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Why do criminals commit Identity Theft? What are possible motives? There are three main motives: A- securing easy money, B- securing a job, c- securing an alias to commit a crime. Undoubtedly, there are other motives, but these are the three main motives. Of the three, securing easy money is probably the most popular motive. As most individuals typically cancel stolen credit cards, and close financial accounts for which data has been compromised, risks arise when identity theft criminals open new illicit credit accounts in the name of their victims.

How can an individual reduce the risk of a criminal fraudulently obtaining credit in his name? By placing a Credit Freeze on his Credit Report. A Credit Freeze, also known as Security Freeze or Credit Lock, would deny access to an individual's Credit Report. Typically, financial institutions would not issue credit unless they have access to the applicant's credit report. Hence, if a financial institution cannot gain access to the applicant's credit report, it is highly unlikely such institution would issue credit to the applicant. Credit Freeze is currently available in over half of the U.S. states. A U.S. map depicting availability can be found at http://www.creditlock.com/creditlockdownpro.html . If such solution seems to pre-empt the financial motive for identity theft criminals, why don't most consumers already have a Credit Freeze in place on their credit Report, whereby such solution is available in their state?

Unfortunately, many consumers are warned about the possible inconveniences associated with a Credit Freeze. Consumers actively seeking employment, rental housing, or legitimate credit are discouraged from doing so in fear of denying legitimate access to their credit Report. However, consumers who have placed a Credit Freeze on their Credit Report also have the ability to remove such Credit Freeze. The removal of a Credit Freeze can be implemented either on a temporary or on a permanent basis. Most States stipulate that the removal of a Credit Freeze has to be processed within 5 days from the date such request is received. There are many states that have issued laws requiring even faster processing, sometimes in as little as fifteen minutes.

It is true there are some inconveniences associated with placing and removing a Credit Freeze. Such inconvenience revolves primarily around the possibility of having to wait as much as a few days to grant legitimate access to a Credit Report.

How about inconveniences associated with becoming a victim of Identity Theft? Victims of Identity theft typically spend months, and sometimes years, in order to clear their name and Credit Report. In addition, victims of Identity Theft will often incur hundreds, and even thousands of dollars in out-of-pocket expenses. Such inconveniences are compounded by the emotional stress and frustrations incurred during the entire ordeal.

It doesn't require mych analysis to recognize that the inconvenience of becoming an Identity Theft victim in most cases exceeds the inconvenience of waiting as much as a few days to grant legitimate access to a Credit Report. Similarly, it is inconvenient to have to unlock one's house door prior to entering the house. It is also inconvenient to rush to disarm the alarm system prior to triggering a false alarm. Nevertheless, such inconveniences are worth the security afforded by such steps. Such inconveniences are tolerable considering the alternative of returning to a looted home...

If the security provided by a Credit Freeze justifies any associated inconveniences, why hasn't there been wider utilization of Credit freezes? It is possible that many individuals falsely believe that there is a very minimal likelihood of becoming a victim of Identity Theft. In reality, such perception is false. There is approximately a staggering 3% chance of becoming a victim of Identity Theft in a given year. In addition, the likelihood of you or someone in your family becoming a victim of Identity Theft is almost 100% certain during your life span. To put such numbers in perspective, according to the National Crime Victimization Survey for 2005 (final 2006 data is expected within a few months), the U.S. National victimization rate for household burglary is 29.5 per 1000 households. That translates to 2.95%. The rate for motor vehicle theft was 8.4 per 1000, or the equivalent of 0.84%. Clearly, Identity Theft is as big a problem, if not a larger problem, than other crimes concerning Americans. In addition, actual losses associated with Identity Theft dwarf losses associated with other crimes, as we have often illustrated in previous articles.

It is possible that once consumers realize the risks and pains associated with becoming victims of Identity Theft, a wait of a few minutes to a few days, to secure a new credit card for the purchase of a new dress, suit, flat panel TV or computer, won't seem so bad after all...