Identity Theft Barbara O Neill Ph D CFP

Identity Theft Barbara O’Neill, Ph. D. , CFP Rutgers Cooperative Extension, New Jersey Adapted by Jean Lown, Ph. D. & Lindsay Grover Financial Planning for Women April 11, 2012

ID Theft Deter Detect Defend http: //www. ftc. gov/bcp/edu/microsites/idth eft/video/avoid-identity-theft-video. html 2

What is Identity Theft? a crime of stealing personal information & using it fraudulently name address Social Security number birth date mother’s maiden name, etc. 3

What are Consequences? Prevents you from getting mortgage, loan, credit card, etc. Costs you time & money Destroys your credit & ruins your good name Criminals assume your identify 4

Warning Signs of Identity Theft Not receiving credit card or bank statements Denied credit Getting bills from companies you don’t recognize Credit collection agencies calling to collect on debts that are not yours 5

Common Forms of Identity Theft Credit card fraud Communications services fraud (cell phone) Bank fraud Fraudulent loans Internet fraud 6

How Identity Theft Occurs Identity thieves… steal wallets and purses containing your ID steal your mail complete false “change of address” forms rummage through trash (“dumpster diving”) pose fraudulently as someone else to get your information 7

More Ways Identity Theft Occurs Identity thieves… steal business or personnel records find personal info in your home use info you put on Internet (FB) buy personal info from “inside sources” “shoulder surf” at ATMs Tap into wireless communications 8

Technology Scams: Phishing, Fraudulent E-mails, etc.

Look-Alike (Fake) Web Sites Spoof e-mail messages sent to “verify” or “update” account info Appears to come from reputable company Example: e. Bay, Best Buy, banks, merchants Looks “legitimate” Scam is called “phishing” Get people to disclose sensitive data Data used to commit identity theft 10

Red Flags of a Phishing Scam E-mails that direct users to a Web site to “validate” or “update” info E-mails warning accounts will be closed Grammatical errors and typos References to 9 -11, the Patriot Act, etc. Return addresses at yahoo. com, juno. com Words Like “Urgent” and “Important” 11

How Identity Thieves Use Your Information Change mailing addresses on credit card accounts Open new credit accounts Establish phone or wireless service in your name Open new bank accounts & write bad checks File for bankruptcy under your name Make counterfeit checks or debit cards Buy and take out car loans in your name Commit crimes in your name 12

Reducing the Risk of ID Theft Shred credit card applications, receipts, bank, & billing statements Avoid giving your SSN unless absolutely necessary -- use other identifiers Guard mail from theft (in- & out-going) Go Green; go electronic 13

More Ways to Reduce the Risk of Identity Theft Carry minimum identification Travel with back up ID secured Limit number of credit cards you carry. Don’t give personal identification on phone unless you initiate call. Protect personal info in your home. Use STRONG passwords on credit card, bank, & phone accounts. 14

Still More Ways to Reduce Risk of Identity Theft Don’t carry your SS card. Save ATM & credit card receipts to check against statements. Monitor your credit reports 3 x/year https: //www. annualcreditreport. com 15

Deter ID Theft Opt-out of pre-approved credit offers Thieves steal & alter to apply in your name at their address https: //www. optoutprescreen. com Protect yourself w/ a credit report freeze Don’t wait until you are a victim Place 90 day freeze & renew https: //www. annualcreditreport. com 16

90 day fraud alert a. k. a. initial security alert a 90 day fraud alert is free a credit freeze costs $ Fraud Alert takes only a couple minutes https: //www. experian. com/fraud/center. html Register with 1 credit bureaus it notifies the other two CBs. Also removes you from prescreened offer mailing list for 6 months.

Defend: If You’re a Victim. . . Contact credit bureau fraud departments https: //www. annualcreditreport. com Place fraud alert on your account Contact creditors & financial institutions Close accounts that you know or believe someone has tampered with or opened fraudulently; get new account # File police report Report to FTC Report to state Attorney General office 18

Who’s got your kid’s ID? (SLT 4/8/12) Utah AG’s ID theft report system > 3, 000 cases in past 5 years 2/3 involved children’s SS# FTC: 19, 000 cases of child ID theft Why kids? Theft goes undetected for years! Cases of Utah kids w/ $500, 000 in debts! 19

Utah Resources KSL TV report January 2012 http: //www. ksl. com/? nid=960&sid=190748 19&s_cid=rss-960 2: 34 min. Minor Theft Prevention Service ID Theft & Child Identity Protection http: //www. idtheft. utah. gov/ 20

Protect your kids AG’s Child Identity Protection Program Partnership with Trans. Union credit agency Places warning on child’s credit record Puts them in “High risk fraud” database If someone applies for credit in kid’s name creditor gets warning that SS# is minor’s Don’t pay for costly credit monitoring services 21

ID Theft through Social Networking Sites Accepting invitations to connect with unfamiliar persons or contacts Using low privacy or no privacy settings Downloading free apps for use on your profile Giving your password or other account info to people you know Tips from: ID Theft Resource Center: www. idtheftcenter. org 22

Tips from: www. idtheftcenter. org Social Networking ID Theft Participating in quizzes (i. e. How well do you know me? ) require you to divulge personal info Clicking links that lead to other websites, Beware even if the link was sent by a friend or posted on friend's profile Using no or out-of-date security software 23

How to Protect Yourself in Social Media Settings Use least amount of info necessary to register & use sites (use a nickname) Create STRONG passwords; change often upper & lower case, symbols & numbers Be wise about what you post Tips from: www. idtheftcenter. org 24

Tips from: www. idtheftcenter. org Protect Yourself on Social Media Only connect w/ people you know & trust. Read privacy and security polices closely Verify emails & links in emails from your social networking site. Un-click the privacy settings that display the time stamps of your posts 25

ID Theft & Smart Phones Don't lose it! Use passcode to protect phone in case it is lost or stolen. Use anti-virus software Update software when updates are available Only enable GPS when needed (? ) Tips from: www. idtheftcenter. org 26

ID Theft & Smart Phones Don’t save account # & passwords in text files. Don’t use auto-save function on passwords. Delete unused apps Be careful about using wifi spots 27

ID Theft Resources ftc. gov/idtheft 1 -877 -ID-THEFT Identity Theft Clearinghouse Utah: http: //www. idtheftcenter. org/artman 2/publi sh/states/Utah. shtml 28

Questions? Comments? 29