WASHINGTON — Young adults are most likely to suffer fraud victimization through social networking sites, according to the Javelin 2010 Identity Fraud Survey Report released this week.
During an online presentation Wednesday by Javelin Strategy & Research, an independent research consulting firm specializing in financial services, data on those who encounter fraud through social networking sites were broken down by age group — and young adults clearly have much to worry about online.
Besides experiencing the highest online theft through social networking, those aged 18 to 24 also took the longest time to detect fraud (132 days) and were victims for the longest period of time (149 days). This age group was also more likely to act after a fraud occurs by changing banks.
In an article posted Jan. 21, BBC News reported that young people are more prone to identity fraud because they shop and “conduct more of their lives” online. A survey by international marketing firm CPP confirmed that “their use of social networking forums increased the possibility of posting sensitive personal information online.”
The news site also reported that in a separate global survey conducted by security group RSA, only 35 percent of those asked felt completely safe when banking online.
One of Javelin’s sponsors, an identity management service called Intersections Inc., posted insights and recommendations in response to the report. It said the recession is partly to blame for the rise in identity theft — the webinar cited an increase to about 11 million people in 2009 from about 10 million in 2008.
Intersections also said those who commit identity fraud are becoming more sophisticated in their methods, and they have a more organized approach online. Some examples, according to the company:
–Fraudsters are increasingly targeting – and taking over – multiple accounts of their victims, collectively going after checking accounts, credit card accounts, mobile phone accounts, and Internet accounts in one full sweep;
–Using a combination of sophisticated malware, keystroke logging and phishing attacks, fraudsters are able to use organized crime to steal identities. And social networking has introduced yet another way that consumers expose their personal information to wider audiences, providing another avenue for fraudsters to conduct their scams.
Do you feel secure banking online? How quickly do you submit personal information through social networking sites? With this survey raising renewed interest in detecting online fraud, it might be something worth thinking about.
