Preventing Identity Theft

By: AARP Education & Outreach | Source: AARP.org | June 1, 2005

When Janet Romano opened her credit card bill, she got more than she bargained for.

“I’m diligent about matching up my receipts to my bill,” Romano said. (We’ve changed her name to protect her privacy.) “Several of the charges were mysteries to me.”

A call to her credit card company began a months-long effort to recover from identity theft and credit card fraud. First, Romano found thousands of dollars in fraudulent charges on her credit card bills. She disputed each charge but the finance charges kept growing. She even found a purchase of an Internet domain name on her bill. That domain name created a Web site that scammed people out of hundreds of thousands of dollars.

“Some people using the scam site knew how to look up the name of the site owner. A public directory listed my name and phone number. I actually got messages on my voice mail threatening to break my legs,” said Romano.

Romano thinks that identity thieves got her information when she replied to an email asking her to refresh her email account information. It looked like a real request—so real that even a cautious consumer like Romano replied with her personal and financial information. Such email tactics are called “phishing.”

Identity Theft is Growing

Unfortunately, phishing is a growing way to steal someone’s identity. And it’s only one way. Identity thieves can take your personal information from your mail box or your home. They can steal your wallet or purse, or convince you to give out personal information. We all have to be on our guard.

Identity theft is the fastest growing white-collar crime. It happens when an identity thief obtains some pieces of your personal information. The thief then uses the information about you—without your knowledge—to commit fraud or theft. The identity thief is disguised as you. The trail leads back to you.

You Can Act Against Identity Theft

In this series of articles you will learn more about how identity theft happens. You’ll see how thieves get and use your information. Then, you can take steps to be on your guard, so that what happened to Ms. Romano won’t happen to you. As with any crime, you cannot completely control whether you will become a victim. But you can minimize your risk. You can be alert to how the crime happens. And you can manage your personal information cautiously.

In this mini-course on preventing identity theft, you will:

• Know what identity theft is
• Do a wallet check to protect yourself from identity theft
• Take steps to protect yourself from identity theft in your home and on the road
• Recognize early warnings of identity theft
• Take the first steps if you’re a victim of identity theft
• Have the numbers to call to get help or more information

Let's get started.