The issue of identity theft has been in the news lately and, understandably, it's a concern for Canadians. Identity (ID) theft occurs when a criminal steals your personal information, such as a social insurance card or a driver's licence, and uses it to impersonate you, usually to commit some form of financial fraud such as getting a credit card, shopping for furniture or getting a cell phone service in your name.

Identity Theft is Not a Crime in Canada

For the most part, stories about ID theft are stories about fraud; fraud that has likely resulted from an identity theft incident. It may sound like the same thing, but it's not because ID theft is not a defined statutory offence in Canada. In short, it is not a crime.

That's why banks in Canada have been leading an effort, along with other partners, to urge the government to make changes to the Criminal Code that would make identity theft a defined offence. We are also calling for changes to make it illegal to possess multiple pieces of identification for a number of individuals and to traffic in stolen personal information, and we believe that identification documents issued by the provincial and federal governments should be significantly improved in terms of quality and security. By making these changes, law enforcement agencies would be in a far better position to catch criminals before an actual fraud or theft is committed.

You can find out more about the CBA's recommendations regarding ID theft here.

Protecting Yourself

There are steps you can take to limit the chances of your personal information falling into the wrong hands. Here are some tips:

• Keep your personal information in a safe place. An identity thief will pick through your garbage or recycling bins. Consider purchasing a shredder to dispose of any documents that contain personal information: bank statements, insurance forms, physician statements and tax forms.
• Pay attention to your billing cycles. If your bills don't arrive on time, follow up with the business to find out why.
• Guard your mail. Get into the habit of cleaning out your mailbox after every delivery. Make sure that your mail is forwarded or re-routed if you move or change your mailing address.
• When choosing a Personal Identification Number (PIN) for your credit card or debit card, or your online banking password, try to avoid using easy to guess information like your birth date, the last four digits of your phone number or your address.
• Travel light. If you're just making a quick trip to the grocery store, you don't need your SIN card or birth certificate. Always leave these documents in a safe place at home.
• Do not give out personal information on the phone, through mail or over the Internet unless you have made the call or know who you're dealing with.

For more tips, or to download the CBA’s free booklet, Safeguarding Your Money, visit the Fraud and Security section of the Canadian Bankers Association website. Booklets are also available by mail by calling 1-800-263-0231.

Canada's banks take the issue of privacy, security and fraud prevention very seriously. They work hard to prevent their operations and customers from being used for any kind of financial crime and to raise awareness about the ways that customers can protect themselves.

As a consumer, you also have an important role to play in preventing fraud. This month we'll be taking a look at identity theft.