By By JOHN EBY / Dowagiac Daily News
CASSOPOLIS – Shred everything.
That's Det. Kristin Daly's best advice for coping with an onslaught of determined identity thieves.
Daly, a Howard Township resident who has been with the Cass County Sheriff's Office for about 10 years after four years with Probate Court, said this area has experienced its own version of the notorious e-mail "Nigerian scam."
"A couple of weeks ago in Dowagiac a gentleman was contacted by someone in Nigeria. He said, 'I've got a job for you. I'm going to give you these names and addresses and you forward these checks to these people. Tell them to cash these checks and send you some money back, then you keep a portion and send the rest to me.' People still fall for it."
"Another scam we've just got within the last couple of weeks" at the Sheriff's Office involved eBay, the online auction service.
An individual was legitimately bidding on a tractor.
He received notification that he won, but failed to notice he was sending $5,000 to New Mexico instead of to the owner in New York.
Prevalence of identity theft has mushroomed from 35,000 in 1992 to 550,000 in 1998 and more than 2 billion a year by 2005.
Locally, "It's a little difficult to tell," Daly said. "(The Sheriff's Office) files identity theft under fraud. Last year we had 110 fraud cases that were investigated. This year, so far, we've had 32. The majority are people who are victims of scams. It's an ongoing problem" highlighted recently on NBC Dateline by Chris Hanson.
"Nobody can be an expert in identity theft," Daly said. "Every single time we think we have it figured out, tomorrow I'll read in the paper that something totally new has come up to take advantage of people.
"Any time you're conducting business online, Web sites that have the lock icon in the bottom corner are legitimate. That means when you're transmitting your information, it is secure. What you have to be aware of is you can be on legitimate sites like eBay or amazon and you get redirected to Joe Blow in Waterloo, Texas, who's got this book you're looking for. You really have to pay attention to your computer screen to know where you are."
She defined identity theft as someone obtaining enough of your personal information – name, address, date of birth, Social Security number, mother's maiden name – to impersonate you.
Identity thieves can hijack accounts and drain them of money, open new accounts using your identity, apply for loans, credit cards, Social Security benefits, rent property or establish services such as phone and utilities.
"We also run into people who get phone and cable in their children's names because they can't pay their own bills," she said. "All that does is damage their children's credit rating down the road."
Identities can be swiped the "old-fashioned way" by pilfering mail from rural boxes, by "dumpster divers" who rifle through trash, snatching a purse or from automobile dealers. "We provide an amazing amount of personal information when we buy a car," she noted. "If they're not reputable, they may sell your information."
Many others along the way have access to sensitive information, from health care providers to lodging and baggage handlers while traveling.
"Who do you have to be concerned about?" Daly asked. "Everyone, basically. You have your personal information on the outside of your luggage so they know your address. There's a tag that says where you're going and sometimes even how long you're going to be gone. Collusive merchants might work together to sell personal information. Custodians, cleaners, bank employees, postal employees, hotels, travel agents. They're looking for your credit cards – especially if all you do is cut it in half – checks you might have thrown away, pre-approved credit card applications that seem to come in the mail every single day. They're looking for the convenience checks that come when you get your credit card bill that a lot of us toss away. On the Internet, I get one or two a week claiming to be from banks or credit card companies, telling me I need to re-enter my information or verify my account status – and these are banks that I don't have accounts with."
"The worst thing you can do is to put mail in your box in the morning and drive to work and leave your flag up all day," Daly said. "My mail doesn't get delivered until 4 o'clock, so it would sit in there, including bills that you're paying with your checking information. The best thing you can do when you're mailing anything with personal information is to drop it directly in a collection box at the post office."
Besides using stolen information to open new accounts, a thief might "wash" checks with acetone to remove your ink, leaving them with a blank slate complete with bank information.
"There are places on the Internet you can shop with just an account number. You don't actually have to have a credit card, just a check routing number and shop away at amazon.com. An account takeover is when someone takes your information, changes the address and requests a replacement card so that the bills are sent to them. You never know they're operating with your information until you go to purchase something and your credit score's in the toilet."
"Skimming" involves a card reader which swipes and stores information. These devices can hold information from thousands of cards and can be purchased "anywhere," from eBay to Office Depot.
"We've never seen one here in the county," Daly said, but such devices have been serreptiously attached to ATMs. "Just by glancing, you may not notice it's on there. The best way to prevent them from getting your information is to shred absolutely everything. You can opt out of junk mail and pre-approved credit card applications, just like you opt out of telemarketing by going to the Federal Trade Commission Web site."
To report identity theft or to restore your credit, contact the FTC Consumer Response Center, 600 Pennsylvania Ave. NW, Washington, D.C. 20580; toll-free, (877) 382-4357; www.consumer.gov/idtheft can hook you up with online information and the booklet, "ID Theft: When Bad Things Happen to Your Good Name."
Report identity theft to: the Federal Trade Commission, 1-877-FTC-HELP; the Social Security Administration, 1-800-269-0271; and the FBI, Detroit, (313) 965-2323, or St. Joseph, (269) 982-0390.
Guard against carrying extra identification or credit cards, Daly advises.
"It's a good idea every once in a while to dig through your purse or wallet," she said, "especially if you have a 'George wallet' like on 'Seinfeld,' that tons of stuff fall out when you open it."
She also recommends ordering your credit report from all three bureaus each year.
"I had never done this until this year. I had open credit lines that I had no idea were out there. The refrigerator I bought when I first got married 15 years ago that you did the 90-day same as cash. I figured once the fridge got paid off, it was closed, but it was sitting open on my credit report – little avenues people can get into your credit through. Limit credit you actually have out there."
The three credit bureaus are Equifax, 1-800-525-6285; Experian Information Solutions, 1-888-397-3742; and TransUnion, 1-800-680-7289.
Memorize your Social Security number and passwords "and not put them all in your Palm Pilot," she said. "Or in your laptop that could get stolen. Make sure you sign all the credit cards you get."
Monitor charges to your credit card by matching receipts and monthly bills. "You're not liable if you report (discrepancies) within a certain time frame. Be aware of when bills come to your home. Credit card bills usually come within the same two-day period every single month. If you don't get your bill, contact the center because maybe somebody stole it out of your mailbox. When you apply for a credit card, if it doesn't come really quick, you should call because the majority of the time they want you spending money soon. Keep your credit card companies up to date when your phone or address changes. Never loan your credit card to anyone – I hope that goes without saying. Never put account numbers on postcards or the outside of envelopes. Report all lost or stolen credit cards immediately. Be aware of your expiration dates."
Another scam she touched on is when "someone calls you on the phone and says you won something, and all they need is your checking account so they can deposit this huge check in your account. Chances are they're lying. Never, ever give out personal information over the phone unless you called that person because you have a problem. If you call the company, that's one thing. But if you're getting unsolicited calls, don't give out information.
Daly said "something new is a credit freeze. You call the credit bureau and instead of placing a fraud alert, you can freeze your credit. It can be time-consuming and costly, but if you've been a victim in the past, it's a lot cheaper than continued victimization. Keep a log of all your contacts. A lot of people think they can just go get a new Social Security number. You really can't. They rarely issue new ones, and usually for life-threatening reasons, like domestic violence, but not for identity theft."
Daly discourages printing Social Security numbers on checks. "There really is no reason they would need it to cash a check. I would refuse to give it."