Question

Using fraudulently obtained credit cards, debit cards, checks, or bank accounts and making false insurance claims are examples of _______.

Option 1: ethical financial practices
Option 2: legal business transactions
Option 3: criminal activities
Option 4: responsible money management

Answer 1

The student's question pertains to using fraudulently obtained financial instruments and making false claims, which are examples of criminal activities.

Step-by-step explanation:

Using fraudulently obtained credit cards, debit cards, checks, or bank accounts, as well as making false insurance claims, are all examples of criminal activities. Engaging in such actions constitutes various forms of fraud, including identity theft, which is sometimes referred to as "True-name Fraud." In cases of identity theft, criminals wrongfully acquire and use a person's personal identification, credit, or account information without permission, often leading to significant financial damage to the victims. This can include draining savings accounts and incurring large debts for expensive purchases, which is a criminal misuse of financial instruments.