The Javelin Conundrum: Making Sense Of The Latest Identity Theft Numbers

The Business Insider

At first blush one might be cheered by the results of the newly released Javelin Strategy & Research 2010 Identity Fraud Survey Report.
Consumers were asked to self-report their victimization and disclose the costs they incurred, but the folks at Gartner weren’t necessarily convinced. According to the “Red Tape Chronicles” blog on MSNBC.com, Gartner analyst Avivah Litan argues that the methodology of the Javelin survey has its “pitfalls” and bank data indicates that fraud is actually up. Frankly, the financial services sector has always been pretty guarded when it comes to such disclosures. UC Berkeley’s Professor Chris Hoofnagle has been quite outspoken over the years about their “close to the vest” disclosure policies, and his groundbreaking study tracking the frequency of bank data breaches is absolutely worth a read.