How to spot identity theft and credit card fraud — and stop it

Core Insights - The article discusses the rising issue of identity theft in the U.S., highlighting a personal experience of fraud and the broader implications for consumers [1][2][3]. Group 1: Identity Theft Statistics - In 2024, U.S. consumers lost over $12.5 billion to fraud, marking a 25% increase from the previous year [4]. - There were more than 1.1 million reports of identity theft made to the Federal Trade Commission (FTC) in 2024, with experts suggesting that actual figures may be much higher due to unreported cases [4]. Group 2: Types of Identity Theft - The two most common types of identity theft-related financial fraud are new account fraud and unauthorized account access [5]. - New account fraud involves criminals using stolen identity information to open new credit cards, loans, or deposit accounts, often going unnoticed until victims check their credit reports [6]. - Unauthorized account access occurs when fraudsters use stolen credentials to access existing bank or credit card accounts, allowing them to make unauthorized transactions [7].