Having worked in the call center industry for 6 years opened my eyes to various online schemes and scams, of which the most popular is identity theft. This is a very big problem, especially in the United States, because of their unified identifying system, which means their social security number gives access to private information, including credit information. One can apply for a credit card just by using a valid social security number. This is why users must be very careful who they give their private information to, online or offline.
This information is taken from a press release titled, “Taxes and Personal Data: 5 Ways to Avoid Identity Theft. To find the entire release, click here.
1. Be proactive
Check your credit card and bank statements at least monthly for unusual activity. You should do this regularly, not just when you’ve had a problem. Surprisingly, most people don’t.
2. Know what’s in your credit report
Check your credit report at the three credit reporting agencies — Equifax, Experian and TransUnion. You are allowed to check each once a year for free. Go to www.annualcreditreport.com for the government-authorized free reports. Look for any credit accounts you didn’t open, a sure sign someone has stolen your identity and is opening credit lines in your name. A good proactive practice is to check one of the agencies every four months to help catch any major changes throughout the year.
3. Get secure
Maintain an updated computer security program which includes firewall, virus and spyware software. Computers typically come with some protection, but the effectiveness of these and other free programs is debated among computer technicians. Several software products are offered by companies such as Symantec Corp., McAfee Inc. and Trend Micro Inc. They typically range from $30 to $80 and must be renewed each year.
With high-speed Internet connections frequently left on most of the time, an unsecured computer can become a gateway to data theft.
Many consumers also have wireless connections at home so they can use laptops or handheld devices without cables. Make sure any home network is password protected so anyone nearby cannot access that connection. It’s one way thieves can attach keystroke capture devices to your system and learn your passwords. The instructions that came with your wireless router should help walk you through the process.
4. Password protect yourself
Change the passwords on your online accounts. That means bank accounts and any others that have links to credit information or account numbers. It might mean changing e-mail passwords, too. Passwords should include numbers and capital letters. Do not make them the name of your pet, your mother’s maiden name or some other bit of information about you that’s easy to find. It’s wise not to use the same password for every account and to get in the habit of changing them periodically.
5. Use cards carefully
Remember that a credit card uses the banks money, a debit card uses your money. It’s wise to limit the use of a debit card, especially when it comes to online purchases. If a thief steals a debit card, he’s getting your money out of your bank account. It’s more difficult to get your money back once it’s gone.
Nathaniel Lipman is the current President, Chairman of the Board and Chief Executive Officer of the Affinion Group. Through Nathaniel Lipman’s leadership, the Affinion Group has grown to be the world’s leader in membership services, insurance providers, loyalty programs, value-added checking programs, and
security services.