Consumers are being refused credit cards and other banking services as a result of falling victim to identity fraud, new research shows.
The practice of credit 'blacklisting' is set to increase as identity fraud is becoming a larger problem, according to an insurance provider.
New research from Liverpool Victoria suggests that half a million UK adults have found themselves on a blacklist after falling victim to identity fraud, with the figure expected to rise by 440,000 over the next five years. Four in ten of these reported that they had been unable to obtain a credit card as a result, while some were even unable to get a mortgage.
Figures from UK payments association Apacs show that debit and credit card fraud increased by 14 percent in 2008.
Liverpool Victoria spokeswoman Emma Holyer suggested that identity fraud "seems to be the new way crime is going". She suggested that consumers who are unable to get a credit card should take steps in case they have been a victim of fraud.
"If you do find you are being turned down for no reason contact ourselves or a credit agency," Ms Holyer said. "Check for symptoms of something more serious and that it's not just a one off, because the cost of ID fraud to you personally can be quite significant."
