ID Theft Spurs Consumer Security Changes, an ITRC Survey Finds

Most victims of identity theft—53%—began using different passwords across multiple accounts, a move that could reduce their fraud exposure in the future, found a survey from the Identity Theft Resource Center. Typically, though, 59% of consumers use the same password across multiple accounts, the ITRC’s 2023 Consumer Impact Report found. That compares to 56% of consumers who had reached out to the ITRC for ID theft assistance.

The El Cajon, Calif.-based ITRC assists consumers and businesses with identity theft prevention services as well as cataloging the impact of ID theft. This latest report includes data from responses from 144 victims who contacted the ITRC in 2022 and from a survey of 1,048 individuals who responded to an online survey.

Overall, most consumers take measures to minimize their risk of ID theft, with 53% saying they use two-factor or multi-factor authentication. Such schemes require two forms of identification to enter a secure service. Of those who reached out to the ITRC, 59% say they use the identification technique.

Only 41% of general consumers say they use distinct passwords for each online service, compared with 44% for those who contacted the ITRC.

Financial losses because of ID theft were under $500 for 28% of consumers, but most—59%—had losses ranging from $500 to $9,999. Only 10% said their losses were $10,000 or more.

The report also asked how the impact of ID theft made consumers feel about themselves. Sixteen percent said they considered self-harm following the effects of ID theft, up from 10% in 2021 and from 8% in 2020.

Factors behind this increase may include increasingly sophisticated social engineering scams, increased dollar losses because of these scams, and how mental health is discussed in the United States, the report states.

The report also detailed data about the victims of ID theft. By gender, the data broke down 61% female and 39% male. Half of the victims were 45 or older, while 29% were between 30 and 44 years old and 21% 18 to 29 years old.

By annual income, those making $50,000 or less comprise 37% of victims, with 32% in the $50,000 to $99,999 bracket and 26% earning $100,000 or more. Six percent declined to provide income data.