How to Stay Safe from Identity Theft While Gambling Online

Cybersecurity threats remain a major menace for online gamblers, despite the growing restrictions and consistently improved gambling laws around the world. Fraud in gambling isn’t limited to individual losses these days. It can also enable serious crimes such as money laundering, not to mention threaten the financial system in general. 

The situation should not be underestimated. It is quite dire, especially for gamblers who use unsafe casino sites or aren’t aware of the tricks fraudsters use to scam them. Back in 2021, 1 in 10 people were victims of identity theft in the US alone. 

This number is growing gradually every year. In the first six months of 2024, for instance, there was a 14% increase in reported incidents of compromised data compared to 2023. 

All this is no reason to avoid online gambling, though. The online gambling market has grown so much. It offers a myriad of perks to players along the lines of flexibility, bonus access, and, of course, basically unlimited access to top-quality games. 

To help you stay safe from identity theft while gambling online, we’ve created this guide. In it, we’ll dive deeper into the methods you can use to protect your identity when you gamble at an online casino.  

1. Know the types of online gambling fraud

Online gambling fraud can take different forms. In this post, we will focus on the types of fraud related to identity fraud. This includes all the cases where a person attempts to impersonate someone else to engage in deceptive practices. This is the first step toward preventing identity theft. The most common types of online gambling fraud of this kind are:

• Account takeover where fraudsters gain control of user accounts that are legitimate and confirmed. This is often achieved through phishing. For instance, a criminal might send you an email disguised as the casino you are using, asking you to ‘verify your account’. When you log in and enter the data, they’ll capture your credentials and misuse them on other casino sites. 

• Underage gambling is the presence of underage players who use someone else’s identification document to create an account and gamble at a casino.

• Multi-accounting is the practice of using multiple accounts to manipulate the bonuses and odds. Fraudsters use this technique to hedge bets, place conflicting bets on the same event, etc.

• Bonus abuse is where fraudsters exploit the promotions provided by gambling sites. They do this by using different email addresses, fabricating identities, and more. 

Payment fraud includes everything from the use of a stolen credit card to making chargebacks.

2. Consider using third-party identity theft software

If you want the best chance against online gambling scams, there is a simple solution - use a tool to keep you safe. Unless you do this, you’d have to manually cross-reference enormous amounts of data. This is humanly impossible. Thankfully, online casino identity theft technology can help you skim through the data in real-time and find the glitches and scams before they harm you. Software like SEON will do the following - and then some more to keep you safe:

• Monitor your data

• Investigate and look for risks

• Keep you informed on the risks

• Take action based on what you choose

Simply put, you can use and automate the software to block any unwanted actions that can harm you, such as fraud attempts or attempts at stealing your identity. The tool’s AML screening will look at everything from sanctions, crime lists, watchlists, PEPs, and catch incoming/outgoing payments.

3. Make use of two-factor authentication

Identity fraud has cost Americans $43 billion in 2023. Sadly, a lot of this could easily have been prevented. One of the best methods for gambling online safely is two-factor - or multi-factor authentication. 

By using this option, you’ll give yourself a second - or maybe even a third step to log into your gambling account. It is an extra security layer, one that requires a one-time code on your phone, or an email confirmation.

As such, two-factor authentication can make you far less vulnerable to hacking. Let’s say that someone got their hands on your password. They can try to use it to log in, but they won’t be able to go through the second step. 

Two-factor authentication is a masterful way to prevent criminals from entering your accounts or accessing your banking information. It is one of the best ways to avoid AI-based fraud and bots that continuously try to access your accounts and perform identity theft. 

4. Use strong passwords

It is one thing to lose your account security because you’ve been hacked. This can happen to everyone, even the best of us. Take, for instance, the case of one of the world’s best poker players. Even though the details remain largely undisclosed, it was uncovered that poker legend Doyle Brunson has been a victim of identity theft! 

A lot of the time, hacks happen no matter how hard we try to prevent them. But, most of the time, they happen because we didn’t try hard enough to remain safe online. Imagine this - you became a victim of identity theft because the criminals guessed your password! 

A lot of the time, people use simple passwords to remember them easily. Many of us also use the same password everywhere. This makes the job of hackers a lot easier. Once they hack your password, they can access all of your accounts - including the one at an online casino you are gambling at.

In addition to using two-factor authentication, make sure to pick a different - and strong password for every account you are using. This is especially important for accounts that use a lot of your personal information, as well as banking details, such as online casinos. 

5. Keep yourself informed about scams

The rise in identity theft scams is undeniable, especially now that hackers have access to tools like automation and artificial intelligence. As the security measures improve, hackers are getting more creative with their ways to get to your personal data. 

Keep yourself informed on the latest scams. Do scammers use email to reach out to their potential victims and convince them to click on something or provide their login and personal details? If you get a request online, do your due diligence and research this online before you even make a click. 

6. Monitor your financial accounts

Whether you are doing some shopping online, using your card at a store, or gambling at an online casino, checking your financial accounts often can help you prevent - or at least minimize the damage from identity theft. Keep an eye on your credit reports to catch suspicious activity early. You can always set up alerts for account logins or unusual transactions. This way, you can act fast and block your account if you see that someone is using your money, and report it. 

When you come across a transaction that you didn’t authorize, make sure to dispute it as promptly as possible. 

7. Limit the amount of information you share

Online casinos require quite a lot of personal information to create an account, play, and verify your identity. You will need to provide details such as your name, address, phone number, date of birth, and more. 

While this is mandatory to gamble at licensed, secure casinos, you can take some measures to protect your personal data. For starters, know that you won’t need to enter things like your social security number on a casino website. 

One great thing about online casinos nowadays is that many of them offer you different choices in terms of banking. You can avoid entering your card details altogether by using third-party banking products like electronic wallets, for instance. On some sites, you can use prepaid cards that you can buy online or at a physical store, which completely eliminates the need to enter banking details. 

These days, you can also use cryptocurrency to gamble - though keep in mind that crypto can fluctuate greatly. 

Eager to do some online gambling? Make sure to go through these steps first!

Online gambling can be thrilling - and rewarding for those who are lucky! If you are eager to get started and claim that bonus or play your favorite game, take a minute to go through our list here. Licensed and secure online casinos take many measures to protect you, including SSL encryption, secure banking methods, and much more, but this is not their responsibility alone. Many instances of identity theft happen because individuals make easily avoidable mistakes. The steps to ensure that you gamble safely are simple - and they take very little time to implement. Good luck!