The two biggest questions I am asked these days from consumers are, first, how to prevent identity theft and, second, how to deal with it when it happens.
I will be doing my next several blog entries on these two specific questions.
First, on prevention: there is no complete and foolproof way to prevent your identity from being stolen. One lesson from the recent Choicepoint debacle is that we literally do not have control of our identifying information anymore. It is a commodity which corporations such as Choicepoint, Lexis/Nexis, Experian, TransUnion, Equifax and Verid buy and sell. Of course, we don’t get any royalty on the sales, but that’s another debate for another day. However, so long as our personal identifying information is treated like a commodity (which it is) and so long as we don’t have any control over it, effectively there is always some risk that someone will steal your identity from one of the big companies that keeps it on file. So, part of the current situation is to simply confront the fact that all of us are, to some extent, liable to identity thefts.
There are several common-sense steps one needs to take in one’s life to reduce the possibility of identity theft, because most identity theft still occurs when someone with direct access to your personal files and information steals them. In 2003 the FBI reported that close relatives are among the most frequent perpetrators of the identity theft crime. So, keeping close watch on your personal information will still go a long way towards reducing your exposure to identity theft.
Among the common sense precautions are:
1. Shred and shred liberally. Get a good shredder. Whenever you pay a bill, you should either file it in a secure, locked place or shred it. Obviously shred anything with your social security number on it, but don’t stop there. I shred all old bills, all old account statements, etc. that I am not keeping. If I’m keeping it, I try to keep it in a secure location behind lock and key.
2. Don’t give out your social security number if you don’t have to. Recently a large identity theft ring was busted in Los Angeles (where I practice law). This ring obtained identifying information through the low-wage employees of several building cleaning services. These cleaning services cleaned doctor’s offices, lawyer’s offices, dentist’s offices, etc. at night, after hours, when the regular office staffs were not present. The thieves would look for unlocked cabinets, patient charts left on desks, etc., and would copy all of the identifying information they could lay their hands on. The identities were then sold on the black market. So, now, when I fill out a doctor’s or dentist’s admission form, I simply don’t give my social security number. I use my office address and phone numbers rather than my home address and phone numbers. I always request that my information will be kept behind lock and key.
3. Consider a locked mailbox. Most police officers recommend this precaution. Thieves can still steal your mail from an unlocked mailbox, and sometimes the mail has your identifying information on it.
4. Think about what you throw away and where you throw it away. “Dumpster divers”, people who rummage through trash looking for valuable inforamtion, are still alive and well in our culture. When in doubt, shred it before you throw it away.
5. Internet security: this topic alone is enough for an entire article. As most people now know, do not fall for “phishing” or “pharming”. If an email comes to you requesting your social security number or identifying information, it’s probably a scam and you should delete it. If you do have to provide personal identifying information online, one good precaution is to call the vendor first to make sure that you have the correct website address and that the website is secure. You may also ask if you can make the purchase verbally, over the phone, thereby reducing your use of your credit cards in cyberspace.
In my family, there is only one credit card we use online. So, if a thief steals it, we simply cancel it and get another card.
These are a few tips for your use and benefit. I will be adding more in days to come. Thanks for reading.