Fraud Awareness
Identity Theft | Phishing | Card Fraud | Other Scams | Test your cyber-crime smarts
Identity Theft
What it is
Identity theft occurs when criminals obtain your personal information (social security number, name, birth date, etc.) and pretend to be you in order to acquire credit, access your financial accounts, apply for employment, commit tax fraud, or even steal benefits.
Example
Someone - usually a family member, neighbor or friend - steals a document (account statement, credit card bill, etc.) with your personal information on it. Using the information, they assume your identity and:
- Acquire instant credit at an electronics store and purchase expensive equipment
- Purchase a car
- Apply for employment
- Acquire other forms of ID, identifying them as you
How you can protect yourself
Become paper-free! Your personal information is more likely to be stolen from your mailbox or kitchen counter than your computer. According to some sources, banking entirely online - including paying bills and switching to e-statements -- can cut your vulnerability to identity theft by 10%.
To safeguard your computer, install a good firewall and use up-to-date software designed to combat pop-ups, spyware and viruses. Here are a few other measures you can take:
- Get your financial information online and review it often
- Avoid leaving checks, statements and other financial information in your mailbox
- Once a year, request a free copy of your credit report from each of the three credit-reporting agencies
- When possible, avoid giving out your social security number
- Use current security software on your computer and be sure to use a "wipe" utility program before discarding a PC
- Don't choose obvious passwords. View #PIN_security for information on choosing passwords.
What to do
If you believe your identity may have been stolen (you're unexpectedly declined credit; you begin receiving mysterious calls from creditors; bills are missing; passwords stop working, etc.) call your financial institutions, the credit bureaus, and the police. In extreme cases, you may also need to contact the Social Security Administration, the Department of Motor Vehicles and your utility companies. Keep a log of the people you call, their titles and phone numbers.
Final word
Electronic banking - including bill payment and e-statements -- are your best protection against identity theft. If you choose to rely on paper-based methods of billing and reporting, guard your records closely and shred them before discarding.
Phishing
What it is
Phishing scams use official-looking emails to trick you into voluntarily revealing your account access information. The emails appear to be from legitimate companies such as Citibank or eBay. Less commonly, they may appear to be from institutions such as your credit union. If you fall for the hoax, the scammers can potentially steal your identity, run up your credit cards, and drain your accounts.
Example
You receive an email that appears to be from an organization you recognize. It may even have the company's logo on it. The email will probably try to alarm you with official-sounding language reporting your account has been breached. Don't fall for it!
The email will request your account number, PIN or other personal information. You might be asked to click on a link to "confirm" your account. In some cases, the link will send you to a web site with an address that is similar to the one used by the legitimate company. In other cases, the link may trigger the download of a program that records your keystrokes (including account numbers and passwords) and passes them on to the criminals.
How you can protect yourself
Although organizations may contact you with legitimate emails, they should never ask you for information about accessing your account. If you receive an e-mail that asks for your password and/or account numbers, don't respond and don't click on any links within the message. If in doubt, you can verify the authenticity of the email by calling the organization directly.
Report suspicious e-mails or calls to the Federal Trade Commision through the Internet at www.consumer.gov/idtheft.
Final word
NorthCountry Federal Credit Union already has your account and personal information. If you are ever in doubt about the authenticity of a phone call or email from us, call us directly at 1-800-660-3258 (press 1) or contact us online (fraud@northcountry.org) to verify the communication is indeed from us.
Card Fraud
What it is
An unauthorized person uses your credit or debit card information to perform transactions, with or without the physical card.
Examples
- Someone steals card information from a company that processes credit and debit card purchases. The information is then sold to people who intend to use the information illegally.
- A criminal fishes your credit card bill from the garbage and uses the information to purchase items over the phone. The items are delivered to a rented mailbox.
How you can protect yourself
Review every credit card and checking account statement you receive. Better yet, view your information frequently at www.northcountry.org. The sooner you can spot and report suspicious activity, the sooner the matter can be resolved.
All NorthCountry Federal Credit Union credit and debit cards are protected by the latest security features: automatic detection of transactions that don't fit your usual purchasing patterns; suspicious authorizations for small dollar amounts; Verified by Visa; and more. If fraud does occur, you are protected by $0 liability if you notify us promptly.
Final word
Criminals may intercept credit card and debit card information as it passes through different sources. However, chances are slim that they will gather enough data to succeed. Without a name, complete card number and expiration date, the information is essentially worthless. If someone steals your actual card, you are still protected by a $0 liability policy.
If you believe your card has been compromised, contact us immediately. We will cancel it and issue you a new one with a different number. Credit cards and debit cards continue to be among the safest methods for making purchases. If you have questions, contact us.
Other Scams: Online Business Proposals
Stay away from business proposals originated online by strangers:
- Unclaimed Account at a Foreign Bank: A person e-mails you regarding an account with millions of dollars in it. According to the message, the account's owner is deceased. The swindler offers you a percentage of the money if you help him move it out of his country.
- Property Sales: A "consultant" contacts you about buying real estate property for a large sum of money. The e-mail offers you a percentage of the sale in return for your help.
- Prize Winner: You receive an e-mail announcing you have won a large cash prize. It may include a contact person's phone number and/or e-mail address. The message may ask you to keep your winning information confidential until your money is remitted to you (which, of course, will never happen).
- Updated Billing Information: This is a form of phishing. You receive e-mail from a company (for example, PayPal) requesting that you update your billing information. If you don't, the e-mail states your account will be terminated. You are then asked to click on a link.
- Chat Room Business Partner: A person you meet in a chat room offers a partnership in their payroll or bookkeeping enterprise. You are offered easy money in exchange for processing some checks through your account . but the checks are counterfeit.
- Online Auction: You place a high-priced item (car, boat, etc.) in an online auction. The person who places the winning bid sends you payment in excess of the actual bid and asks you to wire back the difference.
What will happen if you respond to these scams: Scam artists make a living out of duping people, so don't be fooled by a smooth talker (or typist). If you take the bait:
- The swindler will send you U.S. postal money orders, cashiers checks, bank checks or some other negotiable items to be deposited into your account. Problem is, they're counterfeit.
- After you've done so, you'll be instructed to wire funds from your account to the scammer. Note: Just because your financial institution makes the funds available to you DOES NOT mean the money orders or checks are good. It can take several days to verify a money order or check's authenticity.
- The funds leave your account . permanently.
- Shortly thereafter, your financial institution notifies you that the money orders or checks you deposited into your account have been returned as counterfeit, and the money your wired to the scammer is gone. Your account is in the negative, probably by thousands of dollars. You must repay the funds wired from your account or face, at the very least, a damaged credit rating.
The bottom line? If it sounds too good to be true, it probably is.
View PIN security for information on keeping your Internet banking experience secure.