What type of identity theft uses real information to create a new identity?

Synthetic Identity Theft is a type of identity theft where the perpetrator combines real and fictitious information to create a new identity. This often involves using a legitimate Social Security number—often that of a child or an individual who does not have active credit—along with fake names, addresses, and other personal details to establish a credit profile. This form of identity theft is particularly insidious because it can go undetected for long periods and may lead to significant financial loss for the victims as credit is opened in their names without their knowledge.

In contrast, account takeover typically involves stealing access to an existing account, while credit card fraud involves unauthorized use of someone's credit card information without creating a new identity. Phishing, on the other hand, refers to the practice of tricking individuals into providing personal information by pretending to be a trustworthy entity, rather than creating an entirely new identity. Understanding the nuances of these terms helps highlight why Synthetic Identity Theft specifically involves the creation of new identities by blending real information with fictions.