The ease at which a criminal can steal your identity and money out from under you has made identity theft one of the crimes people all around the world are most concerned about.
Protecting Yourself Can be Easy
Many people are purchasing ways to protect themselves from criminals who see credit card theft as an easy way to make some fast cash. There’s a range of protection options from security suites for computers to agencies whose specific task is to protect you identity and watch your credit history for unusual changes.
Two Major Mistakes Many People Make That Won’t Cost You any Money
Number One
On-line threats are everywhere on the internet and on the increase because of the ease in taking information. One of the big mistakes many people make is not having on-line security such as antivirus and firewalls. Some people do have them but don’t update.
Cost shouldn’t be an issue because there are some very good free products out there. Even the products that cost money can be obtained on a trial basis for you to evaluate and then decide if you wish to make a purchase.
Wireless internet is big risk if you aren’t using a security suite.
Number Two
Sensitive information needs to be disposed of appropriately, but many people just throw it in the bin without a thought. One of the easiest ways for a person to steal your identity is by using one of those preapproved letters so many banks and lending organisations send out in the mail. In the wrong hands, one of these letters can be used to open a new credit card and then maxed out before you even know it. Rip them up into tiny pieces or buy yourself a shredder.
Here are a few other good tips anyone can follow.
Report any lost or stolen credit cards immediately and cancel any that are inactive.
If you applied for a credit card, or if a card has expired, and a new one doesn’t arrive, notify the credit card provider fast.
Make sure you sign your credit card immediately.
Check for unauthorized charges on your bills.
Try electronic bills and statements instead of paper
Keep your personal documentation and your bank records somewhere safe.
Do not give your credit card number, or any bank account details over the phone.
Do not disclose your credit card and other personal data on-line unless the site is secure
Make sure all information is erased. From your old computer when you upgrade
Be aware of any persons that may be watching when you enter passwords or PIN numbers.
Case Study: USA Federal Trade Commission Figures for 2005
The Federal Trade Commission (FTC) said 8.3 million Americans, or nearly 4 percent of the population, were victims of identity theft in 2005.
3.2 million experienced fraud or misuse of their credit cards, 3.3 million suffered fraud or theft from non-credit card accounts, and 1.8 million had their personal information stolen to open new accounts in the victims' names.
The FTC also looked at the costs of identity theft. Where the ID theft was limited to existing accounts, the average loss was less than $500. However, "new account fraud," losses were much higher, an average $1,350.
Ten percent of new account fraud victims reported losses of $15,000 or more, with the top five percent of victims reporting losses of $30,000.
Recovering from new account fraud was more time-consuming and costly, the top 10 percent of victims incurred expenses of at least $3,000. Thirty-seven percent of victims reported harassment by debt collectors, being unable to get loans, having their utilities cut off, being subject to a criminal investigation or civil suit, being arrested, and having difficulties with bank accounts.
84 percent of identity theft victims did not know the thief, contradicting other studies that claimed the majority of identity theft crimes were committed by friends or relatives.







