One factor that is curbing the growth of identity theft that we have seen for so many years is that the word is finally out on how to protect yourself from having your identity stolen. Education has been the key to making it difficult for identity thieves to operate. The problem has not disappeared by any means, but criminals are finding it necessary to be more creative in order to get the information they seek.

There are several new scams that are important to understand.

Most people are familiar with phishing. Phishing is a technique used by identity thieves where they send consumers E-mails that appear to be from a legitimate source, such as a bank or credit card company. The E-mail will ask the consumer to verify some important pieces of information, such as account numbers, credit card numbers, or even social security numbers. When the e-mail is returned with the information that was requested, an identity thief has all he/she needs to start buying things and spending money in your name.

Phishing was much more effective in the early part of this decade when fewer people were aware of the scam, but twists have been added so that the phishing scam still works for criminals. A common twist is for the E-mail to warn consumers of phishing scams, remind them not to send sensitive information online, and instead ask the consumer to call a toll free number to verify important account information. The provided phone number is routed to the scam artist, who poses as your bank to take the information that is sought.

Another newer scam being used via the Internet is among people searching for employment at sites like monster.com or careerbuilder.com. A “perspective employer” will make contact with an individual who has posted a resume and ask the applicant to submit to a background check.

Job seekers thinking that the information is being requested by a legitimate source gladly provide a social security number and any other information that is requested. The lesson is to never trust anyone with your sensitive information unless you are 100% sure that it will be protected.

Spoofing is an attempt made by an identity thief to gain access to a secure website or secure information by posing as an authorized user. Spoofing is a tool the identity thieves have found some success in using. One example is creating a website that mirrors an existing website that users feel comfortable sharing information within.

There are several variations of spoofing, but the less remains the same. Internet users should refuse to enter sensitive information anywhere online where they are not 100% sure that the information is secure.

There are countless other scams used by identity thieves to gain access to information, but the basis for each idea is the same. Identity thieves get information from consumers by first earning their trust. Being aware of these scams will help people to avoid them and avoid the damage caused by identity theft.

One of the most alarming elements of identity theft is that it’s a crime that can very often go on for weeks, months, or even years before it’s detected. By the time the victim realizes what has happened, the amount of damage that has been done is catastrophic.

Financial losses can add up without a consumer realizing it, and victims of identity threat often see their credit scores adversely impacted, leading to more financial stress in the future. The key to minimizing the negative consequences of identity theft is discovering early on that someone is using your personal information for their financial gain.

There are several red flags to watch for that will help keep damage to a minimum. Some of these include:

1. Unidentified Items on Credit Reports: There are three major credit reporting agencies that consumers should be aware of: Equifax, Experian, and Trans Union. It’s a good idea to pull your credit report at least annually to make sure that there is nothing unfamiliar open in your name. There are also agencies that will monitor your credit report in your behalf on an ongoing basis for a small fee. Alerting these agencies of any red flags you find is also a good idea.
2. Unexplained withdrawals from bank accounts and credit charges: Unfortunately, there are many people who receive bank statements in the mail and either fail to open them or fail to check them thoroughly. It’s important to be able to account for every transaction with your bank account. It’s easy to monitor most bank accounts online, an activity that could become a weekly habit to keep identity theft damage to a minimum. Credit card statements should also be examined thoroughly to ensure all of the charges are accounted for.
3. Unknown Collectors Calling: If you hear from a collector asking about repayment on a bill that you’ve never heard of, there’s a chance that an identity thief has opened an account and spent money in your name. Do not assume these calls are a mistake. Ask for all of the information that the collector can provide in writing, including a history of the debt, to get an idea of how long the problem has existed.
4. Missing Statements and Other Mail: Once an identity thief is using your credit card or bank account, a common practice is to change the mailing address on your accounts so that statements don’t arrive in your mailbox. Pay attention to when monthly statements normally arrive and investigate if you’re statement is missing. When possible, elect to receive bills and statements online to minimize chances of stolen mail leading to your identity being stolen.

Identity theft can cause serious problems in your financial life today and in the future, as identity thieves will not only spend money in your name now, but ruin your credit for years to come. Paying attention to the above red flags will help you to keep problems to a minimum if your identity is stolen.

One of the crimes getting a great deal of publicity recently is identity theft. In 2007, over 8.4 million adults in the United States were victims of identity theft, with over $49 billion in damages and fraud committed by these identity thieves. Identity theft happens when someone uses another individual’s personal information, such as a social security number, banking information, or a credit card number, without permission to commit fraud. Identity thieves are doing anything from shopping online to opening credit card or cellular phone accounts to renting apartments with information obtained illegally about strangers. There are several steps that individuals can take to prevent themselves to becoming a victim of identity theft.

One of the common misconceptions about identity theft is that most of the problems begin with information that is gathered online. While some identity theft crimes are committed online, according to recent surveys where the source of the stolen personal information is known, nearly 70% of victims reported that their information was stolen without the use of a computer. Methods criminals use to steal valuable information include stealing wallets and purses, stealing mail, and gathering information from victim’s associates. Many of the steps that should be taken to prevent identity theft are common sense, but important nonetheless.

Some available measures to protect your information may include:

1. Be Secure: Many neighborhoods are converting from traditional rows of unlocked mailboxes to mailboxes that require a key to access. Stealing mail is a favorite method of identity thieves. If possible, receive statements and pay bills online to prevent sensitive information from being accessed by criminals digging through your mail.
2. Be Smart: Tricks like looking over your shoulder as you enter a PIN number into an ATM machine work well for identity thieves. Criminals are also willing to look through garbage for the mail you’ve thrown away. For instance, most Americans receive several credit card applications in the mail each week. A shredder can be purchased for less than $20 now and is a great investment when it comes to protecting your identity.
3. Be proactive: Once a criminal has your information in hand, it can take less than 5 minutes for fraud to occur. A stolen purse with a credit card and other personal information inside is a great find for an identity thief. Call your credit card company the minute you think your card may be lost or stolen – the hassle of waiting for a new card to arrive in the mail is nothing compared to the hassle of dealing with the consequences of identity theft, as victims spend an average of 600 hours each dealing with the problems caused by the theft of their identities. Monitor your credit report regularly to ensure nothing suspicious has shown up in your name.

Anyone can be a victim of identity theft, but the above steps can help make sure that it’s difficult if not impossible for criminal to get their hands on your personal information.