2008 FTC Fraud and Identity Theft Complaint Data Documents Highest Ever Number of Identity Theft Complaints; Jump in Tax Return Fraud Complaints

NORWALK, Conn., Feb. 26, 2009 - The Federal Trade Commission has documented the most cases of identity theft ever in one year in the 2008 Fraud and Identity Theft Complaint Data.

Affinion Security Center, a leading provider of identity theft protection services, has also reported over the last six months an increase of approximately 25 percent in the illegal trade of personal information in online chat rooms where thieves buy and sell stolen information such as credit card and social security numbers.

In 2008, the FTC reported that it had received approximately 1,200,000 complaints related to fraud, identity theft and other consumer complaints, an approximately 50 percent increase over the previous year.  Those consumers reported fraud related losses of more than $1.8 billion. While the report showed that identity theft is widespread, the states reporting the most complaints - Arizona, California, and Florida, coincide with the states reporting the highest rates of foreclosure, demonstrating that the economic downturn has coincided with an upturn in fraud.

"This FTC report confirms what we have been seeing in the online chat rooms where identity thieves buy and sell stolen personal information.  Since we are constantly monitoring these rooms on behalf of our customers, we`ve been able to track a significant increase in activity over the last six months," said Dan Clements, vice president, Affinion Security Center.  "In fact, we think that the number of complaints that the FTC receives are just the tip of the iceberg, and there are actually many more cases of identity theft that go unreported. Americans, more than any other nation, are vulnerable to identity theft," he added.

The FTC report also showed that credit card fraud was the most common forms of identity theft. When credit card information is stolen, the thieves often turn to online chat rooms where they buy and sell this information and also conduct tests to ensure the validity of the card. Affinion Security Center`s CardCops team monitors these forums on behalf of customers, alerting them if their information is ever found in a chat room.  In addition, the CardCops team has been able to track down the source of hundreds of data breaches through its research, providing a consumer service by alerting businesses that their information may have been leaked and their customer data compromised.

2008 also demonstrated a more than 50 percent increase in the percentage of identity theft complaints related to fraudulent tax returns filed.

"The difficult economic environment is coinciding with a significant increase in cases of identity theft, said Tom Rusin, president of Affinion Security Center.  "We believe that solutions such as IdentitySecure, which protect against many types identity threats, can help bring consumers some peace of mind that they are protected."

Each feature of the IdentitySecure solution is designed to address the modern threats facing consumers, threats that can`t be adequately monitored by an average, or even technology-savvy, individual. The IdentitySecure service includes features such as monitoring of social security numbers and public records to detect criminal activity, frequent data sweeps of the internet for personal information, credit monitoring, and monitoring of underground chat rooms that buy and sell personal information. While breaches are often unavoidable, IdentitySecure provides proactive searches, early detection and recovery assistance.

For more information, please visit http://www.affinionsecuritycenter.com.

About Affinion Security Center
Affinion Security Center, a division of Norwalk, Connecticut-based Affinion Group, is a premier security, credit monitoring and identity theft protection innovator with nearly 35 years of global experience. It launched HotLine, a leading ID theft, credit card, fraud protection and security service in 1969. PrivacyGuard, a comprehensive membership credit monitoring product which was created in 1992, remains one of the most widely used in the U.S. In 2006, ID Secure, a sophisticated tool that uses leading-edge public records, Social Security number and credit monitoring technology to fight ID theft, was born. Another ID theft protection service in Affinion`s growing security business is PC SafetyPlus, an identity theft software service that protects members with a personal firewall to thwart hackers and other online ID threats. PC SafetyPlus software features automatic updates and service upgrades for protection against prevailing computer viruses, spyware and worms. In 2008 BreachShield, the preeminent solution to corporate data breach response, was introduced to the product line. Affinion Security Center is part of the steering committee of the Identity Theft Prevention and Identity Management Standards Panel (IDSP) and is a member of the Staples Security Council. For more information please visit http://www.affinionsecuritycenter.com.

For a screen grab of an online chat room, please contact Todd Smith at Affinion Group, (615) 764-2598,

About Affinion Group
As a global leader with almost 40 years of experience, Affinion Group (www.affinion.com) enhances the value of its partners' customer relationships by developing and marketing loyalty solutions. Leveraging its expertise in customer engagement, product development and targeted marketing, Affinion provides programs in subscription-based lifestyle services, personal protection, insurance and other areas to help generate increased customer loyalty and significant incremental revenue for more than 5,550 marketing partners worldwide, including many of the largest and most respected companies in financial services, retail, travel, and Internet commerce. Based in Stamford, Conn., the company has approximately 4,250 employees and markets in 17 countries globally. Affinion holds the prestigious ISO 27001 certification for the highest information security practices, is PCI compliant and Cybertrust certified.

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