Identity fraud 'becoming less profitable'

Efforts to clamp down on identity fraud in the US appear to be yielding positive results, experts have revealed.

According to Javelin Strategy & Research, the crime became less profitable for fraudsters last year, even though the actual number of cases went up.

The organization said this is because the financial services industry, government agencies and law enforcers have been able to prevent fraud at an earlier stage, as have consumers.

James Van Dyke, Javelin's president, said this has made it harder for people to carry out new account fraud.

However, he insisted that individuals and groups need to pay close attention to accounts to curb the activity and take steps to stop sensitive data falling into the wrong hands.

"Consumers must be vigilant and in control of their personal data as they adopt new mobile and social technologies," Mr Van Dyke commented.

The issue was highlighted during last month's Data Privacy Day, although the National Cyber Security Alliance stressed that digital media users need to adopt safe data management practices throughout the entire year.

Posted by Richard Jones