Q506: What is identity theft and what can be done about it?

A 'money mule' is someone who transfers stolen money on behalf of criminals through their own bank account.

Criminals will contact a person, either on the internet (via social media, a fake job advertisement) or in person, and offer to pay them for use of their bank account to receive stolen money and transfer it to another account.

Most of the money being transferred is stolen money and is used to fund further criminal activity such as terrorism and fraud.

Criminals usually target vulnerable people who are in financial difficulties as these people may see being a money mule as an opportunity to make money.

Once a person has transferred the money successfully there is a high chance that the criminals will want to repeat the process and may use intimidation if someone does not comply.

It is a criminal offence to let someone use your bank account for this activity and you could face a prison sentence of up to 14 years if caught. You could also have your account closed and find it difficult to access credit.

If someone asks you to use your bank account, report it to your local police force. Please see the link in Related Information for contact details.

Please also see the related topic, County Lines, in Related Information.

The refusal to give something back which has been borrowed is not automatically theft. In some cases it might have to be resolved using the Civil Courts and you may need to seek a solicitor for advice.

Example:

B borrows C's power drill. B keeps promising to return it, B does not intend to keep it and it is just left in the garage, but B doesn't get round to giving it back. If this is pure forgetfulness, which goes on for a fairly long period (despite reminders) it would not be theft. However, eventually there comes a point where C has been deprived of their property for so long that B has no excuse for not returning it (perhaps a year or more) and the Criminal Courts could consider if B had stolen the drill.

If you have a problem with someone who has borrowed your property and has not given it back, keep a record of all the occasions you have asked for it and then ask a solicitor to send a formal letter asking for the return of the property. If the property is still not returned, there may be sufficient reason to justify making a complaint of theft to the police.

Every case will be different and it may be, for example, that the borrower claims the property was a gift. In circumstances like that, the police may not be willing to take action and you could go to the Civil Courts for help to get your property back. In the case of a borrowed item up to a certain value, it may not be considered economically worthwhile to pursue.

Below is a summary of the offence of theft, it is not intended to be a comprehensive explanation.

"Theft occurs when someone dishonestly appropriates (takes possession of or makes use of exclusively for oneself/someone else without permission) some property that does not belong to him or her and treats it as his or her own with the intention of permanently depriving the rightful owner of the property."

Examples:

◾ B is sat on a park bench with their mobile phone on the bench next to them when C runs past and takes the phone from the bench and runs off with it.

◾ B takes an item from the shelf of a shop and leaves the shop without paying for it (shoplifting).

If hired property has not been returned it will only be classed as theft in certain circumstances.

Example:

B hires a wallpaper steamer from C for a week and fails to return it on the due date. This does not automatically mean it is theft. B must have somehow treated the steamer as if it was their own property, sold it on or moved from the area and taken the steamer with them and in doing so permanently deprived C of the ownership of the steamer.

In some cases, hired property is returned late or there is some misunderstanding. This is likely to be a breach of contract. It is advisable to make some basic enquiries into the matter (or speak to a solicitor) prior to making a formal complaint to the police, so you can give them as much information about the circumstances as possible. There can be a fine line between a civil dispute and theft.

If you are in any doubt (once you have found out why the goods have not been returned), contact the police or a solicitor who will help to explain the law accordingly. A summary of the offence of theft is below, although it is not intended as a comprehensive explanation:

"Theft occurs when someone dishonestly appropriates (takes possession of or makes use of exclusively for oneself/someone else without permission) some property that does not belong to him or her and treats it as his or her own with the intention of permanently depriving the rightful owner of the property."

This could be a case of a bank error, fraud or identity theft (see question Q506 for further information about identity theft).

You should immediately contact your bank/credit card company to report the discrepancies and to terminate your card. The bank/company will have their own fraud department, if necessary, may investigate the matter in conjunction with the police. Take the credit card company/bank's advice on whether they want you to report the matter to the police, as it could just be a mistake, or, they may take on that responsibility, as in some cases they are the actual victim suffering losses, as you are likely to receive your money back.

Further Action

If you think all of your credit/debit card(s) details could have been compromised you should contact the relevant banks and the credit card companies to stop your cards, as necessary.

If you think you have been the victim of identity theft you should ensure personal and financial information is kept secure, shredded or otherwise destroyed (do not put such material in the bin or take it to the dump/tip.

You should always be aware of information on your computer being accessed and take any appropriate security measures. There are a number of possible security threats you should be aware of -

◾ Someone could pretend to be you;
◾ Your card could be cloned. Be very careful when using cashpoint machines, particularly in public places. Criminals can put a realistic front on the machine which reads your card details, and a video camera photographs your pin number. Opportunist thieves could be looking at you entering your pin number, then snatch the card from you to then go on and use the card. Always cover the pin number entry with your other hand or by some other means if you can.
◾ Someone could use your personal details, obtained by a variety of means to obtain cash or property.

For more information, please see the websites in Related Information.