Definition
According to the Federal Trade Commission, "Identity theft occurs when someone uses your personal information such as your name, Social Security number, credit card number or other identifying information, without your permission, to commit fraud or other crimes."
Generally, the use of a stolen credit card or check is not considered identity theft. It the use of information, rather than stolen objects, such as a credit card.
Identity theft is a rapidly growing crime. Millions of Americans have been victimized, including Steven Spielberg, Oprah Winfrey, Tiger Woods and Rosie O'Donnell. California is one of the top five states with the highest per capita rate of identity theft.
The average victim loses $1,290 (not including financial institutions losses) and spends 60 hours trying to fix associated problems.
What's done with stolen information?
1. Misuse of existing accounts.
Your credit card numbers, checking/savings accounts, or long-distance phone accounts are used to make purchases.
2. Creation of new accounts.
With your information, identity thieves create new credit cards or take out a loan. Since you won't get the bills, it might take years to discover this problem.
3. Other financial uses.
Your medical insurance card is used to pay for expensive medical treatments or surgery.
4. Non-financial uses.
When stopped by the police (or even arrested), a criminal presents a false identity--your name and information. 15% of identity theft victims experienced non-financial uses of their info.
What information and documents are useful to identity thieves?- Social Security number
- Mother's maiden name
- Date of birth
- Account numbers (credit card, telephone card, checking account, etc.)
- PINs and passwords
- Driver's license number
- Checks
- Tax information
- Pre-approved credit card offers
- Credit card statements
How is personal information obtained?
From You:- Lost or stolen wallets.
- Theft of mail (incoming or outgoing).
- Diversion of mail using change-of-address form.
- Rummaging through trash.
- Theft from your home or vehicle.
- Hacking into home computers, or using viruses to access them.
- Scams.
From Businesses:- Bribing employees to steal.
- Stealing data from their own employer.
- Hacking into computers, or using viruses to access them.
- Rummaging through trash.
- Abusing a business's authorized access to credit reports.
- Electronic devices that capture credit/debit card data as a card is processed.
 Debit Card Limitations
With credit cards, you owe only a small fee (often waived) in the event of a loss. With debit cards, it's your debt if lost, even if you used it as a credit card.
Preventing Identity Theft
- Don't carry your social security card or number in your wallet or purse.
- Don't write down your PINs and carry them with you.
- Don't carry unneeded credit cards or other personal documents.
- Never give any personal information over the phone, unless you phoned the business.
- Install a mailbox that requires a key to open.
- Take outgoing mail to the corner mailbox.
- Pay attention to billing cycles and statements. Call if you miss one.
- Review all financial statements carefully for unauthorized charges, withdrawals or transfers.
- Write, "See ID," on the back of your credit/debit cards. Thank storekeepers who ask for it. They don't need to write down the number, they just compare the picture and name.
- Apply passwords on credit cards, bank accounts and phone accounts, for online use.
- If people ask for Social Security number, or other personal data, ask how the information will be used. Decline to give it, if that's an option.
- Control financial info—opt out of financial information sharing.
- Order copies of your credit reports. Review them for anomalous entries.
- If you must leave a driver's license, cards, or copies of personal records as a deposit, get them back afterward.
- Before giving identifying information, ask how it will be used, secured or shared. Can you elect to have it held confidential?
- Keep your purse or wallet locked up at work.
- Secure personal information in your home, especially if roommates or service people have access.
- Ask about information security (and disposal) at your workplace.
- Try not to store sensitive information on your laptop, handheld PC, or cell phone.
- Don't throw away anything with your personal data. Shred:
- Credit card offers
- Credit card checks
- Statements
- Tax documents
- Job applications
- Legal documents
- Cancelled checks
Computer Precautions- Install virus-scanning software on all computers. Update it regularly.
- Check, download and install security patches for your operating system regularly.
- Don't download files or click on hyperlinks unless you trust the source.
- If your computer is directly connected to the Internet (through broadband or DSL), install a firewall. Hardware firewalls are the best protection.
- Use a secure Internet browser.
- Don't do online transactions that aren't secure. The link should say "HTTPS:". If it says "HTTP:", it's not secure.
- Use strong passwords--not guessable, with a combination of letters, numbers and symbols.
- Log off your computer or laptop at work, and any place you leave it unattended.
- Don't reuse PINs or passwords for access to important information or money.
- Don't use automatic log-ins for any accounts with sensitive information.
- Remove sensitive information from your computer before you dispose of it. Get a special program that eradicates data from your disk. A simple delete leaves the data on the disk, only deleting the pointer.
- When asked for guessable personal information, such as a mother's maiden name, use a password instead. Many people can guess, or figure out, your mother's maiden name, or your place of birth, or first pet.
It's impossible for most people to remember all the PINs and passwords. However, it's important to think about how you reuse them. Consider this example: You open a Paypal account and use a password that you also used on Jane's Recipe Database. Though you may trust Paypal, you may not trust Jane. It's easy to forget that you even have an account with Jane, because you only used it once two years ago. Jane goes out of business and needs money. She finds or guesses your Paypal account email address. Now she's got access to your money and the ability to order financial services in your name.
It's okay to have a throw-away password that you reuse for unimportant sites. For critical accounts, invent a system to remember your passwords and PINs. Or record them using a non-trivial code. Put them in a file on your system that's password protected. You can find special software for this purpose.
Laws and government procedures are changing to help with prevention. For example, the DMV now checks your photo when you show up requesting replacement of a lost/stolen license. The State of California limits the public display of social security numbers and their use as account numbers.
How do I know if Identity Theft is happening to me?
There are many indicators of suspicious activity. If you encounter these or other anomalies, you'll want to investigate immediately:
- Your wallet or purse is stolen.
- Missing bills or statements.
- All or most of your mail stops coming.
- Unknown activity on your credit reports.
- Receiving calls from companies or collection agencies for purchases you didn't make.
- Unknown charges or checks on statements.
- Sudden and/or large unexpected changes in account balances.
- Medical insurance reports for treatment you didn't receive.
- Denial of credit for no reason or reasons that aren't correct.
- Credit rejection notices for credit you didn't apply for.
- Bounced check notices.
- You receive notice of suspicious activity in your accounts.
If any of these or other suspicious activities happen, contact the relevant companies immediately to determine if there's fraud involved.
If you're certain fraud is limited to use of a stolen credit card, checks or a single account, you may be able to resolve the matter by reporting it to your financial institution and the police.
For Victims of Identity Theft
Time is of the essence. Delays can cost you money, time and more problems. If identity theft has occurred, you need to report it immediately to the police, the three major credit bureaus, and other agencies. The state of California has a useful Identity Theft Victim Checklist to guide you through the process.
You should also report identity theft to the Federal Trade Commission. This can be done online, using secure transactions. The FTC confidential database is used by law enforcement to assist in investigation and prosecution.
Police reports are made to the police department where you live, or where you lived when the theft occurred. You must come to the police department (directions & map), because identity theft reports require a thumbprint and verification of ID. If you're out of town when you discover the fraud, contact MVPD. We'll make arrangements with another law enforcement agency to take the thumbprint and verify your ID.
Document everything! Take notes of every conversation, what was said by both parties, names, dates, times, etc. Keep copies of all written correspondence. You may need the information later to prove you're not responsible for debts accrued by criminals. It can also be helpful in criminal prosecution.
Internet Fraud
Internet purchases are not uniquely risky. Secure transactions are generally effective. The problem is what happens on the other end. Dishonest employees can steal your information, use it, or sell it. This is not unique to Internet shopping. Mail orders, phone orders and retail purchases are vulnerable, too.
Internet scams are very common. You get an email that appears to be from a legitimate company, such as eBay, eTrade, or a credit card company. The email asks you for personal information, or directs you to a Web page that asks you for your password or personal information. The email and Web page may look legitimate, with the company's proper logo and style. This is called "phishing."
Legitimate companies rarely ask for sensitive information to be emailed to them. If they do, you should object. Email is not secure. This is like leaving a note pinned to someone's front door. Someone else can read it. Legitimate companies also rarely ask you for information they already have on file. Usually updates are requested when you've initiated a transaction on their site.
Protect Yourself Against Internet Fraud- Never send Social Security numbers, passwords, PINs, account numbers or other sensitive information by email. Email is not secure.
- Be suspicious of email asking for personal information. Do not use links provided.
- Check the company's Web site, using the link or bookmark you normally use to contact them. Often companies post notices of current scams.
- When in doubt, contact the company directly.
- Review all account statements for accuracy.
- Sign up for credit card passwords, where available, so that online transactions require a credit card password before they can be completed. Verify by VISA® is an example of such a program.
Advertising for Your Personal Information
Another way criminals can obtain your personal information is by advertising services, credit cards or job openings. Sometimes these ads are found on legitimate companies' Web sites. You should be very cautious about any use of Social Security number and other personal data on Web sites. Is the company really who you think it is? A reputable firm? If you're not certain, you can check with the Better Business Bureau.
|  | How They Get Your Info- Steal, bribe, hack
- Access data kept by businesses
- Rummage through your trash
- Abuse employer's authorized access to credit reports
- Skim (steal card numbers as they're processed)
- Steal or find wallets/purses
- Steal mail
- Issue bogus change-of-address to divert mail
- Burglarize your home
- Scam info from you by posing as legitimate business
Number of Victims
| 2005 | 256,000 | | 2004 | 247,000 | | 2003 | 215,000 |
Highest Identity Theft Rate Per Capita
| #1 | Arizona | | #2 | Nevada | | #3 | California | | #4 | Texas | | #5 | Colorado |
Identity Theft Annual Losses
Total to Business
$33 Billion
Average Personal Loss
$1,290.
+ 60 hours spent fixing problems
Info & Prevention
Identity Theft: What's It All About?
Identity Theft Prevention Tips
Resources for Victims
Guide for Victims of Identity Theft
Identity Theft Victim Checklist
Report Identity Theft to FTC
Major Credit Bureaus
Report identity theft ASAP by telephone.
TransUnion
800/680-7289
PO Box 6790
Fullerton, CA 92634
Experian (formerly TRW)
888/397-3742
PO Box 9530
Allen, TX 75013
Equifax
800/525-6285
PO Box 740241
Atlanta, GA 30374-0241
Questions?
Email
650/903-6344
More Police Contacts |
