New-account identity fraud occurs when criminals use stolen personal details to open accounts in someone else’s name, rather than accessing an existing bank or credit-card account. It matters because the fraud can remain hidden until victims receive unfamiliar bills, face credit checks or are contacted by debt collectors. Javelin Strategy & Research reported that victims rose 31% in 2025, from 4.2 million to 5.4 million.

Fraudsters may open credit-card, phone, utility or buy-now-pay-later accounts using addresses, email accounts or contact details they control. Credit reports can reveal hard inquiries or unfamiliar accounts, but not every type of account appears on all three reports, so people should also watch their post, bills and communications. Data breaches, phishing and convenient online applications have made it easier for criminals to combine personal information and impersonate victims.