10 Types of Identity Theft You Should Know 

Identity theft has become a broadly sweeping term that encompasses a number of different types of identity theft. Each type poses unique risks and consequences, ranging from financial loss to reputational damage. By understanding how these forms of identity theft occur and implementing preventive measures, you can better safeguard your personal information and reduce your vulnerability to these malicious activities.

Here are 10 types of identity theft everyone should be aware of: 

1. Financial Identity Theft

Financial identity theft poses a significant threat to your financial well-being and creditworthiness. Safeguarding your money and credit is essential in today’s digital age, where online financial transactions are the norm. By monitoring your accounts and statements regularly, using strong passwords and two-factor authentication, being cautious of phishing attempts, reviewing your credit reports, and considering identity theft protection services, you can proactively protect yourself against financial identity theft. Stay informed, stay vigilant, and take swift action to secure financial stability in our interconnected world.

Signs of Financial Identity Theft 

Recognizing the signs of financial identity theft is crucial for taking swift action and minimizing the damage caused. Here are some potential signs to watch out for:

• Unauthorized Transactions
• Missing Mail or Statements
• Unexpected Credit Denials
• Inaccurate Credit Reports
• Debt Collectors Contacting You for Unknown Debts
• Receiving Bills for Unknown Services
• Strange Account Activity

How to Protect Against Financial Identity Theft 

Regularly monitor your financial accounts and statements, promptly report any discrepancies to your financial institutions, and review bank statements, credit card bills, and credit reports for suspicious activity or unauthorized transactions.

Beware of phishing attempts and scams designed to deceive you into sharing your financial information. Stay cautious of unsolicited emails or messages asking for personal details, avoid clicking on suspicious links, and verify requests directly with your financial institution’s official website or trusted contact information.

Regularly review your credit reports to identify any unauthorized accounts or inquiries that could indicate financial identity theft. Utilize the right you have under federal law to a free annual credit report from each of the three major credit reporting companies.

Consider identity theft protection or credit monitoring services for added security. These services can alert you to suspicious activity, monitor changes in your credit profile, and provide guidance and support if you fall victim to financial identity theft.

2. Medical Identity Theft

Medical identity theft is a serious concern that can profoundly affect your health and financial well-being. It is where a criminal steals your identity in order to use it for healthcare-related purposes. For example, the criminal may be using your identity in order to receive healthcare services and treatments. In addition to being slapped with medical bills for services you didn’t get, it can create a very dangerous situation where misdiagnosis and mistreatment can occur. 

Signs of Medical Identity Theft 

Recognizing the signs of medical identity theft is crucial for taking action and protecting your health information. Here are some potential signs to watch out for:

• Inaccurate Medical Bills for procedures or treatments you didn’t have
• Rejected Health Insurance Claims because your benefits are used up
• Errors in Medical Records 
• Denied Health Insurance Coverage
• Notification of Breach

How to Protect Against Medical Identity Theft

Safeguard your medical and health insurance information, like your Social Security number. Keep it secure and confidential. When you receive medical bills, carefully review the explanation of benefits (EOB) for any unfamiliar or suspicious entries. Promptly report any discrepancies to your healthcare provider or insurance company.

Learn more about medical identity theft. 

3. Child Identity Theft

Child identity theft is a serious issue where someone fraudulently uses a minor’s identity for personal gain. Shockingly, a study revealed that 915,000 U.S. children fell victim to identity fraud in 2022, with 67% of the perpetrators being known to the child. The criminals exploit the clean Social Security numbers and pristine credit histories of children. Often, the theft remains undetected until years later, when the child applies for a driver’s license or student loan, making prevention and early detection crucial.

Signs of Child Identity Theft 

Here are some potential signs to watch out for:

• Preapproved credit offers addressed to your child or collection calls asking for your child
• Receiving bills or statements for services or purchases your child didn’t make:
• A notification from the IRS claiming that another tax return utilized your child’s Social Security number

• Issues when applying for government benefits or a passport for your child
• Credit report activity for your child

How to Protect Against Child Identity Theft

Educating your children about personal information security from an early age is vital. Teach them the importance of not sharing their personal information with anyone and keeping it confidential. Additionally, as a parent, it’s crucial to safeguard your child’s Social Security number (SSN) and avoid providing it to unnecessary parties or companies. Consider exploring Family Identity Theft protection plans for enhanced protection and peace of mind. By instilling good habits and taking proactive measures, you can help safeguard your children’s identities from potential threats.

Get the complete breakdown of child identity theft and how to protect your child from it. 

4. Social Security Identity Theft

To protect against Social Security identity theft, safeguard your Social Security card, be cautious with sharing your SSN, protect personal information, use secure online practices, monitor accounts and credit, file taxes promptly, and report any suspected identity theft to the relevant authorities.

Signs of Social Security Identity Theft 

There are a number of signs to be aware of from unexpected denial of government benefits to collection calls. Here are the leading indicators that your Social Security might have been stolen:  

• Unexpected denial of government benefits
• Receiving notices about wages from unfamiliar employers
• Tax-related issues
• Collection calls or debts in your name that you don’t recognize

How to Protect Against Social Security Identity Theft

Safeguard your Social Security card and keep it in a secure place. Your Social Security number (SSN) should only be shared when absolutely necessary. Keep personal information confidential and securely dispose of documents containing sensitive information. Use secure online practices and be cautious of phishing attempts or suspicious emails asking for your SSN. Regularly monitor your accounts and credit reports for any unauthorized activity. In the instance of social security identity, it is possible to lock your social security number.

5. Tax Identity Theft

Tax identity theft occurs when someone fraudulently files a tax return using your personal information to claim false income and receive a refund from the IRS. Identity thieves who want to use your information for their own gain and dishonest tax preparers who might alter your return or misuse your information can both engage in this type of fraud. It is essential to use caution when exposing personal information and to work with reputable tax professionals in order to lower the danger of tax identity theft.

Signs of Tax Identity Theft 

Here are the most common indicators that you may be a victim of tax identity theft:

• Rejection of your tax return
• IRS notifications about multiple tax returns
• Receipt of tax-related notices or letters
• Tax transcripts or account activity you don’t recognize
• IRS correspondence about additional income sources
• Collection efforts for unpaid taxes you don’t owe

How to Protect Against Tax Identity Theft

Tax identity theft occurs when someone files a fraudulent tax return using your personal information. Signs of tax identity theft include rejected tax returns, delayed refunds, tax-related notices you didn’t expect, multiple tax returns filed under your name, unfamiliar tax transcripts or account activity, and collection efforts for unpaid taxes you don’t owe. Learn more about the signs of tax identity theft.

If you suspect tax identity theft, fill out the IRS Identity Theft Affidavit (Form 14039) and submit it with your tax return, along with any fraudulent documents you’ve received. Taking prompt action and following IRS guidance is crucial to resolving the issue.

6. Synthetic Identity Theft

Synthetic identity theft involves scammers creating a synthetic identity by combining a victim’s Social Security Number (SSN) with real and fake information. They use this new identity to establish a credit history and access various financial services. The fraudsters often disappear after exploiting the credit lines to their maximum limit, leaving behind a damaged credit report and potential financial repercussions. Although banks are primarily affected by this type of fraud, individuals can also suffer harm to their SSN and credit history.

Signs of Synthetic Identity Theft 

Here are the most common indicators of synthetic identity theft:

• Inconsistent or mismatched information
• Unexplained credit activity
• Incomplete credit history
• Social Security Administration notices
• Receiving credit card offers addressed to unknown names or individuals

How to Protect Against Synthetic Identity Theft

If you suspect synthetic identity theft, freeze your credit with the three credit bureaus to prevent further damage. Report the fraud to the FTC at IdentityTheft.gov and ReportFraud.ftc.gov to initiate an investigation and get assistance in resolving the issue. 

Learn more about synthetic identity theft, how it happens and how to avoid becoming a victim. 

7. Criminal Identity Theft

Criminal identity theft is the act of someone committing a crime while using your name, birthday, or Social Security number as a tool. They may use your identity during arrests, traffic violations, or other illegal activities, leaving you with the consequences. It can lead to wrongful arrests, a criminal record, and severe legal complications.

Signs of Criminal Identity Theft 

Potential signs of criminal identity theft include:

• Arrest records you are unaware of
• Court appearances or summonses
• Victim of identity theft by a known criminal
• Receiving law enforcement inquiries

How to Protect Against Criminal Identity Theft

To protect against criminal identity theft, consider using an identity theft protection service to monitor public records. If you suspect you’re a victim, file an FTC report and contact the authorities, requesting a clearance letter once your innocence is established.

8. Employment Identity Theft 

Employment identity theft is a type of identity theft where the criminal fraudulently uses your identity in order to gain employment or access to employment-related resources. For example, this type of identity theft can occur when a criminal is seeking employment in a country in which they do not have legal working rights or when they are trying to use a tool or resource that is limited to people within a specific field. 

Signs of Employment Identity Theft 

Here are the leading signs that may indicate that you’re a victim of employment identity theft: 

• Your tax records include work you did not do 
• Accounts you use for work show that you’ve logged in when you didn’t 
• You receive unsolicited calls or emails relating to your employment or employment status 

How to Protect Against Employment Identity Theft 

As with any form of identity theft, it’s important to secure your information online, be aware of phishing scams, and learn to recognize malicious attacks. You can monitor your credit so you can quickly tell if someone is fraudulently using your identity for financial-related purposes, freeze your credit report so criminals can’t apply for credit in your name and use online security tools and software such as a VPN and antivirus software. 

Get more information about employment identity theft and how it happens. 

9. Unemployment Identity Theft 

Unemployment identity theft is a type of identity theft where the criminal uses your identity in order to steal your unemployment benefits. It involves the thief acquiring your sensitive information, using that to apply for unemployment benefits in your name and then redirecting the unemployment checks to them so that they can access your money. It’s a less common type of identity theft because many states now require individuals to participate in in-person meetings. It also doesn’t offer as many financial gains as other types of identity theft so the criminal doesn’t stand to gain as much. 

Signs of Unemployment Identity Theft 

Here are the leading signs that may indicate that you’re a victim of employment identity theft: 

• You unexpectedly receive information about your unemployment application 
• Your employment records change unexpectedly and without your knowledge 
• You receive a 1099-G tax form showing unemployment benefits you did not apply for or receive 

How to Protect Against Unemployment Identity Theft 

What’s key is to keep your information private and secure. Not only should you be cautious online and use antivirus software and a VPN, but you should also limit the amount of information you provide to the public. For example, avoid announcing plans to leave a job on social media and limit employment-related information you provide online to the public. Of course, you should also employ all general strategies to prevent identity theft. If you believe someone is stealing your unemployment benefits, report unemployment identity fraud to the U.S. Department of Labor. 

For more information, check out our article detailing unemployment identity theft. 

10. Social Media Identity Theft 

Social media identity theft is a type of identity theft where someone fraudulently uses your social media profiles. This typically occurs when a criminal has hacked a social media account and then uses it to try to lure in friends and contacts into handing over their personal information or clicking on malicious links. In other words, it’s generally used for phishing scams and it can be dangerous not only to have someone posing as you and speaking to your friends. But because your contacts likely trust you, they’re more likely to fall prey to the phishing scam. 

Signs of Social Media Identity Theft 

This type of identity theft tends to have fairly evident signs once under attack: 

• Your social media account has been hacked 
• You’re suddenly following or friends with people you did not connect with 
• Your password has suddenly changed 
• You’ve been locked out 
• Your friends and contacts are receiving strange messages from your account 

How to Protect Against Social Media Identity Theft 

Though this type of identity theft is fairly easy to spot, it can be difficult to prevent. However, you should use very strong passwords and avoid using the same password on social accounts as you do with other accounts. Be aware of phishing scams as you are more likely to have your social media accounts hacked if you have fallen victim to a phishing scam. Keeping your social media account secure by using them on secure networks (e.g., with a VPN) and keeping your profile private will help add a layer of protection. 

Learn more about social media identity theft, how to spot it and how to protect yourself against it. 

Bottom Line: Vigilance Means Knowing the Types of Identity Theft  

There are a number of different types of identity theft–all of which pose a threat in today’s digital world. However, by safeguarding personal information, using strong passwords, being cautious of phishing attempts, securing devices and networks, and monitoring financial accounts are vital preventive measures. It’s also important to stay informed and adopt security measures as a means to prevent identity theft. 

Frequently Asked Questions (FAQs)