What Europe can teach us about identity theft. Here's what they're doing right. (worth a read)

MSN Money ^ | 6/9/05 | Liz Pulliam Weston

[Buffalo Bob]

Determining the rate of identity theft in Europe is difficult, and the reason is telling: Data security experts say it's not seen as enough of a problem to warrant a comprehensive survey.

The exception is the United Kingdom, where fraud experts estimate 100,000 people, or about 0.17% of the population, fell victim last year to account hijacking, new-account fraud or other types of identity theft.

Compare that to the U.S., where a Federal Trade Commission survey found 10 million ID-theft victims a year -- or 3.39% of the population.

So what is so different in the Eurozone? Several things:

Social Security numbers are for Social Security -- period. Most European residents have national identity cards -- the exception being the U.K., which is still struggling with the concept. Credit bureaus tend to have unique identifying numbers for the consumers in their databases. Social Security numbers are used for retirement benefits, not as an all-purpose identifier.

"It's much more difficult to steal your identity" in Europe, said fraud expert Jim Vaules, a vice president with U.S. database company LexisNexis. Vaules said the key piece of information an identity thief needs is a person's national ID number, and that appears in a lot fewer places than Social Security numbers do in the U.S.

[Buffalo Bob]

These are examples of many things that ought to be done here, but our all-consuming, disposable society wants their instant gratification above all else.

[martin_fierro]

Social Security numbers are for Social Security -- period.

Wish the same could be said of SSI.

[Josh in PA]

This article is funny, because most of the ID Fraud in the United States, is being committed by... EUROPEANS!!

[snowsislander]

In Europe, "information is only available to the person to whom it pertains," he said. "The European Union privacy directives restrict data aggregation of public records, even of stuff we take for granted over here."

That's at the crux of the problem: it's a public record. In Europe, what magically makes it un-public if you aggregate them? Does putting copies of two public records on a single sheet of paper make them the sheet of paper un-public? How about a book of public records -- is it now, as an aggregation, un-public? What it makes the act un-public if you are selling a public record?

It sounds more like they have private data -- that is, there is some sort of ownership right attached to the data themself, and that individuals have some rights to control the distribution of that data.

[Publius6961]

This article is funny, because most of the ID Fraud in the United States, is being committed by... EUROPEANS!!

Totally, completely and permanently irrelevant.

[Dad yer funny]

bookmk ping

[aimhigh]

The only thing required to stop identity theft is to hold banks, credit card companies liable for giving away identities without doing the proper background checks. Currently, the laws exempt them from liability for their carelessness.

[Cold Heart]

I heard the opinion that UPS is going to be held liable for the Citibank 3.9 million accounts information that they lost. Better get your Christmas packages mailed early.

[Josh in PA]

Maybe so :).

But still ironic nonetheless..

[aimhigh]

I heard the opinion that UPS is going to be held liable for the Citibank 3.9 million accounts information that they lost.

These should have been sent by armored car.