Financial Crime World

Canadians Urged to Protect Against Rising Identity Theft and Cybercrime Threats

Identity theft is a growing concern in Canada, putting individuals at risk of financial and emotional devastation. As technology advances, so do the methods Canadians can fall victim to cybercrime. In 2022, there were over 70,000 reported cybercrime incidents, resulting in a stolen $530 million. Experts believe the actual number of crimes and losses could be much higher, potentially reaching five billion dollars or more.

Consequences of Identity Theft

Identity theft can target individuals instead of businesses, resulting in serious consequences:

  • Identity fraud: Criminals can apply for loans, credit cards, or other services, leaving you responsible for the debt.
  • Bank fraud: Thieves can access your accounts and steal money, damaging your financial stability.
  • Credit card fraud: Stolen cards can be used for unauthorized purchases.

A stolen identity can also:

  • Damage a credit score
  • Lead to bankruptcy

Understanding Identity Theft

Identity theft occurs when criminals steal personal information to commit fraud. Information like a Social Insurance Number, date of birth, driver’s license, or credit card number can be used to impersonate someone for malicious purposes.

Uses of Stolen Information

The stolen information can be used for various fraudulent activities, including:

  • Making purchases
  • Obtaining tax refunds
  • Opening new bank accounts

Retrieving lost funds and restoring identity can be a time-consuming and challenging process.

Methods of Information Theft

Cybercriminals use various methods to steal personal information, from simple to sophisticated:

Paper Trail

Thieves rummage through garbage, seeking credit card statements or unsecured mail containing personal information.

Phone Scams

Fraudsters call victims posing as charities, government agencies, or even beloved family members to obtain sensitive information.

Online Sites

Shopping online puts individuals at risk. Cybercriminals can hack websites to steal customer data.

Phishing

Fake emails request personal information, leading users to fraudulent websites.

SMIshing and Malware

SMS messages and malware can trick users into revealing sensitive information.

Protecting Against Identity Theft

To protect against identity theft, Canadians must be vigilant:

Guard Your Privacy

  • Destroy or securely store personal information
  • Shred paper documents

Secure Passwords

  • Use strong, unique passwords
  • Change them frequently

Limit Public Wi-Fi Use

  • Be cautious when using public Wi-Fi
  • Change passwords afterwards

Install Security Systems

  • Protect electronic devices with reliable security software

Verify Sharing

  • Ensure you are sharing information with trusted sources

Avoid Urgent Requests

  • Ignore requests for information that come unsolicited or seem urgent

Sign Up for Monitoring Services

  • Use credit monitoring services to identify suspicious activity

Insurance Coverage

  • Check if home insurance offers credit-related protection

Reporting Identity Theft

In the event of identity theft, financial recovery is crucial. Report fraud or suspected identity theft to the police, your financial institutions, and credit reporting agencies. Consult Licensed Insolvency Trustees at Adamson and Associates for expert guidance: 519-310-5646, offering free consultations to help you regain control of your debt.