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I don't get how fraudsters can create all of these fake identities. Every cc and bank acct application I've ever filled out has asked me for my SSN. Surely the banks check on that before issuing a card? How can n fraudsters get n^2 valid ssns?

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While synthetic identity fraud happens (you can use fake SSNs!), this isn't intended to stop that kind of fraud.

This is intended to stop people from using other peoples credit cards, not their own cards they just applied for as someone else.

That still doesn't make any sense. The modus operandi here (I thought) was that N fraudsters mix-and-match their actual addresses and phone numbers with fake names in order to open N^2 fraudulent accounts, which they then operate legitimately for a while before pulling the scam. So they can't be using other people's cards because the fake identities don't really exist.

Identity theft would be my guess.

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