Publication Type
Working Paper
Version
publishedVersion
Publication Date
12-2025
Abstract
We study whether greater digital engagement increases the risk of identity theft by exploiting bank branch closures as a shock that shifts economic activity online. Using a quasi-natural experiment, we find causal evidence that branch closures increase identity theft, particularly in more vulnerable communities. Exposed consumers spend more time on mobile apps and shift their expenditures from offline to online channels. Adversarial activities associated with identity theft, such as unwanted calls and phishing attempts, increase after branch closures. Overall, our evidence suggests that digitalization offers consumer benefits, but also imposes hidden privacy costs.
Discipline
Finance and Financial Management | Technology and Innovation
Research Areas
Finance
First Page
1
Last Page
78
Identifier
10.2139/ssrn.5137239
Embargo Period
2-26-2026
Citation
PHUA, Kenny; WEI, Chishen; and YU, Gloria Yang.
Grand theft identity: The privacy costs of digitalization. (2025). 1-78.
Available at: https://ink.library.smu.edu.sg/skbi/62
Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial-No Derivative Works 4.0 International License.
Additional URL
https://doi.org/10.2139/ssrn.5137239