Feb
7
This is true or just fraud?
Filed Under Spam & Bulk Mail | 1 Comment
Harry Anggadanny asked:
Today i received this email and i wanna check true or just fraud:
Today i received this email and i wanna check true or just fraud:
——————————————————————————–
You won $500! Yahoo!® Lottery congratulates you!
CONGRATULATIONS!
YOU WON $500!
Yahoo! Lottery gives members random cash prizes. Today, your account has been selected as the one of 12 top winners accounts who will get cash prizes from us. Please click the link below and follow instructions on our web site. Your money will be paid directly to your e-gold, PayPal, StormPay or MoneyBookers account.
Click here to get your prize:
http://rds.yahoo.com/lottery/prizes.php?sid=a3n92dj2d3&rd=us&id=23018392384378&uid=2e5a4h43u2r3u5y1c3&id=28403934224345345
Sincerely,
The Yahoo.com staff
Yahoo.com http://www.yahoo.com
——————————————————————————–
You have received this e-mail because your e-mail service provider is registered as a Yahoo! Lottery affiliate or you are a member of the Yahoo! Partners network. Yahoo! Partners network includes over 12,000 Web sites, e.g. Online Experiences Web circle and CYGP group.
CLINTON
Feb
7
What’s the likely punishment for using someone else’s information to get an ID from the DMV?
Filed Under Law Enforcement & Police | 1 Comment
Stan M asked:
When I was 20 I used a relative’s info to get a license from the DMV. They recently went to get their own license renewed and were confronted when they noticed the digital picture they had (of me) didn’t match. I used the ID to simply get into bars and casinos, nothing criminal. My relative now has to fill out a fraud complaint packet and will be issued a case number. My relative knew I had done this 4 years ago and just wants to get their license without legal remedy being taken against me. What will likely happen? Has anyone experienced this?
BRYCE
When I was 20 I used a relative’s info to get a license from the DMV. They recently went to get their own license renewed and were confronted when they noticed the digital picture they had (of me) didn’t match. I used the ID to simply get into bars and casinos, nothing criminal. My relative now has to fill out a fraud complaint packet and will be issued a case number. My relative knew I had done this 4 years ago and just wants to get their license without legal remedy being taken against me. What will likely happen? Has anyone experienced this?
BRYCE
Feb
4
Identity Theft - What are the Most Common Ways to Commit Id Theft or Fraud?
Filed Under Credit | Leave a Comment
Cathy Taylor asked:
It’s the number one source of consumer complaints at the Federal Trade Commission (FTC), and unfortunately, it’s one of the simplest crimes to commit. Identity theft involves information from your daily life, from shopping, bill-paying, and even applying for a job. Thieves take advantage of everyday opportunities to discover your personal information, including your Social Security number (SSN), bank or credit card account numbers, income, name, address, or phone number, and use it to commit fraud or other crimes.
How can a stranger get to your information? According to the FTC, identity thieves may pose as legitimate representatives of an organization, as business professionals or agents of the government, conning you into revealing sensitive information. Common scams include impersonating employees from banks, credit card companies, Internet service providers, and utility companies. If someone calls you claiming to represent a legitimate organization, confirm this by calling the customer service number listed on your statement or bill.
Thieves may also use your place of employment to get the information they need. A co-worker may steal information from your employer; someone could hack into your company’s computer and copy employee records; or a criminal could resort to the old-fashioned method of bribing someone you work with for your information. Check with your employer to find out the company policy on securing your records and disposing of them when you’re gone.
If your employer is authorized to pull credit reports on employees or potential customers, someone could take advantage of this access to retrieve illegal reports. Criminals may also pose as employers, landlords, or collection agents to pull your credit information. It’s a good idea to order a copy of your credit report once a year to check for unauthorized entries.
Shredding your documents before you throw them away is also good idea, whether at work or at home. Identity thieves have been known to sift through garbage, in the trash can or at the dump, to find sensitive information.
The most common form of identity theft is credit card fraud. Technology has allowed criminals to begin stealing your credit or debit card numbers as you use the cards, “skimming” them with an information storage device. In addition, thousands of drivers’ licenses and credit and debit cards are stolen each year. Keeping your Social Security card in a secure location and safeguarding your purse or wallet while at work are necessary precautions.
Even your mail is a source for identity thieves, who may complete credit card applications in your name and go on a spending spree. After stealing your bank or credit card statements, tax information, or box of replacement checks, criminals are able to access your accounts and spend the funds in your name. They may even change the address on your existing account, diverting the bills to keep you from recognizing the problem until it’s too late. Being aware of your billing cycles can help you catch a discrepancy in the arrival of your statements.
Identity thieves have a variety of ways to use your information for their personal gain. They may shop for big-ticket items using your credit or bank account information and then sell the items for cash. With your SSN and date of birth, they can open new bank accounts or apply for lines of credit. In fact, banks have granted loans to criminals using stolen identities for purchases as large as cars.
Telephone or internet service can be set up using your SSN. Thieves can avoid impending eviction or accumulated debt by filing bankruptcy in your name. Perhaps the most emotionally traumatic, police could issue a warrant for you if a criminal was arrested using your name and failed to appear at a court hearing.
The ways that identity thieves have conceived to acquire your personal information are numerous, but your vigilance and heightened awareness can curb their ability to make you a victim. And, if you sustain credit damage, go to http://www.apscreen.com to find out what you can do about it.
HECTOR
It’s the number one source of consumer complaints at the Federal Trade Commission (FTC), and unfortunately, it’s one of the simplest crimes to commit. Identity theft involves information from your daily life, from shopping, bill-paying, and even applying for a job. Thieves take advantage of everyday opportunities to discover your personal information, including your Social Security number (SSN), bank or credit card account numbers, income, name, address, or phone number, and use it to commit fraud or other crimes.
How can a stranger get to your information? According to the FTC, identity thieves may pose as legitimate representatives of an organization, as business professionals or agents of the government, conning you into revealing sensitive information. Common scams include impersonating employees from banks, credit card companies, Internet service providers, and utility companies. If someone calls you claiming to represent a legitimate organization, confirm this by calling the customer service number listed on your statement or bill.
Thieves may also use your place of employment to get the information they need. A co-worker may steal information from your employer; someone could hack into your company’s computer and copy employee records; or a criminal could resort to the old-fashioned method of bribing someone you work with for your information. Check with your employer to find out the company policy on securing your records and disposing of them when you’re gone.
If your employer is authorized to pull credit reports on employees or potential customers, someone could take advantage of this access to retrieve illegal reports. Criminals may also pose as employers, landlords, or collection agents to pull your credit information. It’s a good idea to order a copy of your credit report once a year to check for unauthorized entries.
Shredding your documents before you throw them away is also good idea, whether at work or at home. Identity thieves have been known to sift through garbage, in the trash can or at the dump, to find sensitive information.
The most common form of identity theft is credit card fraud. Technology has allowed criminals to begin stealing your credit or debit card numbers as you use the cards, “skimming” them with an information storage device. In addition, thousands of drivers’ licenses and credit and debit cards are stolen each year. Keeping your Social Security card in a secure location and safeguarding your purse or wallet while at work are necessary precautions.
Even your mail is a source for identity thieves, who may complete credit card applications in your name and go on a spending spree. After stealing your bank or credit card statements, tax information, or box of replacement checks, criminals are able to access your accounts and spend the funds in your name. They may even change the address on your existing account, diverting the bills to keep you from recognizing the problem until it’s too late. Being aware of your billing cycles can help you catch a discrepancy in the arrival of your statements.
Identity thieves have a variety of ways to use your information for their personal gain. They may shop for big-ticket items using your credit or bank account information and then sell the items for cash. With your SSN and date of birth, they can open new bank accounts or apply for lines of credit. In fact, banks have granted loans to criminals using stolen identities for purchases as large as cars.
Telephone or internet service can be set up using your SSN. Thieves can avoid impending eviction or accumulated debt by filing bankruptcy in your name. Perhaps the most emotionally traumatic, police could issue a warrant for you if a criminal was arrested using your name and failed to appear at a court hearing.
The ways that identity thieves have conceived to acquire your personal information are numerous, but your vigilance and heightened awareness can curb their ability to make you a victim. And, if you sustain credit damage, go to http://www.apscreen.com to find out what you can do about it.
HECTOR
Feb
4
Gloria Moore asked:
Though there may be times when caller ID spoofing is harmless, those using it often know that you will not pick up the phone if you knew the true origin of the call. This is not something that everyone will have to deal with, but the practice is more common than you may think. There are many reasons why someone would choose to use caller ID spoofing when calling your home, and these are all things that any consumer should know about for their own protection and privacy.
One of the most harmless uses of caller ID spoofing is by collection agencies. These are people who do have legitimate business with you, but they may not have had any success in contacting you. Most do not use call spoofing, but some of them do. The number they use will vary, but the result is all the same. They want to get you to answer the phone, and will try to accomplish this by pretending to be someone else.
Another reason caller ID spoofing is used can be on the iffy side. Some law enforcement may use this, along with private investigators, to get someone to answer a call. This is not common, but it has been done. When someone does not wish to be found, they will not answer the phone for just any number. Some will use caller ID spoofing by using a number that would feel safe to the target to get them to pick up. This may not get someone to talk, but it can confirm a number and even a location.
Most troublesome would be the use of caller ID spoofing to steal identity or to harass someone. If someone has some information on you, but needs more to get credit in your name, they may use pretext to call your friends and family in the hopes that they will get them to say what the thief needs to know. They can use the caller ID spoof to make your loved ones believe the call is coming from someone they trust or from a legitimate company. Along the same lines, this same thing is used in conjunction with scams to get you to sign up for an offer or service that you would naturally assume is coming from a company that you trust.
Though you can find the owner of a phone number here, this may not always get you what you need. It doesn’t hurt to try though. Any information you can get will be helpful if you are the victim of fraud or identity theft. When in doubt about any number calling your home, even if the number is something familiar, let your answering machine do the screening for you. Those with real and legitimate business with you will often leave a message. Those that do not may have something to hide.
JESUS
Though there may be times when caller ID spoofing is harmless, those using it often know that you will not pick up the phone if you knew the true origin of the call. This is not something that everyone will have to deal with, but the practice is more common than you may think. There are many reasons why someone would choose to use caller ID spoofing when calling your home, and these are all things that any consumer should know about for their own protection and privacy.
One of the most harmless uses of caller ID spoofing is by collection agencies. These are people who do have legitimate business with you, but they may not have had any success in contacting you. Most do not use call spoofing, but some of them do. The number they use will vary, but the result is all the same. They want to get you to answer the phone, and will try to accomplish this by pretending to be someone else.
Another reason caller ID spoofing is used can be on the iffy side. Some law enforcement may use this, along with private investigators, to get someone to answer a call. This is not common, but it has been done. When someone does not wish to be found, they will not answer the phone for just any number. Some will use caller ID spoofing by using a number that would feel safe to the target to get them to pick up. This may not get someone to talk, but it can confirm a number and even a location.
Most troublesome would be the use of caller ID spoofing to steal identity or to harass someone. If someone has some information on you, but needs more to get credit in your name, they may use pretext to call your friends and family in the hopes that they will get them to say what the thief needs to know. They can use the caller ID spoof to make your loved ones believe the call is coming from someone they trust or from a legitimate company. Along the same lines, this same thing is used in conjunction with scams to get you to sign up for an offer or service that you would naturally assume is coming from a company that you trust.
Though you can find the owner of a phone number here, this may not always get you what you need. It doesn’t hurt to try though. Any information you can get will be helpful if you are the victim of fraud or identity theft. When in doubt about any number calling your home, even if the number is something familiar, let your answering machine do the screening for you. Those with real and legitimate business with you will often leave a message. Those that do not may have something to hide.
JESUS
Feb
3
Id Theft Prevention - Things to Do Right Now, Habits to Follow
Filed Under Finance | Leave a Comment
Jim G. George asked:
The bear in your campground analogy:
Perfect protection is unreachable but you can be better protected than most people with reasonable efforts. The “Bear in Your Campground” story applies here. When a bear comes into your campground, you can’t outrun the bear but you can outrun the other campers. The fact is that there is no way you can be sure to outrun the thieves either, but you can outrun the other potential victims - and that may be enough. I will try to help you make the trade-offs that work for you.
There are lots of people out there making it easy to steal their identities. You don’t want to be one of them. There is a lot you can do without major expenditures and major changes in your lifestyle. The point of this book is to teach you what you can do and let you make intelligent trade-offs yourself of security versus cost and inconvenience.
Things to do right away:
The point of this is to get you off to a fast start, positioned to better protect yourself. Some of the things you should do right away include:
Review your last bank and card statements.
Be sure all listed transactions were authorized by a family member, don’t assume. Also check to see that you are not missing the most recent statement, as that might be a sign of account takeover. List each account and card on the Account and Card Inventory Form provided in the back of this book. Include on your list your divers license and ID cards from your employer, insurers, that would have to be replaced if your wallet was lost or stolen. This form will be an important tool for detection as well as recovery.
Order a credit report.
One report from each agency per year is now free. Some people get one each four months, on a revolving basis, so that they never have to pay for a report. Some request all three or each more often. This is one of those trade-offs of protection versus expense and effort. To order, go to the Annual Credit Report Service at www.annualcreditreport.com, call them at 877-322-8228, or contact a specific credit agency:
* Equifax: 800-685-1111 or www.equifax.com
* Experian: 888-397-3742 or www.experian.com
* Transunion: 800-888-4213 or www.transunion.com
Calendar the date when you want to order the next credit report. And note which agencies are next in rotation, if you are ordering one at a time.
When I first did this I found a debt listed that had been run up by my former wife. I called the bank and got them to take it off of my credit report. As reviewing your credit report is an ongoing habit, we will discuss what to do when the report arrives in the next section.
Install a locking mailbox or get a Post Office Box.
Incoming mail can provide a thief with credit cards, applications, checks, and various identifying information. I put up the first locking mailbox in my neighborhood. It cost $60 and a little time. But when one neighbor had a box of checks stolen and another lost incoming pay and dividend checks, I wasn’t the only one for long.
When my wife went out to run in the mornings, at least once a week she noticed all the unlocked mailboxes were hanging open. One day in the park I found all of a certain neighbor’s junk mail. But not those credit card offers and nothing that resembled account statements, or other financial or government mail - those were too valuable for the thieves to toss. What was going on was that groups of teens were cruising the streets making quick grabs into unlocked boxes. They sell “interesting” items to a broker. The broker sorts out the items by type and sells groups of like items to transaction specialists. Certain thieves pass bad checks, others use deposit slips, still others specialize in cards-related frauds.
P.O. boxes may be safer, if less convenient and more expensive, another trade-off. The bear might tear into your locked mailbox, but if the other campers have open jars of honey out front, then why would he bother you?
Get gel ballpoint pens for writing checks.
A thief can take a check from your outgoing mail, remove regular ballpoint pen ink with nail polish remover (protecting the signature, of course), and have a signed blank check - on your account.
The cheapest investment you can make is to buy a gel ballpoint pen and keep it clipped to your checkbook. Gel is a newer kind of ink which cannot be removed by washing. The point is to look for the word “GEL” on the pen, buy it, and use it for all your checks.
Get a shredder.
A crosscut or confetti style is best, as strips can be reconstructed. Anything with your social security number on it or containing personal data is fair game to the thieves when it hits your garbage bag or can. “Dumpster diving” is a profitable profession.
Things you don’t want fished from your trash include bank and card statements, old taxes, voided or old checks, deposit slips, credit applications you don’t want to complete, credit offers, and those checks the credit card companies send you to initiate low interest rate loans and balance transfers.
Change poor PINs and passwords.
They should be at least six numbers and/or characters. They should not be easy to guess or based on information which might be in your wallet. The first numbers a purse or wallet thief would try are parts of your birth date, phone number, SSN, and any other key number they find in you wallet. Realize that your SSN can be accessed by a large number of people. A thief might obtain it and try different parts of it in guessing your PIN even if they don’t find it in your wallet.
There are trade-offs here too.
* Multiples - If you always use the same password it is easy to remember but people at each site have access to it. So you also might want to use a unique password on banking sites. If you use the same ID and password on many sites you are exposing them to key employees of multiple companies.
* Complexity - Complex passwords may be hard to recall and tempt you to write them down in a handy spot.
* Real or made-up - To be extra careful, you might create and use an imaginary “mother’s maiden name”, as the real one could be researched. It is on your birth certificate, for example.
Set up a password on each bank and card account.
Use your Account and Card Inventory Form as a guide to contact each bank. Once set up, the password can be used by the bank to determine it is really calling them with a transaction such as an address change or funds transfer. If the only way they can identify you is by asking for personal data, your account is exposed to any thief who has obtained your data.
Remove any PINs or passwords written in your wallet / purse.
They could be a goldmine for a thief.
Secure any PIN and password list within your home.
Don’t leave them out, in a well labelled file in an unlocked file cabinet, on your computer in an easy to find file, or on a notebook PC that could be stolen.
Protect Social Security Numbers (SSN).
Remove them from your checks, driver’s license, resume, or other documents where it is not required. My employer forced their insurance companies to take our SSNs off of our group insurance cards.
Remove unneeded IDs from your wallet, purse, and car.
This will reduce the potential damage from theft and reduce the work you will have to do if theft does occur.
Protect your PC’s
Get and run anti-spyware and anti-virus programs and firewalls. Be sure to use the encryption option on wireless networks.
Protect Yourself - Avoidance Habits to Develop and Keep
Even as you complete the initial protection steps described in the prior chapter, you also need to start practicing on-going protective habits.
Review this list from time to time.
The first habit is to learn and repeat each of the others. Put “review the good habits list” on your calendar, as a reminder, until you regularly practice each of these good habits.
Protect your outgoing mail.
Taking outgoing mail can be lucrative for the thief in many ways.
* Applications - Applications for cards or loans can be “edited” by thieves so that they get the payoff and you get the collection calls.
* Checks - A check in the outgoing mail can be as good as gold to them. Even if you used a gel pen to prevent alteration of that check, the data on your check can be used to produce (or even order) perfectly valid looking checks that can be written by the thief that will clear and post against your checking account.
* Deposits - An outgoing deposit-by-mail is a double gift to the thief. Not only can they “edit” the checks to their specifications but they can use the deposit slip too. That scam goes like this: They go into your bank (probably a remotely located branch so they aren’t recognized) and hand the teller the deposit slip along with some bogus checks they printed up on their PC or have from a nearly zero balance account out of state. Then they ask for some cash back from the deposited funds. They are usually handed the cash, since it is less that the funds already available on your account. When the deposited checks bounce back against your account, the thief has been gone for two or three days.
* Data sources - Various other sorts of mail (like car registrations, tax forms) can help the thief build a file on you which will later be used to open accounts in your name. You can count on him running up overdrafts and bad debts in your good name.
For all of these reasons, place outgoing mail only in secure mail boxes, not the office OUT box and not your personal mailbox. The big blue USPS boxes are pretty well bear-proof.
Be wary at ATMs and points of purchase
The ideal situation for a thief is to have both your card and your PIN. They will go to quite a bit of trouble to get them. If they can copy the data from the magnetic stripe on the back of the card they can create an exact copy of your card. Even with only plain white card stock they can use the magnetic stripe data to create a “white card” that will work perfectly well on an ATM, gas pump or other unmanned locations.
* Getting your PIN - Watch out for “shoulder surfing”. Be aware of anyone watching you enter your PIN at an ATM or point of purchase terminal. Some thieves even use a video camera to record your entry from a short distance or hide a camera to record and transmit your finger movements on the keypad.
* Getting your data - Your card’s magnetic stripe data can be read by one of three types of small skimmer devices.
* One is a portable device that can be taped to a waiter’s arm. They go to a private space, roll up their sleeve, swipe the card, then go about their normal business.
* Another kind is mounted under the counter. You won’t see the card swiped but it will disappear from view momentarily.
* Some thieves go so far as to install a skimmer on a bank’s ATM. These look like part of the machine but they are unauthorized “add-ons” that read the magnetic stripe on the card before passing it on to the real ATM card reader.
* Getting your card - Some thieves us a device known as a “Lebanese loop” to steal your card at the ATM. The loop is a strip of plastic they stick into the cred reader slot. Your card is caught by it and jams. After you leave in frustration the thief uses a tool to pull out the loop and your card with it.
Use safer ways to make payments.
It is safer to use credit over debit cards, as they provide better protection against fraudulent charges and their spending limit is most likely below the amount than can be taken from your deposit (checking or savings) account. Once money has been taken from your deposit account, it may take some time to resolve the issue with the bank. In the mean time you may not have access to all of your funds. A credit card balance, on the other hand, you can simply not pay if you have lodged a legitimate complaint in the right manner.
Checks are relatively easy to manipulate. Even if gel ink is used the check can be scanned, the image manipulated, then printed (including the signature). It is remarkably easy for people to order checks on your account and have them sent to an address supplied by the thief. They just say they are you and have recently moved. Many check printers do nothing to verify the identity of the person placing the order, On-line bill paying is available from most banks and is far safer. Once you get used to it you will probably find it more convenient as well. Just be careful with your on-line ID and password.
Now obviously there are other kinds of risks in the world that need to be considered. Over use of credit cards, without regular full payments of the balance, can be a problem. To address this, some families use one card for debt and another for routine purchases. They look for a low-interest card for the first purpose and pay off the other each month, without exception.
Close old accounts.
An amazing number of accounts are sitting around the country in an inactive status. These are prime targets for the thief. If they send in or call in a change of address for the account they are set to strike. They can then run up a card balance, get checks printed and overdraft a deposit account, and set up new accounts related to the original.
After you try to close an account, note it on your Account and Card Inventory Form but don’t remove it until you see a credit report listing it as closed. It once took me five trys to get a card issues to actually cancel my card account.
Establish good habits for new accounts.
Ask what the statement date will be. Establish passwords when you set up the account, as described in Chapter 2. Add new accounts to the Account and Card Inventory Form as soon as you get them. Watch for the first statement and review it carefully.
Avoid common mistakes
Doing the things described above is important. But it is equally important that you avoid common mistakes.
* Don’t give out data - Incoming-phone calls or e-mail can be a source of data to the thief. They can later use that data to pretend to be you while on the phone to a bank, check printer, or loan company. Once they are accepted as you, they can run any number of scams:
* Take over your account by changing the address of record. They can then transact without your finding out about the activity.
* Set up a new account, card, or loan and link it to the existing accounts. They then are positioned to make transfers as well as play on your good credit.
Another form of thief’s data request is “phishing” e-mails. These can seem to be from your bank, card company, brokerage, or other trusted financial institution. They send you to an apparently valid web site that asks for your ID and PIN data. They can be very realistic, with your bank’s logo, the look and feel of their web site and even seem to have taken you to the familiar site.
Don’t ever provide ID or PIN’s as a response to e-mails or calls. Call the bank and report the e-mail. Go to your bank’s Web site only in your usual manner, by typing in their URL or clicking from your browser’s Favorites or Bookmarks list.
* Don’t leave data around - Don’t leave the customer copy of a charge slip on the table after paying for a meal or making a store purchase. Although the law now requires that only the last digits of your card number appear on the slip, some older systems are still out there which have the whole card number. This applies also to carbon copies and the carbon sheets themselves.
*Don’t write your PIN or password on anything that isn’t very secure. This includes your house or unsecured PC file.
* Don’t use your SSN unnecessarily - Don’t put your SSN on your checks, driver’s license, resumes or anything else, if you can avoid it. Don’t give it out unless absolutely necessary. It is legally required in relation to any taxable income source. Merchants may not choose to grant you credit if you do not reveal it, it’s your choice (and theirs) in that case. Some people make up a number. This ploy has risks that the number will be found to be invalid or, worse, that the number belongs to someone else. The other person may not have good credit or may even be wanted by law enforcement. You don’t want to appear to be an ID thief yourself.
*Don’t ignore early signs - A common mistake is to take lightly the early signs of identity theft. The quicker it is caught, the sooner it will be resolved and at the least cost in effort and dollars. That is the subject of the next chapter.
This article is from a larger workbook available at www.yourIDsite.com
Copyright Jim G. George
ALVIN
The bear in your campground analogy:
Perfect protection is unreachable but you can be better protected than most people with reasonable efforts. The “Bear in Your Campground” story applies here. When a bear comes into your campground, you can’t outrun the bear but you can outrun the other campers. The fact is that there is no way you can be sure to outrun the thieves either, but you can outrun the other potential victims - and that may be enough. I will try to help you make the trade-offs that work for you.
There are lots of people out there making it easy to steal their identities. You don’t want to be one of them. There is a lot you can do without major expenditures and major changes in your lifestyle. The point of this book is to teach you what you can do and let you make intelligent trade-offs yourself of security versus cost and inconvenience.
Things to do right away:
The point of this is to get you off to a fast start, positioned to better protect yourself. Some of the things you should do right away include:
Review your last bank and card statements.
Be sure all listed transactions were authorized by a family member, don’t assume. Also check to see that you are not missing the most recent statement, as that might be a sign of account takeover. List each account and card on the Account and Card Inventory Form provided in the back of this book. Include on your list your divers license and ID cards from your employer, insurers, that would have to be replaced if your wallet was lost or stolen. This form will be an important tool for detection as well as recovery.
Order a credit report.
One report from each agency per year is now free. Some people get one each four months, on a revolving basis, so that they never have to pay for a report. Some request all three or each more often. This is one of those trade-offs of protection versus expense and effort. To order, go to the Annual Credit Report Service at www.annualcreditreport.com, call them at 877-322-8228, or contact a specific credit agency:
* Equifax: 800-685-1111 or www.equifax.com
* Experian: 888-397-3742 or www.experian.com
* Transunion: 800-888-4213 or www.transunion.com
Calendar the date when you want to order the next credit report. And note which agencies are next in rotation, if you are ordering one at a time.
When I first did this I found a debt listed that had been run up by my former wife. I called the bank and got them to take it off of my credit report. As reviewing your credit report is an ongoing habit, we will discuss what to do when the report arrives in the next section.
Install a locking mailbox or get a Post Office Box.
Incoming mail can provide a thief with credit cards, applications, checks, and various identifying information. I put up the first locking mailbox in my neighborhood. It cost $60 and a little time. But when one neighbor had a box of checks stolen and another lost incoming pay and dividend checks, I wasn’t the only one for long.
When my wife went out to run in the mornings, at least once a week she noticed all the unlocked mailboxes were hanging open. One day in the park I found all of a certain neighbor’s junk mail. But not those credit card offers and nothing that resembled account statements, or other financial or government mail - those were too valuable for the thieves to toss. What was going on was that groups of teens were cruising the streets making quick grabs into unlocked boxes. They sell “interesting” items to a broker. The broker sorts out the items by type and sells groups of like items to transaction specialists. Certain thieves pass bad checks, others use deposit slips, still others specialize in cards-related frauds.
P.O. boxes may be safer, if less convenient and more expensive, another trade-off. The bear might tear into your locked mailbox, but if the other campers have open jars of honey out front, then why would he bother you?
Get gel ballpoint pens for writing checks.
A thief can take a check from your outgoing mail, remove regular ballpoint pen ink with nail polish remover (protecting the signature, of course), and have a signed blank check - on your account.
The cheapest investment you can make is to buy a gel ballpoint pen and keep it clipped to your checkbook. Gel is a newer kind of ink which cannot be removed by washing. The point is to look for the word “GEL” on the pen, buy it, and use it for all your checks.
Get a shredder.
A crosscut or confetti style is best, as strips can be reconstructed. Anything with your social security number on it or containing personal data is fair game to the thieves when it hits your garbage bag or can. “Dumpster diving” is a profitable profession.
Things you don’t want fished from your trash include bank and card statements, old taxes, voided or old checks, deposit slips, credit applications you don’t want to complete, credit offers, and those checks the credit card companies send you to initiate low interest rate loans and balance transfers.
Change poor PINs and passwords.
They should be at least six numbers and/or characters. They should not be easy to guess or based on information which might be in your wallet. The first numbers a purse or wallet thief would try are parts of your birth date, phone number, SSN, and any other key number they find in you wallet. Realize that your SSN can be accessed by a large number of people. A thief might obtain it and try different parts of it in guessing your PIN even if they don’t find it in your wallet.
There are trade-offs here too.
* Multiples - If you always use the same password it is easy to remember but people at each site have access to it. So you also might want to use a unique password on banking sites. If you use the same ID and password on many sites you are exposing them to key employees of multiple companies.
* Complexity - Complex passwords may be hard to recall and tempt you to write them down in a handy spot.
* Real or made-up - To be extra careful, you might create and use an imaginary “mother’s maiden name”, as the real one could be researched. It is on your birth certificate, for example.
Set up a password on each bank and card account.
Use your Account and Card Inventory Form as a guide to contact each bank. Once set up, the password can be used by the bank to determine it is really calling them with a transaction such as an address change or funds transfer. If the only way they can identify you is by asking for personal data, your account is exposed to any thief who has obtained your data.
Remove any PINs or passwords written in your wallet / purse.
They could be a goldmine for a thief.
Secure any PIN and password list within your home.
Don’t leave them out, in a well labelled file in an unlocked file cabinet, on your computer in an easy to find file, or on a notebook PC that could be stolen.
Protect Social Security Numbers (SSN).
Remove them from your checks, driver’s license, resume, or other documents where it is not required. My employer forced their insurance companies to take our SSNs off of our group insurance cards.
Remove unneeded IDs from your wallet, purse, and car.
This will reduce the potential damage from theft and reduce the work you will have to do if theft does occur.
Protect your PC’s
Get and run anti-spyware and anti-virus programs and firewalls. Be sure to use the encryption option on wireless networks.
Protect Yourself - Avoidance Habits to Develop and Keep
Even as you complete the initial protection steps described in the prior chapter, you also need to start practicing on-going protective habits.
Review this list from time to time.
The first habit is to learn and repeat each of the others. Put “review the good habits list” on your calendar, as a reminder, until you regularly practice each of these good habits.
Protect your outgoing mail.
Taking outgoing mail can be lucrative for the thief in many ways.
* Applications - Applications for cards or loans can be “edited” by thieves so that they get the payoff and you get the collection calls.
* Checks - A check in the outgoing mail can be as good as gold to them. Even if you used a gel pen to prevent alteration of that check, the data on your check can be used to produce (or even order) perfectly valid looking checks that can be written by the thief that will clear and post against your checking account.
* Deposits - An outgoing deposit-by-mail is a double gift to the thief. Not only can they “edit” the checks to their specifications but they can use the deposit slip too. That scam goes like this: They go into your bank (probably a remotely located branch so they aren’t recognized) and hand the teller the deposit slip along with some bogus checks they printed up on their PC or have from a nearly zero balance account out of state. Then they ask for some cash back from the deposited funds. They are usually handed the cash, since it is less that the funds already available on your account. When the deposited checks bounce back against your account, the thief has been gone for two or three days.
* Data sources - Various other sorts of mail (like car registrations, tax forms) can help the thief build a file on you which will later be used to open accounts in your name. You can count on him running up overdrafts and bad debts in your good name.
For all of these reasons, place outgoing mail only in secure mail boxes, not the office OUT box and not your personal mailbox. The big blue USPS boxes are pretty well bear-proof.
Be wary at ATMs and points of purchase
The ideal situation for a thief is to have both your card and your PIN. They will go to quite a bit of trouble to get them. If they can copy the data from the magnetic stripe on the back of the card they can create an exact copy of your card. Even with only plain white card stock they can use the magnetic stripe data to create a “white card” that will work perfectly well on an ATM, gas pump or other unmanned locations.
* Getting your PIN - Watch out for “shoulder surfing”. Be aware of anyone watching you enter your PIN at an ATM or point of purchase terminal. Some thieves even use a video camera to record your entry from a short distance or hide a camera to record and transmit your finger movements on the keypad.
* Getting your data - Your card’s magnetic stripe data can be read by one of three types of small skimmer devices.
* One is a portable device that can be taped to a waiter’s arm. They go to a private space, roll up their sleeve, swipe the card, then go about their normal business.
* Another kind is mounted under the counter. You won’t see the card swiped but it will disappear from view momentarily.
* Some thieves go so far as to install a skimmer on a bank’s ATM. These look like part of the machine but they are unauthorized “add-ons” that read the magnetic stripe on the card before passing it on to the real ATM card reader.
* Getting your card - Some thieves us a device known as a “Lebanese loop” to steal your card at the ATM. The loop is a strip of plastic they stick into the cred reader slot. Your card is caught by it and jams. After you leave in frustration the thief uses a tool to pull out the loop and your card with it.
Use safer ways to make payments.
It is safer to use credit over debit cards, as they provide better protection against fraudulent charges and their spending limit is most likely below the amount than can be taken from your deposit (checking or savings) account. Once money has been taken from your deposit account, it may take some time to resolve the issue with the bank. In the mean time you may not have access to all of your funds. A credit card balance, on the other hand, you can simply not pay if you have lodged a legitimate complaint in the right manner.
Checks are relatively easy to manipulate. Even if gel ink is used the check can be scanned, the image manipulated, then printed (including the signature). It is remarkably easy for people to order checks on your account and have them sent to an address supplied by the thief. They just say they are you and have recently moved. Many check printers do nothing to verify the identity of the person placing the order, On-line bill paying is available from most banks and is far safer. Once you get used to it you will probably find it more convenient as well. Just be careful with your on-line ID and password.
Now obviously there are other kinds of risks in the world that need to be considered. Over use of credit cards, without regular full payments of the balance, can be a problem. To address this, some families use one card for debt and another for routine purchases. They look for a low-interest card for the first purpose and pay off the other each month, without exception.
Close old accounts.
An amazing number of accounts are sitting around the country in an inactive status. These are prime targets for the thief. If they send in or call in a change of address for the account they are set to strike. They can then run up a card balance, get checks printed and overdraft a deposit account, and set up new accounts related to the original.
After you try to close an account, note it on your Account and Card Inventory Form but don’t remove it until you see a credit report listing it as closed. It once took me five trys to get a card issues to actually cancel my card account.
Establish good habits for new accounts.
Ask what the statement date will be. Establish passwords when you set up the account, as described in Chapter 2. Add new accounts to the Account and Card Inventory Form as soon as you get them. Watch for the first statement and review it carefully.
Avoid common mistakes
Doing the things described above is important. But it is equally important that you avoid common mistakes.
* Don’t give out data - Incoming-phone calls or e-mail can be a source of data to the thief. They can later use that data to pretend to be you while on the phone to a bank, check printer, or loan company. Once they are accepted as you, they can run any number of scams:
* Take over your account by changing the address of record. They can then transact without your finding out about the activity.
* Set up a new account, card, or loan and link it to the existing accounts. They then are positioned to make transfers as well as play on your good credit.
Another form of thief’s data request is “phishing” e-mails. These can seem to be from your bank, card company, brokerage, or other trusted financial institution. They send you to an apparently valid web site that asks for your ID and PIN data. They can be very realistic, with your bank’s logo, the look and feel of their web site and even seem to have taken you to the familiar site.
Don’t ever provide ID or PIN’s as a response to e-mails or calls. Call the bank and report the e-mail. Go to your bank’s Web site only in your usual manner, by typing in their URL or clicking from your browser’s Favorites or Bookmarks list.
* Don’t leave data around - Don’t leave the customer copy of a charge slip on the table after paying for a meal or making a store purchase. Although the law now requires that only the last digits of your card number appear on the slip, some older systems are still out there which have the whole card number. This applies also to carbon copies and the carbon sheets themselves.
*Don’t write your PIN or password on anything that isn’t very secure. This includes your house or unsecured PC file.
* Don’t use your SSN unnecessarily - Don’t put your SSN on your checks, driver’s license, resumes or anything else, if you can avoid it. Don’t give it out unless absolutely necessary. It is legally required in relation to any taxable income source. Merchants may not choose to grant you credit if you do not reveal it, it’s your choice (and theirs) in that case. Some people make up a number. This ploy has risks that the number will be found to be invalid or, worse, that the number belongs to someone else. The other person may not have good credit or may even be wanted by law enforcement. You don’t want to appear to be an ID thief yourself.
*Don’t ignore early signs - A common mistake is to take lightly the early signs of identity theft. The quicker it is caught, the sooner it will be resolved and at the least cost in effort and dollars. That is the subject of the next chapter.
This article is from a larger workbook available at www.yourIDsite.com
Copyright Jim G. George
ALVIN
Feb
1
The ‘Ten Commandments’ for online credit card fraud prevention
Filed Under Customer Service | Leave a Comment
smith asked:
1) When overnight Shipping is the preferred choice of the customer, the transaction needs to be scrutinized; the reason for opting for overnight shipping by Mr../Ms. Fraud is to prevent the extra scrutiny the transaction may attract.
2) A peek on the phone number and email address entered by the customer, first the area code should be in conformity with the city and the state, if the email address is from a free web based domain and the name in the user Id of the email account is different than the one entered in the billing address, close scrutiny is required for such accounts.
3) Identify the source through which the visitor landed on the website, for instance Yahoo, My Store’s order provides information on the search phrase used by the visitor, fraudsters use search phrases like “overnight delivery” or “international shipping” in the search as key words instead of products.
4) Identify the computer IP address which is unique, just like a postal address, if the Geo location of the computer is in a country such as Nigeria etc, extra scrutiny should be observed, there is a watch list of countries through which most of the Internet fraud originates.
5) If the shipping address has a Post Office Box and not a regular address, it is a matter for scrutiny, while Google map is an important source for address verifications; it is limited to locations in few countries.
6) The other most common feature for verification which is the address mismatch, if the shipping address is different than the billing address, the telephone number in the billing address needs to be called and the order placed online has to be summarized to the customer, clearly mentioning the different shipping address, for extra caution do not ship merchandise to shipping address which is different than the billing address.
7) If a same customer has placed multiple orders, using the same credit card and a common shipping address, there is reason for suspicion, check out the telephone number of the customer available with the credit card Company, and make a verification call to the telephone number.
Always scrutinize large orders; if an order value exceeds the average billing amounts of day-to-day customers, it needs to be investigated.
9) If a customer has placed orders for multiple quantities of the same product, in all probability it could be a fraudulent order, telephone verification is mandatory.
10) If the order form filled by the customer has grammar, typing or punctuation errors, it cannot be grounds for suspicion but basic scrutiny is advised for these orders.
It is difficult for online merchant stores to scrutinize all aspects of a transaction in a detailed methodology, there are bound to be errors of judgment, but if professional vendors are hired to scrutinize Card-not-Present transactions, as a back office operation, Credit Card Fraud can be prevented to a great extent.
BRYCE
1) When overnight Shipping is the preferred choice of the customer, the transaction needs to be scrutinized; the reason for opting for overnight shipping by Mr../Ms. Fraud is to prevent the extra scrutiny the transaction may attract.
2) A peek on the phone number and email address entered by the customer, first the area code should be in conformity with the city and the state, if the email address is from a free web based domain and the name in the user Id of the email account is different than the one entered in the billing address, close scrutiny is required for such accounts.
3) Identify the source through which the visitor landed on the website, for instance Yahoo, My Store’s order provides information on the search phrase used by the visitor, fraudsters use search phrases like “overnight delivery” or “international shipping” in the search as key words instead of products.
4) Identify the computer IP address which is unique, just like a postal address, if the Geo location of the computer is in a country such as Nigeria etc, extra scrutiny should be observed, there is a watch list of countries through which most of the Internet fraud originates.
5) If the shipping address has a Post Office Box and not a regular address, it is a matter for scrutiny, while Google map is an important source for address verifications; it is limited to locations in few countries.
6) The other most common feature for verification which is the address mismatch, if the shipping address is different than the billing address, the telephone number in the billing address needs to be called and the order placed online has to be summarized to the customer, clearly mentioning the different shipping address, for extra caution do not ship merchandise to shipping address which is different than the billing address.
7) If a same customer has placed multiple orders, using the same credit card and a common shipping address, there is reason for suspicion, check out the telephone number of the customer available with the credit card Company, and make a verification call to the telephone number.
Always scrutinize large orders; if an order value exceeds the average billing amounts of day-to-day customers, it needs to be investigated.9) If a customer has placed orders for multiple quantities of the same product, in all probability it could be a fraudulent order, telephone verification is mandatory.
10) If the order form filled by the customer has grammar, typing or punctuation errors, it cannot be grounds for suspicion but basic scrutiny is advised for these orders.
It is difficult for online merchant stores to scrutinize all aspects of a transaction in a detailed methodology, there are bound to be errors of judgment, but if professional vendors are hired to scrutinize Card-not-Present transactions, as a back office operation, Credit Card Fraud can be prevented to a great extent.
BRYCE
Jan
31
Identity Theft and Credit Card Fraud: What you Need to Know to Protect yourself
Filed Under Finance | Leave a Comment
Rick Churchill asked:
Once you learn about what the different types of identity theft are and what a criminal does with your information, it is easier to protect yourself from becoming an identity theft victim. Because credit card theft is the number one identity theft crime in America, this article will discuss what it is and talk about some ways to reduce the probability of becoming a victim.
Credit card fraud is the number one fraud committed by identity theft criminals and possibly one of the easiest crimes to commit. Credit card fraud is split into two categories with the first method being a thief who actually steals an existing credit card. This is by far the easier crime to commit and luckily is easier to catch. The other option the thief may use is to gain access to your personal information and open a new credit card account that the victim will know nothing about. Many times the thief will use an alternate address and phone number so the victim never sees a bill and will not be aware of a problem until it is too late. There are steps you can take to prevent this type of fraud.
To prevent a thief from stealing your existing credit card you should cancel any credit cards you don’t need or use, pay close attention to your monthly bills, and above all else contact your financial institution immediately if you fail to receive your monthly billing statement. If a thief opens a new credit card account with your social security number it is harder to catch but there are steps you can take to prevent this from happening as well. Number one is the contact the Credit Reporting Agencies and request that no new lines of credit be approved without first seeking your approval. You should also request to be removed from any pre-screened credit offer mailing lists as thieves can steal such offers out of your mailbox or trash.
You should also take advantage of the fact that you can access your credit history twice a year for free to check for any fraudulent activity. For any accounts that have been fraudulently accessed or opened, contact the security departments of the appropriate financial institution immediately. Finally, if you are making purchases online you should use a credit card instead of a debit card. Let me explain.
Debit cards are legally riskier than traditional ATM cards or credit cards. While you are only liable for $50 if your credit card is used fraudulently, you may be liable for $500 or more if your debit card is misused plus the fact that the thief can drain your account dry and leave you broke until you get things worked out with your bank. In addition to this fact, debit cards offer much less protection then a credit card because with a credit card, you have certain legal rights to dispute fraudulent charges. If you suspect that your credit card or debit card has been compromised then you should contact your financial institution and cancel the card and put a hold on your funds.
You should now be aware that identity theft in general and credit card fraud in particular can happen to anybody. While there is no 100% guarantee that you wont become a victim of credit card fraud, taking the above steps can dramatically reduce the possibility. The important thing is that you take action to protect yourself now before it is too late. If you feel that you are not up to handling all the details then there are identity theft programs available such as the one offered by LifeLock which can take care of everything for a monthly fee.
ALPHONSO
Once you learn about what the different types of identity theft are and what a criminal does with your information, it is easier to protect yourself from becoming an identity theft victim. Because credit card theft is the number one identity theft crime in America, this article will discuss what it is and talk about some ways to reduce the probability of becoming a victim.
Credit card fraud is the number one fraud committed by identity theft criminals and possibly one of the easiest crimes to commit. Credit card fraud is split into two categories with the first method being a thief who actually steals an existing credit card. This is by far the easier crime to commit and luckily is easier to catch. The other option the thief may use is to gain access to your personal information and open a new credit card account that the victim will know nothing about. Many times the thief will use an alternate address and phone number so the victim never sees a bill and will not be aware of a problem until it is too late. There are steps you can take to prevent this type of fraud.
To prevent a thief from stealing your existing credit card you should cancel any credit cards you don’t need or use, pay close attention to your monthly bills, and above all else contact your financial institution immediately if you fail to receive your monthly billing statement. If a thief opens a new credit card account with your social security number it is harder to catch but there are steps you can take to prevent this from happening as well. Number one is the contact the Credit Reporting Agencies and request that no new lines of credit be approved without first seeking your approval. You should also request to be removed from any pre-screened credit offer mailing lists as thieves can steal such offers out of your mailbox or trash.
You should also take advantage of the fact that you can access your credit history twice a year for free to check for any fraudulent activity. For any accounts that have been fraudulently accessed or opened, contact the security departments of the appropriate financial institution immediately. Finally, if you are making purchases online you should use a credit card instead of a debit card. Let me explain.
Debit cards are legally riskier than traditional ATM cards or credit cards. While you are only liable for $50 if your credit card is used fraudulently, you may be liable for $500 or more if your debit card is misused plus the fact that the thief can drain your account dry and leave you broke until you get things worked out with your bank. In addition to this fact, debit cards offer much less protection then a credit card because with a credit card, you have certain legal rights to dispute fraudulent charges. If you suspect that your credit card or debit card has been compromised then you should contact your financial institution and cancel the card and put a hold on your funds.
You should now be aware that identity theft in general and credit card fraud in particular can happen to anybody. While there is no 100% guarantee that you wont become a victim of credit card fraud, taking the above steps can dramatically reduce the possibility. The important thing is that you take action to protect yourself now before it is too late. If you feel that you are not up to handling all the details then there are identity theft programs available such as the one offered by LifeLock which can take care of everything for a monthly fee.
ALPHONSO
Jan
31
credit card fraud?
Filed Under Credit | 4 Comments
T****A asked:
Someone stole my wifes debit card #’s and was in canada charging stuff up. the bank fraud department called because they were suspicious and shut the card off. the bank is giving the money back $638.00 but i was wondering does the bank loose that money or the stores were the stuff was bought have to pay the money back i think the stores should loose the money because the stores obviously didnt ask for id because it wasnt the correct person using the #’s the stores were abercrombie & fitch, towns shoes, and Mcdonalds i think they should have asked for id because the person didnt have the card just the #’s and that should have been a big red flag
GLENN
Someone stole my wifes debit card #’s and was in canada charging stuff up. the bank fraud department called because they were suspicious and shut the card off. the bank is giving the money back $638.00 but i was wondering does the bank loose that money or the stores were the stuff was bought have to pay the money back i think the stores should loose the money because the stores obviously didnt ask for id because it wasnt the correct person using the #’s the stores were abercrombie & fitch, towns shoes, and Mcdonalds i think they should have asked for id because the person didnt have the card just the #’s and that should have been a big red flag
GLENN
Jan
29
National Identity Fraud Prevention Week or was it “Identity Theft for Dummies?”
Filed Under Debt Consolidation | Leave a Comment
Vincent Woodall asked:
National Identity Fraud Prevention Week ran from the 17th-23rd October last year for the first time. There was a great deal of publicity regarding identity fraud as might have been expected but was it perhaps a case of “too much information”?
It is certainly understandable that a great deal of information was given about how to prevent identity fraud and what to do if you fell victim to it. However, there was also a great deal of information given that would certainly help the criminally-inclined who might otherwise never have thought that this was a way to make some easy money.
Identity theft is growing fast, costing around £1.7 billion and affecting up to 100,000 people each year. Strangely, it’s not a crime at the moment although the Government is considering making it one. It only becomes a crime when a stolen identity is actually used to obtain goods and services by deception at which point it becomes known as identity fraud.
Almost 20% of consumers in the USA admit to falling victim to identity theft. Younger adults are most at risk according to Experian-Gallup Personal Credit Index published on the 4th August 2005. Identity theft in the UK is rapidly on the up, with an increase of 165% over the available figures for 2004 according to Credit reference agency Experian.
However, is it any wonder that this particular crime is on the increase, when so much detailed information is given as to how identity thieves go about their task? I am reminded of an article I read in one of the tabloid newspapers only a few months ago, in which a convicted burglar, originally from Eastern Europe, explained how he had learnt valuable tips of the trade from, of all places, a police website.
The same could be said about identity theft but this information is not confined to police websites. If you were to type in “identity theft” into the Google UK search engine, you would see that this returns some 775,000 results. Now not all of these results are specifically about identity theft. However thousands of these results describe in detail how easily identity thieves go about stealing other people’s identities.
UK credit reference agency Experian, in co-operation with the London Borough of Camden, analysed the contents of the dustbins of 327 domestic homes and 71 companies and organisations to assess the potential for identity fraud (apparently bin raiders in certain parts of London are paid up to £5 a document by would-be identity thieves). Some of the information found included the names, addresses and mobile telephone numbers of well known film and television stars that had been discarded by a film and theatrical agency. Photocopies of passports with passport numbers, dates of birth and photographs of customers had been thrown out by a travel agent. Full financial details of applicants for courses at an educational establishment had been put into dustbins. Detailed scaled plans of NHS hospitals and other public buildings had been thrown out by an architect. Full medical records of the patients of a doctor’s surgery had been thrown away. Signed witness statements and sworn affidavits had been discarded by a barrister’s chambers. A PR company had thrown out embargoed press releases and bank account details of its clients. A mortgage broker had discarded numerous completed mortgage applications containing full financial details of its clients.
Apart from the above, one in ten domestic households was found to have discarded a compete combination of credit or debit card number, with expiry date, issue number and signature. Many other assorted articles were also found in this selection of dustbins including mortgage statements, bank account numbers and balances, a cheque book complete with ten cheques, an uncashed cheque, medical information, an MP’s signature, CVs, driving licences and a death certificate. Jill Stevens, Consumer Relations Director at Experian, commented “….as consumers, we are all still binning far too much personal information which can and is being used by fraudsters to fuel the current boom in ID fraud”.
Only very recently, in February this year, two identity fraudsters got confidential information about comedian Harry Hill, 41, from a bank clerk and used it to set up an internet account in his name. They then siphoned cash from the comedian’s genuine Halifax accounts into the bogus one. In one month a series of large sums were transferred out of the online account to various beneficiaries and stolen. Hill, whose account was in his real name of Dr Matthew Hall, discovered the theft when he visited his Halifax branch in Battersea, South London, to query the transactions.
The stand-up comic was one of five wealthy clients targeted. The unnamed conmen got their confidential details from Sharmane Dillon, 23, a Halifax customer adviser. Dillon claimed the men, who were not caught, threatened her with violence. They sent her the names of chosen victims by text message and she searched the computer database for dates of births and answers to security questions.
Prosecutor Andrew Evans told Harrow crown court that one conman then posed as Hill to alter the bank’s records of his address. He said: “It was changed to somewhere in Woolwich. A code was then issued to that address which enabled fraudulent transactions.” Almost £500,000 was taken from the customers. About £150,000 was recovered. The bank refunded the rest.
Dillon, who worked in Wembley, admitted passing on customer details but denied plotting fraud. She denied the charge of conspiracy to defraud saying she did not profit from the crime, and only took part because the conmen had threatened to hurt her family and slit her throat if she did not help.
However a jury at Harrow Crown Court found the 23-year-old guilty by a majority verdict . The fraudsters themselves were not caught. Judge Susan Tapping told her: ‘It would be very wrong if I didn’t warn you that a custodial sentence is very much on the cards for this offence.’
Four other accounts were targeted in the sting, which netted more than £578,000 in 2004; although all the victims have got their money back. She was released on bail and will be sentenced next month.
Last year another comedian, Ricky Gervais, was also a victim of identity fraud when a picture taken from the cover of a DVD was used in a stolen passport.
So where does this leave you? If you can’t even trust the staff at your bank it doesn’t leave too much hope. MPs recently voted to bring in voluntary ID cards. Presumably criminals will choose to opt out given the choice. But apart from biometric ID cards what can you do to protect your identity?
It has been suggested on a Home Office website that paper shredders also contribute to protecting against identity theft.
BLAIR
National Identity Fraud Prevention Week ran from the 17th-23rd October last year for the first time. There was a great deal of publicity regarding identity fraud as might have been expected but was it perhaps a case of “too much information”?
It is certainly understandable that a great deal of information was given about how to prevent identity fraud and what to do if you fell victim to it. However, there was also a great deal of information given that would certainly help the criminally-inclined who might otherwise never have thought that this was a way to make some easy money.
Identity theft is growing fast, costing around £1.7 billion and affecting up to 100,000 people each year. Strangely, it’s not a crime at the moment although the Government is considering making it one. It only becomes a crime when a stolen identity is actually used to obtain goods and services by deception at which point it becomes known as identity fraud.
Almost 20% of consumers in the USA admit to falling victim to identity theft. Younger adults are most at risk according to Experian-Gallup Personal Credit Index published on the 4th August 2005. Identity theft in the UK is rapidly on the up, with an increase of 165% over the available figures for 2004 according to Credit reference agency Experian.
However, is it any wonder that this particular crime is on the increase, when so much detailed information is given as to how identity thieves go about their task? I am reminded of an article I read in one of the tabloid newspapers only a few months ago, in which a convicted burglar, originally from Eastern Europe, explained how he had learnt valuable tips of the trade from, of all places, a police website.
The same could be said about identity theft but this information is not confined to police websites. If you were to type in “identity theft” into the Google UK search engine, you would see that this returns some 775,000 results. Now not all of these results are specifically about identity theft. However thousands of these results describe in detail how easily identity thieves go about stealing other people’s identities.
UK credit reference agency Experian, in co-operation with the London Borough of Camden, analysed the contents of the dustbins of 327 domestic homes and 71 companies and organisations to assess the potential for identity fraud (apparently bin raiders in certain parts of London are paid up to £5 a document by would-be identity thieves). Some of the information found included the names, addresses and mobile telephone numbers of well known film and television stars that had been discarded by a film and theatrical agency. Photocopies of passports with passport numbers, dates of birth and photographs of customers had been thrown out by a travel agent. Full financial details of applicants for courses at an educational establishment had been put into dustbins. Detailed scaled plans of NHS hospitals and other public buildings had been thrown out by an architect. Full medical records of the patients of a doctor’s surgery had been thrown away. Signed witness statements and sworn affidavits had been discarded by a barrister’s chambers. A PR company had thrown out embargoed press releases and bank account details of its clients. A mortgage broker had discarded numerous completed mortgage applications containing full financial details of its clients.
Apart from the above, one in ten domestic households was found to have discarded a compete combination of credit or debit card number, with expiry date, issue number and signature. Many other assorted articles were also found in this selection of dustbins including mortgage statements, bank account numbers and balances, a cheque book complete with ten cheques, an uncashed cheque, medical information, an MP’s signature, CVs, driving licences and a death certificate. Jill Stevens, Consumer Relations Director at Experian, commented “….as consumers, we are all still binning far too much personal information which can and is being used by fraudsters to fuel the current boom in ID fraud”.
Only very recently, in February this year, two identity fraudsters got confidential information about comedian Harry Hill, 41, from a bank clerk and used it to set up an internet account in his name. They then siphoned cash from the comedian’s genuine Halifax accounts into the bogus one. In one month a series of large sums were transferred out of the online account to various beneficiaries and stolen. Hill, whose account was in his real name of Dr Matthew Hall, discovered the theft when he visited his Halifax branch in Battersea, South London, to query the transactions.
The stand-up comic was one of five wealthy clients targeted. The unnamed conmen got their confidential details from Sharmane Dillon, 23, a Halifax customer adviser. Dillon claimed the men, who were not caught, threatened her with violence. They sent her the names of chosen victims by text message and she searched the computer database for dates of births and answers to security questions.
Prosecutor Andrew Evans told Harrow crown court that one conman then posed as Hill to alter the bank’s records of his address. He said: “It was changed to somewhere in Woolwich. A code was then issued to that address which enabled fraudulent transactions.” Almost £500,000 was taken from the customers. About £150,000 was recovered. The bank refunded the rest.
Dillon, who worked in Wembley, admitted passing on customer details but denied plotting fraud. She denied the charge of conspiracy to defraud saying she did not profit from the crime, and only took part because the conmen had threatened to hurt her family and slit her throat if she did not help.
However a jury at Harrow Crown Court found the 23-year-old guilty by a majority verdict . The fraudsters themselves were not caught. Judge Susan Tapping told her: ‘It would be very wrong if I didn’t warn you that a custodial sentence is very much on the cards for this offence.’
Four other accounts were targeted in the sting, which netted more than £578,000 in 2004; although all the victims have got their money back. She was released on bail and will be sentenced next month.
Last year another comedian, Ricky Gervais, was also a victim of identity fraud when a picture taken from the cover of a DVD was used in a stolen passport.
So where does this leave you? If you can’t even trust the staff at your bank it doesn’t leave too much hope. MPs recently voted to bring in voluntary ID cards. Presumably criminals will choose to opt out given the choice. But apart from biometric ID cards what can you do to protect your identity?
It has been suggested on a Home Office website that paper shredders also contribute to protecting against identity theft.
BLAIR
Jan
27
Tips For Preventing Check Fraud
Filed Under Finance | Leave a Comment
Lyn Askin asked:
Convenience is the offspring of the twenty-first century. But even with the advancements afforded by technology, some still opt for more traditional methods. One such example is evident in the finance and banking industry. Despite the advent and development in online banking, many account holders still maintain the use of checks. In fact, roughly 15% of the nation’s population still depends on checks for executing transactions. This 15% are also the prime targets of one of the most damaging violations in the financial industry: check fraud.
Entrepreneur Weekly, an online business magazine, reports of an American Bankers Association data that says that there is a 25% annual growth rate of check fraud cases in the country. At this rate, check fraud is indeed a serious threat to the security and privacy of anyone-from the multi-million dollar company to the average wage earner.
However, even if you belong to that 15%, you still have the option not to fall into the trap of hoaxers and scammers. Here are some tips that, if all together applied, will help you stop check fraudsters from getting their swindling hands on you:
There are no exceptions
Create a tight policy on check acceptance. This policy should require associative information, a list of valid ID forms, and dollar limits. There should also be no exceptions to the rules. Remember that the greatest con artists are creative in finding ways of concocting situations that distract you into taking a bad check.
Feel the check with your hand
Get familiarized to the “feel” of a genuine check. This will allow you to spot the fakes, even just by mere touch of it. Fakes are usually lighter than the real ones. Moreover, most authentic checks, save for the government-issued ones, have perforated edges on at least one side.
Check for signs
Pay close attention to the check writer as he or she signs the check. Also, ask the customer to write his or her name below (in print), should the signature be illegible. Most of all, don’t forget to compare what he or she had written with the specimen signature in his or her information sheet.
Look at the numbers in the check
You could be familiar with the numbers written on the lower portion of your check. You may have also observed that their font differs from the others and wondered why this is so. Well, those series of numbers is called an MICR line. MICR means magnetic ink character recognition. These numbers are printed with the use of an MICR toner that possesses magnetic particles of the iron oxide additives variety. These additives allow the reader-sorter machines to read checks.
As a check is run through a reader-sorter, the MICR line scans across and causes the iron oxide to become magnetized, thus, emitting a signal. Then the check is read by a “magnetic read head.” Upon the contact of the magnetic head and the MICR line, an electromagnetic field, called a flux pattern, is detected. The current created by the flux pattern allows the MICR series to be processed and recognized by the machine. The potency of an MICR toner ensures the readability of your check’s MICR series. It is important to note the quality and appearance of the check’s MICR line. Most fraudulent checks use a different kind of ink to change the MICR number sequence of a check.
If used wisely, and maintained in all the check transactions you make, there is no chance in the world for you to fall victim to fake checks. Remember that an ounce of prevention is better than a pound of cure.
SIMON
Convenience is the offspring of the twenty-first century. But even with the advancements afforded by technology, some still opt for more traditional methods. One such example is evident in the finance and banking industry. Despite the advent and development in online banking, many account holders still maintain the use of checks. In fact, roughly 15% of the nation’s population still depends on checks for executing transactions. This 15% are also the prime targets of one of the most damaging violations in the financial industry: check fraud.
Entrepreneur Weekly, an online business magazine, reports of an American Bankers Association data that says that there is a 25% annual growth rate of check fraud cases in the country. At this rate, check fraud is indeed a serious threat to the security and privacy of anyone-from the multi-million dollar company to the average wage earner.
However, even if you belong to that 15%, you still have the option not to fall into the trap of hoaxers and scammers. Here are some tips that, if all together applied, will help you stop check fraudsters from getting their swindling hands on you:
There are no exceptions
Create a tight policy on check acceptance. This policy should require associative information, a list of valid ID forms, and dollar limits. There should also be no exceptions to the rules. Remember that the greatest con artists are creative in finding ways of concocting situations that distract you into taking a bad check.
Feel the check with your hand
Get familiarized to the “feel” of a genuine check. This will allow you to spot the fakes, even just by mere touch of it. Fakes are usually lighter than the real ones. Moreover, most authentic checks, save for the government-issued ones, have perforated edges on at least one side.
Check for signs
Pay close attention to the check writer as he or she signs the check. Also, ask the customer to write his or her name below (in print), should the signature be illegible. Most of all, don’t forget to compare what he or she had written with the specimen signature in his or her information sheet.
Look at the numbers in the check
You could be familiar with the numbers written on the lower portion of your check. You may have also observed that their font differs from the others and wondered why this is so. Well, those series of numbers is called an MICR line. MICR means magnetic ink character recognition. These numbers are printed with the use of an MICR toner that possesses magnetic particles of the iron oxide additives variety. These additives allow the reader-sorter machines to read checks.
As a check is run through a reader-sorter, the MICR line scans across and causes the iron oxide to become magnetized, thus, emitting a signal. Then the check is read by a “magnetic read head.” Upon the contact of the magnetic head and the MICR line, an electromagnetic field, called a flux pattern, is detected. The current created by the flux pattern allows the MICR series to be processed and recognized by the machine. The potency of an MICR toner ensures the readability of your check’s MICR series. It is important to note the quality and appearance of the check’s MICR line. Most fraudulent checks use a different kind of ink to change the MICR number sequence of a check.
If used wisely, and maintained in all the check transactions you make, there is no chance in the world for you to fall victim to fake checks. Remember that an ounce of prevention is better than a pound of cure.
SIMON