Identity theft and identity fraud online

Estimated reading time
 5 min

Key points

• Identity theft occurs when someone steals your personal information and uses it for their own gain, which is why we’re helping you understand the basics and consider how to help keep your identity secure.
  
  
• Your identity could potentially be compromised because of a scam, data breach or if a document containing your personal information falls into the wrong hands.
  
  
• We’ve got some simple tips that may help you keep your personal information safe and we’re sharing the steps you might take if you become a victim of identity fraud.

Imagine applying for a loan only to be rejected because there’s thousands of dollars in unpaid credit card debt that you never incurred. So, why is all that debt in your name?  

Your identity is a crucial part of who you are, but unfortunately identity theft is a common and costly crime in Australia. According to Scamwatch, victims of identity theft lost more than $8.5 million in 2023 alone.¹

This type of crime can happen to anyone – no matter how savvy they may be with technology. That’s why we’re providing an overview of identity theft and will help you understand how you might protect your personal information, so you’re the only person who gets to be you.

What is identity theft?

Identity theft is a type of fraud perpetrated by someone using your personal information to impersonate you. This can occur online and offline. According to IDCare, criminals may target your driver’s licence, passport, Medicare card, and bank details.²

For example, the scammer might use your information to do something illegal such as open a bank account or credit card in your name.

A thief might access your identity with just a few pieces of personal information, such as your name, address and date of birth. They could obtain these details from a document they stole from your home or mailbox, or even through your social media profiles.  

The person might also steal your identity by running a scam, such as a phishing scam. With this type of scam, you might be contacted via email, SMS or other messaging service with a link to click. This link may direct you to a malicious website controlled by the scammer, where they could use the information you’ve entered to steal your identity.

5 potential signs of identity theft to be aware of 

Here are some common signs that could indicate someone might’ve stolen your identity:

1. You notice transactions on your bank statement for purchases you don’t recall making.
   
   
2. You stop receiving your usual bills or statements. This could be a sign that someone has changed your contact details with that supplier or business, your email could have been compromised, or that someone might be stealing your mail from your mailbox.
   
   
3. You get messages or calls about products or services you don’t recognise. You might also receive a message asking you to verify or authenticate an action (such as providing a PIN or clicking on a link) for a service you're not familiar with.
   
   
4. You notice an increase in suspicious calls and messages or social media activity, or you may receive alerts from your email or social media accounts about new logins from unfamiliar devices or multiple login attempts.
   
   
5. You receive notifications about applications for rebates, benefits, or tax refunds made in your name, or notice an unexpected change in your credit score, despite no recent activity on your part.

Why might your identity be stolen? 

Firstly, don’t blame yourself, identity fraud can happen to anyone. These are some of the possible reasons it may have happened to you:

• You might have been scammed over the phone or online.
  
  
• Your personal information could have been on a letter or document that ended up in the wrong hands.
  
  
• Your information may have been exposed in a data breach.
  
  
• There could have been a break-in at your home.
  
  
• It’s possible that your phone number was ‘ported’ to another person, which is when a scammer transfers your phone number to their own device.

Consider this case study:

A Victorian couple had $325,000 drained from their accounts, lost $45,000 worth of their shares, and had 20 fraudulent credit and debit accounts created in their names, according to reports from ABC News.³ This happened shortly after they noticed the man’s phone was displaying ‘SOS only’. Scammers were able to steal the man’s identity by porting his phone number.  

How might you protect yourself from identity theft?

There are various ways identity theft can occur. Here are some approaches that may help protect your personal information:

• Consider using strong passwords or even a passphrase for all your accounts and try to use different passwords for each account. Make sure they’re long and use a mixture of characters, such as numbers, symbols, and both capital and lowercase letters. This approach can help reduce the risk of unauthorised access. If you can’t remember all your unique passwords, then consider using a password manager application to securely store your different passwords.
  
  
• Check your credit report²—it’s free to do so every three months through Experian and Equifax, while Illion allows you to create a free online account so you can log in to check your report as often as you like. The main things you want to look out for are credit enquiries or debts that you don’t recognise, or details that don’t match your own as criminals may sometimes change these. For more information about your credit report and who to contact if you think there is an error or signs of fraud, visit the ID Care website.
  
  
• Monitor your bank accounts for any suspicious transactions or activity. If you notice any unusual transactions, then dispute them immediately and consider cancelling or blocking your credit card.
  
  
• It may be helpful to shred any physical documents that contain your personal information – such as bills and letters – before discarding them. Also, consider securing your letterbox to help reduce the risk of mail theft.
  
  
• Be careful with what you share on social media, especially if your profile is public. Consider not displaying any personal information like your phone number or date of birth on your account, for public view.
  
  
• Keep your devices up to date with automatic updates. Use security software to help stop hackers and cybercriminals from accessing your personal information.
  
  
• Make a note of when you are likely to receive credentials and statements, and don’t delay chasing them up if they don’t arrive. Where possible, you can also switch to digital statements to limit the amount of sensitive information coming through the mail.

What can you do if your identity has been stolen? 

Identity theft can happen to anyone, so know that you’re not alone. It’s important to act quickly if you suspect someone’s stolen your identity:

• Consider changing all your passwords and PINs for your accounts and report it to the relevant organisations.
  
  
• Consider placing a ban on your credit report. This ensures that credit providers don’t access your credit report without your consent, which can help protect you against fraudulent credit applications in your name.
  
  
• If you’ve shared financial information or transferred money, contact your bank immediately. If you’re an ANZ customer, contact us immediately to report the fraud.
  
  
• If you shared credit card details, ‘block’ or cancel those cards immediately. If your cards are with ANZ, you can report the stolen card through the ANZ app or by calling us.
  
  
• Contact IDCare if you need additional support if you experienced identity theft. They are a not-for-profit organisation who supports those experiencing identity and cyber security concerns.

Who can you contact if you’ve been scammed?

• Contact the Australian Cyber Security hotline, 24 hours a day, seven days a week on 1300 CYBER1 (or 1300 292 371).
  
  
• Help others by reporting to Scamwatch or to the Australian Signals Directorate’s Australian Cyber Security Centre’s ReportCyber.
  
  
• For phishing or identity theft associated with government accounts such as Centrelink, Medicare, or Child Support, contact the Services Australia scams and identity helpdesk on 1800 941 126 or visit their website. 
  
  
• Contact your bank immediately if you have shared personal or financial information.
  
  
• If you’re an ANZ customer, you can report fraud or suspicious activity in multiple ways, such as through the ANZ app or by calling us