Even My Identity Was Not Safe

02Jul

Even My Identity Was Not Safe

Filed Under: bad credit, bills, credit, credit bureau, credit cards, credit fixing, credit news, credit reports, debt, identity theft, internet, internet privacy, internet security, monthly budget, online credit repair, privacy by: Ryan

I like to think that I am a pretty smart person. I hear stories all the time about when someone’s identity is stole, and I used to think that there was no way that could happen to me. “I know better.” Famous last words, I guess.

In a 1-week span, I got a phone call from Bank of America questioning a $5700 charge to some College Sport something or another, and I got an invoice from Macy’s for charges that neither I nor my wife ever made. I hadn’t used the Macy’s card in a few years.

My gut tells me that the Macy’s charge may have been an honest mistake by the store, because the amount charged was under $50 and the items purchased were on clearance. Macy’s, from what I hear, often charges customer credit accounts without the card present. If they typed in the wrong number, it could have easily charged my account instead of someone else’s. The annoying thing about it, is that Macy’s would not let me dispute the charge over the phone. I had to write them a letter detailing the charges, and why I thought they were fraudulent. After a long conversation with the rep at Macy’s I decided to close my account with them, so the problem would not repeat itself. I would have kept it open if I had not needed to write them a letter and send it to them via SnailMail *gag*.

The Bank of America Charge was a little more concerning. Primarily, it was over five-thousand dollars. That is a lot of money, if it was not so much, the card company would probably not have second guessed it. My favorite feature of major credit cards is that you can dispute charges and they will investigate them. What if it was my debit card, and the charge went through? Once that much money comes out of your bank account, they do not rush to put it back in. You might end up getting the money eventually, but a lot of people live paycheck to paycheck and would not be able to handle a large amount of cash missing from their bank account. Utility bills, car payments, mortgage payments, and other debts do not often delay your due date just because you got robbed by some gutless internet thief.

Everyday, I deal with people that could not afford $100 missing from their bank accounts, much less $1000. I am always skeptical at first when people start saying that the last 10-years of bad credit were 100% not their fault, but in the case of identity theft and fraudulent charges, someone’s credit could get destroyed if they are not careful.

The credit card companies and I were able to catch the situation before any real damage was done to me. Other people are not so lucky. With a little planning, identity theft can usually be avoided.

Identity theft has become more of a concern in the US with the integration of computers and Internet into our financial affairs. When people used cash, before online banking and shopping was invented, identity theft level was much less common. Today, millions transactions are performed online everyday, and we have to be extra careful. Here are some ideas that could help you save your credit and your money:

1) Ensure that you have an Anti-virus software installed on you computer; it is supposed to run all the time, providing constant protection against viruses. You can even download a free one anti-virus program from AVG. Run a system scan at least once a month and make sure that the virus database is being updated.

2) Have a Firewall. Windows XP and Vista have their built-in Firewalls; You can also download the free Zone Alarm Firewall and install it.

3) In order to protect yourself from spyware and adware, install Ad-Aware (also free). Run a system scan at least once a month in order to keep your system clean.

4) Make sure that Windows is always updated with the newest patches and hotfixes: go to http://windowsupdate.microsoft.com and install the recommended updates.

5) Install CCleaner and run the clean-up wizard once a month.

6) Install Mozilla Firefox and use it instead of Internet Explorer. It provides better security! Plus it is faster, and has some great free add-ons.

7) Make sure that you are entering your information on the right websites. Hackers sometimes create mirror websites (’phishing’) which look exactly like banking websites and they may steal your log-in details. The address box should always display the correct address (ex. login.chase.com not 122.333.112.44 or chase.free-hosting.com) and it should always start with https:// (meaning that the connection is secure).

When shopping or banking online, look for the yellow padlock symbol in the lower right corner of your browser window (or the address bar of certain browsers). This will insure that your online session is in a secured environment and that the personal information you enter is protected

9) Protect your wireless network with a password and avoid connecting to unsecured wireless networks. Unprotected wireless networks can be tapped into and your personal information is at risk of being stolen and used inappropriately.

10) Keep your information secure: password-protect your computer and do not send any login or other sensitive information via email. Reputable companies will not ask you for your password through e-mail or over the telephone.

11) Always use credit cards online that offer internet security protection like those offered by American Express. Never use your debit card. They may protect you too, but your money is not always easy to put back into your account.

12) Always shred your account info from bank statements, credit card statements, and other personal information. Cut up old cards so the numbers will not be able to be recovered. Even though this is the Internet Age, dumpster divers are still out there.

If you guard your information, always review your monthly statements, and make smart decisions, you will have a better chance of getting good home loans and auto loans, as well as better interest rates on credit cards.

Tags: credit card fraud, identity theft, internet security, online privacy, online security

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