Identity theft can have a profound negative impact on people’s lives. Many identity theft schemes target vulnerable individuals, such as older adults. Scammers gain access to their personal identifying information and either abuse that information or sell it to others who may misuse it.
Frequently, identity theft scams involve absolute strangers trying to find private information about individuals. However, identity theft can also involve people who know one another. Familiar fraud is a form of identity theft that people may not even realize is technically a crime. Some people may end up facing accusations of identity theft from romantic partners and immediate family members rather than strangers.
People can’t use each other’s identities
Regardless of how close our relationship is, no individual has the innate right to use the identity of another person for economic purposes. For example, one spouse cannot take out a personal line of credit using their spouse’s name, birthday or Social Security Number without their explicit consent.
A parent trying to support a family and struggling to secure credit on their own due to prior financial challenges cannot use the identifying information of their children to take out new lines of credit without their permission. Those caring for older adults cannot make financial moves without their consent unless they have guardianship over that person’s estate or power of attorney authority.
Many people who may simply want a creative solution for a difficult financial situation might end up unintentionally breaking the law and damaging their relationships with others. Allegations of identity theft, including familiar fraud, can lead to major consequences.
The number of people involved and other details influence the exact charges and penalties. Consequences range from $10,000 in fines and up to 18 months in prison to 10 years in prison and fines of up to $150,000. Those accused of trafficking information could also face severe penalties depending on the circumstances. The courts can also order restitution even though the people involved in the situation know one another.
Responding appropriately to allegations of identity theft, possibly by proving that the transaction was something previously discussed and consented to, can help people limit the legal and financial fallout of the white-collar criminal accusations they face. With the right defense strategy, defendants may avoid life-altering criminal convictions and the penalties the courts impose for serious financial crimes.