Identity Theft. Don’t Become a Victim!

Let’s play a short little guessing game. We’ll provide a few statistics, and you tell us what those stats represent. Ready? Here we go...

• One in 10 U.S. citizens has been personally affected by this.
• Nearly 26 million Americans carry insurance against it.
• Those involved lose an average of between $851-$1,378 in expenses.
• Worldwide losses associated with this are $221 billion a year.

Alright, what are we talking about? Natural disasters? Vehicle accidents? No. It’s identity theft. It’s you having your good name stolen and used for someone else’s benefit. Here are some other numbers to consider:

• There were 10 million ID theft victims in the U.S. in 2008.
   
• The average ID theft victim spends 330 hours repairing damage. Think that’s a lot of time? According to the ITRC Aftermath Study, 2004, depending on the severity of the case, it can take up to 5,840 hours to correct damage.
   
• There are eight million attempts at online ID theft EVERY DAY. Most do not succeed, but all it takes is a small percentage to keep the ID theft machine going.

And it goes past money. Think squad cars and handcuffs. Twenty-two percent of victims have warrants issued in their names for crimes committed by the thieves who stole their names. Talk about insult to injury! Or how about this—47% of victims have trouble getting credit or a loan as a result of identity theft, and 11% said it even affected their abilities to get jobs.

It’s easy to see, it’s in your best interest to do everything possible to avoid the theft of your identity. How are most people victimized? There are basically two techniques:

• Stealing––Your information is physically taken from you, such as when a pick-pocket lifts your wallet or someone steals your purse. Or as simple as when a thief goes through your garbage or steals your mail.
   
• Phishing––This involves trickery. Thieves pretend to be someone (your financial institution) they are not via a phone call, text message, e-mail, etc. They trick you by claiming there’s a problem with your account and ask that you provide personal information (Social Security Number, PINs, passwords, account numbers) to use it again.

The best way to avoid becoming a victim of identity theft is to be both vigilante and pro-active.

To be vigilante:

• Never, NEVER provide your personal information over the phone or via e-mail, text message, etc. A legitimate business would never ask for this information in such a way (unless you’ve initiated the call for some sort of business transaction, and even then, e-mail and text aren’t secure).
   
• Check your credit report regularly (at least once a year) to make sure there are no questionable activities/transactions going on. You can get a free copy of your credit report annually at www.annualcreditreport.com.
   
• Protect your computer with a firewall and up-to-date virus software.
   
• Shop only on secure websites. A “locked” icon will appear on the bottom of the web browser on these sites.
   
• Destroy (shred) private records and statements, or better yet, choose e-statements when available and eliminate paper.
   
• Monitory activity on your accounts and keep your credit and debit cards, passwords and PINs secure at all times.
   
• Use caution when responding to job offers from unsolicited Internet sites/e-mails or companies you’re not familiar with.

To be proactive:

• Take a look at our Credit Union Insurance Agency's (CUIA) Vantage Identity Protection (VIP) program. This program provides comprehensive protection against identity theft and fraud by increasing protection and improving security. To learn more, click here.

Identity theft is a real problem that can cause you real headaches. Act now to reduce your chances of becoming a victim!

Resource information:
www.ftc.gov/bcp/edu/microsites/idtheft
www.bos.frb.org/consumer/identity/idtheft.htm
www.spendonlife.com
www.spamlaws.com
www.credit.com