U.S. Department of Justice
Office of Justice Programs
Bureau of Justice Statistics
Special Report

National Crime Victimization Survey

Identity Theft, 2005

November 2007,  NCJ 219411
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This file is text only without graphics and many of the
tables. A Zip archive of the tables in this report in 
spreadsheet format (.csv) and the full report including 
tables and graphics in .pdf format are available from:
http://www.ojp.usdoj.gov/bjs/abstract/it05.htm

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This report is one in a series. More recent editions may be
available. To view a list of all in the series go to
http://www.ojp.usdoj.gov/pubalp2.htm#it
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Katrina Baum, Ph.D.
BJS Statistician

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In 2005, 6.4 million households, representing 5.5% of all
households in the United States, discovered that at least one
member experienced one or more types of identity theft. This
is the first full year of data on identity theft available
from the National Crime Victimization Survey (NCVS).
Questions on identity theft were first added to the NCVS in
July 2004. 

Unauthorized use of an existing credit card account, the most
prevalent type of identity theft, was experienced by about 3
million households. About 1.6 million households experienced
theft of existing accounts other than a credit card (such as
a banking account) and 1.1 million households discovered
misuse of personal information (such as a social security
number). An estimated 790,000 households experienced more
than one type of identity theft during the same episode.

For the NCVS, the definition of identity theft includes three
behaviors:

* unauthorized use or attempted use of existing credit cards

* unauthorized use or attempted use of other existing
accounts, such as checking accounts

* misuse of personal information to obtain new accounts or
loans, or to commit other crimes. 

Three percent of households headed by persons age 65 or older
experienced identity theft, a lower percentage than any other
age group. Households located in the West were more likely to
experience identity theft than households in other regions.
Households in urban or suburban areas were more likely than
those in rural areas to experience identity theft. 

One in 10 households with incomes of $75,000 or higher
experienced identity theft, making this income group more
vulnerable than households with lower annual incomes. About 7
in 10 households victimized by identity theft reported a
financial loss. The average amount was $1,620.

The majority of households that experienced identity theft
did not experience any other type of crime measured by the
NCVS. Fewer than 1% of households in the U.S. experienced
both identity theft and a violent or property crime.

These findings represent annual prevalence estimates and were
drawn from interviews conducted from January through December
2005 for the NCVS. The interviews were conducted with
respondents age 18 or older in each sampled household who
knew about discoveries of identity theft of anyone in their
household during the previous six months.

A majority of households victimized by theft did not
experience other types of measured crime

About 81% of the households experiencing identity theft in
2005 did not experience any other type of crime measured by
the NCVS (table 1). Crimes measured by the NVCS include rape,
sexual assault, robbery, assault (aggravated and simple),
personal theft, household burglary, motor vehicle theft, and
property theft. About 980,000 households, representing 15% of
households victimized by identity theft, reported at least
one property crime during the previous six months. About
109,000 households, or fewer than 1% of all households,
experienced identity theft and had a household member age 12
or older who experienced at least one violent crime or
property crime during the previous 12 months.

Households headed by persons age 65 or older had identity
theft victimization rates at least half that of younger age
groups

Seven percent of households headed by persons ages 18 to 24
experienced identity theft during 2005 (table 2). They were
equally likely as households headed by persons ages 25 to 64
to discover at least one type of identity theft. Persons age
65 or older were the least vulnerable to identity theft.

No differences in identity theft victimization were detected
by race. The proportion of households victimized by identity
theft was similar for whites, blacks, and other racial
groups. Hispanic households experienced fewer episodes of
identity theft than non-Hispanic households.

Households in the West were at least 1.5 times more likely
than those in other regions to experience identity theft

One in 14 households in the West experienced identity theft,
compared to about 1 in 20 households in the Northeast,
Midwest, or South. Urban and suburban households were equally
likely to experience identity theft with 6% of each group
being victimized. Households in rural areas experienced the
lowest victimization rates (4%).

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Risk of credit card theft

Data needed to estimate the likelihood of an individual
credit card holder to become a victim of identity theft are
currently not available. The NCVS does not ask whether
individual respondents have a credit card nor are such
estimates available from other sources. 

At yearend 2005, there were approximately 1.2 billion
credit cards in the U.S. This included Visa, Mastercard,
Discover, American Express, and private-label store
accounts. 

Source: Cards and Payments: Card Industry Directory,
Thompson Media, 2006.
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Households with incomes of $75,000 or higher were  most
vulnerable to identity theft

Ten percent of the households with incomes of $75,000 or
higher experienced identity theft; that was about twice the
percentage of households earning less than $50,000 (table
3). Households with annual incomes between $50,000 and
$74,999 were less likely to experience identity theft than
those in the highest income group (7% versus 10%).

Identity theft victimization did not differ by the marital
status of the head of household. The percentages of
victimized households headed by married and unmarried
people were similar to the national average (5.5%).

Households with 2 or 3 persons age 12 or older 
were more likely than 1-person households 
to experience identity theft 

About 7% of households with 2 or 3 members age 12 or older
experienced identity theft. About 5% of households with 1
member age 12 or older was victimized.

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About 3% of households experienced identity theft during a
6-month period in 2005 

Since identity theft was added to the NCVS in July 2004,
18 months of data are available to determine if there has
been a change in identity theft victimization over time.

To account for seasonal effects in the data, such as the
impact that a holiday season may have on identity theft,
the same 6-month periods in 2004 and 2005 were compared.
From July to December 2005, 3.3 million households
experienced 1 or more types of identity theft. 

This apparent decline from the nearly 3.6 million households
that experienced identity theft during the same period in
2004 was not statistically significant. 

In comparing the two 6-month periods, an estimated 1.5
million households experienced unauthorized use of
existing credit cards in 2005 which was a marginal decline
from the 1.7 million households that experienced this type
of theft in 2004. Unauthorized use of other existing
accounts and misuse of personal information remained
stable during the 6-month periods.
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6% of victimized households experienced more than one
episode
 
About 94% of households that experienced identity theft
during the 6-month reference period reported that they
experienced one episode. For the 6% of households that
experienced more than one episode during the previous 6
months, characteristics of the most recent episode were
obtained. Subsequent findings in this report are based on
characteristics of the most recent episode of identity
theft.
 
Missing money or unfamiliar charges was the most common
way identity theft was discovered from existing accounts

For almost a third of identity thefts in 2005, missing
money or noticing unfamiliar charges on an account was the
means by which the identity theft was discovered (table
4). This was the most common method for thefts from
existing credit card or other accounts.

For 1 in 5 victimized households, identity theft was
discovered when the individual was contacted about a late
or unpaid bill. This was the most common method of the
specified ways of becoming aware of the theft for
households that experienced misuse of personal
information. 

Thirteen percent of all victimized households discovered
the theft when they had banking problems. This method of
discovery was more common for households with theft from
existing accounts, excluding credit card accounts. Fifteen
percent or less of victimized households discovered the
theft by noticing an error in a credit report, noticing a
credit card or checkbook was missing, or having an account
blocked by the issuer.

1 in 5 households experienced some type of problem as a
result of the identity theft

Examples of problems that can occur as the result of
identity theft victimization include having banking
problems or being contacted by a debt collector.
Households experiencing misuse of personal information
were more likely to experience problems associated with
the identity theft than households experiencing
unauthorized use of existing accounts excluding credit
cards. Households with theft of existing credit card
accounts were the least likely to experience problems.

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The Federal Trade Commission

The Federal Trade Commission (FTC) reported that about 10.1
million people experienced identity theft in 2003, the most
recent year of data. More information about the FTC study
is available at 
<http://www.ftc.gov/os/2003/09/synovatereport.pdf>.

The FTC estimates of identity theft differ from the NCVS
estimates primarily because of methodological differences
between the two programs. Variation in methodology include
unit of analysis (persons versus households), reference
period, counting method, and use of a "reference person"
(person owning, buying, or renting the unit). 

Several Office of Justice Programs component offices and
the FTC are coordinating to field a supplement to the NCVS
in 2008 that will expand the scope of information collected
about identity theft victimization.

About 29% of victimized households spent 1 day or less
resolving problems; 17% spent one month or more

Households experiencing unauthorized use of credit card
accounts were more likely than households victimized by
other types of identity theft to spend a day or less
resolving problems (table 5). Households experiencing
multiple types of theft during the same episode were less
likely than households with unauthorized use of existing
credit card or other accounts to resolve problems in a day
or less.

About 1 in 6 victimized households spent one month or more
resolving problems. The proportion was higher for
households experiencing unauthorized use of credit cards
(1 in 5) than for households experiencing misuse of
personal information (1 in 7) or theft from other accounts
(1 in 7). About 1 in 20 victimized households spent three
months or more resolving problems since the discovery
during the previous six months. Time spent resolving
problems does not account for time that may have been spent
after the NCVS interview.

Overall a fifth of victimized households reported that at
the time of the interview they were still experiencing
problems associated with the identity theft, such as
clearing up credit accounts or credit reports. Households
experiencing unauthorized use of credit card accounts were
the least likely to have ongoing problems.

Misuse of identity had stopped for 76% of victimized
households (table 6). Among households experiencing misuse
of personal information more than half (57%) reported that
the misuse of their information had stopped. 

More than two-thirds of victimized households reported
financial losses

About 69% of households victimized by identity theft
reported a financial loss of $1 or more at the time of the
interview (table 7). The dollar loss may or may not have
been covered by a company such as a credit card company or
insurance company. In 40% of the victimized households,
the dollar loss was less than $500. For all types of
identity theft, about 5% of victimized households reported
that $5,000 or more was lost as a result of the identity
theft.

Households experiencing theft of existing credit card
accounts were less likely than households with thefts of
other existing accounts or misuse of personal information
to report that no money was lost. Households experiencing
misuse of personal information were twice as likely as
victimized households overall to report that no money was
lost. 

Theft of personal information led to higher average losses
than from existing credit card or other accounts

Across all types of identity theft, the average amount
lost per household was $1,620. This includes only the loss
from the most recent episode for households experiencing
more than one episode (6.9% of victimized households).
Households experiencing misuse of personal information
reported that about three times as much money was lost
($4,850) on average. Theft of existing credit card
accounts resulted in the lowest average losses ($980).

The median dollar amount obtained in all identity theft
for existing credit card or other accounts was $300. The
median amount of money obtained from households with
misuse of personal information was $500. Averages, or
arithmetic means, are influenced by extremely low or high
values. A median, or midpoint at which half the households
fell above or below, is not impacted by extreme values.

Methodology

In 2004 questions were added to the National Crime
Victimization Survey (NCVS) to provide ongoing estimates
of identity theft victimization (see appendix for
questions). To minimize cost and burden to respondents,
these questions were administered once in each household
to the household respondent. In the NCVS, the household
respondent answers more in-depth questions about crimes
the entire household may have suffered as a whole, such as
burglaries. 

Time limitations permitted asking only about the
circumstances of the most recent episode of identity theft
if more than one had been experienced by the household
during the 6-month reference period. For more information
refer to the Final Report of Cognitive Research on the New
Identity Theft Questions for the National Crime
Victimization Survey
<http://www.census.gov/srd/papers/pdf/ssm2004-02.pdf>.

Demographic characteristics presented in this report are
of the household member age 18 or older who owns, is
buying, or is renting the sample housing unit. This
person, designated the household head or reference person,
is usually the first person listed in the household
membership roster. If all household members are under 18,
the interviewer will choose the person identified as
owning or renting the living quarters.  
 
Because the person designated as the household head may
arbitrarily be either the husband or wife in households
with married couples, gender was omitted from demographic
comparisons. Similarly, the age distribution presented in
this report refers to the age of the household head but
not necessarily the age of the person who experienced the
identity theft. The survey did not ask which member of the
household was the victim of the identity theft. 

Standard error computations

Comparisons of estimates discussed were tested to
determine if the differences were statistically
significant. Differences described as higher, lower, or
different passed a hypothesis test at the .05 level of
statistical significance (95%-confidence level). That is,
the tested difference was greater than twice the standard
error of that difference. For comparisons of estimates
which were statistically significant at the 0.10 level
(90%-confidence level), differences are described as
somewhat, marginal, or slight. 

Caution is required when making comparisons of estimates
not explicitly discussed in this report. What may appear
to be a large difference in estimates may not test as
statistically significant at the 95% or the 90%-confidence
level. Significance testing calculations were conducted at
BJS using statistical programs developed specifically for
the NCVS by the U.S. Census Bureau. The programs account
for the complex NCVS sample design when calculating
generalized variance estimates.

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The full NCVS questionnaire and additional methodology are
available at the BJS World Wide Web Internet site:
<http://www.ojp.usdoj.gov/bjs/cvict.htm#ncvs>.

45c. During the last 6 months, that is since ______, 20_ _,
have you or anyone in your household discovered that someone --

(a) Used or attempted to use any existing credit cards or
credit card numbers without permission
to place charges on an account?

(b)Used or attempted to use any existing accounts
other than a credit card account -- for example, 
a wireless telephone account, bank account or
debit/check cards -- without the account holder's
permission to run up charges or to take money
from accounts?

(c)Used or attempted to use personal information
without permission to obtain NEW credit cards 
or loans, run up debts, open other accounts, or otherwise
commit theft, fraud, or some other crime?

45d. Was the misuse of -- (the credit card account(s)/any
existing accounts other than credit cards/personal
information or new account(s)) one episode or more than one
episode of identity theft?

45e. Did these episodes occur separately or at the same
time?

45f. Which episode of identity theft was most recently
discovered?

45g. How did you become aware of the identity theft?

45h. What was the total dollar amount of the credit, loans,
cash, services, and anything else the person obtained while
misusing (the credit card account(s)/any existing accounts
other than credit cards/personal information or new
account(s))? 

45i. Has the misuse of -- (the credit card account(s)/any
existing accounts other than credit cards/personal
information or new account(s)) stopped (e.g. you or a
household member closed a checking account)?

45j. Is the misuse of --(the credit card account(s)/any
existing accounts other than credit cards/personal
information or new account(s)) still causing problems for
you or any other household member? For example, are you
still spending time clearing up credit accounts or your
credit report.

45k. How much time did it take to resolve ALL PROBLEMS
associated with the misuse of -- (the credit card
account(s)/any existing accounts other than credit cards/
personal information or new account(s)) after the misuse
was discovered?

45l. As a result of (any of) the misuse of -- (the credit
card account(s)/any existing accounts other than credit
cards/personal information or new account(s)) discovered in
the last 6 months, have you or anyone in your household...  

Been turned down for a loan?
Had banking problems?
Had problems with credit card accounts?
Had phone or utilities cut off or been denied new service?
Had to pay higher interest rates on credit cards, loans,
etc.?
Been turned down for insurance or had to pay higher rates?
Been contacted by a debt collector or creditor?
Been the subject of a civil suit or judgment?
Been the subject of a criminal investigation, warrant,
proceeding, or conviction?
Had some other problems? Specify ______________________

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This report in portable document format and in ASCII and
its related statistical data and tables are available at
the BJS World Wide Web Internet site:
<http://www.ojp.usdoj.gov/bjs/abstract/it05.htm>.
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The Bureau of Justice Statistics is the statistical agency
of the U.S. Department of Justice. Jeffrey L. Sedgwick is
the director.

Katrina Baum, Ph.D., wrote this report, under the
supervision of Michael R. Rand. Wendy Lin-Kelly verified
the report. Tina Dorsey produced and edited the report, and
Jayne Robinson prepared the report for final printing,
under the supervision of Doris J. James.
November 2007, NCJ 219411
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End of file
11/07/2007 JR