Generally, federal law enforcement  agencies do not have information systems that facilitate specific tracking  of identity theft cases. Also, the FBI and the Secret Service noted that  identity theft is not typically a stand-alone crime; rather, identity theft is  almost always a component of one or more white-collar or financial  crimes, such as bank fraud, credit card or access device fraud, or the use  of counterfeit financial instruments. These sources can include consumer complaints and hotline  allegations, as well as law enforcement investigations and prosecutions of  identity theft-related crimes such as bank fraud and credit card fraud. Cost of Identity Theft to the Financial Services Industry

We found no comprehensive estimates of the cost of identity theft to the  financial services industry. Other data, such as staffing of the fraud departments of banks and  consumer reporting agencies, presented a mixed and/or incomplete  picture. Federal Criminal Justice System Costs

Regarding identity theft and any other type of crime, the federal criminal  justice system incurs costs associated with investigations, prosecutions,  incarceration, and community supervision. Nonetheless, while recognizing measurement  difficulties, a number of data sources can be used as proxies or indicators  for gauging the prevalence of such crime. Five of the six banks had data on  identity theft losses involving fraudulent applications and account  takeovers.
What GAO Found

Identity theft involves "stealing" another person's personal identifying information, such as their Social Security number (SSN), date of birth, or mother's maiden name, and using that information to fraudulently establish credit, run up debt, or take over existing financial accounts. Precise, statistical measurement of identity theft trends is difficult for several reasons. Federal law enforcement agencies lack information systems to track identity theft cases. Also, identity theft is almost always a component of one or more white-collar or financial crimes, such as bank fraud, credit card or access device fraud, or the use of counterfeit financial instruments. Data sources, such as consumer complaints and hotline allegations, can be used as proxies for gauging the prevalence of identity theft. Law enforcement investigations and prosecutions of bank and credit card fraud also provide data. GAO found no comprehensive estimates of the cost of identity theft to the financial services industry. Some data on identity theft-related losses indicated increasing costs. Other data, such as staffing of the fraud departments of banks and consumer reporting agencies, presented a mixed or incomplete picture. Identity theft can cause victims severe emotional and economic harm, including bounced checks, loan denials, and debt collection harassment. The federal criminal justice system incurs costs associated with investigations, prosecutions, incarceration, and community supervision.