Citizen & Neighborhood Resources Department City of Scottsdale, Arizona.

Citizen & Neighborhood Citizen & Neighborhood

Resources DepartmentResources Department

City of Scottsdale, ArizonaCity of Scottsdale, Arizona

The Problem

• The victimization rate makes this one of the most frequent crimes occurring in the USA.

• Victims typically lose $0 because of laws that limit credit card loss to $50 and debit cards to $500. For those who do loose, the average in 2005 was $422.

• Spend 40+ hours clearing their name.

2007 Survey

• The National Crime Prevention Council released a survey in February, 2007. It indicated that Identity Theft was the crime most people feared.

• Even though people feared ID Theft, few people where taking any steps to prevent it.

Is this a Problem in Arizona?

Source: US Federal Trade Commission

Is this a Problem in Scottsdale?

Source: US Federal Trade Commission

Who are the Victims?

What is ID Theft?

• Someone using your sensitive information to commit fraud or theft.

• A.R.S. 13-2008 – Class 4 Felony• “A person commits taking the identity of

another person if the person knowingly takes, uses, possesses, purchases, manufactures, or records any personal identification of another person, without the consent of that person, with the intent to obtain or use the other person’s identity for unlawful purpose…”

What is Aggravated ID Theft?

• A.R.S. 13-2009: Aggravated Identity Theft makes ID theft acts a class 3 felony.– 5 or more victims (possession of information

from 5 people for an unlawful purpose).– Dollar loss exceeds $3,000.

• ARS 13-2010: Trafficking in identities is a class 2 felony.

Drugs & ID Theft

• “Meth is the gas that fuels Identity TheftMeth is the gas that fuels Identity Theft” AnnieLaurie Van Wie, Deputy County Attorney, Maricopa County Attorney’s Office, Arizona

• Crimes that are associated with ID Theft include: forgery, fraud, burglary, computer tampering, trafficking, drug sales and use.

How does this occur?

Thieves get your personal information (name, DOB, SS# or address):

• Steal records from employers• Hack into computers or steal

servers• Dumpster diving• Steal wallets and purses• Steal mail• Skimming credit cards

How does Skimming occur?

• ATM Card Skimming

How does this occur?

• ATM Capturing PIN numbers

What do they do with this Information?

• Go on spending spree using your credit and debit cards.

• Open new credit card and checking accounts using your name, birth date, SSN. The delinquent notices show up on your credit reports.

• Create fake ID’s with your information.

• Change mailing address on your accounts.

• Take out loans in your name.

What happens to the Victim?

• 12% (1 in 8) get a wrongful criminal record

• Can’t get credit, higher mortgage rates

• Higher cost of insurance

• 40+ hours to clear their name

Consequences For Everyone

• ID Theft supports drug use and the drug trade

• Promotes illegal immigration and people trafficking

• Used for money laundering

• Funding for terrorists

How can I tell if I am a Victim?

• Routine check of your credit report.• Failing to receive bills or other mail. • Receiving credit cards that you did not apply for.• Receiving notices and calls from collection

agencies for merchandise you did not buy.• Denial of credit.• Receive calls from credit card

issuers asking if you made uncharacteristic purchases.

What do I do Now as a Victim?

• Contact your bank and close the accounts or changing account numbers, advising them of the fraud.

• Contact one of the 3 major credit bureaus to place a 90 day fraud alert then send letter to put a 7 year fraud alert on your file.

• Order copies of your credit reports.

What do I do Now as a Victim?

• Use the ID theft affidavit from the FTC or acquire them from your bank.

• Ask the bank to notify the check verification services. You may notify them as well.

• File a report with the local Police Department.• File a complaint with FTC.

How Can I Protect Myself?

• Create passwords for credit cards, bank and phone accounts.

• Don’t use your mother’s maiden name, birth date, last 4 digits of SSN, phone # or a pet’s name for passwords.

• Secure personal information in your home.• Don’t use SSN for Driver’s

License #

How Can I Protect Myself?

• Shred all documents containing your information.

• Drop outgoing mail in a USPS box, not your home box.

• Limit the number of credit cards you carry. Don’t carry your SS card unless you have to.

• Ask if companies use encrypted servers for your personal information that they store (e.g. mortgage companies).

How Can I Protect Myself?

• Regularly check your credit bureau report• Don’t leave your wallet or purse in the car• Request your PEBES (Personal Earning &

Benefits Estimate Statement) report from the Social Security Administration

• Use the mail in a secure manner (only use official mailboxes, pick up your mail everyday)

How Can I Protect Myself?

• Put a copy of your registration in your car that has your home address removed with “white out”

• Request that ID Issuers use a number OTHER THAN your SSN

• Check all bank and credit card statements promptly

Changes to the Laws

Fair and Accurate Credit Transactions Act (FACTA) of December, 2003 states:

• Consumers can get FREE CREDIT REPORTS from EACH credit bureau (Equifax, Experian, Trans Union) once a year (www.annualcreditreport.com - info on handout).

• Mortgage lenders are required to provide credit scores to applicants.

• All consumers can see their credit score for a “fair and reasonable fee” (currently $9)

Changes to the Laws

Fair and Accurate Credit Transactions Act (FACTA) of December, 2003 states:

• ID Theft victims need only notify one of the three credit bureaus and they must notify the other two.

• After notification, a 90-day fraud alert must accompany any credit report or credit score issued by all three bureaus.

• You can extend the fraud alert for 7 years if you provide a report from a law enforcement agency.

• Businesses where fraudulent accounts were opened have to give the victim account information to help clear their name. They must accept reports by the victim or the credit bureau.

Protection on the Computer

• Maintain current virus protection software, spyware and a firewall.

• Don’t download files from strangers.• Use a secure browser – httpss – for financial

transactions and personal information.• Don’t put any personal info on a

social networking website like Myspace and Facebook.

Protection on the Computer

• Try to not to store financial records on your laptop.

• Avoid automatic log-in features.• Delete any personal info. Before disposing of PC.• Don’t respond to supposed inquiries from your

bank, online service, or credit card processing service.

Protection on the Computer

• Phishing - the on-line imitation of a company's branding in spoofed e-mail messages and web sites, created with the intent of fooling unsuspecting users into divulging personal information such as passwords, credit card numbers, PINs, etc.

• Vishing – Phishing done on VoIP (Voice over Internet Protocol) phone systems.

• Pretexting – tricking victims into giving personal information to be used in identity theft. Surveys are often used as pretexting.

Don’t Let This Happen To You!

The Media Is Paying Attention

Resources

• Handouts are available with phone numbers, and step by step procedures.

• Social Security Administration – ssa.govssa.gov or 800-772-1213

• Federal Trade Commission – ftc.govftc.gov or 202-326-2222

• FBI/National White Collar Crime Center – nw3c.orgnw3c.org

Thank you for attending today!