Personal information such as a person's date of birth, address, mother's maiden name and passwords have become a `currency' for thieves seeking to obtain credit, goods and other services.

A recent ABS report says fraud, identity fraud has become the fastest growing crime in Australia, claiming 453,100 victims in the past 12 months at an estimated cost of $1 billion to the economy.

Western Sydney Senator Marise Payne said the way in which thieves steal a person's identity had become more sophisticated and could include obtaining personal information from internet sites, rubbish bins or by copying credit card information after you make a purchase.

She said the Government must improve identity security to protect the identities of innocent Australians from being used for illegal purposes.

``Victims of identity theft bear significant financial and emotional costs in regaining their identity and credit rating and it is critical that people know how to protect themselves,'' she said.

``To help prevent identity fraud, check credit reports at Credit Reference Agencies to ensure no accounts or credit have been illegally set up in your name.

``They should shred documents before throwing away to ensure fraudsters cannot build up a profile based on information you discard in the rubbish, install up-to-date internet security and anti-virus software and secure mailboxes with a lock so that it can only be accessed

by you.

``Pay attention to billing cycles - contact creditors if your bills arrive late as a missing bill could mean a fraudster has taken over your account.

``Avoid using obvious passwords such as telephone numbers, birth dates or your mother's maiden name and beware of anybody who contacts you unexpectedly for personal information or account details.''