Some people say that companies like LifeLock are just trying to scare people into subscribing to their services and that identity theft is not really a big problem.
However, after a review of recent government statistics, the reality may be scarier that you think.
In fact, the Federal Trade Commission has developed and maintained a national complaint database to keep a record of identity theft complaints. According to their 2007
for complaints between January and December 2006, they received over 670,000 consumer fraud and identity theft complaints. That is just for that one year alone. The report also states that this number is probably low, because complaints were still coming in for the previous year when the report was written.
They also believe that their may be many unreported complaints because sometimes it takes individuals a while to realize that someone has been using their identity. Often they do not realize it until it has been going on for quite some time.
In addition, Americans reported losses of more than 1.1 billion dollars in 2006 alone. In fact, by the February 2007 report date, the 2006 losses were $1,187,305,506 and expected to rise as more reports surfaced.
Although the government is trying to do everything in its power to keep these statistics low, the thieves are working just as hard to find new ways to steal identities.
So you have to ask yourself: are these companies like LifeLock just trying to scare you into buying their products or services? Probably not. They are just providing the facts and trying to help you stay one step ahead of the big problem that already exists.