According to the Federal Trade Commission, about 9 million people a year are victims of identity theft, resulting in $50 billion of lost business - and the problem is expected to get worse.

Experts believe that about half of such theft is committed by organized crime, and the other half by "dumpster divers," or friends and family.

Identity theft takes many forms. It begins when someone steals your personal information through one of a variety of methods - including rummaging through trash, using a special device to steal your number when you swipe your credit card, falsely posing as a legitimate business, diverting your account statements to a false address and committing old-fashioned stealing.

The best way to prevent identity theft is to monitor your record carefully by looking at your credit report twice a year, and especially before applying for a major loan or mortgage. In particular, watch for any unauthorized credit applications made in your name. Also, review your bank statements every month. If you notice errors, report them immediately.

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