Identity Theft

Written By: Donald W. Johnson

In today’s fast pace world, a new kind of crime has been rapidly increasing. This crime is known as Identity Theft. It is a federal crime that occurs when an unauthorized person uses someone’s personal information. The results from this type of crime can be very serious and could include denied jobs and loans, as well as, being mistakenly arrested.

These high-tech criminals use this information in a variety of ways. These opportunities could be from the application process of credit cards to apartments. Other crimes may include withdrawals from existing accounts and even filing for governmental benefits as a faulty participant. The majority of these crimes go undetected for large periods of time. So as one can see, these types of possible crimes relate to a large sector of local and regional individuals.

Crimes like these can be reduced if preventive measures are put into affect. People always associate these types of crimes with the stolen wallet or purse, but there are many more avenues for corruption. One phrase is called “dumpster diving”. This type of crime is where the information is gathered by sifting threw trash to find useful information. Mail can be stolen and a home computer can be infected with a virus that could tap into this information. Illegal information can be obtained threw large databases at places such as stores, fitness centers, car dealers and credit bureaus. These accounts may need to be monitored as well.

The main preventive measure for the individual would be the use of a shredder for all information that could be a link to financial information. This information could range from credit card offers to previous doctor’s bills. The only sure way to keep one’s financial security is to always "err" on the side of caution.

Remember when giving out an individual’s social security number only a few agencies have a viable need for that information. These agencies would include employers, Governmental agencies, and busineses that are lending that individual credit.

One way your bank is helping to deter identity fraud is to know their customers. Banks are now enhancing their security by requiring a valid driver’s license and a credit report before loans can be obtained.

A new way that has proven very affective with credit agencies is the use of a “fraud alert” on an account. This alert requires the agency to contact and confirm any attempt to open new accounts under a name that already is related to another account. The consumer should also request that a credit report be done at least once a year to verify the information and review for discrepancies. Another preventive measure is “identity theft insurance”. This can be an option but a person should realize that if proper records are kept and prompt actions are taken that one would not be held responsible for fraudulent charges.

When making purchases online make sure to use only sites that can guarantee a person’s privacy. This is a common area where information can be manipulated. The secured area also needs to be protected with passwords that are not easily decoded, such as social security numbers and birth dates. Try to make these as random as possible to insure privacy.

In conclusion, when a possible identity theft has occurred, one needs to contact all parties that may be involved which would need to include all of the financial institutions that one associated with. As an individual in today’s market, remember that any information with financial information may be an outlet for this type of crime.

Useful Links

• Ganet.Org Consumer Resources
• Experian.Com

Contact Nichols, Cauley & Associates by Email, phone, or online form with your questions.

Site visitors should keep in mind that the content is generally designed to be of general applicability. Particular state laws, regulations and special contractual provisions can greatly impact rights, responsibilities and legal obligations. Only a competent attorney, accountant or other professional looking at all the pertinent facts and circumstances of a particular situation can provide definitive guidance for you. Please refer to our important legal discalimer which can be accessed from the bottom of any BankAudit.net webpage.