When an Allstate Identity Protection member got a call about a car registered in his name in the impound lot, he was baffled. Not only had he never ignored parking tickets for the vehicle in question, he'd never purchased or driven such car. Coincidentally, he had lost his driver’s license a few weeks earlier. Stuck with a bad record he never earned, the member turned to us to clear his name and untangle the legal and financial mess an imposter had made. Called “criminal identity theft,” this kind of scam typically starts with a stolen driver’s license.
Imagine this: a thief snatches your wallet and uses your stolen ID at a police checkpoint. The reality of this scenario can be life-altering for victims, potentially leading to a criminal record.
Prosecutors call this kind of crime "criminal identity theft." And the legal mess it leaves behind typically needs a savvy—and likely professional—cleanup crew.
What is criminal identity theft?
Criminal identity theft happens when your name and personal information link to a crime you did not commit. According to the Office of the Attorney General of the State of California, this type of identity theft can usually happen in a few ways.
One scenario involves a criminal using your information after being apprehended by law enforcement. Imagine a thief is caught breaking into a car and, when questioned, gives your name instead of their own. They might even have your ID, leaving you to shoulder the blame—at least on paper. If they skip a court date, a warrant is issued in your name, and the authorities are now searching for you, not the real perpetrator.
In another case, a criminal may use your identity to commit an offense. For instance, the offender might use your email or social account to harass or threaten someone, leading the victim to file charges against you as the assumed perpetrator.
Other times, a criminal's details are so similar to yours that your clean record accidentally gets mixed up with their criminal one. For instance, if your name is Jane Elizabeth Doe and theirs is Jan Elizabeth Doe or if your birthdates are identical, administrative errors can result in you being linked to their offenses.
A member’s nightmare experience with criminal identity theft
It’s a familiar scenario: you go out with friends, split the tab, and head home, only to realize the next day that your wallet didn’t make it back with you—it was either lost or stolen.
This is what happened to one Allstate Identity Protection member. A few weeks after losing his wallet, he was contacted by police regarding his supposed involvement in a crime with a 2023 Mercedes-Benz. The problem? Our member drove a Honda. A thief had taken his driver’s license and other cards, visited a car dealership, purchased a luxury vehicle, and quickly racked up parking tickets and toll violations until the car was impounded.
Fortunately, our member had the support of a dedicated Allstate Identity Protection restoration specialist who worked for five months to resolve issues from nine fraudulent accounts. Today, both his criminal record and financial history are clean, and if he ever needs support again, Allstate Identity Protection will be ready to help.
How to tell if you’re a victim of criminal identity theft
Getting arrested or sued would top the list of worst ways to find out that you’re a victim of criminal identity theft. The nonprofit group Identity Theft Resource Center highlights other ways of discovering it:
Your credit report includes accounts and loans you didn’t open.
Collections agencies contact you for delinquent bills you never racked up.
Police inform you about a warrant, traffic violations, etc., in relation to something you did not do.
You’re denied benefits because the government claims your income now exceeds their thresholds.
Your credit score drops seemingly without cause.
You can’t get into your accounts in spite of using the proper login credentials.
How to protect yourself from criminal identity theft
A good offense serves as the best defense against criminal identity theft.
Guard any physical items that contain your personal information, like your wallet and any paper correspondence. Keep both in secure places and know where your ID and cards are at all times. If these get stolen, report the crime immediately, freeze your credit, and put holds on your cards. Apply for new identification and cards.
Beware of so-called “shoulder surfers” who peep over your shoulder to get things like your ATM login credentials. Also, never offer your information to strangers.
Use a password manager to keep your social, email, shopping, and gaming accounts private. Don’t use your real name (or partial real name) as your screen name.
What to do if you discover criminal identity theft
Since criminal identity theft can lead to serious consequences—such as jail time, a false criminal record, and failed background checks—you may need an expert to clear your name.
Consider an identity theft protection service. If you’re an Allstate Identity Protection member, our specialists are ready to provide guidance and support for any kind of identity theft issues.
Hire a criminal defense lawyer. A lawyer can offer legal expertise to help you navigate and resolve your case.
File a complaint with the Federal Trade Commission (FTC). After filing, the FTC recommends you contact the law enforcement agency where your personal information was misused.