Preventing Identify Theft

Up to 500,000 individuals are victims each year of identity theft, a fast growing form of fraud. Fortunately, a few simple steps can help ensure you stay out of these statistics. “Identity theft” or “account takeover fraud” involves criminals stealing a person’s personal information. The crooks assume a person’s identity, apply for credit in his or her name, run up huge bills, stiff creditors, and generally wreck the victim’s credit record. At IDB Bank, we put a combination of safeguards in place to protect customers, including rigorous security standards, data encryption, fraud detection and employee training. You can take these steps to avoid becoming a victim:

       –   Don’t share your Social Security or bank account numbers to anyone over the phone unless you initiated the call. 

       –   Tear up or shred receipts, old bank statements and unused credit card offers before throwing them away. Crooks could steal information from your trash and use it to get credit in your name.

       –   Review your bank and credit card statements as soon as you receive them to check for unauthorized transactions.

       –   Protect your PINS and computer passwords; use a combination of letters and numbers and change them often. 

       –   Never carry this information with you.

       –   Order copies of your credit report once a year to ensure accuracy.  Call any of the three national credit reporting agencies: 

                    o      Trans Union  (800) 680-7289, 

                    o      Experian (888) 397-3742, and 

                    o      Equifax (800) 525-6285

       –   Report any suspected fraud to your bank and credit card issuers immediately so they can start to close accounts and clear your name right away. You may also contact the FTC’s ID theft Consumer Response Center toll free at (877) ID Theft.

By law you are only liable for the first $50 of unauthorized charges against a credit card account. Still, restoring your identity can be a tremendous inconvenience. It’s worth your while to exercise a little preventive maintenance. Protect yourself against this terrible crime.

1)  Manage your Mailbox.

         –  Do not leave bill payment envelopes clipped to your mailbox or inside with the flag up; criminals may steal your mail and change your address.

         –  Know your billing cycles, and watch for any missing mail. Follow up with creditors if bills or new cards do not arrive on time.  An identity thief may have filed a change of address request in your name with the creditor or the post office.

         –  Carefully review your monthly accounts, credit card statements and utility bills (including cellular telephone bills) for unauthorized charges as soon as you receive them.  If you suspect unauthorized use, contact the provider’s customer service and fraud departments immediately. 

         –  When you order new checks, ask when you can expect delivery. If you mailbox is not secure, then ask to pick up the checks instead of having them delivered to your home.

         –  Although many consumers appreciate the convenience and customer service of general direct mail, some prefer not to receive offers of pre-approved financing or credit.  To “opt out” of receiving such offers call (888) 5 OPT OUT sponsored by the three credit bureaus. 

         –  The Direct Marketing Association offers service to help reduce the number of mail and telephone solicitations.  To join their mail preference service, mail your name, home address and signature to: Mail Preference Service, Direct Marketing Association, P.O. Box 9008, Farmingdale, NY 11735-9008. 

2)  Check Your Purse or Wallet.

         –  Never leave your purse or wallet unattended – even for a minute.

         –  Protect your PINS (don’t carry them in your wallet!) and passwords; use a 10-digit combination of letters and numbers for your passwords, and change them periodically.

         –  Carry only personal identification and credit cards you actually need in your purse or wallet.  If your I.D. or credit cards are lost or stolen, notify the creditors immediately, and ask the credit bureaus to place a “fraud alert” in your file.

         –  Keep a list of your credit cards and bank accounts along with their account numbers, expiration dates and credit limits, as well as the telephone numbers of customer service and fraud departments. Store this list in a safe place.

         –  If your state uses your Social Security number as your driver’s license number, ask to substitute another number.

3)  Keep your Personal Numbers Safe and Secure.

         —    When creating passwords and PINS (personal identification numbers) don not use any part of your social security number, birth date, middle name, wife’s name, child’s name, pet’s name, mother’s maiden name, address, consecutive numbers, or anything a thief could easily deduce or discover.

         –  Ask businesses to substitute a secret alpha-numeric code as a password instead of your mother’s maiden name.

         –  Shield the keypad when using ATMs or when placing calling card calls.

         –  Memorize your passwords and PINS; never keep them in your wallet, purse, Rolodex or electronic organizer. 

         –  Get your social security number out of circulation and release it only when necessary- for example, on tax forms and employment records, or for banking, stock and property transactions.

         –  Do not have your Social Security number on your checks.  If a business requests your Social Security number, ask to use an alternate number.

         –  Never give your Social Security number, account numbers or personal credit information to anyone who calls you.

4)  Bank Shop and Spend Wisely.

         –  Store personal information in a safe place and shred or tear up documents you don’t need. 

         –  Destroy charge receipts, copies of credit applications, insurance forms, bank checks and statements, expired charge cards and credit offers you get in the mail before you put them in the trash. 

         –  Cancel your unused credit cards so that their account numbers will not appear on your credit report.

         –  When you fill out a loan or credit application, be sure that the business either shreds these applications or stores them in locked files. 

         –  Tear up receipts, bank statements and unused pre-approved credit card offers and convenience check before throwing them away.

         –  When possible, watch your credit as the merchant completes the transaction.

         –  Use credit cards that have your photo and signature on the front. Sign your credit cards immediately upon receipt.

         –  Carefully consider what information you want placed in the residence telephone book and ask yourself what it reveals about you. 

         –  Keep track of credit card, debit card and ATM receipts. Never throw them in a public trash container.  Tear them up or shred them at home when you no longer need them.

         –  Ask businesses what their privacy policies are and how they will use your information: Can you choose to keep it confidential?  Do they restrict access to data?

         –  Choose to do business with companies you know are reputable, particularly online.

         –  When conducting business online, use a secure browser that encrypts or scrambles purchase information and maker sure your browser’s padlock or key icon is active.

         –  Don’t open e-mail form unknown sources.  Use virus detection software.

5)  Review Your Information.

         –  Order a copy of your credit report from the three credit reporting agencies every year and make sure all the information is correct, especially your name, address and Social Security number.  Look for indications of fraud, such as unauthorized applications, unfamiliar credit accounts, credit inquiries and defaults and delinquencies that you did not cause.

         –  Check your Social Security Earnings and Benefits statement once a year to make sure that no one else is using your Social Security number for employment. 

If you suspect the misuse of your personal information to commit fraud, take action immediately. Keep a record of all conversations and correspondence when you take the following suggested steps: 

1) Contact your bank(s) & credit card issuers immediately so that the following can be done: access to your accounts can be protected; stop payments on missing checks; personal identification numbers (PINs) and online banking passwords changed; and a new account opened, if appropriate.  Be sure to indicate to the Bank or card issuer all the accounts and/or cards potentially impacted including ATM cards, check (debit) cards and credit cards.  Customer service or fraud prevention telephone numbers can generally be found on your monthly statements.  Contact the major check verification companies to request they notify retailers using their databases not to accept these stolen checks, or ask your bank to notify the check verification service with which it does business.  Three of the check verification companies that accept reports of check fraud directly from consumers are: Telecheck (800) 710-9898, International Check Services (800) 631-9656 and Equifax (800) 437-5120.

2) File a police report with your local police department. 
Obtain a police report number with the date, time, police department, location and police officer taking the report.  The police report may initiate an investigation into the loss with the goal of identifying, arresting, and prosecuting the offender and possibly recovering your lost items.  The police report will be helpful when clarifying to creditors that you are a victim of identity theft. 

3) Contact the three major credit bureaus and request a copy of your credit report. 
Review your reports to make sure additional fraudulent accounts have not been opened in your name or unauthorized changes made to your existing accounts. Check the section of your report that lists “inquiries”.  Request the “inquiries to be removed from your report from the companies that opened the fraudulent accounts. In a few months, order new copies of your reports to verify your corrections and changes to make sure no new fraudulent activity has occurred.  Request a “fraud alert” for your file and a victim’s statement asking creditors to call you before opening new accounts or changing existing ones.  This can help prevent an identity thief from opening additional accounts in your name.  Here are the major credit bureaus and their phone numbers: Trans Union (800) 680-7289, Experian (888) 397-3742 and Equifax (800) 525-6285.  You may also contact the FTC’s ID Theft and Consumer Response Center toll-free at (877) IDTHEFT. 

4) Check your mailbox for stolen mail. 
Make sure no one has requested an unauthorized address change, title change, PIN or ordered new cards or checks to be sent to another address. If a thief has stolen your mail to get credit cards, bank and credit card statements, pre-screened credit offers or tax information, or if an identity thief has falsified change-of- address forms, that’s a crime.  Contact your local post office and police.  5) Maintain a written chronology of what happened, what was lost and the steps you took to report the incident to the various agencies, banks and firms impacted.  Be sure to record the date, time contact telephone numbers, person you talked to and any relevant report or reference number and instructions.