By Laura Adams.
This episode is part two about how to prevent identity theft and stay safe from cyber crime. If you missed part one, find it in iTunes or in the Money Girl section at quickanddirtytips.com.
Don’t Take the Online Bait
Some of the most successful online scams have been accomplished by e-mail that appears to be from well-known companies such as eBay, Bank of America, or PayPal, for example. The scammers like to go phishing with recognized company names and logos because they know it gives their bait an extra dose of credibility. But the reality is that no reputable company should send you an e-mail asking for your confidential information.
Many thriving scams are surprisingly silly. I’m sure everyone has received an urgent e-mail from someone in Nigeria who desperately needs your bank account information to wire you a couple million dollars. Give me a break! That’s the classic Nigerian Advance Fee Fraud, also known as the “4-1-9” Fraud. I still get a couple of these bizarre messages each month and they just make me laugh. Any e-mail I get that begins with “Dear Gentlemen” goes straight in the trash!
Some other common fraud schemes come in the form of chain letters, fake charity e-mails, and even a rip-off that appears to be from the government. That one takes your credit card number and charges you for a Social Security report that’s actually free! The lesson is that we all need to be highly suspicious and skeptical of anyone who comes knocking on our online door. The “stranger danger” motto that we teach children, works well in the virtual world too. Never click on any link or download files or programs from strangers. They could contain spy-ware or viruses meant to harm your files or jeopardize your online security. If you have even a smidgen of doubt—here’s another good motto—“just delete it”. If you want to check an account or follow up on an e-mail offer, go directly to the company website instead of clicking on a hyperlink. So remember, if you get an e-mail from anyone asking for your confidential information—from your social security number to your address to your credit card numbers—delete, delete, delete!
How to Wise Up
If a thief does get your personal information and opens an account in your name, it should show up on your credit report. That’s why it’s important to view your reports at each of the three major credit bureaus—Equifax, TransUnion, and Experian—on a periodic basis. U.S. federal law gives you the right to see each of them for no charge once a year. You can view and print them at annualcreditreport.com. If you find any discrepancies, be sure to report them right away.
If you want to monitor your credit status more often than once a year, you’ll have to pay the bureaus for the reports. There are companies such as Identity Guard and LifeLock that watch for changes to your credit report for you. They may also offer extra services such as computer security software, wireless protection, and identity theft insurance. These credit-monitoring services also scan black market websites for account numbers that match yours. These hangouts are where criminals gather to sell and exchange stolen information, such as credit card numbers.
You should also be vigilant for fraudulent changes to your Social Security Earnings and Benefits Statement. It’s mailed out each year, but you can also view it anytime at ssa.gov. And of course, it’s extremely important to stay on top of your bank account and credit card activity. At a minimum, closely review your monthly statements as soon as you receive them for unexpected transactions.
Safe Computing Practices
Since we spend so much time on our computers, it’s crucial to be aware of situations that put us at risk. Remember that public computers should not be used for online banking or shopping. If you use a computer in an Internet café or at the library, for example, always clear your browsing history and log off before you leave.
Even if you use your own device in WiFi hotspots at the coffee shop or bookstore, be careful. Whenever you type in private data on a wireless connection, make sure that you’re on a secure page. Just remember that ”S” stands for secure. If the website address begins with https instead of http, your information will be encrypted and secure when you send it. Also look for a lock icon in the web browser and click on it to make sure the website’s security is up-to-date. That keeps the cyber snoopers at bay.
Eight Computer Safety Tips
Here are eight more tips for safe computing:
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Create strong passwords that have a combination of letters, numbers, and symbols. Don’t use personal data such as your telephone number, birth date, address, any part of your social security number, or your mother’s maiden name for passwords. They’re too easy for a hacker to figure out.
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Change your passwords periodically. This is especially important for high-risk websites such as your bank or credit card accounts.
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Never store your financial information or a list of usernames and passwords on your computer. Consider saving sensitive information on an external or flash drive that you keep in a safe place. For more ways to keep sensitive information safe, you’ll enjoy show number 77 from The Get-It-Done Guy. Find Stever Robbins’ great show in iTunes or at getitdone.quickanddirtytips.com.
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Always have firewall, anti-virus, and anti-spyware software installed on your computer that automatically updates each week. That will stop uninvited access to your computer. Doing an online search for “internet security software” will bring up many well-known security products.
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Keep the updates for your operating system, web browsers, and software current. That protects you against intrusions or bugs that could compromise your data.
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Never leave your wireless network at home unsecured. Make sure the encryption feature is turned on and set up a strong password. If you’re not sure how to do this, refer to the printed or online user manual for your hardware.
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When you dispose of a computer or sell it, use a wipe-out program to overwrite the entire hard drive, so no personal data gets passed along.
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Resist the temptation to use a web browser’s feature that automatically remembers your log in information. I recommend using a password manager such as RoboForm or Password Safe that stores and encrypts your data. They make your life easier by recalling your user names and passwords only after you enter one master password that’s kept in the safest place of all—your head!
Administrative
I’m glad you’re listening. Remember that show transcripts, my contact information, and a link to the new Money Girl Facebook page can be found at moneygirl.quickanddirtytips.com.
Chi-Ching, that's all for now, courtesy of Money Girl, your guide to a richer life.
