Identity Theft Reviewed

Often times, consumers will take all of the recommended steps to safeguard their identity and credit file, only to see a 3rd party data breach result in their accounts becoming compromised. With the rise of digital data storage, many companies storage consumer data on vulnerable services, which puts consumers at risk of hacking, unethical employees and general data theft – to safeguard your accounts, it’s necessary to take additional steps to monitor and respond to any potential losses of your identity information.

Criminals regularly scour for database information which provides consumer identities – investing in an ID Theft prevention service, such as Life Lock or ID Watch Dog, can safeguard you against risks you cannot control for. While taking all of the necessary personal steps to prevent data loss is necessary, it may not be sufficient: some of the largest data breaches in history have involved large consumer databases which put thousands of individuals at risk, independent of their own actions.

Choice Point Identity Breach

In February 2005, the Choice Point data service was compromised by a group of hackers. The group gained access to information on a wide range of individuals, including a wide array of adults in the US. Considered one of the most prominent breaches in recent history, the identity theft resulted in both private and public policy changes which aimed to increase data security.

Choice Point aggregated data from a variety of public records, as well as credit reports, putting a large section of adults at risk to theft. Consumers were largely unaware of their presence in the database, which is built off of 3rd party data and included sensitive information such as background checks, criminal records financing history and other personal information. Consumers who invested in ID theft prevention services could be assured that no new accounts would be opened in their name, independent of the wealth of information that the data thieves accessed.

Heartland Systems Identity Breach

Earlier this year, databases from Heartland Payment Processing became victim to theft. After forensic analysis, the group learned that their data security had been compromised by malicious software. While the official report suggested that the data remain encrypted, consumers were still a risk from the data distributed.

As a major processor or Visa and Mastercard transactions, including e-Commerce sales, Heartland’s breach raised the risk for many consumers. Identity theft prevention services, such as Trusted ID, worked to ensure that no unauthorized accounts were opened by individuals in the wake of the theft.