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SCOTTSDALE, Ariz., Aug. 31 /PRNewswire/ -- Natural disasters like Hurricane Katrina often pave the way for looting, price gouging, and other opportunistic scams -- including identity theft. Many Gulf Coast residents are still in survival mode, focused on keeping themselves, their loved ones, and their belongings out of harm's way. But as they deal with the devastation, warned Identity Theft 911 CEO Sheryl Christenson, they must remember to safeguard their personal information to keep identity thieves from compounding their problems.
"Potential victims must remember to think beyond their immediate need to survive," said Christenson, "even though this flies in the face of most people's conditioned response to disaster." At such a moment, Christenson noted, your possessions -- including documents containing all the information an identity thief covets most -- are at their most vulnerable. Accordingly, there are basic precautions one should take to prevent a natural disaster from becoming an identity theft catastrophe. Among them:
-- If you are faced with an evacuation order or some other circumstance that forces you to vacate your home, protect the premises with the strongest possible security measures. -- Shred, burn, or otherwise destroy any unneeded documents containing personal information, such as Social Security and driver's license numbers, credit card and bank account numbers, phone numbers, and postal and email addresses. -- If identity theft is prevalent in your area, consider leasing a safe deposit box at a local bank in which to secure such documents. -- Any items containing personal identifiers that are not destroyed or safely secured should be your possession at all times. This is, in fact, one of the rare instances in which an individual should carry a Social Security card, birth certificate, passport, and similar articles.
"It's essential to retain your composure during tumultuous events such as these," said Christenson. "Identity theft may not be the first thing on your mind when you hear that a 500-mile-wide hurricane is headed in your direction. But the good news is that after a natural disaster is over, life goes on. Your identity is the foundation your entire life is built on. Don't let identity theft compound the catastrophe."
Imagine this scenario: upon opening your credit card statement, you suddenly see that the balance is a whopping $20,000! As you look closer, the $17,500 charge for a luxury cruise jumps off the page, a cruise someone else enjoyed at your expense. You decide that it must be a simple mistake, one you're sure you can rectify with a phone call.
Sadly, scenarios such as this are not as rare as you might think. Had this situation really happened, it would be just one of more than 8 million incidents in which Americans fall prey to identity theft each year. Unfortunately, in such incidents, a simple phone call would not solve your problem.
Most Floridians work hard to preserve and enhance their credit by paying bills on time, paying rent on time, keeping car payments up, and having telephone and utility services in their name. Yet one's good credit can instantly turn bad with the help of an identity thief. [Read more]
A balance transfer can be explained simply as a balance transfer! When a balance is transferred usually from a credit card, but possible from a bank account or loan to a credit card with a offer interest rate (usually 0%) for a set period. It does not have to be the entire amount. The card receiving the balance will an interest rate for a set term, normally 6 months, but can be 9 months or even a year.
Should I apply for a balance transfer?
It is important to remember that a balance transfer does not mean that the debt has gone away. It just means you are not paying interest on it. You will still have to maintain payments.
This may seem obvious but many people do not get this straight in their mind.
The basic criteria for getting a balance transfer is when you regularly have an outstanding balance after making your monthly payments. This is the amount you should look to transfer to another card. This will mean that for the period of the offer you will pay no interest on the balance (provided you make the minimum payments).
You should be very wary of taking up a balance transfer, if your overall debt is increasing. A balance transfer is not a green light to spend more money. The money you save should be used to decrease your debt.
What should I look for in a balance transfer?
You need to be aware of the following when looking for a balance transfer card.
Good things.
Length of offer period.
Offer Interest Rate.
The zero or low interest rate charged on the balance.
Possible transfers from loans and overdrafts.
On some cards you can transfer from existing loans and overdrafts and still get the offer.
Bad things.
Cut-off period for the balance transfer offer.
Hidden Charges on transfers.
Some banks will charge a handling fee on the balance transfer.
How long the offer is valid for?
There is usually a cut off point from the account opening when the offer is no longer valid. Be very aware of this otherwise you could end up transferring a balance to a higher rate!!!
What about new purchases?
Unless there is also a 0% interest rate on new purchases then you should avoid making new purchases on a balance transfer card. This is because the banks will look to reduce the balance transfer debt quicker than the new debt. Provided your credit history is reasonable, there is nothing stopping you having several cards for different purposes.
What happens when the balance transfer period finishes?
When the balance transfer offer period finishes the debt will revert to the typical variable APR. The lenders hope at this point that the cardholder will retain the card and some of the debt, so they can then start charging interest and making some money! However, there is nothing stopping the disciplined credit card holder from switching to another balance transfer deal and closing the account. The cycle then starts again. Always allow 6 weeks to 8 weeks before the end of the offer period to apply for a new card. This means you can get the balance transferred to the new card before the lender can start charging the higher rate. You have to be organised to do this, but if you are it does work. People who regularly switch balances are know as card tarts.
Three Golden Rules:
As mentioned previously, the unsuspecting can get caught out when spending on a balance transfer card.
Maintaining regular payments. If you miss a payment you incur some penalty, so be aware. To be safe set up a direct debit.
The interest rate applied when the offer period finishes.
The data breaches noted below have been reported because the personal information compromised includes data elements useful to identity thieves, such as Social Security numbers, account numbers, and driver's license numbers.
Over half the states considered legislation on security breach notices and security freezes this year. For a summary of state legislation with a list of those states enacting breach and freeze laws, visit the U.S.PIRG website.
If your credit report shows that the imposter has opened new accounts in your name, contact those creditors immediately by phone and in writing. Recent amendments to the FCRA (§623(6)(B)) allow you to prevent businesses from reporting fraudulent accounts to credit bureaus.
Creditors will likely ask you to fill out fraud affidavits. The FTC provides a uniform affidavit form that most creditors accept. No law requires affidavits to be notarized at your own expense. You may choose to substitute witness signatures for notarization if creditors require verification of your signature.
Ask the credit grantors in writing to furnish you and your investigating law enforcement agency copies of the documentation, such as the fraudulent application and transaction records. Both federal and California law give you the right to obtain these documents. (FCRA § 609(e), and California Penal Code 530.8). The California Office of Privacy Protection provides instructions and sample letters on how to obtain documentation from credit grantors.
A victim of identity theft must provide a copy of the FTC affidavit or another affidavit acceptable to the business, plus government-issued identification, and a copy of an “identity theft report” (police report) in order to obtain the documents created by the imposter. The business must provide copies of these records to the victim within 30 days of the victim’s request at no charge. The law also allows the victim to authorize a law enforcement investigator to get access to these records.
When you have resolved the fraudulent account with the creditor, ask for a letter stating that the company has closed the disputed account and has discharged the debts. Keep this letter in your files. You may need it if the account reappears on your credit report.
You must also notify the credit bureaus about the fraudulent accounts, listed below.
Equifax: P.O. Box 740250, Atlanta, GA 30374- 0250. Report fraud: Call (800) 525-6285 and write to address above. TDD: (800) 255-0056 Web: www.equifax.com
Experian: P.O. Box 9556 Allen, TX 75013- 9556. Report fraud: Call (888) EXPERIAN (888-397-3742) and write to address above. TDD: Use relay to fraud number above. Web: www.experian.com
TransUnion: P.O. Box 6790, Fullerton, CA 92834-6790. Report fraud: (800) 680-7289 and write to address above. TDD: (877) 553-7803 E-mail (fraud victims only): [email protected] Web: www.transunion.com
You apply for a credit card and get turned down because of a low credit score. Yet you know that you’ve always paid your accounts on time. A debt collector calls to demand payment on a six-month overdue account for a credit card you have never had. You receive a credit card in the mail that you’ve never applied for.
What’s happening? You could be a victim of identity theft, where an imposter is using your personal information to obtain credit. Then when the thief does not pay the bills, the company itself or a debt collection company contacts you to demand payment. As a result of identity theft, your credit report is likely to contain negative information about your bill-payment history, and your credit score has probably been lowered considerably, making it difficult if not impossible to obtain new credit yourself.
Follow these three steps. You must act quickly and assertively to minimize the damage.
1. Notify credit bureaus - Immediately report the situation to the fraud units of the three credit reporting companies -- Experian (formerly TRW), Equifax, and TransUnion. When you notify one bureau that you are a victim of identity theft, it will notify the other two for you. Report that your identifying information is being used by another person to obtain credit fraudulently in your name. Ask that your file be flagged with a fraud alert and that creditors call you before extending credit. Consider using your cell phone number if you have a mobile telephone.
Equifax: P.O. Box 740250, Atlanta, GA 30374- 0250. Report fraud: Call (800) 525-6285 and write to address above. TDD: (800) 255-0056 Web: www.equifax.com
Experian: P.O. Box 9556 Allen, TX 75013- 9556. Report fraud: Call (888) EXPERIAN (888-397-3742) and write to address above. TDD: Use relay to fraud number above. Web: www.experian.com
TransUnion: P.O. Box 6790, Fullerton, CA 92834-6790. Report fraud: (800) 680-7289 and write to address above. TDD: (877) 553-7803 E-mail (fraud victims only): [email protected] Web: www.transunion.com
Under new provisions of the Fair Credit Reporting Act (FCRA, §605A) you can place an initial fraud alert for only 90 days. The credit bureaus will then mail you a notice of your rights as an identity theft victim. Once you receive it, write each of the three bureaus immediately to request two things: (1) a free copy of your credit report, and (2) an extension of the fraud alert to seven years. You may request that only the last four digits of your Social Security number (SSN) appear on the credit report. You must include an identity theft report (police report) with your letter in order to establish the seven-year alert. You may cancel fraud alerts at any time.
In all communications with the credit bureaus, you will want to refer to the unique number assigned to your credit report and use certified, return receipt mail. Be sure to save all credit reports as part of your fraud documentation.
Once you have received your three credit reports, examine each carefully. Report fraudulent accounts and erroneous information in writing to both the credit bureaus and the credit issuers following the instructions provided with the credit reports. The FTC’s identity theft guide provides a sample letter to send to the credit bureaus requesting that fraudulent accounts be blocked. www.ftc.gov/bcp/conline/pubs/credit/idtheft.htm#Resolving
Once you notify the credit bureaus about fraudulent accounts, the bureau is required to block that information from future reports. The bureau must also notify the credit grantor of the fraudulent account. (FCRA, §605B) Ask the credit bureaus for names and phone numbers of credit grantors with whom fraudulent accounts have been opened if this information is not included on the credit report.
In addition, instruct the credit bureaus in writing to remove inquiries that have been generated due to the fraudulent access. You may also ask the credit bureaus to notify those who have received your credit report in the last six months in order to alert them to the disputed and erroneous information (two years for employers). Under California law, when you provide your police report to the credit bureaus, they must remove the fraudulent accounts from your credit report. (California Civil Code 1785.16(k))
2. Law enforcement - Report the crime to your local police or sheriff’s department. You might also need to report it to police department(s) where the crime occurred, if it’s somewhere other than where you live. Give them as much documented evidence as possible. Make sure the police report lists the fraud accounts. Get a copy of the report, which is called an “identity theft report” under the FCRA. Keep the phone number of your investigator handy and give it to creditors and others who require verification of your case. Credit card companies and banks may require you to show the report in order to verify the crime.
FTC regulations define an “identity theft report” to include a report made to a local, state, or federal law enforcement agency. If your local police department refuses to file a report, you can try the U.S. Postal Inspector if your situation involves the fraudulent use of the U.S. mail. You might be able to obtain a report from your state’s Department of Motor Vehicles if your case involves fraudulent use of a driver’s license in your name.
3. Federal Trade Commission - Report the crime to the Federal Trade Commission. Include your police report number. They share such information with investigators nationwide who are fighting identity theft.
Call the FTC’s Identity Theft Hotline: (877) IDTHEFT (877-438-4338)
From the Financial Express - Many users vaguely understand the security risks, privacy invasions and performance costs associated with having spyware secretly and maliciously installed on their computers. Few users know the many forms spyware takes and the truly evil activities it performs. Beyond a general sense that spyware is uninvited, malicious software, average users know very little about it. [Read more]
This article covers the following points:
This is what a serious spyware problem looks like
Assessing the spyware threat level
Disclosure of sensitive or regulated information
Users may fall victim to felony-class criminal acts
