Fraud on the Rise Again

New figures showed that there have been over 80,000 fraud cases recorded over the opening nine months of this year, marking a 9.68% increase on the same period in 2009 as more and more people are being hit by the growing problem of identity fraud.

The figures, released by CIFAS, have also shown that CIFAS members have reported over 70,000 cases of impersonation over the same period, again showing an increase, this time of18.38%.

The internet has yet again been identified as the highest risk for people as hackers are targeting their consumer identities on shopping websites as well as gaining access to people’s online banking facilities.

Richard Hurley, communications manager for CIFAS, said, "The internet has revolutionised our lives. From the way we shop, bank or conduct business - through to how we keep in contact with friends and family.

"The blessings it brings to users, however, are offset by the anonymity it offers to fraudsters. Criminals no longer need physical access to your details in order to attack your sense of self and well-being, as they will also target you in the digital domain."

On a regional scale, London has been shown to be the worst hit area in the country with South East, South West and Eastern London cropping up at the top of the list for fraud hotspots by postcode.  Birmingham has been shown to be the worst affected place outside of the capital.

A statement in the CIFAS report said, "The bad news is that instances of identity fraud have been increasing over the last few years. More people are being victimised.

"One reason for the increase is the availability to fraudsters of large quantities of personal details. Some of this data will have entered the criminal domain through staff fraud (company employees either paid or coerced into disclosing to criminals the personal details of customers or other staff members). The majority, however, are likely to be as a result of the compromise of personal data over the internet."

CIFAS have also issued a warning for people to be wary of emails which look like authentic banking emails but are actually out to gain passwords for people accounts, these are known as phishing scams.  The warning also encourages people to make sure their computer has the latest protection software installed to keep up with the so called malware that is created by fraudsters.

Posted at 03:13PM Nov 01, 2010 by Marc Stenton in The Economy  |  Comments[0]