A theft alarm system includes a personal article that may be carried. The personal article has a closure that is positionable in an open position. An alarm unit is coupled to the personal article. The alarm unit is in communication with the closure such that the alarm detects when the closure is manipulated into the open position. A base unit is configured to be carried and the base unit is in communication with the alarm unit. The base unit selectively emits an audible alarm when the personal article has been opened. The base unit selectively actuates the alarm unit to emit an audible alarm thereby facilitating the personal article to be located. An electronic device is provided and the electronic device may be carried. The electronic device is in wireless communication with the alarm unit. The electronic device emits an audible alarm when the personal article is opened.