ID theft 'contained' says study

The net is not involved in most cases of ID theft finds research

Americans lost almost $57bn (£32bn) to identity theft in 2005, finds research.

More than 4% of Americans suffered ID theft and, on average, lost $6,383 to the crime, revealed a study by the Council of Better Business Bureaus.

The Council said the problem of ID theft was being "contained" and that most victims of it suffered no financial loss at all.

The research also found that few instances of identity theft occurred as a result of internet use.

Net losses

It also revealed that the numbers of people who had their identities stolen in 2005 in the US fell to 8.9 million. However, because the average amount that people lost to ID fraud rose by $1134 in the last year, the total lost to the crime stayed largely static.

The research did point out that the vast majority of people who had personal details stolen, 68%, lost no money at all from the crime.

The study, generated from phone interviews with more than 5,000 Americans, also found that in only 9% of cases was the net to blame for personal data being stolen.

The survey found that the net could actually aid victims as it helped them to keep an eye on their accounts and speed up investigations.

In most cases stolen or lost credit cards, wallets and chequebooks were to blame or the ID theft was carried out by someone close to the victim.

"Consumers can do a lot to make sure they cut down the risk associated with this fraudulent activity," said Steven J. Cole, president and chief executive of the Council of Better Business Bureaus in a statement.

The research found that consumers can do something about ID theft in 63% of cases by preventing access to confidential information; spotting suspicious transactions and acting quickly when anomalies are spotted.