This week we will have tips on identity theft. How it happens and how you can protect yourself.
The Federal Trade Commission states approximately 9 million Americans have their identity stolen each year.
Identity theft occurs when someone uses your personal information without your permission to commit fraud or other crimes for the purpose of:
Assuming another person’s identity.
Obtaining credit or credit card.
Stealing money from credit, checking and savings accounts.
Gaining employment.
Leasing or purchasing real estate or automobiles.
How Does Identity Theft Occur?
Identity theft can occur in a number of ways, either through digging through your trash, recording your credit card numbers, obtaining your personal information through false pretenses, changing your address to receive items at a separate location, and stealing wallets, purses or driver licenses.
Legal authorities call such crimes Dumpster Diving, Skimming and Pfishing.
This week's blog will present several different ways that people become victims of identity theft. The first method is a technique referred to as dumpster diving.
Dumpster Diving:
By leaving your un-shredded bank statements, credit card statements, medical bills, pre-approved credit card solicitations, and other personal
documents in your kitchen garbage you may attract thieves and lead to a financial disaster. Any one of those documents can be sitting in your outside
garbage bins waiting for someone to come steal your garbage and piece together your mail.
Skimming:
Be careful of who you provide your credit card information. Criminally-minded retailers exist and can easily run your card in a special copying machine during the course of legitimately running your transactions.
Pfishing:
Pfishing—This word looks funny but sounds familiar. Every day thousands of people receive emails from senders claiming to be financial institutions requesting you to click on a link to verify information. These links are actually fake sites created by thieves who send spam or pop-up messages to gain your personal information.
NEVER log onto your financial sites from an email link. You should always type your bank’s address separately and log on apart from email.
What Thieves Do With Your Information.
Thieves may open credit card accounts in your name, fail to pay bills and hurt your credit.
By changing your billing address, you may never know that your account is being charged.
Utilities, wireless, cable and heating accounts can be opened using your information.
Thieves can also create fake checks using your name, write illegitimate checks or duplicate your ATM card.
Some thieves may even take out loans in your name.
Fake IDs can also be made using his or her picture with your information.
Vehicles and houses are not to be discounted, they too can be rented in your name, and jobs can be obtained using your social security number.
Prevention Tips:
There are some ways you can protect yourself from identity theft.
When it comes to personal finance matters:
Order and review copies of our financial report from Equifax, Experian and TransUnion every year.
Empty your wallet of extra credit cards and identity.
Shred all financial documents you plan to discard.
Only release personal data to agencies who require it to initiate certain actions.
Your department of motor vehicles can issue drivers licenses without your social security number.
Ensure your pin numbers cannot be viewed by others when entering it into an ATM.
Shred all financial receipts and never leave then at the retail location.
Do not keep passwords or your Social Security number in your wallet.
Remove mail promptly from your mailbox.
Deposit outgoing mail in locked post collection boxes, not in your mailbox.
Use caution when supplying your financial information over the Internet.
If You Become a Victim of Identity Theft:
Contact credit reporting agencies.
Close accounts and contact fraud departments for each company where your account has had unauthorized activity.
File a police report.
