Identity Theft

What is Identity Theft and Identity Fraud?

Identify theft and identity fraud include all types of crime in which someone wrongfully obtains a person's personal information and uses it to profit at their expense.

How serious is this problem?

According to a recent document published by the U.S. General Accounting Office (GAO), thousands of people each year report that they are victims of identity theft. Many identity theft-related crimes go unreported and many victims may not know that their identity has been stolen until a negative situation arises several months after the actual theft has taken place.

What information should you protect?

• Social Security number
• Bank account number or information
• Personal checks
• Credit card numbers
• Telephone calling card numbers
• Any other valuable identifying data, e.g., drivers license, passport

How do criminals steal your personal identity or information?

1. "Shoulder Surfing" is the act of watching a person punch in a telephone card number, credit card number, or listening to a conversation when a credit card number is given to another person over the phone or in person.
2. "Dumpster Diving" is the act of going through one's trash to obtain copies of checks, credit card or bank statements, or other records that bear personal information including your name, address, telephone number or Social Security number.
3. "Skimming" involves a cashier receiving your credit card for a purchase, then quickly skimming it through a portable device that picks up the information on the card for unauthorized use later.
4. Mail boxes are easy targets for identity thieves. Credit card applications and statements, and personal checks may be stolen from your mail box and used to highjack your credit or bank account.
5. Your wallet or purse may not only contain cash and credit cards, but may also contain items that disclose your social security number. Your driver's license or insurance card may contain your name, birthday, and Social Security number.
6. E-mail (SPAM) may be used to offer something of value in exchange for personal information. The internet is used to discover personal information that is improperly posted or not protected by information technology security measures.

What crimes are committed using one's personal identifying information?

• False applications for loans and credit cards
• Fraudulent withdrawals from bank accounts
• Fraudulent use of telephone calling cards
• Fraudulent tax return filings
• Obtaining goods and services

Actual Cases

1. A woman was convicted of using a stolen social security number to obtain thousands of dollars in credit. She then filed bankruptcy in the name of her victim.
2. A man went to prison for obtaining private bank account information about an insurance company's policyholders. He used the information to deposit $764,000 in counterfeit checks into a bank account he established.
3. Three defendants opened bank accounts using both real and fake documents, deposited US Treasury checks that were stolen from the mail, and withdrew the funds from those accounts.
4. A man was indicted when he obtained names, addresses and Social Security numbers from a Web site and used the data to apply for a series of car loans over the Internet.
5. A woman pled guilty to using a fraudulent driver's license to withdraw more than $13,000 from the victim's bank account. She also obtained five department store credit cards in the victim's name and charged $4,000 on those cards.

How do you protect yourself?

Since criminals are slick and clever, it's difficult to stay on top of every scenario. But there are several things you can do to minimize your risk.

• Carry with you only the ID and cards you need at any given time.
• Sign all new credit cards immediately with permanent ink.
• Do not make Internet purchases from sites that are unsecured (check for a padlock icon on the site to ensure its safety).
• Avoid writing a PIN number, Social Security number or passcode on any of your credit cards or on anything you are planning to discard.
• Try to memorize your password(s) instead of recording them on paper or computer.
• While making a purchase in person, keep your eye on the cashier - never look away while your card is being processed.
• If you have applied for a new credit card and it does not arrive within a reasonable time, contact the issuer.
• Be sure someone you trust collects your mail in your absence; if you are leaving town for a week or more, ask the post office to hold your mail until your return.
• Post mail containing sensitive confidential information, or checks at the post office rather than leaving it in your mail box for pickup.
• Secure your Social Security card in a safe place at home; do not carry it in your wallet
• Don't discard, your credit card bills or other documents that contain your personal information.
• Don't give out personal or account information to anyone without verifying their identity; never give personal information to telephone or door-to-door solicitors.
• Create passwords or codes that are not obvious; avoid using your birth date, your mother's maiden name or your pet's name.
• Destroy all carbons.
• Never leave your receipts behind after making a purchase.
• Be aware of "shoulder surfers!" Shield your numbers when using an ATM.
• Avoid providing your social security number or other personal information to prospective employers until you have verified the legitimacy of the organization and their need to verify your background.
• Check your credit file periodically for accuracy.

What if your identity has been stolen?

Act fast to minimize the consequences. Notify the three credit reporting agencies and follow the automated instructions to place a fraud alert flag on your file. If you are not sure, but suspect that your identity has been stolen - notify the credit reporting agencies.

Notifying these agencies will flag your file so that anyone asking to change your credit will be asked to verify their identity. These agencies share fraud alerts with each other. These agencies will not prevent use of a stolen credit card. For that - read on.

Stolen Credit Card

• Contact your local police or sheriff's offices to report the theft.
• Notify creditors immediately, and request that your accounts be closed.
• Ask the card company to furnish copies of documents that show any fraudulent transactions.
• Refuse to pay any bill or portion of any bill that is a result of identity theft.
• Report the theft or fraud to credit reporting agencies.

Stolen Check

• Report the crime to your local police or sheriff's department.
• Notify your financial institution to stop payment on any outstanding checks that you are unsure of and give them any missing check numbers.
• Cancel all your accounts, both checking and savings, and set up new ones with new account numbers.
• Give your bank a password for your account.
• Report the theft or fraud to Equifax.
• Report the problem to the check verification company used by the store where a fraudulent check has been written.
• Refuse to cover any checks that were written or cashed fraudulently. (If you pay, you compromise your opportunity to prosecute.)
• Report the theft or fraud to credit reporting agencies.

Stolen ATM Card

• Report the crime IMMEDIATELY to your bank and to the local police or sheriff's department.
• Get a new card and change your password.
• Avoid using pets' names, your mother's maiden name, birth dates, Social Security numbers or other obvious information for your new password.

Social Security Number

• Report the theft or fraud to credit reporting agencies.

Driver's License Number

• Notify the state office of the Department of Motor Vehicles and place a fraud alert on your license.
• Request a new Driver's License number.
• Avoid using your Social Security Number as your Driver's License number.

Stolen Address Information or Fraudulent Change of Your Address

• Call the U.S. Post Office at (800) 275-8777 for your local Postal Inspector's phone number.
• Notify the Postal Inspector that the mail has been used to commit fraud.
• If you know where fraudulent credit cards or other material has been sent, ask that all mail sent to the fraudulent address be forwarded to your own address.

Phone Service, or Stolen Calling Card

• Notify your long distance carrier about any calls that you or members of your household did not make. (Most phone companies have fraud hotlines for this purpose.)
• Cancel your calling card account and open a new one, using a secure password.

Passports

• Contact the passport office immediately.