Top 5 ID Theft Scams
With all the money flowing in and out of retailers and through credit cards via online shopping, it isn’t any wonder scammers want to keep trying to get a piece of that pie. Your identity may not seem like a big deal to you, but for someone trying to get a lot of free money, you are their next little gold mine. Before they can get a single penny of yours, they have to get your information. Here are some of the ways they might try to get it:
1. Going Phishing
“Phishing†is a term used for a specific type of online identity theft scam. It has become more prevalent in emails, in which the sender requests your personal information. They make it look as legitimate as possible, such as the phishing scam that appeared for eBay users, claiming there was a problem with their account and they needed to provide their user name, password, and other sensitive information for the problem to be corrected. Thousands of people fell victim to this identity theft scam, and eBay made sure to alert all users, telling them that eBay would never request sensitive information like passwords. This goes for all other businesses and banks as well.
2. Help Me!
Somewhat similar to the phishing scam, the thief will attempt to get your information by sending you a different sort of letter. Instead of appearing like an actual business, they claim to be from a foreign country, such as Nigeria, Russia, or elsewhere, and ask for you to help them move money from their country to the US. They can either be embezzlement claims or simple “please help†requests. For the specific Nigeria 419 letters, people actually travel overseas to help move the money and find themselves in bad situations, losing money or even their life. Other people simply hand over money or information and never hear from the contact again.
3. I Won!
Congratulations! You’ve won a (insert prize here)! That is the basic layout of another scam. However, in order to receive the item, you have to provide all your information, including credit card or debit card information in order for the shipping and handling costs to be covered. Remember; online when you pay with a debit card, you should never be asked for your PIN number. And think; what contest did you enter in order to win such a great prize?
4. Can I Have Your Number, Please?
Fake phone calls have been a huge source of identity theft. This method is also similar to the phishing scam, though instead of email, the thief makes a call to your phone, claiming to be your credit card company, bank, or a different business offering extra services to your card. Not long ago a group in Canada was caught offering bogus services. All they needed to give you the service was your credit card information. Never give anyone any sensitive information over the phone unless you know you are explicitly dealing with your credit card company or bank.
5. Secret Skimming.
Stealing your identity couldn’t be easier if a thief has a good skimmer. This is a device that allows them to swipe your card and then make a fake one using all your information. This means the card is under your name, and the information can be sold just about anywhere, from Europe to Latin America. A scary thought is that a restaurant, when you pay with your card, your server takes it and after swiping it through the cash register, swipes it through a skimmer as well. It’s that simple, and skimming can also take place at ATM machines.
Always monitor your credit card bills and bank statements so you can stay on top of any abnormal purchases. The instant you see one, immediately call your credit card company or bank and have the account flagged or frozen to stop the thief from getting any more money.