Follow-up Survey Shows Consumers Are Taking More Steps to Protect Themselves

Over the past 10 months, identity theft has continued to dominate news headlines with stories of dumpster divers and security breaches. So, it's no coincidence that Americans' confidence has also dropped, leading to nearly a 10 percent increase in the number of people feeling vulnerable to identity theft.

According to a national survey, conducted by the Identity Theft Resource Center (ITRC) and Fellowes, Inc., the leading shredder manufacturer, concerns about identity theft are increasing with Americans feeling less confident than they did a year ago concerning their safety from the crime.

This new research is part of a long-term awareness initiative called Americans' Identity Confidence Index, which gauges how consumer perceptions of identity theft and specific preemptive behaviors change over time. Through the index, Fellowes and the ITRC annually survey respondents on five questions pertaining to vulnerability, and report on overall changes. This year, the index dropped more than four points, indicating consumer confidence is down compared to 2006 when the index was first measured.

The study also reveals that the vast majority of Americans continue to believe that identity theft can happen at any time (84 percent in 2007 vs. 81 percent in 2006). Although 69 percent report using tools or solutions to protect themselves (similar to 65 percent in 2006), more people report feeling vulnerable to the crime (59 percent vs. 50 percent).

"Identity theft affects thousands of people every day," said Jamie Fellowes, chairman and CEO of Fellowes, Inc. "Although the crime isn't going away any time soon, it is our hope that through this index we can continue to gain a better understanding of consumer's general awareness, and ultimately help educate them on how to best protect themselves."

While Americans are aware of the threat of identity theft, misunderstandings about how the crime occurs still remain prevalent. The survey reveals that Americans still believe technology makes them more vulnerable to the crime, with nearly 40 percent stating that identity theft is most likely to occur through online exchanges. In reality, online exchanges only represent 9 percent of the crime, whereas the majority of identity fraud occurs through paper documents and stolen information (1).

Additionally, Americans are too trusting when it comes to those they are closest to. Only 6 percent of respondents suspect that family and friends are responsible for identity theft. However, national statistics show that 15 percent of identity fraud cases involve family, friends or acquaintances (1).

Identity Theft Solutions:

Perhaps driven by increased insecurities, more Americans are taking precautions and adopting good identity theft protection habits compared to 2006. When asked about the specific activities Americans engage in to protect themselves, more respondents report:

  -- Shredding personal information such as bank statements (71 percent vs.
     66 percent) or unsolicited credit card offers (66 percent vs. 60
     percent).

  -- Regularly monitoring their credit card and bank statements (87 percent
     vs. 82 percent).

  -- Making sure no one is watching or listening when they disclose personal
     information (84 percent vs. 79 percent).

  -- Only half of Americans order a current credit report at least once
     every two years (similar to 48 percent in 2006), even though it is one
     of the most effective ways to ensure that no one is misusing your
     credit.

"A stolen identity can affect all aspects of your life," said Jay Foley, executive director of the Identity Theft Resource Center. "We are seeing a large number of paper data exposures across the country, making it essential for consumers to appropriately protect their information. It's great to see more Americans taking extra steps to safeguard themselves against identity theft. You can never be too careful when it comes to preventing the crime."

About Identity Theft Resource Center

The Identity Theft Resource Center (ITRC) is a national nonprofit organization that focuses exclusively on identity theft. ITRC was founded in December 1999 by Linda and Jay Foley. The seed of ITRC was planted in 1997 when Linda's then employer used the information on her tax forms to get credit cards and a cell phone. At that time, there was little information for victims to use and no network of people with whom to talk. At first, Linda volunteered with another program that had done some work in victim assistance for this crime. Very quickly, however, it became apparent that a specialized program was needed, focusing on victim assistance and serving as a clearinghouse of information.

The ITRC has received numerous accolades for its work by victims, law enforcement, businesses, legislators and governmental officials, and is a major player in the war against this crime. The national office is based in San Diego, Calif., with ITRC representatives working throughout the United States.

About Fellowes

Headquartered in Itasca, Ill., Fellowes, Inc. offers an impressive range of products to equip the workspace, including paper shredders, binders and laminators, desktop accessories and record storage solutions. Fellowes, Inc. owns and operates subsidiaries in Canada, United Kingdom, Benelux, France, Germany, Italy, Poland, Spain, Singapore, Japan, Korea, China and Australia. The company employs more than 1,200 people throughout the world and expects global sales in excess of $700 million this year. For more information, visit http://www.fellowes.com/.

  1.  Source: Javelin Strategy and Research, 2006 Identity Fraud Survey
      Report
  2.  Source: Federal Trade Commissions Top 10 Consumer Fraud Complaint
      Report

Source: Fellowes, Inc.

Web site: http://www.fellowes.com/