Millions of Americans have their identities stolen each year. That is why it is important to take extra steps to protect your personal information. As the nation recovers from the most severe economic crisis since the Great Depression, it is crucial to stay on top of your financial health.
In recent years, identity theft has risen to be one of the most popular crimes committed against the average consumer in the United States. The Federal Trade Commission estimates that as many as 9 million Americans have their identities stolen each year.
Smart Business spoke to Denise Owens of Comerica Bank about how to avoid becoming a victim of identity theft.
So, what exactly is this crime that is gaining so much traction?
Identity theft is a type of fraud in which a scammer or thief obtains your Social Security number or other sensitive personal information and uses it to open accounts or buy goods and services without your knowledge. Often, victims of identity theft don’t realize that their personal information has been stolen until they are contacted by a collection agency for a debt of which they are unaware, and, by then, there could be several debts in their name listed on their credit bureau report.
How do fraudsters obtain personal information about someone?
Thieves can use a variety of methods to obtain your personal information, ranging from rummaging through your trash to an online scam — called phishing — that seeks to steal credit card numbers, account information, Social Security numbers, passwords and other sensitive information. Phishing uses fake e-mails, fraudulent Internet addresses, imposter Web sites and ‘pop-ups’ to impersonate your financial institution and trick customers into disclosing their personal data.