Identity Theft

I went to my neighborhood watch meeting last night and the topic was identity theft. Since, this is such a hot topic and such an easy crime for the thieves to do, I thought I would share a few things on this blog with my readers.

Identity theft is one of the fastest growing financial crimes and it is no longer a question of "if," but rather "when" you become a victim. Some people are at greater risk than others. For most people, the tips below can be enough to keep themselves safe, however there are no guarantees.

Common Ways ID Theft Happens:

Skilled identity thieves use a variety of methods to steal your personal information:

Dumpster Diving. They rummage through trash looking for bills or other papers with your personal information on it.

You may think they are just looking for aluminum cans or other recyclables, but they may be looking to steal your identity.

Skimming. They steal credit/debit card numbers by using a special storage device when processing your card.

Phishing. They pretend to be financial institutions or companies and send spam or pop-up messages to get you to reveal your personal information.

Changing your Address. They divert your billing statements to another location by completing a "change of address" form.

"Old-fashioned" Stealing. They steal wallets and purses; mail, including bank and credit card statements; pre-approved credit offers; and new checks or tax information. They steal personal records from their employers, or bribe employees who have access.
source: http://ftc.gov/idtheft

So what can you do? There are some very practical and simple steps to deter many of these from happening to you.

Protect your Social Security number

• Don't carry your Social Security card in your wallet or write your Social Security number on a check. Give your Social Security number only when absolutely necessary, and ask to use other types of identifiers. If your state uses your Social Security number as your driver's license number, ask to substitute another number. Do the same if your health insurance company uses your Social Security number as your policy number.
  
  Your employer and financial institutions will need your Social Security number for wage and tax reporting purposes. Other businesses may ask you for your Social Security number to do a credit check if you are applying for a loan, renting an apartment, or signing up for utilities. Sometimes, however, they simply want your Social Security number for general record keeping. If someone asks for your Social Security number, ask:
  
  
• Why do you need my Social Security number?
  
• How will my Social Security number be used?
  
• How do you protect my Social Security number from being stolen?
  
• What will happen if I don't give you my Social Security number?
  If you don't provide your Social Security number, some businesses may not provide you with the service or benefit you want. Getting satisfactory answers to these questions will help you decide whether you want to share your Social Security number with the business. The decision to share is yours.

Shred financial documents and paperwork with personal information (including pre-approved offers) before your discard them.

Don't give out personal information on the phone, through the mail, or over the Internet unless you know who you are dealing with. Basically, if they contact you, hang up and call them. Never, call the number they may provide, instead call the customer service number on your billings or statements.

Don't use obvious passwords like your birth date, your mother's maiden name, or the last four digits of your social security number.

Keep your personal information in a secure place at home, especially if you have roommates, employee outside help, or are having work done in your house.

Never click on links sent in unsolicited emails: instead type in a web address you know. Use firewalls, anti-spyware, and anti-virus software to protect your home computer; keep them up-to-date. Visit OnGuardOnline.gov for more information.