Tips to Prevent Identity Fraud
Introduction
In today’s fast-paced digital world, identity fraud has become one of the most pressing security threats globally. Whether through phishing emails, social engineering, stolen credit cards, or breached databases, cybercriminals are constantly on the lookout for ways to steal personal information, impersonate individuals or companies, and commit crimes in their names.
In Nigeria, the rise of digital banking, e-commerce, mobile money platforms, and online registration portals has increased the risk of identity fraud significantly. Criminals exploit weaknesses in data protection systems, poor cybersecurity habits, and human error to access sensitive information.
This article explores what identity fraud is, how it happens, and practical tips to prevent identity fraud, both for individuals and businesses. Whether you’re a student, professional, business owner, or corporate executive, this guide is essential for protecting your identity in today’s digital economy.
What is Identity Fraud?
Identity fraud is the act of intentionally using another person’s personal data—such as name, date of birth, bank account, phone number, NIN, BVN, or address—without their consent to commit fraud or other criminal activities.
This can include:
Accessing your bank account
Opening a line of credit
Applying for loans
Committing crimes in your name
Making online purchases with your card
Registering SIM cards or businesses using your identity
Identity fraud is a criminal offense in Nigeria under the Cybercrimes (Prohibition, Prevention, Etc) Act 2015, and violators face imprisonment, fines, and asset forfeiture.
Types of Identity Fraud
Financial Identity Fraud – Unauthorized use of credit card, BVN, or bank account.
Criminal Identity Fraud – Using someone’s name or ID to commit crimes.
Medical Identity Fraud – Receiving medical services using someone else’s insurance or records.
Employment Identity Fraud – Using another’s credentials to apply for jobs or benefits.
Synthetic Identity Fraud – Creating a fake identity using a combination of real and fabricated information.
How Identity Fraud Happens
Understanding how identity fraud occurs is crucial for preventing it. Here are common tactics used by fraudsters:
Phishing Emails and Text Messages
Public Wi-Fi Snooping
SIM Swap Fraud
Social Engineering and Phone Calls
Dumpster Diving (stealing from trash)
Data Breaches of online platforms
Fake websites and applications
Lost or stolen ID cards, ATM cards, or phones
20 Powerful Tips to Prevent Identity Fraud
1. Safeguard Your Personal Information
Avoid sharing sensitive data (BVN, NIN, address, date of birth) with untrusted people or platforms.
Do not leave photocopies of ID cards, passports, or bank documents lying around.
Never send your ATM card, CVV, or PIN over email, text, or WhatsApp.
2. Use Strong Passwords and Change Them Regularly
Create strong, unique passwords using letters, numbers, and symbols.
Avoid common words like “password123” or your name/date of birth.
Change your passwords every 3 to 6 months and do not reuse old passwords.
3. Activate Two-Factor Authentication (2FA)
Enable 2FA for all banking apps, emails, social media, and online platforms.
This adds an extra layer of security even if your password is compromised.
4. Be Cautious with Public Wi-Fi
Avoid accessing banking or sensitive apps when connected to free Wi-Fi in airports, cafés, or public places.
Use a VPN (Virtual Private Network) for safe browsing if necessary.
5. Protect Your Phone with Password or Biometric Lock
Set up a secure screen lock (PIN, fingerprint, facial recognition).
Enable remote wipe and location tracking in case your phone is stolen.
6. Watch Out for Phishing and Fraudulent Messages
Do not click on suspicious links or download attachments from unknown emails or SMS.
Beware of messages claiming to be from banks, asking for urgent verification or security updates.
7. Shred Sensitive Paper Documents Before Disposal
Don’t throw away bills, bank statements, or expired IDs without shredding them.
Fraudsters can search trash to collect details for identity theft.
8. Monitor Your Bank Accounts and Credit Reports Regularly
Check your bank statements, mobile wallet, and transaction history frequently.
Report suspicious withdrawals or transactions to your bank immediately.
Use credit reporting services if available to detect unauthorized credit activity.
9. Secure Your Social Media Accounts
Avoid oversharing personal information such as your birthday, hometown, school history, or phone number.
Cybercriminals use these details to answer password reset questions or create fake profiles.
10. Do Not Share OTPs with Anyone
Banks and genuine organizations will never ask for your One-Time Password (OTP).
If someone calls and asks for your OTP, it’s a scam. Hang up immediately.
11. Keep Your National Identity Number (NIN) Safe
Your NIN is a key part of your digital identity.
Don’t submit your NIN to unknown apps, websites, or agents without verifying authenticity.
12. Install Antivirus and Anti-Malware Software
Protect your computer and mobile device with up-to-date antivirus tools.
Regularly scan for malware or keyloggers that can steal your credentials.
13. Avoid Downloading Apps from Unofficial Sources
Use only trusted app stores like Google Play Store or Apple App Store.
Unofficial apps may contain spyware or viruses.
14. Protect Your Business Information
Secure company registration documents, tax ID, and corporate accounts.
Set internal controls for who can access sensitive files and data.
Use corporate email encryption to prevent email fraud and impersonation.
15. Report Lost ID Cards or SIM Cards Immediately
If your ID, ATM card, or SIM card is lost or stolen, report to relevant authorities and block them immediately.
Request reissuance with new numbers where necessary.
16. Be Alert During Online Shopping
Use only trusted e-commerce sites with HTTPS encryption.
Avoid sending your card details via WhatsApp or social media.
Use virtual cards or one-time payment tokens when available.
17. Watch Out for SIM Swap Fraud
If your phone suddenly loses signal for hours or you get strange OTPs, you may be a victim.
Contact your service provider to block the SIM and notify your bank immediately.
18. Secure Your Email Accounts
Most identity fraud starts by hacking your email.
Protect your email with a strong password and 2FA.
Log out from public computers and never save passwords in browsers you don’t control.
19. Educate Your Staff and Family Members
Teach children, employees, and elderly family members how to recognize scams.
Regularly update them on new fraud techniques.
20. Report Identity Theft Immediately
If you suspect your identity has been stolen, contact your bank, law enforcement, and relevant agencies immediately.
File a report with the Cybercrime Unit of the Nigeria Police or NITDA for digital data violations.
Signs That You May Be a Victim of Identity Fraud
Unauthorized withdrawals from your bank account
Alerts of logins from unknown devices
Receiving debit alerts for transactions you didn’t initiate
Denial of loan or credit due to unknown debts in your name
Calls or messages from debt collectors for unknown transactions
Bank account or phone line blocked without request
Notifications that your NIN, BVN, or ID was used without consent
What To Do If You Fall Victim
Immediately notify your bank or payment provider to freeze your account.
Report to law enforcement, such as the Nigeria Police or EFCC Cybercrime Unit.
Alert your mobile network provider for SIM swap or line recovery.
Change passwords and secure all your accounts.
Monitor your accounts for further activity.
Document everything, including evidence of fraud and all correspondence.
Legal Remedies for Identity Fraud in Nigeria
Under the Cybercrimes Act 2015, identity fraud is punishable by:
Imprisonment of not less than 3 years
Fines of ₦7,000,000 or more
Compensation to the victim
Forfeiture of criminal assets
Victims of identity fraud can also file civil suits for damages, injunctions, or restoration of name and reputation.
Conclusion
Identity fraud is a growing threat, but it is preventable with awareness, vigilance, and the right cybersecurity habits. Whether it’s your NIN, BVN, ATM card, or even social media account, every detail matters in today’s data-driven world. Implementing the preventive tips outlined above can protect you, your business, and your loved ones from financial loss and reputational damage.
Contact Us
Are your personal and financial details truly safe? In today’s digital age, identity fraud is a growing threat that can ruin reputations, finances, and lives.
At Chaman Law Firm, we offer legal advisory and support for victims of identity theft, cyber fraud, and digital rights violations. We also help businesses design and implement data protection and cybersecurity policies to reduce risk and comply with Nigerian laws.
We’re here to help you recover your identity and protect your future.
📞Phone: 08065553671, 08096888818
✉ Email: chamanlawfirm@gmail.com
📍 Address: 115, Obafemi Awolowo Way, Allen Junction, Ikeja, Lagos, Nigeria