Identity-theft protection is a never-ending quest
Recent disclosures of massive data leaks at information brokers, banks and retailers have prompted Congress to once again consider tightening access to Social Security numbers, which have evolved into dangerous master keys for fraudsters.
But Social Security numbers already have come under a hodgepodge of restrictions over the years, and many experts question whether the new proposals would truly hinder identity theft. In fact, reducing some companies' access to Social Security numbers could even worsen the situation.
Several identity theft watchdogs say the bills would neglect the deeper reason why financial fraud is relatively easy: Speed, not identity assurance, is the main priority of U.S. financial institutions that issue credit.
Unlocking access: To be sure, the fact that many companies use Social Security numbers essentially as a password - not only are they the key to getting credit, they can also unlock access to an account over the phone - magnifies the problem. That's why Congress hopes to hide the numbers better - by reducing the ways they can be sold, for example, or by prohibiting them from being printed on benefit checks.
