A new report by LSEG Risk Intelligence reveals that around 1.25 million children in the U.S. were victims of identity theft between July 2021 and July 2022, resulting in $1 billion in losses, according to Cybernews.
This form of cybercrime, which surged by 40% from 2021 to 2024, often goes undetected for years, with the average victim being just eight years old. Threat actors exploit childrens personal data, names, birthdates, and social security numbers, to take out loans or apply for government benefits, often only discovered when victims attempt to open financial accounts as young adults. Social media use by parents significantly contributes to the risk, with experts projecting that by 2030, two-thirds of such crimes will stem from content parents posted. Financial institutions are urged to adopt stronger safeguards like biometric authentication and age verification to curb this rising threat. Victims can face lifelong consequences, including debt, damaged credit scores, and even criminal records for crimes they never committed.
This form of cybercrime, which surged by 40% from 2021 to 2024, often goes undetected for years, with the average victim being just eight years old. Threat actors exploit childrens personal data, names, birthdates, and social security numbers, to take out loans or apply for government benefits, often only discovered when victims attempt to open financial accounts as young adults. Social media use by parents significantly contributes to the risk, with experts projecting that by 2030, two-thirds of such crimes will stem from content parents posted. Financial institutions are urged to adopt stronger safeguards like biometric authentication and age verification to curb this rising threat. Victims can face lifelong consequences, including debt, damaged credit scores, and even criminal records for crimes they never committed.
