LETTERS From CAMP Rehoboth |
CAMP Money |
by Chris Beagle |
Identity Theft: Are YOU Next?
Earlier this month, the U.S. Department of Justice announced the largest identity theft case in the nation's history. Eleven people were charged in connection with the hacking of nine major retailers and the theft and sale of over 41 million credit and debit card numbers. Retailers targeted included BJ's Wholesale Club, OfficeMax, Barnes & Noble, The Sports Authority and Forever 21. Most of the victims were from the United States. Reportedly, those accused used a technique called 'wardriving' to obtain the personal information. This involves using a laptop and driving through major shopping areas, looking for accessible wireless internet signals. Once a vulnerable network was identified, they installed so-called "sniffer" programs that captured credit and debit card numbers as they moved through a retailer's processing networks. The Federal Trade Commission estimates that as many as 9 million Americans have their identities stolen each year, translating to an identity being stolen every 3 seconds. These thefts cost the average victim nearly $4,000 and an estimated 175+ hours (or just over one full week, working round-the-clock!) to fully resolve the credit problems caused by the theft. Identity theft is one of the fastest growing crimes in the country and if it happens to you, you may not know it's happened for months or even years. Think it won't happen to you? Just consider all the people who have private information about you or access to it...your doctor, accountant, lawyer, insurance providers, pharmacist, or employees of any of those offices. In addition, your neighbors, mail carriers, trash collectors...the list is endless. What you can do to protect yourself... Shred it! Buy a shredder and destroy anything with personal identifiers. Especially important are customized, pre-approved credit applications received in the mail. Don't forget to shred credit card and ATM receipts. Basic rule, make sure you don't throw anything away that someone could use to become you. 'Dumpster Divers' can easily obtain the information needed to steal your identity, just by going through your trash. Shoulder Surfers stand closer to you than normal when using your credit card or debit card in public. Cell phones with cameras, and other devices with hidden cameras, can allow your private information to be stolen rather easily if you're not careful. Don't be concerned with social embarrassment by shielding yourself when you are entering any PIN numbers. You must be proactive and vigilant. The thieves definitely are! Keep the Key! When checking out of a hotel where you were issued a card-key to access your room, don't leave the card-key behind. Hold on to it until you arrive home and can shred it. The opportunity and technology for private data to be coded in the magnetic strip exists, so why take the risk. What's in your wallet? Make photocopies all personal material in your wallet...driver's license, credit cards, insurance cards...both front and back. Keep a copy secure in your home and consider giving a copy to a friend or relative who lives elsewhere. Should your wallet be lost or stolen, you won't have to wonder what was actually taken, and you'll be able to quickly notify the appropriate entities about the loss. DO NOT keep your Social Security Card in your wallet either. It is the crown jewel of identity theft. Don't Give It Up. Avoid falling prey to 'phishing' scams, both over phone and through email. In a phishing scam, identity thieves pretend to be someone from your bank or a credit institution and simply ask you for your personal information. Don't do it. Verify who is requesting the data and why, and then call the institution yourself. One extra phone call could save you a lot of trouble and money. Stay off the Pharm. While phishing enables thieves to pilfer information from you, pharming is another kind of scam that consists of hijacking your computer and stealing your personal information. A pharming site is designed to look just like the website you're trying to visit. However, enter your information on this fake site and not only can it track your moves within it, it may also direct your computer to give up other personal information at a later time. Be sure you are visiting the correct site before entering any information. Return to Sender. Didn't know you moved? Some scammers simply fill out a change of address form and divert your mail to another location. The key to avoiding this scam is to know the dates when your statements typically arrive. Pay close attention to any unusual delays in delivery. Consider utilizing a P.O. Box to receive your mail. It is likely to be much more secure than your unlocked mailbox. Opt-out of Special Offers. Visit optoutprescreen.com to cut down on the pre-approved offers from credit card and insurance companies. It only takes a few minutes to opt out, but it could spare you tons of junk mail and could possibly save you from identity theft. Credit Checks. Visit annualcreditreport.com to obtain a free credit report every 6 to12 months. Review your reports and look for any suspicious activity, unusual or inaccurate names or addresses, or any inquiries that were done without your knowledge. In many states, you may place a 90-day "Fraud Alert" on your credit report, which further restricts access to your credit information. Simply call one of the three main credit bureaus to activate the alert. Here are their toll-free numbers: Equifax 1-800-525-6285 Experian 1-888-397-3742 TransUnion 1-800-680-7289 Give me a call or email me for a sample letter that you can customize with your own information and send to the three credit reporting agencies shown above. Doing so is a proactive means of protecting yourself. It's not a guarantee of 100% credit protection, but it certainly can't hurt. For information, contact the Federal Trade Commission at ftc.gov/idtheft. This site is a one-stop national resource devoted specifically to help you deter, detect, and defend against identity theft. Email Chris Beagle at christopher.beagle@gmacm.com. |
LETTERS From CAMP Rehoboth, Vol. 18, No. 12 August 22, 2008 |