Identity theft is an illegal practice in which an individual’s identity is stolen and used fraudulently, usually for financial gain. Identity theft occurs when a criminal obtains a person’s private information, such as their social security number, driver’s license number, or credit card number, and uses that information to open accounts or make charges in the victim’s name. Victims of identity theft are not liable for all fraudulent charges, but identity theft still results in financial hardship for the victim through overdraft charges, legal fees, and other associated expenses that arise while dealing with a stolen identity. Over $15 billion in fraudulent charges from identity theft are made each year in America.
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