Although fraud against U.S. businesses is currently estimated at a $400 billion annual loss, it is impossible to put loss figures on the increasingly popular fraud scheme of stealing someone’s identity for profit.
Stealing someone’s identity has become
easier than we could ever imagine
The most commonplace method years ago was to obtain someone else’s deposit slip, social security number or credit card. Today, these are still popular methods, however, due to the technological ease with which volumes of information are shared, there are easier and even less intrusive methods to steal someone’s identity an then defraud them before they are the wiser.
Protect yourself – Here are some tips!
Carry only what you need should be the rule of the day. Don’t carry your social security card, birth certificate, extra credit cards or anything else which could easily provide your identification to a thief.
Secure your mailbox. If you cannot secure it, rent a post office box and have all your financial information sent there.
On the back of your credit cards write, “show photo ID” instead of signing them.
Annually, order a credit report, study it, make sure you recognize all inquiries as well as companies listed.
Annually review your Social Security Earnings Benefits and Statements for any fraud.
When using an ATM, block the screen. Recognize that fraudsters may be watching from a distance. In that regard, select a PIN that is not obvious.
Although an obvious convenience, never have your driver’s license number printed on your checks.
Shred or burn all correspondence that relates to financial matters or even offers to fill out creditor loan applications.
Sobering statistics
Over 80% of all Americans have been victims of fraud. Check fraud alone is estimated to exceed $25 billion annually.
The best preventive step to becoming a victim yourself is to become proactive. Implement your own identity fraud prevention plan.
The federal government recently enacted the Identity Theft and Assumption Deterrence Act. This new law makes it a federal crime to steal someone else’s identity, and it carries a prison sentence of up to 25 years. It further allows victims to seek restitution for losses. Most frauds, however, whether business related or those which victimize individuals, are only discovered after the fraud occurs and the assets/money are long gone.
Bottom Line
It’s a simple fact that most Americans at one or more times in their life will be the victims of one of the many types of fraud. Self awareness and willingness to put efforts into prevention, vigilance, and, if frauded, taking the necessary zero-tolerance steps to prosecute will defer fraudsters from making yourself or a business their next easy mark.
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