Preventing Identity Theft

The identities of 9 million Americans are stolen each year. Skepticism is healthy when you are dealing with telephones, computers, and emails. Awareness is critical in stopping identity theft.

Here are a few simple steps you can taken to prevent your identity from being stolen:

-Do not give out personal information on the phone, on the Internet, or through the mail, unless you are absolutely sure you know who you’re talking to. If you get an email from a familiar company or agency requesting that you update your account information, do not click on the link. It could take you to a web page that loads spyware on your computer. Many thieves try to pass off as a representative or create fake websites, to gain your trust and personal information. Go directly to the site by typing the homepage web address in a web browser. Log in and edit your account. If you receive a phone call, hang up and call the company yourself.

-Remove mail from your mailbox as soon as you can. Do not deposit your outgoing mail at an unsecured location. Shred all credit card offers and other unwanted mail that contains personal information.

-Shred all forms, receipts, invoices, insurance statements, credit card and medical bills and other personal documents before you put them in the trash.

-Do not leave your purse or wallet or other important documents containing personal information unguarded.

-Avoid carrying unneccessary credit cards and your social security card. Only give out your SSN when it is absolutely warranted. Ask if you can use something else to identify yourself. If a anyone (driver’s license, health insurer) uses your SSN as an ID number or account number, ask to have it changed

-Don’t carry your Social Security card; leave it in a secure place. Give your SSN only when absolutely necessary, and ask to use other types of identifiers. If your state uses your SSN as your driver’s license number, ask to substitute another number. Do the same if your health insurance company uses your SSN as your policy number.

-Keep all personal information that can’t be shredded in a safe and secure place.

-When ordering new checks, pick them up from the bank instead of having them delivered to your home.

-Install comprehensive security software or services on your personal computer including anti-virus, anti-spyware and firewall protection and keep it up to date.

- Closely monitor your account statements, mail offers, and credit reports. Credit reports from the three major credit bureaus, Transunion, Experian, and Equifax, can be obtained for free by going online at www.annualcreditreport.com or by calling 1-877-322-8228.
Copyright© 2007 PreventingIdentityTheft.net. All rights reserved

The recent rise in identity theft cases has opened the door to a new service, identity theft insurance. And just like medical insurance, you hope you never have to use it but it’s nice to know you have it, if you ever need it. The Federal Trade Commission estimates that more than 9 million individuals are victims of ID theft each year and they expect the number to grow by 300% over the next few years. The question most people want to know is what does the identity theft cover and how will it protect othem from identity theft?

From doing a limited online search it looks like the price to add it as a rider to ones homeowner insurance our to purchase as a stand alone policy can run from $25 to $100 annually. It’s true that the insurance will not prevent a thief from stealing your identity to obtain credit cards in your name and it will not reimburse you to cover your financial loss. It covers the cost associated with repairing the damages to your name, credit, medical insurance, driver’s license, and other identity theft areas. Identity-theft policies can provide about $15,000 to $25,000 worth of coverage for expenses such as lost wages, notary, phone bills, and certified mailing costs. Some insurer’s will provide attorney fees. Pre-Paid Legal Services provides a package that includes attorney fees and identity restoration. I believe their coverage includes assisting you in clearing your name and credit by making phone calls, along with writing and sending letters on your behalf.

One still needs to do all of the little things like checking your monthly credit card and bank statements, monitoring your credit report for unauthorized activity, shredding personal documents, and knowing exactly who you are submitting personal information to online.

If you become a victim be prepared to spend many hours, days or even weeks to fix the problem. The Justice Department estimates that more than 3.5 million households are affected by identity theft each year. Technology has made it much easier for the criminals to steal your identity, not to mention the occasional employee who loses his notebook computer with thousands of names and their social security number, home address, bank account and/or credit card numbers stored in a database.

If the policy includes some type of legal representation, identity theft insurance can be a viable option at a time where many companies are exchanging information, data is being stored and hacked into on the internet, and people you know and trust are selling your information.

Before you sign on find out exactly what the policy covers. It’s important to know how it will work in the event you need it.

Copyright© 2006-2007 PreventingIdentityTheft.net. All rights reserved

“Identity theft” is defined by the Fair Credit Report Act as “the use or attempted use of an account or identifying information without the owner’s permission.” Millions of Americans are victimized by this fast growing crime every day. Some analysists are calling identity theft the “crime of the century.” What makes it even more devastating is that a person’s financial or social status does not matter to thieves. No matter who you are or where you are from, your personal information is at risk. And, once it’s in the hands of a thief, your life may never be the same.

Here are a few examples of what can happen if your personal information gets in the hands of someone who misuses it:

• Gain access to your credit card account, bank account or brokerage account
• Open new credit cards in your name
• Buy a new car in your name
• Take out a loan in your name
• Get expensive surgery and other healthcare-related matters in your name
• Get an out of state driver’s license in your name and leave you stuck with their tickets and possible arrest warrants

Experts say that within the next few years having identity theft insurance will be as common as health insurance. The only reason it may take the public that long to realize the extent of this problem is because many are still unaware of the risks and dangers this crime poses.

There is absolutely no doubt that identity theft will get much worse before it gets any better. One of the reason’s is the amount of money criminal make from this dreadful crime. According to USAToday (October 12, 2006), here’s what some are willing to pay for your personal information:

• $500 for a credit card with PIN
• $80-$300 for a change of billing information with an account number, billing address, social security number, home address and birth date
• $150 for a driver’s license
• $100 for a social security card
• $7-$25 for a credit card number with security code and expiration date

Even employees at places you visit everyday like restaurants, grocery stores, utility companies and healthcare providers could also be selling your information on the black market. Who can you trust? The affect this may have on your credit could take years to repair and prevent you from getting a new credit card, mortgage, health insurance and a new job.

Preventing identity theft is more important now than ever before. Are you at risk? And what would you do if someone stole your credit card and bank account information?

Remember. Identity theft will soon be as essential as health insurance. You won’t want to be without it.

Copyright© 2006-2007 PreventingIdentityTheft.net. All rights reserved