Computer Identity theft is a major crime that is expanding each year. If you are a victim of identity theft it may take months, even years, trying to repair credit history. A seriously damaged credit report can compromise your chances of getting a new job, a bank loan, insurance or even rental housing. It’s even possible to be arrested for a crime you didn’t commit if someone else has used your identity to break the law.

Many of the methods that thieves use to take identities are beyond your control to protect against. Although it is rare, even store clerks have been known to use their status to pass along info to identity thieves. There are some measures you can take, however, that will make it harder for a thief to steal your identity.

Due to the introduction of the information age identity theft is at an all time high. Over 50,000 people each year fall victim to identity theft from all over the world. However, you do not need to become a victim because there are a variety of different ways that you can learn to protect yourself.

Guarding against this type of crime requires learning the ways to protect yourself against it. You will first need to be sure that you have a strong understanding of what the definition is. Basically, it is defined as another person taking your personal information such as your social security number, bank account number and home address in an attempt to use it as their own identity. It is one of the number one crimes that is facing our nation today. With the ability to use your personal information the identity thieves can destroy your credit quite quickly.

Cyber Identity theft has become a major problem in today’s electronic cash and Internet shopping world. It seems that whenever banking and online security advances to keep out the baddies they go and improve the types and variety of their scams. Sometimes however it is not the breaching of electronic security but the complacency and misplaced trust of the individual that allows these criminals to get away with your money.

While the loss of the initial money taken from your bank accounts or credit cards is enough of a shock what is often even worse is the ongoing problems you may face long after the actual crime. Things such as your credit history will have a record of unpaid bills or bad credit identified with the online theft that can be more difficult to overcome and create ongoing problems and stress.

Obviously the best way to combat identity theft or other such scams is prevention. By being vigilant regarding transactions made on your credit cards or bank accounts, and taking the necessary action quickly you can limit your losses if you notice any fraudulent transactions. If you do notice any questionable transactions on your accounts then there are a few steps to take to limit your losses.

Notify your bank or credit card company’s fraudulent claims department immediately that there are debatable transactions on your account. You may be liable for the cost of fraudulent transactions on your account until the time you notify your bank so vigilance is the key, however many credit cards have a $50 maximum liability.

If necessary close your accounts and open new ones with completely new passwords etc. Request that the accounts be closed via phone initially and then in person to ensure that this action has been taken.

Inform the main credit reference agencies (such as Equifax, Transunion and Experian) and place a fraud alert on your file. This will help to prevent further fraud by the criminals who have your information.

Report the fraud to the police who will issue you with a crime number. This number is required to make any claims against insurance etc.

Contact the Federal Trade Commission (FTC) and report the details of the fraud. This helps the police to keep up with any new methods being used by criminals to commit ID theft and thus helps to stamp it out.

Apart from the steps to take if you are a victim of ID theft there are some simple measures to take to help prevent it in the first place. Simple things such as never carrying your PIN number in your wallet or purse with the card are too often forgotten giving criminals easy access to your cash should you lose your wallet. Also, never ever respond to emails requesting you to log into your bank account from a link within the email that appears to be from your bank. This type of account password harvesting is known as Phishing and catches more people that it should by gaining their account details and then clearing the account of all funds before the owner realizes it.

Cyber Identity theft and other types of fraudulent activity are all too common and will be a danger to the electronic banking system. Unfortunately that danger is the price we pay for convenience and access to our funds or credit. Despite these risks if you remain vigilant and take some common sense measures to protect yourself from this type of fraud you can limit your losses and sometimes escape relatively unscathed.

Identity theft is one of fastest growing crimes in the United States. The loss of your personal identity is not only financially devastating, it is frightening and violating.

One reason is that so many people use the internet to make purchases, do their banking, and other activities that require the sharing of personal information. We often don’t realize the exact paths that this information takes to get to its destination.

Many of us take it for granted that our information will be safe and will get where we need it to go. It is far too easy, however, for it to fall into the wrong hands. When it involves sensitive information like social security numbers, credit card and bank account numbers, and more, this can be devastating.

It is important for people to have protection from identity theft which is has already spread all over the world like a malignant disease. This type of thievery has been in existence since the earliest days of human civilization. In these modern times, the crime has already infected the internet where a lot of innocent people had unfortunately met their untimely demise.

Credit monitoring services monitor if your mailing address on your credit card account has been changed. Identity thieves can change your mailing address, and have your statement sent to the new address so they can get more of your financial information like your credit card numbers, and run up charges on your account.

Credit monitoring services can’t snatch credit applications out of thieves’ hands or prevent lenders from opening accounts for the wrong people. What the better services can do is give you some early warning that there’s a problem, which can give you a head start in cleaning up the mess. Credit monitoring services are designed to immediately inform you of any changes to your credit report. The credit check monitoring service alerts you of significant changes to your credit file within 24 hours, so you can feel confident and secure with instant ID fraud protection.

Prices and services vary widely. Many of the services only monitor one of the three major consumer reporting companies. If you’re considering signing up for a service, make sure you understand what you’re getting before you buy. Also check out the company with your local Better Business Bureau, consumer protection agency and state Attorney General to see if they have any complaints on file.

Early detection of a potential identity theft can make a big difference. Keep an eye out for any suspicious activity by routinely monitoring:

Your financial statements.

Monitor your financial accounts and billing statements regularly, looking closely for charges you did not make.

Your credit reports.

Credit reports contain information about you, including what accounts you have and how you pay your bills. The law requires each of the major nationwide consumer reporting agencies to provide you with a free copy of your credit report, at your request, once every 12 months. If an identity thief is opening credit accounts in your name, these accounts are likely to show up on your credit report. To find out, order a copy of your credit reports.

Once you get your reports, review them carefully. Look for inquiries from companies you haven’t contacted, accounts you didn’t open, and debts on your accounts that you can’t explain. Check that information, like your Social Security number, address(es), name or initials, and employers are correct. If you find fraudulent or inaccurate information, get it removed. Continue to check your credit reports periodically, especially for the first year after you discover the identity theft, to make sure no new fraudulent activity has occurred.

The best way to find out if your identity is stolen is to monitor your accounts and bank statements each month, and check your credit report on a regular basis. If you check your credit report regularly, you may be able to limit the damage caused by identity theft.

Unfortunately, many consumers learn that their identity has been stolen after some damage has been done.

* You may find out when bill collection agencies contact you for overdue debts you never incurred.
* You may find out when you apply for a mortgage or car loan and learn that problems with your credit history are holding up the loan.
* You may find out when you get something in the mail about an apartment you never rented, a house you never bought, or a job you never held.

Realistically, 80% to 90% of credit card fraud occurs unnoticed by consumers, until it’s too late.

Once they have your personal information, identity thieves use it in a variety of ways.

Credit card fraud:

* They may open new credit card accounts in your name. When they use the cards and don’t pay the bills, the delinquent accounts appear on your credit report.
* They may change the billing address on your credit card so that you no longer receive bills, and then run up charges on your account. Because your bills are now sent to a different address, it may be some time before you realize there’s a problem.

Phone or utilities fraud:

* They may open a new phone or wireless account in your name, or run up charges on your existing account.
* They may use your name to get utility services like electricity, heating, or cable TV.

Bank/finance fraud:

* They may create counterfeit checks using your name or account number.
* They may open a bank account in your name and write bad checks.
* They may clone your ATM or debit card and make electronic withdrawals your name, draining your accounts.
* They may take out a loan in your name.

Government documents fraud:

* They may get a driver’s license or official ID card issued in your name but with their picture.
* They may use your name and Social Security number to get government benefits.
* They may file a fraudulent tax return using your information.

Other fraud:

* They may get a job using your Social Security number.
* They may rent a house or get medical services using your name.
* They may give your personal information to police during an arrest. If they don’t show up for their court date, a warrant for arrest is issued in your name.

Identity theft starts with the misuse of your personally identifying information such as
your name and Social Security number, credit card numbers, or other financial account
information. For identity thieves, this information is as good as gold. Skilled identity thieves may use a variety of methods to get hold of your information,

including:

1. Dumpster Diving. They rummage through trash looking for bills or other paper with
your personal information on it.
2. Skimming. They steal credit/debit card numbers by using a special storage device when
processing your card.
3. Phishing. They pretend to be financial institutions or companies and send spam or
pop-up messages to get you to reveal your personal information.
4. Changing Your Address. They divert your billing statements to another location by
completing a change of address form.
5. Old-Fashioned Stealing. They steal wallets and purses; mail, including bank and
credit card statements; pre-approved credit offers; and new checks or tax
information. They steal personnel records, or bribe employees who have access.

6. Pretexting. They use false pretenses to obtain your personal information from financial institutions, telephone companies, and other sources. Pretexting is the practice of getting your personal information under false pretenses.

Pretexters sell your information to people who may use it to get credit in your name, to steal your assets, or to investigate or sue you. Pretexting is against the law.

Pretexters use a variety of tactics to get your personal information. For example, a pretexter may call, claim he’s from a research firm, and ask you for your name, address, birth date, and social security number. When the pretexter has the information he wants, he uses it to call your financial institution. He pretends to be you or someone with authorized access to your account. He might claim that he’s forgotten his checkbook and needs information about his account. In this way, the pretexter may be able to obtain other personal information about you such as your bank and credit card account numbers, information in your credit report, and the existence and size of your savings and investment portfolios.

Keep in mind that some information about you may be a matter of public record, such as whether you own a home, pay your real estate taxes, or have ever filed for bankruptcy. It is not pretexting for another person to collect this kind of information.

By law, it’s illegal for anyone to:

* use false, fictitious or fraudulent statements or documents to get customer information from a financial institution or directly from a customer of a financial institution.
* use forged, counterfeit, lost, or stolen documents to get customer information from a financial institution or directly from a customer of a financial institution.
* ask another person to get someone else’s customer information using false, fictitious or fraudulent statements or using false, fictitious or fraudulent documents, or forged, counterfeit, lost, or stolen documents.