Identity theft techniques used by thieves
Helium - According to the FTC, there are six main methods identity thieves use to steal identities.
The first method involves dumpster diving where the thieves “rummage through trash looking for bills or other paper with your personal information on it.”
The second method involves skimming where the thieves “steal credit/debit card numbers by using a special storage device when processing your card.”
The third method involves phishing where the thieves “pretend to be financial institutions or companies and send spam or pop-up messages to get you to reveal your personal information.”
The fourth method that identity thieves use to steal identities involves changing your address where the thieves “divert your billing statements to another location by completing a change of address form.”
The fifth method involves old-fashioned stealing where the thieves “steal wallets and purses; mail, including bank and credit card statements; pre-approved credit offers; and new checks or tax information,” and they can also “steal personnel records, or bribe employees who have access.”
The sixth method involves pretexting where the thieves “use false pretenses to obtain your personal information from financial institutions, telephone companies, and other sources.”
5 Ways of Using the Stolen Information
Once these identity thieves have a person’s personal information, there are an infinite number of ways they can use it. The FTC breaks these uses into five different categories.
The first way is credit card fraud. The thieves “may open new credit card accounts in your name,” and “when they use the cards and don’t pay the bills, the delinquent accounts appear on your credit report.” They may also “change the billing address on your credit card so you no longer receive bills, and then run up charges on your account,” and “because your bills are now sent to a different address, it may be some time before you realize there’s a problem.”
The second way is with phone or utilities fraud. The thieves “may open a new phone or wireless account in your name, or un up charges on your existing account.” Another way is that they “may use your name to get utility services like electricity, heating, or cable TV.”
The third way is with bank and/or finance fraud. The thieves “may create counterfeit checks using your name or account number. They may open a bank account in your name and write bad checks. They may clone your ATM or debit card and make electronic withdrawals in your name, draining your accounts,” and “they may take out a loan in your name.”
The fourth way is with government documents fraud. The thieves “may get a driver’s license or official ID card in your name buy with their picture. They may use your name and Social Security number to get government benefits,” and “they may file a fraudulent tax return using your information.”
The fifth category is titled other fraud in which the thieves “may get a job using your Social Security number. They may rent a house or get medical services using your name,” and “they may give your personal information to police during an arrest and if they don’t show up for their court date, a warrant for arrest is issued in your name.”
Article 2:
Identity theft continues to be on the rise. According to Javelin Strategy and Research, almost 10 million victims were impacted by identity theft in 2008 alone. This was a 22% increase from 2007, and these are staggering statistics.
In addition, in 2009 identity theft became the top complaint issued by consumers. In early 2010 the Federal Trade Commission reported that 21% of registered complaints were those concerning identity theft. At the rate this crime is growing, it is no wonder so many people are complaining and rightfully concerned.
Identity thieves continue to develop craftier, savvier and trickier ways to pilfer personal information from victims. They are not shy about their intent and are willing to stoop to any level in order to obtain the data they seek in order to reap the financial benefits that can be attained through identity theft.
Here are a few top identity theft techniques used by thieves:
*Dumpster Diving
While it doesn't sound too glamorous, picking through trash is a popular way identity thieves use to steal personal information. Thieves have picked up on the fact people simply throw this information away and they have decided it is theirs for the taking.
There is a lot of valuable information that can be attained this way. Account numbers, social security numbers, full names and addresses, companies being used, registration information and much more. Each scrap may or may not mean anything by itself, but when pieced together with other trash, thieves can establish a good foundation for identity theft. Always shred everything!
*Phishing Expeditions
Social engineering is an approach many thieves engage in to steal information. They can be sympathetic, urgent, pushy or play on emotions. These social engineering techniques are often conducted in a variety of ways such as the Internet, telephone and some identity thieves are bold enough to do this in person.
*Stealing Mail
Another common way for identity thieves to mark their target is to pilfer from mailboxes. Since a lot of sensitive information is delivered by mail such as government correspondences, tax information, utility bills, credit card information, and bank statements, a mailbox is like a treasure chest for thieves.
Not only do they obtain valuable information, they also may steal mail through a change of address card and redirecting the mail to a new address; this way they can keep the riches flowing with information.
*Gadgets
Cell phones, GPS systems, laptops, and even iPods can put individuals at risk for identity theft. Many of these gadgets contain names, phone numbers are other valuable information that gives identity thieves a good starting point. Be sure and limit information stored and keep these systems locked down with passwords where possible.
While some of the techniques used by identity thieves are traditionally old fashioned ways of theft, they are getting more sophisticated and evolving into big business. Identity theft is no longer a one man operation. Many identity theft rings are cropping up and in the process leave behind a trail of devastation and frustration for both victims and law enforcement.
The bottom line is no one is immune to the possibility of being impacted by identity theft and as long as thieves continue to get creative in the many ways they can steal information it is up to individuals to prepare, arm and educate themselves the best they can in order to void the techniques used by identity thieves.
Article 3:
Name the vulnerability and thieves will use it to steal access to their electronically stored funds or to pose as their victims when they establish credit using purloined credentials.
Imagine a thief who hangs out in a supermarket, looking for the most harried and ditzy shopper. That individual falls in line behind the shopper, watching as the ATM card is used and as the PIN is entered. "Somehow", the card falls to the floor and the helpful thief picks up the card and hands it back to the distracted customer. Only it is another card that looks the same. Now the thief has the card and the PIN. The bank only wants the card and the PIN, making the thief identical to the true owner of the card. Expand the list to those who have access to security camera records of a person as they are entering their PIN.
Imagine the waiter or waitress who records a diner's credit card information. This has happened many a time as food service personnel have used the data to go shopping or to establish credit at a customer's expense.
Imagine the little liquor store that has the off-brand but convienient credit and ATM card machine...which records all of the card's information that will be used later to completely rip of the identity of the customer and to use it to buy things or to get cash.
There are far too many ways in which family members, friends and even close neighbors can gain access to a person's social security card, bills, and other identity documents and create a new identity for themselves. A trusting or negligent individual can leave enough of their identity lying around for a person to create a whole new persona.
In more sophisticated operations, "social engineers" can befriend a person who has access to business or corporate identity documents and then use the information to fool the corporate computer databases into believing that they are a legitimate employee who is authorized to manage information or to perform transactions. Even a good high school prankster can get access to the schools databases and have a good time.
In social networking, group forums and at other sites, many gullible people give up their password to another person, creating many situations where someone wreaks havoc under the identity of another individual.
And we do not need to confine the understanding of "identity theft" to financial, site authority, computer access or credit arenas. There are now ways to create convincing, yet forged documents or to photo shop people's faces into compromising and even horrible scenarios, where only close and sophisticated examination can exonerate them. But by the time that the photo or document is proved to be faked or forged, the damage is done to the person's reputation and standing.
Finally, it is more than likely that hackers are working on ways to break encryption or to capture data that is being transmitted by wireless means. The laws of many countries do not allow the average user to have encryption that exceeds the capability of government to capture and extract every bit of data.
When we view our activities as being a major part of our identities, then it is easy to see how the increased data capture of everything that we do is also a form of identity theft or procurement.
