The Third International Forum on
Financial Consumer Protection & Education
“Fostering Greater Consumer Protection & Education”
Preventing Identity Theft and Fraud
Agenda
Preventing Identity Theft & Fraud
1. Our Identity
2. Definition
3. How Can Identity Theft Happen
4. Misuse of Stolen Identities
5. Warning Signs
6. Preventing Identity Theft
7. Tackling the Problem
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Our Identity
Preventing Identity Theft & Fraud
Our identity is a valuable asset
It’s a personal part of who we are
Open bank accounts
Obtain credit cards
Apply for loans, mortgages
Purchase goods and services
Claim benefits
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Definition
Preventing Identity Theft & Fraud
Identity Theft: An illegal act in
which someone accesses and uses
the identifying information of an
actual person in some way that
involves fraud or deception.
Identify Fraud: The use of a
misappropriated identity in criminal
activity, to obtain goods, services
or benefits by deception for
economic gain without the victim
being aware.
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How Can Identity Theft Happen?
Preventing Identity Theft & Fraud
Your HOME or VEHICLE is burgled and your
personal information and documents may be taken.
Your personal information may be stolen and used
or sold by employees of legitimate BUSINESS.
Information found in the TRASH BIN could provide
a thief with an opportunity to steal your identity.
Many important documents are posted to you and
can be stolen from your MAILBOX.
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How Can Identity Theft Happen?
Preventing Identity Theft & Fraud
Criminals could request for a “change of address”
and have your MAIL DIVERTED to another address.
Your WALLET contains personal information such
as your licence, credit and ATM cards and other
personal documents, that may be stolen.
You may be the victim of a scam and be conned into
providing personal information over the telephone
by an IMPERSONATOR (social engineering).
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How Can Identity Theft Happen?
Preventing Identity Theft & Fraud
SHOULDER SURFING in public place.
Your personal computer could be the weakest link,
as it is vulnerable to threats posed by HACKING,
PHISHING and MALWARE.
Most surprisingly, you could have your identity stolen
and used by someone you know and trust FRIEND, RELATIVE or COLLEAGUE.
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Misuse of Stolen Identities
Preventing Identity Theft & Fraud
Submit false application for credit cards and loans
Take over existing accounts
Open bank accounts to write bad cheques
Open landline or mobile phone account
File for bankruptcy
Submit false claims on insurance policies
Submit fraudulent tax returns to collect refunds
Submit claim for unemployment or social security
benefits
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Misuse of Stolen Identities
Preventing Identity Theft & Fraud
Terrorism financing
Money laundering
People smuggling (human trafficking)
Illegal immigration
Drug trade
Crimes
Abuse of government programmes
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Misuse of Stolen Identities
Preventing Identity Theft & Fraud
Fastest growing crime
US in 2003
10 million victims
US$1 billion loss by lenders
UK in 2003
Over 100,000 cases
£1.3 billion loss
Australia in 2002
A$1.1 billion loss
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Warning Signs
Preventing Identity Theft & Fraud
 You receive bills, invoices or receipts for goods
which you have not ordered.
 You receive letters or calls from debt collectors
relating to debts that aren’t yours.
 You receive bank statements for accounts in your
name which you have not applied for or opened.
 There are transactions on your account statements
that you don’t recognize.
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Warning Signs
Preventing Identity Theft & Fraud
 Important identification documents are missing.
 You stop receiving regular mails.
 You did not receive any mail at all.
 New accounts on your credit report.
 Searches on your credit bureau report that don’t
relate to any application made by you.
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Preventing Identity Theft
Preventing Identity Theft & Fraud
Supply your personal information appropriately
Check financial information regularly
Ask for credit bureau report periodically
Maintain a record of important accounts
Destroy personal information before disposal
Use passwords for important accounts
Report loss or theft immediately
Secure your mail and personal information
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Preventing Identity Theft
Preventing Identity Theft & Fraud
Computer & Internet
Use passwords for protection
Change passwords periodically
Use anti-virus software
Install personal firewall software for online access
Beware of unsolicited e-mails (phishing & malware)
Transact at secure websites; avoid spoof websites
Wipe before disposing hard drive
Be wary of using public computers
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Tackling the Problem
Preventing Identity Theft & Fraud
Stringent verification process to detect fraudulent
applications using stolen identities
Using scoring technology & neural networks
Robust procedure to prevent account takeover
Employee screening & training programme
One-time password and two-factor authentication for
internet banking
Fraud Detection System
Customer education
Information sharing
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Tackling the Problem
Preventing Identity Theft & Fraud
Victim Assistance Programme
Citi Identity Theft Solutions
Comprehensive service
Close unauthorized accounts
Credit bureau checks
Contact other creditors/banks
Police report
Monitor account
Update status until close
Reclaim identity
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Tackling the Problem
Preventing Identity Theft & Fraud
ID card system
Criminal offence for identity theft and fraud
Police investigation
Sufficient deterrence to criminals
Access to public records
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The End
Preventing Identity Theft & Fraud
THANK YOU
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Preventing Identity Theft & Fraud
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Preventing Identity Theft & Fraud
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Preventing Identity Theft & Fraud
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Preventing Identity Theft & Fraud
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