Identity Theft and the Internet: Protect Your Credit
Most internet shoppers who use credit cards for their purchases realize that their credit card information is usually safeguarded. Because of this they feel confident when completing online credit card transactions. The popularity of online shopping continues to increase in spite of news stories that focus on major security breaches endangering hundreds of credit card numbers. What you may not realize is that credit card dangers may still lie in wait on the internet. Hackers are increasingly targeting smaller, commercial Websites in their search for unprotected credit card numbers.
Some of these hackers are even able to gain real-time access to these small websites as they complete transactions. With this information these thieves are able to steal valid credit card information and quickly make a large number of fraudulent charges.
While these identity thieves may have fewer potential victims at these smaller websites, they are often able to operate with more ease due to defects in the software the sites use for online order processing or outsourced Web site security. Professionals in fraud prevention are aware that many smaller websites rely on generic shopping card software that they may not always keep updated with the latest software security patches.
Unfortunately for victims of identity theft, the stolen credit card number may be merely the first step into a nightmare world of identity theft. The criminals who actually steal credit card information often do not use it themselves, but actually sell it to other scammers through underground chat rooms. The theft of your credit card data if combined with other personal information can allow an identity thief to gain additional information about you, leader to greater losses.
Victims of identity theft may actually find charges made at the very websites that sell online background checks. The thief may use this website to run consumer background checks that will help such fraudsters to create a more complete file on you or another victim to further aid in their identity theft. A thief who starts with a simple credit card number may eventually get hold of an identity theft victim’s phone number, address, e-mail address, and other information that can be used to gain more access to the target or open up new lines of credit in their victim’s name.
The worst part is that it may take time to notice that someone has stolen your identity or is even simply using your credit card. A transaction as simple as a one dollar donation made to a charity’s website on your credit card bill may actually be the work of one of these criminals. The signs of an Internet thief can be found in such small, unexplained charges because the allow the thief to find out whether a credit card is still valid or not.
Luckily, there are actions being taken to continually make the internet a safer place to shop. The danger to credit card data at internet merchant sites has become serious enough that major credit card companies such as Visa and MasterCard have threatened to fine online businesses that fail to take steps towards meeting stricter security guidelines.
A report in September 2006 was released by Visa showing that four of the top five causes of credit card related breaches were digital security limitations from merchants of all sizes. These problems included missing or outdated software security patches, misconfigured Web servers, and the use of vendor-provided default passwords and settings. All of these problems are violations of new credit card industry standards.
All merchants, but especially those operating online, have to become more aware of the threat from hackers and be willing to make the effort to protect against it.
Consumers also need to be aware of what internet sites are actually taking the necessary precautions to guard credit card information. Some of those shoppers who simply found the least expensive internet vendor possible through a bargain shopping website have become the victims of identity theft. As a credit card holder, you need to make sure that any site you shop on is taking all of the necessary steps to ensure the security of your credit card transaction. There is no real value to saving a few dollars if you end up losing the most important thing of all – your identity.