Identity Theft, Your worst nightmare!

Identity theft is a crime whereby criminals impersonate individuals, usually for financial gain. In today's society, you often need to reveal personal bits of information about yourself, such as your social security number, signature, name, address, phone number, cell number or even banking and credit card information. If a thief is able to access this personal information, he or she can use it to commit fraud in your name.

Armed with your personal information, a malicious person could do any number of things, like apply for loans or new credit card accounts. It's possible they could request a billing address change and run up your existing credit card without your knowledge. A thief could use counterfeit checks and debit cards or authorize electronic transfers in your name and wipe out funds in a bank account.

Identity theft is the leading consumer complaint to the Federal Trade Commission (FTC). The FTC reports that 9 million identities are stolen in the United States every year. Of course, stealing your identity information isn't the worst of the crime; it's what the criminal does with the information that's damaging: credit card fraud, mortgage and utilities scams; and emptied bank accounts

Identity theft can also go beyond a monetary impact. Thieves can use your information to obtain a driver's license or other documentation that would display their photo but your name and information. With these documents thieves could to obtain a job and file fraudulent income tax returns, apply for travel documents, file insurance claims, or even provide your name and mailing address to police and other authorities if involved in other criminal activities.

A Two-Part Crime

Identity theft is a two-step process. First, someone steals your personal information. Second, the thief uses that information to impersonate you and commit fraud. It's important to understand this two-step approach, because your defenses also must work on both levels.

Protect Your Information

Online identity theft is a huge and growing problem; mainly because scammers are getting really good at tricking people into giving over their information. With phishing and pharming scams, thieves use fake emails and websites to impersonate legitimate organizations. They leverage your trust by coercing you into divulging personal information, like passwords or account numbers. Likewise, hackers can create malware to infiltrate your computer and can install keystroke loggers to steal data or capture account names and passwords as you type them.

You can foil would-be identity thieves by being proactive:

• ·        Transact financial business online only with secure websites with URLs that begin with "https:" or that are authenticated by companies like VeriSign or the Norton Secured Seal.
• ·        Install personal firewall, antivirus, antispyware, and antispam protection-all are available in a single security suite eg: Norton Security.
• ·        Avoid phishingscams by using caution when clicking on links or opening files from unknown senders.
• ·        Use unique secure passwords for each site you visit.
• ·        Be careful about what personal information you divulge via social networks. Scammers can gather a lot of information about you when accessing these networks. Social networks can display personal information such as your full name, birth date and city that you live in. Be sure to check your privacy settings on your social accounts to be sure that information is only visible to trusted friends and family.
• ·        Watch out for “shoulder surfers” that are looking over your shoulder while you are on your computer or phone in a public place.
• ·        Never send personal information such as Social Security numbers or credit card numbers via email, instant messages and across social networks. Not even in a private message.
• ·        Keep your web browsers up to date to avoid vulnerabilities that will allow hackers to access your personal information.
• ·        Don’t store any sensitive information about yourself or your bank accounts on your computer.
• ·        When disposing of old technology, be sure to completely wipe all information from the device. The best thing you can do is restore the device to factory settings if it is a mobile phone or tablet, or erase the hard drive if it is a computer by installing a clean version of the operating system on the hard drive.

How to Spot Identity Theft

• ·        Closely monitor your bank accounts, credit reports and any other financial accounts you may have. If the financial companies you do business with offer activity alerts, sign up for them. And if you receive an alert or your financial institution reports unusual account activity, respond as soon as possible.
• ·        Pay attention to your regular utility bills and bank statements. If you suddenly stop receiving bills, this can be a red flag, a criminal could be using your information to have these accounts transferred to their own address.
• ·        Suddenly receiving credit cards in the mail that you did not apply for.
• ·        Receiving calls from debt collectors for goods and services you did not sign up for.
• ·        Being unable to log into a website using your normal password

How to Combat Identity Theft

• ·        Contact affected entities – compromised websites that you can no longer log into, utility companies, banks and credit card companies.
• ·        Change your passwords if possible. If it is not possible to change your password on the account that has become compromised, contact the website’s technical support to report the issue.
• ·        Change answers to security questions on all websites that you visit regularly. If a scammer has gained access to some of these answers, it is possible they can use them on other sites as well.
• ·        File a police report with your local police department.
• ·        Open a complaint with the Federal Trade Commission.

Fight Fraud

Although there's a lot you can do to protect your identity, some things are out of your hands. Even if you've been careful with your information, that doesn't mean someone won't hack into your employer or bank's computers. That's why it's important to keep constant tabs on your accounts and credit report.

It can take several months for you to discover if you're a victim of identity theft. During that time, thieves can plunder accounts or run up serious debt in your name.

Regularly check your credit report for unusual activity. If you see anything strange or unexpected, like a new credit line you didn't open, follow up immediately.

If someone has stolen your identity, quickly take steps to minimize the damage. Close financial accounts that may be compromised. Cancel your driver's license or ID cards you may have lost. Put a fraud alert on your credit report and track your report closely for the next few years.

Identity theft has become a fact of life. To avoid becoming a victim, diligently protect your personal information utilizing the above mentioned tips, monitor your accounts and credit report, and respond swiftly to any signs your identity is being misused.

Remember: The more private and secure you keep your personal identifying information, the less susceptible to identify theft you are.