What is not a consequence of identity theft?

Discover effective strategies to excel in the Personal Financial Literacy Module 4 DBA Test with insights, flashcards, and multiple-choice questions, each equipped with hints and detailed explanations. Ace your exam with confidence!

Being unaffected in personal relationships as a result of identity theft is indeed the correct choice. Identity theft typically leads to significant stress and emotional turmoil for the victim, which can strain relationships with family, friends, and colleagues. The process of dealing with the aftermath of identity theft—such as rectifying one’s credit report, handling financial disputes, and potentially becoming a victim of further fraud—often consumes a victim's time and energy, potentially leading to feelings of isolation or frustration.

In contrast, the other options highlight the real consequences that identity theft can impose. For example, identity theft may lead to financial losses, negatively impacting current assets. Additionally, it can severely affect an individual's purchasing power, as stolen identities can lead to credit card fraud or unauthorized loans, leaving individuals with debt and potentially hampering their ability to make necessary purchases. Furthermore, the mental stress from dealing with identity theft can also have implications on mental health, creating anxiety and problems that extend beyond just financial implications.

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