Credit Card Fraud and ID Theft – Facts & Statistics [2023 Data Study]

If you have shifted to be more of an online shopper and banker like many Americans did during the COVID-19 pandemic, you might have thought about how safe your information is on the websites you enter it onto. Credit card fraud and identity theft are on the rise, and according to the Federal Trade Commission, in 2022, credit card fraud was the most reported identity theft type.¹

This resource guide will take you through all the facts and statistics you need to know about credit card fraud and identity theft and how to protect yourself from becoming a victim.

8 Quick Statistics on Credit Card Fraud and ID Theft

1. Credit card fraud was the most reported identity theft type to the FTC in 2022, especially related to new accounts.¹
2. 46% of all reports to the FTC in 2022 were fraud-related.¹
3. 1.1 million reports to the FTC in 2022 were for identity theft.¹
4. $8.8 billion was lost to fraud in 2022.¹
5. 441,822 is the number of credit card fraud reports to the FTC in 2022.¹
6. 30- to 39-year-olds is the age group that reported identity theft to the FTC the most in 2022.¹
7. While the number of data compromises in 2021 (1,862) was the highest in history, 2022 was the second highest, at 1,802.²
8. The overall number of data compromises in 2022 was 1,802.²

Most Common Types of Fraud

According to the FTC, the Consumer Sentinel Network took in over 5.1 million reports in 2022. Fraud makes up 2.4 million of those reports, which equates to 46% of all reports. Identify theft was 1.1 million (22%), and “other” calls were 1.7 million (33%).

The FTC says the 10 most common fraud categories are:

Of the 2.4 million fraud reports, more than $8.8 billion was lost, a significant increase from $2.6 billion in 2021.

The Consumer Sentinel Network says that in 2022, people filed more reports of identity theft (21.52% of all reports) than any other type of complaint. Imposter scams, a subgroup of fraud reports, followed with 14.1% of all reports from consumers in 2022. Credit bureaus, information furnishers, and report users rounded out the top 3 with 13.42% of all reports.

When you look at fraud reports by state, the states with the highest per capita reported fraud rates in 2022 were Georgia, Delaware, Nevada, Florida, and Maryland.

Identity Theft

Identity theft is defined as the fraudulent acquisition and use of a person’s private identifying information, such as their name, credit card information, or Social Security number without their permission. There are many forms of identity theft, but one of the main types is credit card fraud.

Credit card fraud was the most reported type of identity theft in 2022, with 441,822 reports made to the FTC. By contrast, in 2021, credit card fraud was topped by government documents or benefits. This was likely related to pandemic-related claims.

When you look at identity theft by state, the states that had the most reports of identity theft in 2022 were Georgia, Louisiana, Florida, Delaware, and Nevada, according to the Consumer Sentinel Network.

You can also look at identity theft by age — the top age group that reported identity theft in 2022 was 30- to 39-year-olds.

The 30- to 39-year-old age group also made the most reports of all identity theft categories.

Credit Card Fraud

As the most reported type of identity theft, it is important to know that there are many forms of credit card fraud:

1. Card-Not-Present — According to Investopedia, card-not-present fraud is a type of credit card scam in which the customer does not physically present the card to the merchant during the fraudulent transaction. Card-not-present fraud can occur with transactions that are conducted online or over the phone. It is theoretically harder to prevent than card-present fraud because the merchant cannot personally examine the credit card for signs of possible fraud, such as a missing hologram or altered account number.
2. Credit Card Skimming — Credit card skimmers are illegal card readers attached to payment terminals. These card readers grab data off a credit or debit card’s magnetic stripe without your knowledge. Anyone who uses their credit or debit cards at ATMs, gas stations, restaurants, or retail stores can become a victim of credit card skimming.
3. Lost or Stolen Cards — This is simply as the name suggests … when someone uses a credit card that was lost or stolen from the owner.
4. Credit Card Application Fraud — This happens when someone uses stolen personal information to apply for credit cards. Typically, someone will not find out that a card has been opened under their name until they apply for credit or check their credit report.

To see where credit card fraud is more prevalent in the U.S., check out this interactive map for credit card fraud hotspots.

It is important to note that there is a difference between credit card fraud and debit card fraud. With credit card fraud, the issuer of your credit card money is in danger of being stolen, but with debit card fraud, it is your personal money being stolen.

Data Breaches

A data breach is when information is stolen from a system without the authorization of the owner of the system. Like other types of fraud, data breaches are becoming more common. According to the 2022 Data Breach Report from the Identity Theft Resource Center, in 2021, there was the second-highest number of data compromises in the U.S. since the first state data breach notice law became effective in 2003.

According to the ITRC, the overall number of data compromises (1,802) was down slightly since 2020, holding the record at 1,862.

How To Avoid Being a Victim of Credit Card Fraud and ID Theft

As fraud becomes increasingly prevalent, there are plenty of ways to help protect yourself. Here are some ways to reduce your risk of falling victim to credit card fraud:

1. Only use your card for purchases on websites you trust.
2. Never enter your card information (or Social Security number, etc.) in response to an email or via an emailed link. Always go directly to the company’s site instead of typing the address yourself.
3. Use a credit card (not a debit card) to limit your liability for any fraud that may occur.
4. Only give out your card number over the phone if you initiated the transaction and know the company is reputable.

Final Thoughts

With fraud, identity theft, and data breaches on the rise, having a safe and secure space is important. It is also wise to frequently check your credit report, and if you notice fraudulent activity, make sure to report it to the appropriate authorities.

References

¹ Federal Trade Commission. (February 2023) Consumer Sentinel Network Data Book 2022. https://www.ftc.gov/reports/consumer-sentinel-network-data-book-2022
² Identity Theft Resource Center. (January 2023) 2022 Data Breach Report. https://www.idtheftcenter.org/wp-content/uploads/2023/01/ITRC_2022-Data-Breach-Report_Final-1.pdf