Identity Theft INDEPENDENT LIVING: MANAGING YOUR MONEY

Identity Theft

INDEPENDENT LIVING: MANAGING YOUR MONEY

IDENTITY THEFT: ARE YOU A VICTIM?

• Have you or your parents ever…

• Written a check at the local store?

• Charged airline tickets?

• Rented a car?

• Applied for a credit card?

• Mailed in tax returns?

• Used a cell phone to order pizza?

• Each of these transactions requires sharing personal information, increasing the possibility of identity theft.

IDENTITY THEFT: ARE YOU A VICTIM?• What is identity theft?

• According to the FTC (Federal Trade Commission)

• When some one wrongfully acquires and uses your personal identification, credit or account information.

IDENTITY THEFT: ARE YOU A VICTIM?• What documents and belongings contain your personal information?

Name

Address &

Telephone

Number

Social Secur

ity Numb

erDriver

’s Licen

se Numb

er

Birth Date

Credit Card

Numbers

Bank Accou

nt Numb

ers

PERSONAL INFORMATION

• Making purchases with a check, credit or debit card

• Applying for a credit card or loan

• Online or telephone shopping

• Paying bills through the mail or online

• Going to the doctor

What daily activities require an individualto share personal information?

• Stealing - Information is taken from a purse or wallet, personnel records from a workplace, tax information, bank or credit card statements, or pre-approved credit card offers from the mail.

HOW DO THEY DO IT?

• Diverting Mail - Thieves can complete a change of address form and have the victim’s bills and statements mailed to a different location.

HOW DO THEY DO IT?

• “Dumpster Diving” - Personal information is discarded and thieves remove it from the trash.

HOW DO THEY DO IT?

• Skimming - Thieves attach a device to card processors to steal credit and debit card information

HOW DO THEY DO IT?

• Phishing - Thieves use a form of electronic communication (usually email) to pretend to be a company or depository institution in order to get the victim to give up their personal information.

HOW DO THEY DO IT?

• Pretexting - Thieves use false pretenses to obtain your personal information from financial institutions, telephone companies, and other sources.

HOW DO THEY DO IT?

• Spyware - Software installed on the victim’s computer, without their knowledge or consent, that monitors internet use, sends pop up ads, re-directs the computer to other sites, and tracks key strokes.

HOW DO THEY DO IT?

• Hacking - Information is stolen by breaking into a computer system.

HOW DO THEY DO IT?

HOW DOES A THIEF USE THIS INFORMATION?

• To apply for a new driver’s license

• To open new bank accounts

• To apply for credit cards or store credit accounts

• To obtain cash with bank cards

• To get a job

• To rent an apartment

• To make retail purchases

• To take out student loans

• To apply for bankruptcy

IDENTITY THEFT- MINIMIZE THE RISK

Wallets and Purses• Don’t leave your wallet or purse in plain sight.

• Don’t hang purse from chair at public place.

• Use a purse with a secure closure.

• Carry only what is absolutely needed.

Credit, Debit and ATM Cards• Keep a list of all cards and account numbers.

• Keep track of all receipts.

• Close unwanted accounts in writing and by phone and cut up the card.

• Memorize PIN number

• Sign back of card with signature and “see ID”

• Carry cards separately from wallet

• Don’t leave bills and bank statements lying around.

• Pay attention to billing cycles and follow up if bill does not arrive on time.

• Obtain a photo I.D. card.



Credit Card Offers

• Shred any credit card offers received and not used.

• Cut up any pre-approved credit cards not used. pre-screened credit offers for five years at ww.optoutprescreen.com


Mail• Deposit outgoing mail in post office collection boxes.

• Promptly remove mail from mailboxes.

• If on vacation, put a hold on mail.

• Email

• Keep your username and password protected

• Do not click to open any mail from an unrecognizable address


• Telephone

• Verify the source of any phone call asking for personal information by calling the company to confirm the phone call is legitimate.

• Do not give any personal information over the phone, unless you have initiated the call.


Computer Security• Use anti-virus and anti-spyware

software and update them regularly.

• Do not give out personal information unless making a purchase.

• Do not click on links found in pop-up ads.


Social Networks, Blogs and Chat rooms• Avoid posting information that could

be used to identify you offline such as school, work or other locations where you spend time.

• Use privacy settings to restrict who can access personal sites

• Only post information that you are comfortable with anyone viewing.


Internet Purchases• Limit online purchases to secure

websites.

• Make sure the browser states ”https” or “shttp” The s stands for secure.

• Look for a picture of a lock after the URL or in the bottom right hand corner indicating the site is secure.

• Use a credit card instead of a debit card.



Social Security Number• Memorize Social Security number

• Keep card in a safe place; do not carry it in wallet.

• Only give number when absolutely necessary.

• Credit Reports

• Check with each of the 3 credit reporting agencies at least once a year.

• www.annualcreditreport.com

• Immediately dispute any wrong information


http://www.annualcreditreport.com/

RECOGNIZING IDENTITY THEFT

• New accounts or charges you didn’t make

• Calls from collection agencies

• Incorrect information on your credit report

Early detection is key!

• Being denied credit when there is no reason to be

• Missing bills or mailed statements

Watch for the following signs

WHAT TO DO IF IDENTITY THEFT HAPPENS

1.• Act immediately!

2.• Keep a detailed record of correspondence and phone records.• Follow up all communication with letters sent via certified mail

3.

• Contact the three major credit bureaus and request a free fraud alert be added to credit report.

• Fraud alert - warns creditors to verify an individual’s identity before issuing credit

WHAT TO DO IF IDENTITY THEFT HAPPENS

4.• Close all accounts which have been tampered

with or opened fraudulently

5.• File a police report with the local police

6.• File a complaint with the FTC:

www.ftccomplaintassistant.gov

IDENTITY THEFT PROTECTION

• Offered by banks and other companies

• Services• Closely monitor accounts and personal information

• Alert consumer when there is a change

• Help resolve any problems if identity theft does occur

• Cost• $5.00 to $35.00 per month

• Depends on amount of services provided

• Can NOT eliminate identity theft but can help prevent it



Pros ConsConvenient CostSaves consumer time because they don’t have to monitor their own accounts and credit reports

Most of the services offered can be completed by the consumer for no cost

What are the pros and cons of identity theft protection?

IDENTITY THEFT INSURANCE

Services• Limits liability of identity theft victims• Reimburses victims for some or all out of

pocket expenses caused by the theft

Choosing identity theft insurance• Research exactly what the company covers• Check to see if there are any complaints against the company

(Better Business Bureau, consumer protection agency, and state Attorney General)

IDENTITY THEFT PRE-TEST

• Fraudulent-

• Deceitful; not what it seems to be.


• Browser-

• A computer program used for accessing information on a network.


• Counterfeit-

• Made in imitation of something else with intent to deceive.


• Liable

• Accountable; responsible


• Encryped-

• Written in code.


• Phishing

• The use of pop-up messages that ask for personal information while using the internet.


• Legitimate-

• In accordance with the law.


• Routing-

• To divert in a specified direction.


• Unsecured-

• Obligation backed not by collateral but only by the integrity of the borrower.


• Creditor-

• Person or organization which extends credit to others.


• Hacking-

• Breaking into a computer system


• Spyware-

• Software that monitors internet use

Documents

Identity Theft INDEPENDENT LIVING: MANAGING YOUR MONEY