IDENTITY THEFT - False name or false lead?

 

Identity theft is a fashionable topic of conversation in 1999. It is talked about on radio and television as though identity theft were a new concept. While any attention to privacy issues is good, VCR sees an even darker side to this particular drama than just the theft of an individuals identity.

In the 1970's Americans demanded action from congress to protect privacy. There was no question who the villains were. Congress responded with the "Fair Credit Reporting Act" aimed squarely at credit bureaus and their so-called "credit reports" full of personal data gathered from an infinite number of sources (including Welcome Wagon hostesses). Congress could see that credit bureaus made data that should never have been gathered in the first place available to anyone with a wallet and took action to control it. After unprecedented lobbying by banks and credit bureaus a much watered down law was finally passed. What few restrictions now exist on the sale of private data come from that era and apply only to "credit reports" because it was (and is) primarily credit bureaus that buy and sell our identities without our permission. Since the 1970s the bureaus have expanded into every area of personal information. The same unreliable info is being gathered, sold and used to judge victims but now that data is not part of a "credit reports" and thus is completely unregulated.

It is a time honored tradition in the US for industries to counter citizen reform efforts with "straw man" issues and organizations. These are designed to place blame anywhere but where it belongs. Thus it is that many privacy and fraud prevention sites you see on the internet are, in fact, representing the interests of business against the interests of the people. As the year 2000 approaches citizens are once again demanding action and the bureaus are gearing up for a massive fight. Identity theft is the darling of privacy invaders not because they truly believe identity theft is so hideous, but because it deflects criticism away from those who abuse personal data in the business world. Identity theft is the perfect foil for legitimate reform in the data collection industry.

Why?

  • It places the burden of accuracy checking on the back of the Victim ("You should buy our credit report monitoring service to prevent fraud!").
  • It offers credit bureaus the perfect excuse to fish consumers for tremendous amounts of data which they have no business knowing ("We'll need your phone number, last 3 jobs and how much rent you pay to get you that report. The law requires it to prevent identity theft.")
  • In identity theft the bad guys are usually individuals, not corporations.
  • It sells more reports at highly inflated prices to consumers who are terrified their very souls are being stolen by the kid down the block.

    Given the above we cannot in all honesty say "identity theft" is the major privacy problem facing America today. The unrestricted collection and sale of personal data is and that is where our attention should be directed.

    The following links may assist those who are concerned about identity theft:

    The National Fraud Information Center will take your report of identity theft or a lost card and give it to credit bureaus who will enter it as a mark AGAINST YOU in their reports and scoring models. For an even worse example, see what used to call themselves Nationalfraud.com but was really a business group designed to maintain lists outside the control of the Fair Credit Reporting Act which can be used by scoring systems without the victims knowledge. This type of help we can do without.

    Mari Frank is an identity theft victim/attorney who will sell you a kit or her book (which we would prefer you to buy here instead so we get credit!)

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