Now that the holiday season is winding down, it's time to carefully review your credit card statements and protect yourself, as unfortunately, criminals to may try to steal credit card and personal information. Many of us used credit cards to purchase gifts during this holiday season.
According to the Federal Trade Commission (FTC), more than nine million Americans have their identities stolen each year, costing them more than $1.2 billion. The Department of Justice cites identity theft as the number one crime in the country, even more so than drug trafficking. Such a crime can be both emotionally and financially exhausting as victims work to get their identities back. The best way to make sure you are not a victim of identity theft is to know how it occurs and take appropriate precautions to prevent it from happening to you.
Identity theft can occur in a variety of ways. Thieves may dig through your trash in search of billing statements or receipts with your credit card number. They may steal your mail. If your purse or wallet is stolen, the information it contains can facilitate identity theft. Thieves can use the information they steal by simply using your credit card information to purchase goods. They may apply for new credit cards in your name. If criminals obtain additional information about you, such as a bank account number or your Social Security number, they can order checks in your name, open another bank account in your name, even obtain a driver’s license or a job using your name.
As an advocate of efforts to root out consumer fraud, I have chaired Senate hearings on deceptive sweepstakes as well as mail, Internet and telemarketing schemes that specifically target the elderly. In 2000, I conducted an investigation that revealed the widespread availability on the Internet of a variety of fake identification documents. Based on our findings, I authored a law later that year, that updated federal laws relating to false identification to ensure that they are suited to the Internet age.
Fortunately, there are several steps that you can take to help ensure your identity is not stolen. Always check your monthly credit card and bank account statements to make sure there is not any unusual activity such as additional purchases or withdrawals. Shred old billing statements, receipts, and credit card applications before throwing them away. Avoid giving personal information, such as account numbers or Social Security numbers, over the phone. And if you are going to be away for an extended period, have the local post office hold your mail or have a friend or family member pick it up for you.
The Maine Fair Credit Reporting Act also entitles you to one free copy of your credit report each year. You can obtain your copy online at www.annualcreditreport.com or by calling 1-877-322-8228. Reviewing your credit report annually can help you determine if anyone is using your personal information to apply for other credit cards or mortgages, or if there are any errors.
If, unfortunately, you become a victim of identity theft, there is help available. Always file a police report so law enforcement can begin an investigation. You should also notify the FTC at 1-877-ID THEFT (438-4338). Federal law requires the FTC to provide information to victims to help them regain their identities, help notify credit reporting agencies and other organizations that need to know your identity was compromised, and notify the proper law enforcement agencies. If your credit card information has been stolen, you will also want to contact your credit card companies and alert them to the theft immediately. And, if you feel you already may be a victim of identity theft or have any questions, contact the Maine Bureau of Consumer Credit Protection at 207-624-8527.
It is important for us all to remember that while no crime is entirely preventable, there are significant steps we can take to protect ourselves from becoming the victims of identity theft.