Hacked Devices Are Now the #1 Threat. What Do You Need to Know?

For years, scams were the biggest way people got their identities stolen. But something big just changed. A new report from the Identity Theft Resource Center (ITRC) found that, for the first time ever, hacked devices have taken the top spot. Device hacking is now the number one way adults aged 35–64 have their identities compromised. That's a huge shift!

What does this mean for you? Well, it means you want to pay attention to your devices and security. Below we’ve explained the basics of device hacking. We’ve also offered some steps you can take to stay safe in this digital world.

What is device hacking?

Device hacking is when someone gets into your phone, computer, or tablet without your permission. Once they're in, they can steal your passwords, read your messages, access your bank accounts, and even lock you out of your own device. This kind of access gives them the ability to pose as you and drain your bank accounts, open new ones, send further scams to your contacts, and commit various other identity theft crimes. You may not even know it's happening until the damage is done.

Unlike a scam where a criminal has to trick you into giving up your information, device hacking can happen quietly in the background. You don't have to click the wrong link or answer a fake call. Hackers can sometimes get in without you doing anything obvious at all.

How does device hacking happen?

There are many ways hackers can get into your devices. Check out some of their common methods:

• Malware downloads: You download a free app, game, or file that secretly contains harmful software. Once installed, it gives hackers access to your device.
• Phishing emails or texts: You get a message that looks real. Maybe the sender claims to be from your bank or a delivery company. But clicking the link installs spyware on your device.
• Unsecured Wi-Fi: When you connect to public Wi-Fi, like at a coffee shop or an airport, hackers on the same network can sometimes see what you're doing and grab your login info.
• Weak or reused passwords: If you use the same password on multiple accounts and one gets leaked, hackers can use that password to break into your other accounts and devices.
• Outdated software: When you skip software updates, you leave security holes open that hackers know how to exploit.
• SIM swapping: A hacker convinces your phone company to move your phone number to a new SIM card they control. Now they get your calls and texts — including security codes sent to your phone.
• Spyware apps: In some cases, someone with physical access to your phone installs a hidden app that tracks your location, reads your messages, and monitors your activity.
• Data breaches: A company where you have an account gets hacked, and your login info is exposed. Criminals then use that info to try to break into your devices and other accounts.

Why is device hacking on the rise?

Device hacking has exploded in recent years, and the numbers prove it. According to the ITRC's 2026 Trends in Identity Report, unauthorized access to computers and mobile devices jumped 78 percent in just one year — going from about 15 percent of all identity compromises to more than 27 percent. That kind of growth is alarming.

Part of the reason is that we rely on our devices more than ever. We bank, shop, message, and work all from the same phone or laptop. That makes our devices a gold mine for criminals. At the same time, hacking tools have become easier to use and harder to detect. Criminals no longer need to be computer experts when they can buy ready-made hacking software online. And with so many people storing sensitive information on devices, the payoff for a successful hack is bigger than ever.

The ITRC report also found that identity crimes are becoming "multi-layered," meaning one hack can set off a chain reaction. A single compromised device can lead to stolen passwords, drained bank accounts, opened credit cards, and more, all at the same time. In fact, about one in four identity crime victims now deal with two or more problems at once.

How to protect yourself from device hacking

The good news is that there are real steps you can take to protect your devices and your personal information. Start with the basics:

• Use strong, unique passwords for every account.
• Turn on two-factor authentication wherever you can.
• Keep your phone and computer software updated — those updates often fix security holes hackers try to use.
• Be careful on public Wi-Fi and avoid clicking links in emails or texts you weren't expecting.

It also helps to know what's happening with your personal information:

• Regularly check your bank and credit card statements for charges you don't recognize.
• Use a VPN (virtual private network) when browsing online, especially on public networks, to keep your data private.
• Install trusted antivirus or anti-malware software on your devices and run regular scans.
• Think twice before downloading apps. Only use trusted sources and check what permissions an app is asking for before you install it.

How IDShield can help

If your identity is stolen through a hacked device, the consequences can be serious — and hard to undo on your own. That's where IDShield comes in. IDShield offers consultation services to best guide you through how to protect your personally identifiable information and online privacy. If you think your information has been compromised, we discuss the need to review credit reports and place a credit fraud alert if needed. We may also suggest taking the device to a professional tech repair and support service as well as installing anti-malware moving forward.

Our ScamCheck feature from Trend Micro can look at suspicious messages, links, and screenshots to detect scams before you click on them. Our built-in VPN and anti-malware software add a layer of protection to your devices. We also offer a password manager so you can safely store your login credentials in one secure place where identity thieves can’t get their hands on them.

And if you do become a victim, IDShield Licensed Private Investigators are ready to help you restore your identity. They will do whatever it takes for as long as it takes to restore your identity to its pre-theft status. You don't have to face this alone.

Don't wait until it's too late. See IDShield plans and find the right coverage for you.

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