Although identity theft and credit card fraud both involve stolen information, identity theft is often the more serious and damaging of the two crimes. Credit card fraud occurs when someone steals your credit card/account information and uses it to make a variety of purchases. Once the credit card fraud is recognized, credit card companies will most likely not hold the charges against you. Depending on the credit card company, you may have to pay a relatively small fraud fee and/or get a new card. In regards to identity theft, however, the repercussions are significantly worse. For instance, a criminal could steal your identity (via social security number, credit card number, online scams, etc.) and use it to open several credit card accounts which can ruin your credit. In contrast to credit card fraud, it's likely that you will be liable for paying off the charges and handling other consequences that arise from the identity theft situation. It can be years or even decades before you are able to get your identity secure once more. Fortunately, some people find peace in the fact that many identity protection companies offer a variety of identity theft recovery options.