ID Theft & Account Fraud: ID Theft & Account Fraud Prevention and Clean Up


What you will learn: What you will learn During this presentation you will learn: The effects of ID theft and account fraud How ID theft and account fraud happen How to avoid becoming a victim How to recognize when fraud has occurred Steps to take if you come a victim About helpful resources


What is ID theft? : What is ID theft? When someone steals another person’s personal information to commit fraud Open credit cards, buy goods Take out loans Get cell phones Open bank accounts Seek employment What else can an ID thief do?


What is account fraud?: What is account fraud? Unauthorized charges, withdrawals or new accounts Crooks use: Identification Credit card numbers Social security numbers Bank account information


It pays to prevent ID theft : It pays to prevent ID theft Victims spend an average of 600 hours recovering from ID theft often over a period of years. It is estimated that every victim of ID theft spends $1,400 in out-of-pocket expenses to clear their names


Through no fault of their own, victims face: Through no fault of their own, victims face Increased credit card fees Higher interest rates Higher insurance premiums Closure of bank accounts


Credit reports: Credit reports Check your credit reports regularly. Free credit reports can be obtained once a year from each of the 3 credit Credit reporting agencies Equifax Experian TransUnion


Free credit reports: Free credit reports Annual Credit Report www.annualcreditreport.com 877-322-8228 Annual Credit Report, Request Service, PO Box 105281, Atlanta, GA 30348-5281


Credit reports: Credit reports Get all three agency reports at the same time, OR Stagger the three reports out during the year Get one every four months


Social Security number (SSN): Social Security number (SSN) Memorize your Social Security number (SSN) Don’t carry your Social Security card Don’t print your SSN on your driver’s license or bank checks Keep all papers listing your SSN hidden or locked away Shred all documents with SSNs before you throw them away


Financial information: Financial information Check bills, bank and credit card statements Report any unauthorized transactions immediately Track statements, new credit cards or check orders in the mail Call the companies immediately if you notice Unauthorized transactions Missing credit cards or checks


Cards and account numbers: Cards and account numbers Shield ATM keypads when entering passwords Memorize your PINs Watch your cards while they are with sales clerks or waiters Lock your own mailbox Use US post boxes for outgoing mail that contains account numbers


Phone and Internet: Phone and Internet Don’t answer callers or e-mails asking for personal information Remember, you may be overheard on a cell phone Always make sure you are dealing with reputable companies


Marketing: Marketing Read your bank’s privacy notice Stop or ‘opt out’ of pre-screened credit offers 888-5OPT-OUT


Are you already a victim?: Are you already a victim? Check your credit report Look for Accounts you don’t recognize Inaccurate information


Monitor your mail : Monitor your mail Missed bills, credit card statements, etc. may signal trouble


Always question …: Always question … Charges, bills or collection calls that are not yours Complain immediately Denials of credit when you have good credit Get a free copy of the credit report used to make the decision Check for mistakes or fraud


ID theft clean up: ID theft clean up Document the crime File a police report with your local police department Get a copy of the police report Contact appropriate state and feral law enforcement agencies Complete a free ID Theft Affidavit from the FTC www.ftc.gov/idtheft


Fraud alerts: Fraud alerts Add a fraud alert to your report Initial alert—90 days Extended alert—7 years Additional free credit reports When alerts are in place, allow time when applying for new credit Instant credit won’t work


Credit reporting agencies: Credit reporting agencies Equifax, 800-525-6285, www.equifax.com Experian, 888-397-3742, www.experian.com TransUnion, 800-680-7289, www.transunion.com


Victims - be watchful: Victims - be watchful Dispute fraudulent accounts immediately Close all affected accounts Follow up your phone call with a written request Get letters stating disputed accounts have been closed Create new passwords for all of your accounts Avoid easy-to-guess passwords


On-going prevention: On-going prevention Get your credit report. Look for: Accounts you don’t recognize Incorrect information about you Order free reports www.annualcreditreport.com 877-322-8228


Password accounts: Password accounts Place passwords on your credit card, bank and phone accounts Don’t use easy-to-guess names and numbers Ask businesses not to use SSN or mother’s maiden name


Computer safety: Computer safety Don’t respond to ‘phish-y’ e-mails Enter web addresses (URLs) carefully Bookmark favorite sites Check site security—padlock in browser Don’t ‘click’ e-mail links Use phone numbers on account statements or from the phone book Stay informed – check the web for scam alerts


Proof of the crime: Proof of the crime File a police report Get a case number File reports with other appropriate agencies Complete free FTC ID Theft Affidavit


Freeze your credit: Freeze your credit Prevent new credit without your permission Freezing is not allowed in all states If allowed in your state: Equifax: 800-685-1111 Experian: 888-397-3742 TransUnion: 1-888-909-8872 Some states allow a Fee to freeze your report Fee to temporarily lift the freeze


Social Security numbers: Social Security numbers Usually, you can’t get a new SSN For more about SSNs, visit the Social Security Administration www.ssa.gov


Additional resources: Additional resources FTC ID Theft Clearinghouse / ID Theft Hotline US Department of Justice Federal Bureau of Investigation Federal Deposit Insurance Corporation United States Postal Inspection Service United States Secret Service


Non-profit organizations: Non-profit organizations Consumer Action www.consumer-action.org Identity Theft Resource Center www.idtheftcenter.org National Fraud Information Center www.fraud.org Privacy Rights Clearinghouse www.privacyrights.org


MoneyWi$e: MoneyWi$e Thanks for your participation! www.money-wise.org Free financial education materials A joint project of Consumer Action and Capital One