Identity Theft in a Sluggish Economy

So what is the reason for the spike in identity theft and data breaches in 2008? We can offer any number of reasons. After all, ID theft has been on the rise for years, but it seems like every time we turn around we're hearing about a major data breach or identity theft case (like the TJX case back in August). Part of the reason is the obvious fact that ID theft is getting easier to commit as technology advances, and we need to make sure our security measures are equal to the task of protecting private data. Certain agencies posting private consumer data on the Internet doesn't help either.

But what is motivating people to do this? A press release by MyPrivateCredit has offered at least one possible indirect cause. The sluggish U.S. economy of 2008 may be at least part of the cause of the rise in identity theft and data theft. When economic conditions decline with people either out of work or the paycheck not going as far, many will seek additional sources of income. And not all of these income sources will be legal. Identity theft might seem like an easy answer for those who are capable of pulling it off. After all, ID theft is profitable. Even if someone isn't actually using the data they steal, they can sell it to those who will.

While this press release definitely offers some interesting points, it by no means tells the whole story. Yes, the sluggish economy may inspire some to turn to fraudulent income streams, but that doesn't explain why identity theft has been steadily on the rise even when the economy was not in such a sad state. As identity theft becomes easier, we need to become more cautious about protecting our private data, and companies need to increase their security as well, including the human element.

Read over the link I provided above. After all, it does raise some interesting points, and by all means, protect your identifying data, especially if the temptation some to commit identity theft is looming larger than usual.