IDENTITY THEFT - Financial Aid
Budgeting for College:
IDENTITY THEFT
Andrea Morgan, Gary Moore, and Melissa Greenslade
Program Coordinators
Office of Financial Aid
University of Arkansas
TEST YOUR IDENTITY IQ…
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Identity theft issues are resolved quickly once reported to the authorities.
Placing orders over the Internet can increase your risk of Identity Theft.
Identity theft can ruin your credit.
26% of teens know someone that something bad has happened to because of information or photos posted on-line.
Most thefts occur through electronic exchanges.
50% of identity thefts involve family or friends but only 6% of people believe thefts by family or friends to be likely.
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False
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True
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False
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True
IDENTITY THEFT STATISTICS
One in four people are affected by identity theft
That’s 10 million American’s each year!!
34% of identity theft victims are college students
The average out-of-pocket expense for victims is $631
It takes an average of 21 hours to clean up identity theft
WHAT IS IDENTITY THEFT?
Identity theft occurs when an unauthorized person uses your personal information, like your name, Social Security Number, or credit card number, without your permission.
HOW DO THIEVES STEAL AN IDENTITY?
Dumpster Diving
Skimming
Phishing
Pharming
Changing Your Address
Old-Fashioned Stealing
Computer Hacking
HOW DO THIEVES USE YOUR IDENTITY?
Credit Card Fraud
Open a new credit card--delinquent accounts appear on YOUR credit report; change the address on your bills; run up charges on your account
Bank/Finance Fraud
Create counterfeit checks; open a bank account in your name and write bad checks; clone your ATM or debit card; take out a loan in your name
Identity Cloning
Open new service in your name; get a job using your SSN; rent a house or get medical services in your name;
Government Documents Fraud
Get a driver’s license or ID in your name but with their picture; use your name and SSN to get government benefits; file a fraudulent tax return or
FAFSA
Criminal Identity Theft
Give your personal information to police or when committing a crime
IT’S NOT ALWAYS RANDOM
Information can be stolen by
Relatives
Friends
Hospitals
Doctor’s Offices
Schools
FINDING OUT IF YOU ARE A VICTIM
85% of identity theft victims find out that they are victims in a negative way
Contact with collection agencies
Being turned down for credit
Only 15% of victims are alerted to identity theft due to a proactive action taken by a business
SIGNS OF IDENTITY THEFT
Charges on your account that you didn’t make
Suspicious activity on your credit report
Accounts you didn’t open
Fraudulent or inaccurate personal information appears like SSN, address, name, or employers
Failing to receive bills or other mail
Receiving credit cards you didn’t apply for
Being denied credit, or being offered less favorable terms for no apparent reason
Getting calls or letters from debt collectors about merchandise or services you didn’t buy
DEFENDING AGAINST IDENTITY THEFT
If you are a victim of identity theft, take the following actions as soon as possible and keep records of all communications:
Notify and close the accounts you know, or believe, have been tampered with or opened fraudulently and dispute any unauthorized transactions
File a complaint with the Federal Trade Commission
(FTC) at www.ftc.gov/idtheft or 1-877-ID-THEFT
File an Identity Theft Report with the police
Place a Fraud Alert on your Credit Reports (all 3)
Monitor your financial records for several months after
IDENTITY THEFT REPORT
A type of police report with specific details relating to identity theft
When filed, an Identity Theft Report will permanently block fraudulent information from appearing on your credit report
Allows you to place an extended fraud alert on your credit report
HOW TO USE AN IDENTITY THEFT REPORT
File your report with a local, state, or federal law enforcement agency
Send the businesses involved and the credit reporting companies a copy of your Identity
Theft Report
Mail using certified mail, return receipt requested
The companies then have 15 days from receiving your report to request more information
FRAUD ALERTS
Initial Fraud Alert
Extended Fraud Alert
INITIAL FRAUD ALERT
Stays on your credit report for at least 90 days
File if you believe you may have been the victim of identity theft
Creditors must use “reasonable policies and procedures” to verify your identity before issuing credit in your name
Entitles you to one free credit report from each bureau
EXTENDED FRAUD ALERT
Stays on your credit report for 7 years
File if you have been the victim of
Identity theft and you can provide a copy of the Identity Theft Report
Potential creditors must actually contact you or meet with you in person before they issue credit
Entitles you to two free credit reports per year
Removes your name from marketing lists for 5 years
A CAVEAT ABOUT FRAUD ALERTS
Fraud alerts will not protect you from a thief using your existing credit cards or other accounts
They will not protect you from a thief opening an account in your name that does not require a credit check
It won’t stop already ongoing identity theft
CREDIT FREEZE
Most states have the option to put a Credit
Freeze on your credit report
Credit Freeze laws vary by state and there may be a fee
This lets you restrict access to your credit report (i.e. for opening new accounts)
Can be temporarily lifted if you need to let someone check your credit report
CREDIT MONITORING
Multiple companies offer this service
Provide updates to customers including information about credit checks and new accounts
Receive immediate notification about any suspicious activity on your credit report
There are multiple types of monitoring available
Credit reports, public records, credit cards, social security
Fees can vary from $5-17
CREDIT MONITORING CONT’D…
If you are considering one of these services, make sure you understand what you are getting
Some only monitor one of the credit reporting companies
Check the Better Business Bureau (BBB), a consumer protection agency (federal, state, or local), and your state Attorney General’s Office to see if they have any complaints on file
IDENTITY THEFT INSURANCE
Identity Theft Insurance won’t deter thieves, but it can, in certain circumstances, minimize losses if identity theft occurs
Think about the potential losses vs. coverage available and deductible required
Can often only guide you (as opposed to doing the work) in order to clear your name
PROTECT YOUR: MAIL/DOCUMENTS
Routinely monitor your financial accounts, billing statements, and your credit report
Opt out of pre-approved credit card offers
(optoutprescreen.com or 888-567-8688)
Use a locked mailbox and stop mail when you are on vacation.
Send important mail from the PO or a USPS mailbox vs. your home mailbox
Store info in secure locations
Shred paper documents and digital info
PROTECT YOUR: ONLINE IDENTITY
Never share info if YOU didn’t initiate the transaction
Use credit cards vs. debit cards on-line
Keep PINs and passwords difficult and to yourself and use different passwords for all Web accounts
Use spyware, anti-phishing filters, and anti-virus programs and update regularly
Be aware of the security of the network you are using; use secure websites (https) and review a site’s security page for current alerts and steps to take if you become a victim
Be aware of the information you are posting online on
Facebook, on blogs, etc.
Don’t accept “friend” requests from people you don’t know.
PROTECT YOURSELF, IN GENERAL
Protect your property and information in general
SS card, seldom used credit cards, checkbook, purse/wallet, computer, cell phone
Don’t think that “See I.D.” will stop criminals from using a stolen card
Be suspicious of anyone who asks for money
Verify circumstances independently—not through the medium requested
Keep private in public
Documents, cell phone use, on-line
Be aware and on guard
CREDIT REPORTS
www.annualcreditreport.com
You are entitled to a free credit report from each of the 3 credit reporting agencies once every 12 months
Equifax: 1-800-685-1111
www.equifax.com
Experian: 1-888-397-3742
www.experian.com
TransUnion: 1-800-916-8800
www.transunion.com
IDENTITY THEFT RESOURCES
www.ftc.gov
(detailed info to help deter, detect, and defend)
www.privacyrights.org
(Consumer info and advocacy)
www.fraud.org
(help to avoid and defend)
www.idtheftcenter.org
(understanding and prevention of identity theft)
http://security.uark.edu/
BEFORE YOU GO…
Please complete and submit your evaluation forms
PowerPoint presentation will be posted on our website
THANK YOU!
Contact Information:
Office of Financial Aid; Andrea, Gary, and Melissa
Campus location: 114 Silas Hunt Hall
Phone: 479-575-3806
Fax: 479-575-7790
Website: http://finaid.uark.edu/
And find us on Facebook at University of Arkansas
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