Responding to identity theft: A victimization perspective

Abstract

This study examines victims' responses to identity theft and antecedents to their responses. Drawing upon the victimization and coping literature, we recognize an emotional response called perceived distress and a portfolio of four behavioral responses including refraining from online transactions, refraining from information disclosure, emotional adjustment, and self-protection such as subscription to identity theft protection services. We conduct an empirical test on the antecedents to the responses. Based on a survey of 197 self-reported identity theft victims, we find that perceived victimization severity, which is determined by the magnitude of financial loss, the extent of misuse of personal information, and the amount of time spent resolving the issue, has a positive impact on perceived distress, and perceived distress has a positive impact on the behavioral responses. In addition, time elapsed since the incident negatively influences perceived distress, and past use of online services negatively influences the behavioral responses. This study highlights the central role of perceived distress in mediating the impact of perceived victimization severity on behavioral responses, calling for more attention to emotional responses of victims.