Internet IDs could prevent identity fraud

The Obama administration and the Commerce Department have come up with an initiative called the National Strategy of Trusted Identities in Cyberspace (NSTIC), which will help create a system that will allow for safer online transactions.

The program is in the early stages of development, but the admin hopes it will reduce the number of identity theft cases each year, which would benefit many online shoppers.

"With the full participation of industry and the general public, NSTIC plans to nurture the development of a secure and privacy-enhancing 'identity ecosystem' for the Internet," said Howard Schmidt, White House cyber security coordinator. "This identity ecosystem would instill greater confidence in online transactions with less personal information being collected and stored with each transaction, lowering the risk of identity theft."

Stricter online policies could provide consumers more protection against credit card fraud and identity theft, both of which can cause major damage to victims' credit reports. Oftentimes, individuals look to a credit repair attorney or a credit repair company to help them dispute blemishes on their credit report that result from fraudulent charges.