20 Different Types of Identity Theft and Fraud

1. Account Takeover Fraud

In account takeover fraud, criminals use stolen personal information such as account numbers, usernames or passwords to hijack bank accounts, credit cards, and/or email or social media accounts.

Warning Signs

• You spot credit card transactions you didn't make.
• You see financial account activity you don't recognize.
• You can't log in to your accounts.
• You stop receiving unemployment or Social Security benefits.

Example

A crook obtains the user name and password for your bank account. They log in and change your password, email address and phone number. The scammer transfers money out of your account, but you don't receive a transaction alert because they changed the phone number and email address attached to the account.

How to Avoid It

When available, use multifactor authentication or biometric login procedures to hinder unauthorized account access. Consider using a password manager to generate and remember strong, random passwords, and change your passwords and PINs regularly. Experts recommend updating them as often as once every 90 days, or anytime you think an account might have been compromised.

Learn more: Should I Use a Password Manager?

2. Debit Card Fraud or Credit Card Fraud

In debit and credit card fraud, criminals use stolen account information to make unauthorized debit card or credit card purchases or withdraw funds from your account.

Warning Signs

• Unauthorized credit card purchases appear on your statement.
• You notice debit card transactions or cash withdrawals you didn't make.
• You receive activity alerts from your bank for transactions you don't recognize. (Confirm the alerts are legitimate and not phishing or smishing attempts.)
• You see a small transaction the thieves are using as a "test" before making larger purchases, withdrawals or funds transfers.

Example

A bad actor steals your credit card information through a data breach and uses it to buy a pack of gum at a local gas station. Because the purchase occurred where you and your family frequently fill up, it doesn't raise any red flags. When you don't report the fraudulent purchase to the credit card company, the thieves use your card to go on a spending spree.

How to Avoid It

Keep close watch on your credit and debit cards to minimize the chance of loss or theft. Lock cards as soon as you suspect they've been misplaced or stolen, and request replacements if you don't locate them quickly. When using your cards online, stick with reputable and secure websites. Don't store your credentials on retailer websites, and use strong passwords to protect your accounts. Consider using a digital wallet instead of your physical card. Because transactions are encrypted, it's more difficult to steal your information.

Learn more: How to Freeze a Credit Card

3. Driver's License Identity Theft

Driver's license identity theft occurs when a criminal steals your license and impersonates you or obtains your license number illegally. They may use your driver's license number to create a phony license that can affect your driving record. They may also use your license or a fake they create as proof of identity to access your existing accounts or open new accounts in your name.

Warning Signs

• You receive a speeding ticket in the mail even though you haven't been pulled over for speeding.
• Your driving history includes suspicious activity.
• You receive a notification that your license has been suspended.
• You receive statements for loans you didn't apply for.
• You stop receiving mail unexpectedly, an indication the scammer filed a change of address form.

Example

A bad actor uses the personal information from your driver's license, including your name, address, birth date and license number to make a fake license. They get pulled over for reckless driving and hand the police officer the license with your information. The violation goes on your driving record.

How to Avoid It

Only provide your driver's license information when absolutely necessary, and keep your wallet safe. If your license is lost or stolen, report it to the DMV and local police as soon as you discover it.

Learn more: What Should I Do if My Driver's License Number Is Stolen?

4. Mail Identity Theft

Mail identity theft happens when a criminal steals personal information from your mail, and uses it to carry out acts of fraud. When scammers steal mail from your mailbox or a postal facility, they can alter checks you've received and cash them; steal credit and debit cards; or comb through your bills and financial statements for personal information that helps them steal your identity.

Warning Signs

• Your bank statements include suspicious account activity.
• You stop receiving credit card or bank statements.
• Your credit or debit cards don't arrive as scheduled.
• You receive information about a change of address form you didn't submit.
• Your credit reports include accounts you don't recognize.

Example

An identity thief files a change of address form in your name and reroutes your mail to their address. They use the personal information included on your credit card statements, bank statements and insurance documents to open accounts in their name.

How to Avoid It

Minimize the amount of information you receive by mail by setting up direct deposit for Social Security, pension, unemployment and other recurring payments you receive. Opt out of prescreened credit offers and paper statements for your financial accounts.

Make it more difficult for scammers to steal your information by getting a mailbox that locks and by stopping mail delivery when you're away from home for more than a day or two. Shred sensitive documents before throwing them in the trash, and alert your bank or credit card issuer if a new or replacement debit or credit card isn't delivered in a timely fashion.

Learn more: How to Protect Yourself From Mail Fraud

5. Online Shopping Fraud

Online shopping fraud occurs when scammers set up fake websites that look real or place fake ads on legitimate sites. When you purchase items from the "retailer," they try to steal your money, often requesting payment through gift cards or wire transfers. Often, you won't receive your order, but in some cases, you may get a counterfeit version of what you thought you were ordering.

Warning Signs

• They only accept payments through money orders, preloaded cards or wire transfers.
• You don't receive items you ordered.
• The website's pricing seems too good to be true.
• You receive a cheap knockoff of the item you thought you were buying.

Example

You find a website advertising designer clothes, shoes and accessories at a significant discount. You place an order for your favorite jeans and a pair of boots, but when they arrive, they're not the high-end versions you were expecting. You try to return them, but you can't because the store is no longer online.

How to Avoid It

Before making a purchase on an unfamiliar site, do some digging to see if it's legitimate. Check for pricing that seems too low, and be wary of any site that only accepts payment via money order, preloaded card, wire transfer or crypto. Review the site's return, refund and privacy policies. If they're nonexistent, it might be a scam.

6. Social Security Number Identity Theft

Social Security number (SSN) identity theft happens when a criminal gets their hands on your SSN and uses it to steal your money or commit other acts of fraud, such as opening loans or credit cards, applying for a job or filing tax returns in your name.

Warning Signs

• Your Social Security earnings statement lists jobs you've never had.
• You receive a notification from the IRS that more than one tax return has been filed in your name.
• You receive collection calls for accounts you didn't open.
• Your application gets denied when you apply for a loan or credit card.
• Your credit reports list credit inquiries for accounts you didn't apply for.

Example

You need to finance the purchase of a new set of wheels after your old one is totaled in an accident. When you apply for an auto loan, your application is denied. The adverse action letter the lender provides says you have multiple late payments and accounts that have been sent to collections even though you pay your bills on time each month.

How to Avoid It

Don't carry your Social Security card in your wallet, and keep it in a secure place such as a safe deposit box. If someone asks for your SSN to verify your identity, see if the final four digits will suffice. Whether providing a full or partial SSN, make sure you know who you're providing it to and don't let others overhear.

If you suspect criminals have obtained your Social Security number via a data breach or any other means, monitor your credit reports, financial statements and medical accounts closely for signs of abuse, and report suspicious activity to law enforcement as appropriate.

Learn more: Here's What You Should Do After a Data Breach

7. Senior Identity Theft and Scams

Senior citizens can be targets of many types of fraud, but their reliance on Medicare and Social Security makes them susceptible to criminals posing as representatives of government agencies and health care providers. Scammers may try to earn victims' trust and persuade them to hand over money by asking them to "pay back" bogus overpayments. Or they may use scare tactics, such as threatening to end your benefits immediately if you don't make a payment.

Seniors who have grandchildren may also be targets of grandparent scams where fraudsters impersonate their grandchildren, pretending to need money right away for an emergency.

Warning Signs

• You receive a call about your Medicare or Social Security benefits asking for your SSN or financial information. Legitimate organizations don't typically ask for these details over the phone.
• You receive emails or texts claiming you need to act immediately to prevent some dire consequence from happening.
• "Authorities" or "family members" insist on immediate payment—especially in the form of gift cards or electronic funds transfer, which can't typically be recovered.

Example

A fraudster posing as your grandchild calls you asking for money to pay for a legal or medical emergency. They tell you that if you don't give them the money right away, something terrible will happen. You wire the money to them before realizing it's a scam.

How to Avoid It

Beware of any unexpected contact that requires immediate action, especially if it involves making a payment, providing SSNs or financial account information or helping a family member.

Before responding to unexpected communication from government agencies or health care companies, confirm the authenticity of the request. Callers can spoof phone numbers so it looks like they're calling from a legitimate organization. Rather than providing information when an organization contacts you, call the relevant agency to verify whether there's a legitimate reason for the contact. Use contact information from your account statement or look it up online.

Never give your SSN or financial information to someone who calls you and asks for it, especially if they're seeking information they should already have on file.

Learn more: Top 10 Scams Targeting Seniors

8. Child Identity Theft

Child identity theft is any kind of identity theft that targets minors. It can be especially difficult to detect because the telltale signs may go undetected until the child applies for credit, usually after age 18. Criminals may be able to use minor children's SSNs and other credentials to take out illicit credit card accounts, open bank accounts for fraudulent transfers and commit other forms of identity theft, much as they do with adults' personal information.

Warning signs

• A credit report has been generated in your child's name before they turn 16.
• Your child's student loan application gets denied.
• Your child gets denied for their first credit card.
• Your child receives offers for credit in the mail.
• Your child receives bills for accounts you didn't set up for them.
• Your child receives information from the IRS before they're old enough to file a tax return.

Example

Your child has been accepted to their dream college, but they need help paying for tuition. They apply for a private student loan to cover the gap between what you've saved in a 529 account and the cost to attend school. Their application is denied. When they check their credit report, they see multiple charged off accounts they didn't open.

How to Avoid It

Don't share your child's SSN with anyone who doesn't absolutely need it, and keep important documents with personal details, such as birth certificates and passports locked up. Children don't normally have credit reports, but fraudulent accounts can generate them. As a parent or guardian, you have the right to freeze your child's credit report at the three national credit bureaus (Experian, TransUnion and Equifax) to help prevent scammers from opening fraudulent accounts in their name.

Learn more: How to Protect Your Child From Identity Theft

9. Tax Identity Theft

Tax identity theft is when someone uses your personal information to carry out tax fraud. The most common form of tax identity theft occurs when a criminal uses your SSN and other personal information to file a tax return in your name so they can steal your refund. Fraudsters can also use your stolen credentials to get jobs they're legally ineligible for, which may cause their earnings to be logged as your taxable income.

Warning Signs

• Your tax return isn't accepted because someone already filed one in your name.
• You receive notification that you owe taxes but you haven't filed your return yet.
• You get a notice that a questionable tax return was filed in your name.
• The IRS has a record of income from a job you've never had.

Example

You complete your tax return, expecting to receive a refund this year. You try to file, but the IRS says it's a duplicate return. You can still get your refund, but you'll have to file a report with the IRS and wait for them to conduct an investigation. It may take weeks or months to resolve your case.

How to Avoid It

Tax fraudsters often harvest information by posing as IRS representatives, using email, text or phone calls. Their goal is to trick victims into disclosing their SSNs and other personal details with false promises to expedite a refund or prevent an audit, for example. Safeguard your SSN and never provide it to anyone who asks for it over the phone.

Filing your taxes early can also help if you file your legitimate return before a fraudster attempts to file one in your name. If you file your taxes online, use a secure internet connection to reduce the chances that your information will be stolen.

If you get a letter from the IRS, read it carefully and follow up. If it concerns activity that's unfamiliar to you, identity theft could be in play. Understand that the IRS always makes its first official outreach by postal mail, so be skeptical of any phone call, email or text supposedly from the IRS that isn't preceded by a letter.

10. Biometric Identity Theft

Biometric ID theft hijacks security measures such as face and voice recognition to unlock computers, phones, tablets and other secured devices. Criminals may use high-resolution photos, videos or voice recordings they find on the internet to gain access to devices and the personal data they contain. Scammers can also link your personal information to their fingerprints, faces or other biometric identifiers when attempting to impersonate you.

Warning Signs

• A loved one is contacted by someone pretending to be you who asks for money.
• You notice suspicious transactions on your bank accounts after your phone goes missing.
• Your driving record includes infractions you didn't commit.

Example

Your spouse gets a frantic call from "you" saying they need you to wire money immediately to prevent something terrible from happening. Except you didn't make the call. A scammer used voice recordings they cobbled together from videos you posted on social media to create an AI-generated recording of your voice that your spouse heard when they answered the phone.

How to Avoid It

Enabling biometric security measures can help safeguard your data, but AI is making it easier to create deepfakes that bypass them. Turn on multifactor authentication to create another layer of security and reduce the risk of unauthorized access. Think twice before publicly sharing videos that include your voice and could be used against you and your loved ones.

If your device is stolen, familiarize yourself with the procedures for locking it remotely so thieves can't readily access its contents, change passwords or assign new biometrics to its security settings.

11. Synthetic Identity Theft

Synthetic identity theft occurs when an identity thief combines stolen information from multiple victims or uses a mix of real and fake data to create a fictitious identity. Crimes committed through synthetic identity theft can be hard to detect because no single victim is likely to be aware of the full extent of the fraudulent activity.

Warning Signs

• Your credit reports include accounts you didn't open.
• Your Social Security earnings record lists jobs you never had.
• You receive bills or statements in the mail for accounts you didn't open.
• You're denied unemployment benefits.

Example

A scammer steals your SSN and phone number and combines it with someone else's name and address to create a new synthetic identity. They take out multiple loans under the new synthetic identity and don't repay them. Because your SSN is tied to the fictitious identity, the delinquent accounts damage your credit.

How to Avoid It

Lock your credit reports to make it more difficult for someone to open an account in your name or with your SSN. Safeguard your SSN and don't share personal information online or over the phone. Monitor your credit reports and financial accounts for unusual activity. Follow up on mail addressed to people who don't live with you or phone calls you receive looking for people you don't know.

12. Medical Identity Theft

Medical identity theft occurs when a person uses your information to obtain medical treatment, prescriptions or medical equipment and submits insurance claims for services they received under your name. Claims criminals file can affect your eligibility for benefits and leave you on the hook for out-of-pocket expenses like deductibles and coinsurance payments.

Warning Signs

• You receive a medical bill or explanation of benefits (EOB) for services you didn't receive.
• You have medical debt you don't recognize listed on your credit report.
• You can't get medical care because your insurance benefits have already been used.
• You start receiving collection calls for medical debt.

Example

Someone steals your health insurance information and uses it when they have surgery. The hospital submits a claim to your insurance provider under your name. After the claim is processed, you receive a bill for out-of-pocket expenses related to the surgery.

How to Avoid It

Limit access to your insurance ID cards and keep your medical and health insurance records secure. Opt for online statements to limit the amount of health information you receive by mail, and monitor your medical statements carefully to check for unfamiliar charges. Shred documents that contain health information before throwing them away.

Check your credit reports regularly for signs that medical service providers are attempting to collect unpaid bills. Notify your health insurer and medical provider immediately if you see anything suspicious.

Learn more: How to Avoid Medical Identity Theft

13. Mortgage Fraud

Mortgage fraud involves intentionally lying or omitting information during the application or underwriting process. Both borrowers and lenders can commit mortgage fraud. For example, a borrower may lie to get approved for a loan they wouldn't otherwise qualify for, and lenders may falsify information to earn more on loans they approve.

Warning Signs

• A property appraisal is significantly higher than comparable sales in the area.
• Information on a borrower's application doesn't match information on the documents they submit with the application.
• A borrower's credit history isn't as strong as expected based on their financial records.
• The appraisal value of a property is significantly higher than what photos indicate.

Example

After months of searching, a person finds their dream home, but it's way out of their budget. They submit an offer anyway, and the seller accepts it. When they apply for a mortgage, the borrower lies about their income and falsifies documents to show inflated financial assets with the hope that the lender will approve their application.

How to Avoid It

The best way to avoid mortgage fraud is to work with reputable real estate professionals, including agents, mortgage brokers, attorneys and appraisers. You should never fudge information on a mortgage application or disclosure form, and avoid any professionals who suggest it.

Review all loan documents before signing to ensure they're accurate, and if your state doesn't already require it, consider consulting a real estate attorney before finalizing your loan documentation.

14. Home Title Fraud

Home title fraud is a type of scam in which a criminal pretends to be you to gain access to your home's title and transfers ownership to their name. This enables them to use your home as collateral on loans and lines of credit they won't repay, which could lead to foreclosure.

Warning Signs

• You receive notices from your mortgage servicer or a property tax bill in someone else's name.
• Your automatic mortgage and tax payments stop without explanation.
• Your home is listed for sale.
• You receive a foreclosure notice even though you've been making your mortgage payments each month.

Example

A scammer steals your personal information and uses it to create a fake ID so they can impersonate you and forge your signature on title transfer documents that transfer your home to their name. They file the paperwork with local authorities, making it look like you transferred the title voluntarily and they now own your home.

The scammer takes out a home equity loan, using your house as collateral but doesn't make the payments. After several months of missed payments, you receive a foreclosure notice from the lender that approved the home equity loan even though you've been consistently making your mortgage payments.

How to Avoid It

Don't leave your home unoccupied for long stretches; it could make you a target. Check your tax and property records from time to time. You can verify the status of your home title with your county's deed office or use a commercial title protection company to safeguard its status.

15. Passport Fraud

Passport fraud occurs when a criminal uses a lost or stolen passport to commit identity theft or creates a fake passport in someone else's name to enter a country illegally. Because a passport verifies both identity and citizenship, scammers could use it to attempt to access your existing accounts, open bank accounts or commit other types of fraud in your name. In some cases, they may use the identity of a deceased person to apply for a passport.

Warning Signs

• A new bank or credit account was opened in your name.
• A deceased family member has new financial or credit activity.
• You receive mail about a passport application you didn't submit.

Example

After completing your passport application, you wait for it to arrive but never receive it. Someone stole it from your mailbox before you realized it had been delivered. Because they also stole your bank statement, they know where you bank and have your account number. They use your passport as their form of identification to access your account and make a sizable withdrawal.

How to Avoid It

Secure your passport in a safe at home or keep it in a safe deposit box. When traveling, store your passport in a secure wallet and keep it on your person or in a hotel safe. If your passport is lost or stolen, you can invalidate it by reporting it missing. If you're out of the country, contact your local embassy or consulate for assistance.

When you apply for a new passport or renew an existing one, track its processing through the Online Passport Status System so you know when it will be delivered. If it doesn't arrive as expected, complete Form DS-86 to report not receiving it.

Learn more: How to Protect Yourself From Passport Scams

16. Internet of Things Identity Fraud

This fraud takes advantage of security flaws in your internet-connected devices to go after your personal data. The internet of things (IoT) refers to smart appliances, thermostats, TVs and digital speakers that communicate over the internet via your home network. Security flaws can create an opening for criminals to hack into your network, steal your personal data, or make unauthorized purchases using your credentials.

Warning Signs

• You notice increased internet traffic you can't explain.
• The settings on your smart devices reflect changes you didn't make.
• Someone you don't know has logged into your devices.
• Your home's smart devices aren't working as expected.

Example

A fraudster hacks into your smart speaker and steals your payment information. They use the payment method attached to the speaker to make unauthorized purchases.

How to Avoid It

Securing your home's network, including your Wi-Fi router, is a good place to start. Consider setting up devices on separate networks so if one is hacked, the scammers can't access the others. Reset default passwords for all devices and replace them with unique, secure ones that you update at least annually. Enable multifactor authentication on your accounts, and update device software as needed to patch vulnerabilities.

17. Friendly Fraud

Friendly fraud occurs when a cardholder makes an online purchase via credit card, receives the order, then obtains a refund by falsely claiming the item was never delivered, defective or otherwise not as the seller described. Friendly fraud can also occur unintentionally if you don't recognize a retailer's name on your credit card bill or an authorized user makes a purchase you're unaware of.

Warning Signs

• A cardholder frequently disputes purchases they don't remember making without verifying whether the transaction is accurate.
• The cardholder doesn't check with the card's authorized users to see if they made purchases they're unaware of.
• A cardholder disputes the purchase of digital products after using them.

Example

A person purchases a piece of athletic equipment that they realize isn't quite right when they receive it. They set it aside to return later, but they forget. By the time they remember, the return window has closed. They don't want to pay for a product they're never going to use, so they contact the card issuer saying it was damaged when it arrived so they can get a refund.

How to Avoid It

The main way to avoid friendly fraud is to ensure you only dispute credit card charges that you're confident are fraudulent. Keep track of purchases you make, and know when and how others use your card to prevent accidental friendly fraud. Promptly return items you don't want to avoid intentionally committing fraud.

18. Employment Fraud

In employment fraud, a scammer lures job seekers into giving up personal information or money using fake job opportunities. They may ask for sensitive data during the interview process or tell you that you must pay to finalize the hiring process. They may ask you to purchase equipment, training materials, uniforms or other bogus goods or services. Once they have your money, the recruiters vanish without a trace.

Warning Signs

• The job opening isn't posted on the company's website.
• You receive unsolicited text messages for jobs that offer high pay with minimal qualifications.
• You receive an employment offer for a job you didn't apply for.
• The hiring process is conducted entirely via text or email with no in-person or video interviews.
• The hiring manager asks you to make a payment before you can start.
• The interviewer asks for sensitive information like your SSN during the interview process. Legitimate companies shouldn't need this information until after they hire you.

Example

You see a listing on a job board for a position that's the perfect fit for your background and experience. You complete the application and send the company your resume. You receive an email from the "hiring manager" to set up an interview. During the interview, they tell you that you must send a payment of $500 before the hiring process can move forward.

How to Avoid It

If approached with a job prospect via email, text or social media, do not respond until you do some investigating. Contact the hiring company or recruiter directly (using a phone number or email address you obtain independently) to confirm whether the outreach is legitimate. Look for a relevant LinkedIn profile for the person who contacted you and check the company's website for the job posting.

Even if all that checks out, if the recruiter seeks payment of any kind, don't send it. Report the scam to the appropriate authorities, including the platform where you received the messages.

19. Unemployment Fraud

Unemployment fraud is a type of identity theft in which a criminal impersonates someone else to collect unemployment benefits in their name.

Warning Signs

• You receive a 1099-G tax form reporting taxable unemployment income without filing a claim for unemployment benefits.
• You file for legitimate unemployment benefits and are denied because someone already filed a claim in your name
• You receive a notice about benefits you didn't file for.
• You receive payment for unemployment benefits you didn't file for.

Example

After a recent job loss, you file for unemployment benefits with your state's unemployment office to help you make ends meet until you find a new job. You unexpectedly receive a notice saying your claim is denied because you've exhausted all your benefits even though this is the first time you've filed.

How to Avoid It

Protect your information. Don't fall for scams, such as phishing emails, smishing texts and fake websites where identity thieves can access personal details and use them to commit unemployment fraud.

If you don't have one, set up an account with ID.me, a third-party company that provides identity-verification services to many state and federal agencies. An ID.me account is a prerequisite to collecting unemployment in many states. Even if you never need to collect, setting up an account can prevent a scammer from doing so in your name.

If you receive an unexpected 1099-G form or any other surprise communications regarding unemployment benefits you haven't applied for, follow U.S. Department of Labor guidelines for reporting unemployment scams.

Learn more: What Are Unemployment Scams?

20. Crypto Fraud

Crypto fraud is a type of scam that uses cryptocurrency to trick people out of money. Because cryptocurrencies such as Bitcoin and Ether aren't well-regulated, there can be potential confusion over their value and ability to cash out. Cryptos are considered high-risk investment vehicles, and their value can fluctuate wildly, making them fertile ground for scammers offering bogus advice or get-rich-quick schemes.

Crypto fraud can also happen when a scammer asks you to make a payment using cryptocurrency. Because crypto payments are hard to trace, losses to crypto fraud can be difficult to recover.

Warning Signs

• Crypto is the only type of payment they accept.
• An "investment manager" contacts you with promises of getting rich quickly.
• Someone you meet through a dating app or website asks you to invest in crypto.

Example

An "investment manager" contacts you, promising high returns if you invest in crypto. You're suspicious, so you check out their website. It looks legitimate, so you send them your crypto investment. A few months later, when you try to withdraw a portion of your earnings, you can't. The scammer has taken your money and locked you out of your account.

How to Avoid It

If you're curious about cryptocurrency as an investment tool, investigate by contacting a trusted financial advisor—not answering an email or text solicitation. While some merchants accept cryptocurrency as payment, no legitimate businesses require that you pay that way, so turn away if you feel pressured to convert your cash to crypto.

Beware of crypto investment schemes that guarantee big gains, and avoid any person you meet through an online dating site who begins touting crypto schemes or pressuring you to get into cryptocurrency.

Learn more: Common Crypto Scams and How to Avoid Them

Frequently Asked Questions

The Bottom Line

Identity thieves continually adapt to exploit changes in technology and the ways we do business and live our lives online. Protecting your personal information to avoid identity theft and fraud requires constant vigilance.

Stay aware of evolving criminal methods and common types of identity theft. Also consider enrolling in Experian's identity theft monitoring, which scans the web and alerts you if it finds personal information that's compromised. It can also provide identity theft insurance, protection for family members, a daily credit report and FICO^® Score^Θ when you sign in, and more.