of identity theft protection companies popped up almost overnight. This is where Ms. Angwin and I can finally agree. Expensive identity theft pay-for-service companies many times exaggerate consumers’ chances of becoming a victim of identity theft and also the scope of the protection they can provide. Why do they do this? Using fear = boat loads of money. There is no product or service that can claim to absolutely prevent someone from becoming an identity theft victim, while many of them certainly try to. A few of these companies may legitimately offer a worthwhile product, but some like Lifelock, the industry’s largest, are in my personal opinion worthless and may do more harm than good.

Being vigilant and proactive isn’t a bad thing. It’s simply naïve and irresponsible to recommend people stop shredding their bank statements. The majority of identity theft occurring in this country may be simple credit card fraud, but this doesn’t mean consumers shouldn’t continue to be proactive in protecting their personal information as Ms. Angwin suggests. There are ways to protect yourself other than burying your head in the sand or paying for an expensive service.

Protection Tips:

1. Get a security freeze. The only tool that can stop thieves who have accessed your personal information from opening new accounts in your name. Security freeze is available by state law.

2. Check your credit reports frequently through www.annualcreditreport.com. Everyone gets three FREE credit reports each year. These reports DO NOT come from those guys with the dancing pirate in their TV commercials either.

3. Invest in a shredder and use it.

4. Guard your incoming and outgoing mail, thieves love to steal it.

5. Protect your personal information. Do your gym and your local movie rental store need your social security number? Nope.

6. Remove yourself from pre-approved credit card offer lists through www.optoutprescreen.com. This will cut down on the amount of shredding you have to do.

7. If you do decide to choose an identity theft pay-for-service company, always research and read the fine print before purchasing.

The possibility of becoming a victim of identity theft is very real and we shouldn’t ignore it, shrug it off, make light of it or declare ourselves free from ever experiencing it. So, what can consumers do? Ask questions, become knowledgeable and make your own plan on how to protect your identity because the criminals, retailers and identity theft protection companies have already made their plans.

To learn more about Identity Theft and how you can prevent it visit Identity Theft Action Council of Nebraska and DefendYourDollars.org