Financial responsibility & decision making Consumer fraud Fraud facts

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1 Financial responsibility & decision making Consumer fraud Fraud facts s Earn Your Future Curriculum

2 When you send money to people you do not know personally or give personal or financial information to unknown callers, you increase your chances of becoming a victim of telemarketing fraud. 2

3 Identity theft statistics Last year an estimated 10 million Americans were victims of identity theft Individuals lost an estimated $5 billion Financial institutions and businesses lost more than $48 billion in the past year due to identity theft 3

4 The Federal Trade Commission The Federal Trade Commission is the nation s consumer protection agency. They collect complaints about companies, business practices, and identity theft under the Federal Trade Commission Act and other laws they enforce or administer. 4

5 Internet crime complaint center reports The most common victim complaints in 2010 were non-delivery of payment/merchandise, scams impersonating the FBI and identity thefts. Victims of these crimes reported losing hundreds of millions of dollars. 5

6 Telemarketing fraud warning signs The caller may say... You must act now or the offer won t be good You ve won a free gift, vacation, or prize, but you have to pay for postage and handling or other charges You can t afford to miss this high-profit, no-risk offer You don t need to check out the company with anyone 6

7 Scholarship/financial aid scams Beware of offers that claim: You cannot get this information anywhere else The scholarship is guaranteed or your money back You must provide a credit card or bank account number to hold the scholarship You are a finalist in a contest you never entered 7

8 Avoiding identity theft Never throw away ATM receipts, credit statements, credit cards, or bank statements in a usable form Never give your credit card number over the telephone unless you make the call Reconcile your bank account monthly, and notify your bank of discrepancies immediately Keep a list of telephone numbers to call to report the loss or theft of your wallet, credit cards, etc 8

9 Reduce your risk of becoming a victim The US Department of Justice suggests... SCAM 9

10 Reduce your risk of becoming a victim S: Be stingy about giving out your personal information to others unless you have a reason to trust them C: Check your financial information regularly and look for what should be there and what shouldn t A: Ask periodically for a copy of your credit report M: Maintain careful records of your banking and financial accounts 2012 PricewaterhouseCoopers LLP. All rights reserved. refers to the United States member firm, and may sometimes refer to the network. Each member firm is a separate legal entity. Please see for further details. This content is for general information purposes only, and should not be used as a substitute for consultation with