Scammers Have Become Aggressive With Identity Theft

Scammers have outpaced cybersecurity expert predictions since 2019, and there seems to be no end in sight, especially in identity theft which affects as many as 1 in 10 Americans annually.   

Most identity theft cases stem from phishing attacks, ransomware attacks, and supply chain attacks.

In phishing attacks, fraudsters impersonate real individuals or businesses and send texts or emails containing links to fake websites. There, fraudsters prompt an unsuspecting victim to provide their personal information, including name, address, credit card details, or bank account details.

Other times, scammers impersonating the employees of a legitimate company call unsuspecting victims and steer the conversation to con the victim into revealing personal data. 1 in 3 Americans received such scam calls in the past year alone. Many of the persons who have been targeted also report receiving as many as three phishing texts requesting them to complete a survey where they would have to provide personal information.

Scammers also use VoIP technology to conceal their identity or spoof their numbers to make the Caller ID appear legitimate. Call blocking helps protect you from scammers who spoof their numbers. You can also list your number on the national do not call registry, but this measure only bars legitimate telemarketers from contacting you.  

Likewise, software packages scan emails containing phishing links, and security experts recommend installing a trusted package for increased web security. Notwithstanding using software, recipients of unsolicited phishing texts or emails must take care not to click suspicious links. Also, they must watch out for websites that prompt them to provide sensitive information. An effective way to confirm that a website is secure is if the website uses HTTPS encryption. So, if the URL starts with “https,” it should be safe to provide your card details when performing an online transaction.

Also, consider using trusted VPN providers to conceal your identity when browsing online, especially on public Wi-Fi. A VPN encrypts your data, hides the information, online activity, and communications by scrambling your IP address – the unique identifier for your personal computer. This way, everything you do online is safe from prying eyes looking to steal your identity.

Besides phishing texts, emails, and calls, there are other elaborate ways that fraudsters steal a person’s identity. Tech-savvy scammers can exploit security vulnerabilities in a computer’s operating system and steal sensitive information. Most organizations alert their customers to a security breach as soon as possible. For example, Microsoft recently announced a security alert and advised users to update their OS to prevent hackers from accessing their personal computers remotely.

Yet, remotely accessing a user’s personal computer is not the only way fraudsters steal a person’s identity. Another common way is shoulder surfing in public places like at the ATM, bus, or park, where someone can look over your shoulder with the intent to steal your personal information. Security experts recommend covering your screen with your hand as you enter personal data in a public place.

Even when you protect your screen when inputting sensitive information, an identity thief could have replaced the device or platform where you provide sensitive information, e.g., an existing ATM or credit card reader. The thief can read your credit card numbers and card PIN this way, so watch out for a card reader or ATM different from your regular ATM or card reader. Confirm your suspicion with the device owner before using the machine. If still in doubt, use alternative payment methods.

Sometimes, identity thieves impersonate your service provider or employer and call you to obtain your personal information, e.g., your credit report. Scammers use your credit report to search for credit cards or accounts that you don’t use frequently. They can also request a new card in your name and have the creditor mail it to them. Armed with a card in your name, identity thieves quickly rack up charges before disposing of the card. 

If you suspect a scammer may have obtained your credit report, place a free security freeze on your credit report immediately. Financial experts also advise that you close all dormant credit cards and financial accounts in your name if closing will not affect your credit history significantly.  

Yet another method of identity theft is when scammers rummage through your trash for discarded utility bills, bank statements, or credit card information. Some identity thieves also steal these sensitive documents directly from your mailbox. So, consider shredding the financial documents you wish to discard. You should also consider opening a post office mailbox and have new mails containing sensitive documents delivered there rather than to your regular address.   

The Federal Trade Commission (FTC), the Internal Revenue Service (IRS), and the Department of Justice (DOJ) provide additional information on keeping your identity safe.

Meanwhile, persons who have been victims of identity theft must take action immediately. First, create an identity theft report with the Federal Trade Commission. This report is the first step to recovering your identity, and you must do it as soon as you notice you have been a victim of identity theft. The FTC will create a recovery plan based on the information you provide in the online report.

Next, activate an extended fraud alert, which requires a business to verify your identity before it issues new credit. This alert is free, but it is only available to victims who have created an identity theft report with the FTC. When you activate a fraud alert, you must also prepare a list of fraudulent activity linked to the identity theft and forward it to the three credit bureaus, i.e., Equifax, Experian, and TransUnion.  

Then you must file a police report and get a fraud affidavit. Your creditor or the Federal Trade Commission will supply the necessary forms. Submit these documents to your creditors’ fraud department, which will then conduct an investigation. 

Following the investigation, you need to restore your credit rating. So, get letters from your creditors certifying that they confirmed you were a victim of identity theft and also that they have expunged the history of fraud on your account. Also, request that your creditors send the same letters to all three credit reporting bureaus and keep a copy for yourself. 

As identity thieves become more sophisticated and aggressive, you can avoid an incident by using protective measures. While many of these measures require you to pay a small fee, the cost is nominal compared to the cost of being a victim. And if someone steals your identity, there are steps you can take and resources you can use to get your life back on track.