9.9 million Americans were the victim of identity theft last year. According to Javelin Strategy and Research, that’s a 22% increase from the year before.
The good news is the average amount lost due to identity theft decreased even while the number of incidents increased. This is due to better detection and resolution both by businesses and consumers.
As consumers become aware of the need to check their credit reports regularly, and to enroll in programs that send alerts every time there’s activity that affects those credit reports, fraudulent activity is being halted faster.
Those who don’t become aware of identity theft for 6 months or more after the fraudulent activity begins end up paying far more than those who nip theft in the bud.
While many fear using internet shopping sites because of the threat of theft, it turns out that only about 11% of victims had been victimized by on-line thieves. Lost or stolen wallets, credit and debit cards, and checkbooks were the source of 43% of the incidents.
No figures were given to indicate the number of people affected due to lost data on the part of major institutions. The Veterans Administration and at least two major banking institutions have had security breaches in the past few years, with thieves gaining access to data on millions of individuals.
A growing threat to consumers is the practice of phishing. This does happen on line – with emails directing you to visit a site and verify account information. But it also happens via the telephone.
A current scam has consumers receiving phone calls informing them that they have missed jury duty – and giving them a way to get off the hook. The caller asks for personal information such as birthdate and social security number. If they already have your credit card or bank account information, this extra data ensures that they’ll have clear sailing in using your identity.
To protect yourself from identity theft, first keep your wallet, purse, and checkbook secure. Don’t leave these items in the car or let them out of your sight when in stores, restaurants, health clubs, etc. When you pay by credit card, don’t hand it to a server to process and bring back – wait to pay until you can keep your eye on the card.
Second, don’t give out any personal information over the telephone unless you called them. If your caller is legitimate, you’ll be able to look up the business telephone and return the call. Don’t call a number given to you over the phone, because it could also be phony.
If you get an “urgent” email telling you to visit a site and update information, don’t click the link. Go to what you know to be the true website and check to see if you do have missing or outdated information.
Check your credit card agreement to ensure that you have zero liability in the event your card number is used by an unauthorized person. If not, consider getting a different credit card.
And be sure to check your credit report regularly. Then sign up for alerts that will give you instant notification of suspicious activity on your credit report.
CreditScoreQuick.com your resource for free credit reports, credit cards, loans, and free credit repair advice.
