Minimizing the Risk of Identity Theft. John and Kris Clagett Q4 Wealth Management, Inc.

Transcription

1 Minimizing the Risk of Identity Theft John and Kris Clagett Q4 Wealth Management, Inc.

2 Introduction and Agenda What is identity theft? How does it happen? How can you tell if it s happening to you? How vulnerable are you? What can you do to help protect yourself? What should you do if it happens to you?!2

3 Example 1: John Doe Social Security numbers posted on the Internet by disgruntled payroll clerk at his company Accepted credit protection services from his employer Began to carefully monitor activities Called his financial professional to make notes on his accounts Met with his attorney, who had an ID-theft expert on staff Didn t find fraudulent activity but continues to monitor accounts!3

4 Example 2: Jane Doe Made no effort to conceal her purse or papers on her desk Discovered three cash withdrawals on a credit card Her husband learned the creditcard PIN was recently changed from the home phone number To file a claim, Jane s husband had to get the police involved!4

5 What is Identity Theft? 5

6 What is Identity Theft? ID theft is using another s personal info to commit a crime Many ID thieves steal mail, steal wallets or rummage through trash cans in search of other people s personal info 21st-century ID thieves use computer viruses and malware to illegally enter your financial house Their activities are often repeated before they re caught!6

7 If You ve Been a Victim, You re Not Alone 11.6 million people were identity-theft victims in In 1998 identity theft officially became a federal offense. In 2009, the FTC said identity theft topped its list of customer complaints. 2 The mean consumer cost of identity fraud was $1,513 per victim in 2011, down from $1,911 per victim in The total annual fraud amount was $18 billion in Women are 33% more likely to be victims than men. 1 1! 2012 Identity Fraud Survey Report, Javelin Strategy and Research, February 2012.! 2! FTC Top Consumer Complaints Report, February 2010.!7

8 How Does it Happen?

9 How Does it Happen? Dumpster diving Skimming Phishing, vishing and smishing Website fraud Change-of-address forms Old-fashioned stealing Check fraud Malware!9

10 How Can I Tell if It s Happening?

11 How Can I Tell if This is Happening? Finding unexplained charges or withdrawals on your financial statements Receiving credit cards you didn t apply for Having credit denied for no apparent reason Getting calls or letters from businesses or debt collectors about merchandise and services you did not purchase or request Expecting bills that don t arrive!11

12 How Can Thieves Use My Information? Open checking accounts, deposit bad checks and/ or withdraw funds Use ID cards, counterfeit checks or forged checks to drain your accounts Make large purchases in your name Obtain utility services Redirect statements to a new address Charge traffic tickets to you Apply for jobs using your identity Get medical services!12

13 Who Are These People? Common thieves Organized crime rings Street gangs National and international fraud rings Terrorists Insiders with access to sensitive information Business colleagues Family members Guests or people who perform a service in your house!13

14 What Can I Do Now?

15 What Can I Do Now? Safeguard your personal information Don t carry your Social Security number with you Don t give account numbers to anyone you don t know Protect your confidential financial information Make a copy of your wallet s contents If your home is burglarized, see if checks have been stolen Use password on new accounts Pay attention to brokerage, bank and credit-card statements Get a cross-cut shredder!15

16 What Can I Do Now? (cont.) Consider reducing some revolving credit Consider buying a locking mailbox Check out annualcreditreport.com Automate some financial activities Reduce the amount of mail you receive by opting for online statements Sign up for account alerts Ensure your accounts are protected Please note that our firm is not responsible for the information contained on the listed website. The site is provided for informational purposes only.!16

17 What Can I Do Now? If You Own a Business: Divide up financial responsibilities Regularly review your financials Secure documents containing personal information Conduct unannounced audits Use electronic payment systems Conduct financial transactions from one computer Bond employees Talk to your banker!17

18 What Can I Do Now? Be Alert on the Information Highway: Don t use obvious passwords Avoid storing personal info on laptops with unsecured wireless access Change your passwords frequently S in https = secured on websites; check for padlock icon Run current anti-virus software Don t click on links from unsolicited s Consider using spam filters Bookmark Web sites you visit frequently!18

19 What Should I Do If It Happens? Alert the institution immediately Place 90-day fraud alert on your credit reports Close any accounts that have been tampered with Keep records of your actions File a police report File a report with the FTC!19

20 ID Theft Prevention Resources FTC.gov AnnualCreditReport.com OnGuardOnline.gov Equifax.com, Experian.com and TransUnion.com OPTOUT ( turn off pre-approved credit-card offers) PrivacyRights.org Identifytheftassistance.org Please note that our firm is not responsible for the information contained on the listed Web sites. The sites are provided for informational purposes only.!20

21 Securities services are offered through Nations Financial Group, Inc (NFGI) member FINRA, SIPC. Representatives of NFGI. Q4 Wealth Management is a separate entity and not affiliated with NFGI. John and Kris Clagett are Registered The material has been prepared or is distributed solely for information purposes and is not a solicitation or an offer to buy any security or instrument or to participate in any trading strategy. NFGI did not assist with the preparation of the content in this piece, and its accuracy and completeness are not guaranteed. The opinions expressed are those of the author(s) and are not necessarily those of NFGI. Any information provided is general in nature and is not tailored to your individual investment objectives or needs or relate to any specific investments. Any investment(s) or strategies discussed may not be suitable for all investors. Investors must make their own decisions based on their specific investment objectives and financial circumstances. Although general information about the potential impact of taxes on various investment scenarios and/or estate planning may be provided, it should be made clear that NFGI and Q4 Wealth Management do not offer any legal or tax advice. Investment and Insurance Products: u NOT FDIC Insured u NO Bank Guarantee u MAY Lose Value Our firm does not provide tax or legal advice. Be sure to consult your own tax and legal advisors before taking any action that may have tax or legal consequences.!! Brokerage account(s) carried by First Clearing, LLC, Member FINRA/SIPC.! 2011, 2012 First Clearing, LLC. All rights reserved. e v (79072-v4)