Safeguarding Your information and accounts D
Bank with confidence The security of your funds and information is a top priority at Liberty Bank. We do our utmost every day to prevent fraud and identity theft by constantly installing the latest data security technology, ensuring the security of our facilities, and training our employees to carefully guard access to your information and money. You can bank with confidence when you bank with Liberty. E
How we protect your information and deposits What we do behind the scenes to keep your transactions secure Separating the genuine customers from fraudsters is no longer as simple as checking a driver s license at the teller window. We understand that nowadays banking is all about speed and convenience you want to be able to bank 24/7 and you want to conduct business via any number of electronic channels. Here are some of the things we re doing to make that experience safe and secure. Advanced encryption and anti-malware technology We ve teamed up with Trusteer, the world s leading provider of secure web access services, to ensure your online banking sessions are for your eyes and our eyes only. This new security service, available to all online banking customers, blocks fraudsters by encrypting your key strokes the moment you type them and protecting them until they reach our website. Trusteer also protects online banking users against malware, phishing attacks and fraudulent websites. Trusteer provides us with immediate alerts, as well, about new threats, which we will report to you on our website. You can download your free copy of Trusteer software by visiting liberty-bank.com. 1
Advanced authentication technology Beginning in late 2012, we will make available the latest in authentication technology, designed to prevent anyone but you from accessing your online account. Any time you log on from an unregistered computer, we will automatically generate a one-time passcode and transmit it to the text or email address you have registered with us (for businesses we will text or relay it to the phone number on file for you). You will have a 15-minute window to log in using this code. Online banking secure email If you re a consumer online banking customer, you have access to our secure email channel. This allows you to contact us in complete safety and protects any info you wish to share, including your account number(s), Social Security number, or other personally identifying information. Once you ve logged on, just click the secure email link in the upper right of the online banking home page. Which consumer transactions are protected? You have limited liability for fraudulent electronic activity on your: - Online banking account - Bill pay - Credit card - Debit card 2
How does Liberty limit my financial loss? - If you tell us within two business days after you learn of a loss to your online account or theft of your card, your liability is no more than $50. - If you tell us later than two business days (and we can prove that we could have stopped the fraudulent activity), you might lose as much as $500. - In limited cases, you may have no liability for fraudulent activity. Your Personal Deposit Account Agreement can tell you more. Fraud monitoring We monitor all debit card transactions for fraud by looking for inconsistencies or activities that diverge from an established pattern. Should we detect a suspicious transaction, there are a number of steps we can take, including temporarily blocking your account until we can confirm that the activity is yours, or calling you by phone to alert you. If you are at all concerned about the legitimacy of the call, please hang up and call us back at 888-570-0773. 3
Our customer contact policy Liberty Bank will never contact you via email or text, asking you to respond with account or other personally identifying info. Please do not fall victim to a text or email purporting to be from us and requesting your account number(s), Social Security number, or other personal information. Please do not even click a link in a suspect email. The best policy is to immediately delete it. Under certain circumstances, we may contact you by phone (for example, if we believe there is fraudulent activity on your debit card). - If we telephone you, we will need to make sure we are speaking to the correct person. We will ask for your name, account number, Social Security number, or other forms of ID. - If you are ever concerned about the veracity of a call (purportedly from Liberty Bank), please hang up and call us back at 888-570-0773. Protections not provided There are many common scams for which Liberty Bank provides no protection. It s up to you to keep your eyes peeled for rip-offs and to resist come-ons that are simply too good to be true. Please read more about lottery, international, online, and check scams on page 17. 4
How you can protect yourself You know what they say about an ounce of prevention. Prevention almost always is well worth the effort. And that goes double for protecting yourself from fraud. There are so many simple things you can do right now to strengthen the safety of your personal info and head off potential fraud or identity theft. You may already be doing some of the things we talk about on the next few pages and good for you! Even so, take a moment to look for new ideas that will help you stay safer than ever. 5
What are examples of personally identifying information? Your name, credit and debit card numbers, account numbers, driver s license number, date of birth, and Social Security number. Criminals can pair one or more of these facts with other easily available info like your home address or email address to take advantage of you. Home computer - Install all operating system and web browser updates - Install and maintain anti-virus and anti-spyware software - Do not write down your computer password and store near your computer - If others in your household use the same computer, create your own logon credentials - If you are an online banking customer, be sure to click log off when you have completed your business - Consider installing firewall (software or hardware) protection - Limit the amount of personal info you make available on social networking sites PINs and passwords - Create passwords that are difficult to guess. Include letters, numbers and characters. - Change passwords on a regular basis - Do not write down and or carry passwords with you - Do not use the same PIN/password for all your cards and accounts 6
Paper documents - Securely store any paper documents containing personal info - Shred any documents with personal info before disposing of them - Consider converting to electronic bank account statements - Contact Liberty Bank immediately if your monthly paper statement is late, or if there is unauthorized activity on your statement Credit, debit, ATM cards - Limit the number of credit cards you carry with you - Cancel any cards you do not use - Hold onto your receipts and compare them to your monthly statement - Sign new cards immediately - Report lost or stolen cards immediately. Please see page 20 for more. Credit reports - You can get a free credit report from any of the three major credit bureaus Equifax, Experian or TransUnion every 12 months. Order by phone or online. - For extra protection, you may wish to enroll in a credit monitoring service - Quickly challenge any entry on your credit report that you feel is incorrect 7
US mail - Do not allow incoming US mail to accumulate in an unsecured mailbox - Take your outgoing mail to a collection box or directly to the post office - Sign up for online banking and bill pay and use this secure method to manage your accounts and pay your recurring bills. To enroll, please click the online banking link on our home page, and then on enroll now. - Opt for electronic delivery of bank, investment and other financial statements. If you d like to receive electronic statements from Liberty, please enroll as an online banking customer and then click on estatements on the online banking home page. Electronic solicitations - Liberty Bank will never contact you via email or text, asking you to respond with account or other personally identifying info. - Under certain circumstances, we may contact you by phone (for example, if we believe there is fraudulent activity on your credit card). - If we telephone you, we will need to make sure we are speaking to the correct person. We will ask for your name, account number, Social Security number, or other forms of identification. - If you are ever concerned about the veracity of a call purportedly from Liberty Bank, please hang up and call us back at 888-570-0773. 8
Special guidance for businesses Make it your business to protect your assets. Many business owners do not realize it, but today Reg E extends no protections for a business s electronic transactions. If your business is the victim of electronic fraud, identity theft, or account takeover, the business is liable for the full amount of the loss. Business transactions are not protected At this time, Reg E extends no protections for businesses electronic transactions. The protections described on page 2 apply to consumers only. 9
What could happen? If you own a business, it s more important than ever that you remain vigilant against common threats to businesses such as: - Unauthorized access to your bank accounts by outsiders or even employees. - Compromised IDs and passwords. Remember, you need to protect the logon credentials of everyone who works for you. - Corporate account takeovers. These happen more often than you might think, so please take a minute to read more in this section. How we help businesses. While we do not reimburse businesses for financial loss resulting from electronic fraud, we re still on the case working to keep your business transactions as secure as possible, with steps like: - Data encryption Software provided by Trusteer, the world s leading provider of secure web access services, protects your online banking sessions from such things as malware, phishing and fraudulent websites. You can download your free copy of Trusteer software by visiting liberty-bank.com. - Sophisticated authentication When someone from your business logs on from an unregistered computer, we ll automatically generate a one-time password and text or transmit it to the phone number we have on file for you. - Constant screening We remain vigilant against repeated attempts to log onto your account, and against incorrect user and password entries. Following three failed attempts, we automatically lock your account. - One-time passwords Customers making ACH and wire transfers have the added protection of a fob that generates one-time passwords (good for only 6 seconds) each time they authorize a payment. 10
For more on ways Liberty Bank protects customers, please see page 1. The biggest threat to businesses: corporate account takeover Cyber thieves have learned that stealing from business is much more lucrative than defrauding consumers one at a time. They entice an employee (anyone, not necessarily your bookkeeper) to click a link in an unsolicited email, or to visit an infected website. That s all it takes to plant malware on your computer system, learn your online banking credentials, and gather other sensitive info across your network. These thieves are particularly targeting small- to medium-sized businesses which use ACH or wire services and which, because of their size, may not reconcile accounts daily. From there, it s a simple matter for them to drain your accounts via ACH or wire transfer to a local account, which in turn immediately wires the funds overseas. Don t take any risks. What is corporate account takeover? Thieves gain control of a business s bank account by stealing its online banking credentials. From there, it is a simple matter to drain your operating accounts, your payroll and more. 11
Ways to protect against corporate account takeover - Reconcile all banking transactions on a daily basis. - Initiate ACH and wire transfer payments under dual control, with a transaction originator and a separate transaction authorizer. - Be suspicious of emails purporting to be from a financial institution, government department or other agency requesting account information, account verification or banking access credentials such as usernames, passwords, PIN codes and similar information. If you are not certain of the source, do not respond or click any links. - Create strong passwords with at least 10 characters that include a combination of mixed case letters, numbers and special characters. - Clear your browser cache in order to eliminate copies of web pages that have been stored on your hard drive. What should I do if I suspect account takeover? - Immediately cease all activity on computer systems that may be compromised, and disconnect from your network. - Contact Liberty Bank at 888-570-0773 so we can disable your accounts, review recent transactions and authorizations, change passwords, or open new account(s) as appropriate. - File a police report. 12
Other ways you can protect your business - Install a web filter to block employees from accessing non-business websites. - Conduct all your banking business on a stand-alone computer that is not enabled for email or web browsing. Turn this computer off when not in use. - Do not batch approve your banking transactions. - Review your bank statements and credit report regularly. - Limit the number of employees who have access to your banking info and accounts. - Segregate account reconciliation responsibilities and assign them to specific employees. - Perform credit and background checks on all candidates before hiring. - Perform periodic in-house risk assessments. - Ensure that operating system and anti-virus programs are up to date. - Install host-based firewall software. - Set alerts, directed toward an owner or senior manager. 13
Email scams You ve got mail. But, who is it really from? Sad to say, one of scammers favorite contact methods is email. It s easy to disguise fraudulent intentions behind a subject line designed to create fear. In fact, common email scams often threaten that your account will be closed if you do not respond immediately to verify your personal info. Don t take the bait. Please remember that Liberty Bank will never contact you via email asking you to respond with account or other personally identifying info. 14
Contact us the secure way If you d like to get in touch with us, please do not send your account numbers, Social Security number or other identifying information via unsecure email. Rather, please call our Customer Service Center at 888-570-0773, or visit your nearest branch. If you re an online customer, you re welcome to use our secure email channel. Simply log onto your online banking account and, from the home screen, click secure email in the upper right corner. Here are some other smart things you can do to outsmart email scammers: - Never send your account numbers, Social Security number or other identifying information to anyone via unsecure email. - If you re submitting confidential info via an electronic form (for instance, when shopping online), look for https:// (the s stands for secure) in your browser window or for a lock icon. - Never begin working with a company or an individual you don t know based simply on an email they ve sent to you. - Never click a link or complete a form sent to you in an unsolicited email. - Any legitimate offer made via email or online is also available via the phone. If you re interested, look up the company s phone number yourself do not trust a phone number supplied in an email. - Make sure your email filtering and spam protection software are always on and up to date. Many internet service providers offer spam filtering for email. - If you have any doubts about the authenticity of an email from Liberty Bank, please call us right away at 888-570-0773 and we will be happy to help. Or, if you are an online banking customer, you can send us a secure email by clicking secure email on the online banking home page. 15
Other common scams If it sounds too good to be true it is. There is no end to the scams dreamed up by criminals to separate you from your money. Here are a few that you should watch out for and steer clear of. What happens if I cash a phony check? By law, if a check or money order is discovered to be counterfeit after it is cashed or deposited, the person who cashed or deposited the check is responsible for making good on the check. 16
Lottery scams You might receive an email or letter informing you that you ve won a lottery jackpot. The letter looks authentic. The name of the lottery might be real (but not always). The message might be convincing. But, resist. These scams pressure you to respond instantly or lose your prize. The prize never comes, but in the meantime the scammer asks you to pay facilitation fees, taxes or other fictitious expenses. The demands for money become more frequent and won t stop until your well runs dry. international scams You could be contacted by email or fax requesting your help in recovering a large sum of money in a foreign country in return for a small advance fee. The letter s author may claim to be a widow or heir to a lucrative business but too poor to cover transfer fees or some other costs relating to transfer of the property. In return for your help, the writer promises to cut you in on the windfall. Don t give in to temptation. online scams You might be selling something online, perhaps posted on craigslist (but not just there). You re contacted by a willing buyer with a proposition. He wants to send you a check for substantially more than your asking price. You re to cash the check, deduct your payment, and send him the remaining cash. Even if it sounds innocent, it s not. He ll have your cash before you realize his check has bounced. check scams In this instance, you might receive a counterfeit but very realistic-looking check or money order in return for something you are selling or work that you did. It may carry the name of a legitimate company or, for example, the US Postal Service. But, it has been created without the supposed payer s knowledge. It can take weeks or even months for the supposed payer to discover the counterfeit. Remember, just because you can cash a check does not mean it is legitimate. 17
Social engineering What is social engineering? It s when a fraudster tricks you into revealing personal or other sensitive info that can then be used to access your accounts or steal your money. 18
Let s be friends! It s easy for a criminal to pose as your social-networking friend. Or, he may text you, send an email, call you on the phone, or chat you up at a public place. Those are just some of dozens of ways you might be tricked. Social engineers are very resourceful and convincing and they re counting on your trust. He might get you to reveal a seemingly innocent bit of info your birthday, your pet s name, your address. Social engineers aren t obvious. That s because they have lots of ways of gathering info your trash, your mailbox, over your shoulder at a wi-fi spot and once he s put together the right combination of info, he ll try to access your accounts, or steal your identity. If you have any doubt about a request for your personal or banking information, please call Liberty Bank Customer Service right away at 888-570-0773. 19
Reporting Fraud Fight back. We re here for you and we want to help. If you believe that you have been the victim of fraud, please contact us as soon as you can, so we can take action on your behalf. How we can help Please call our Customer Service Center or go to your nearest branch to report: - Suspicious email - Fraudulent activity on a Liberty Bank account - Fraudulent online banking activity - Lost or stolen ATM card/debit card - Lost or stolen credit card - Lost or stolen Liberty Bank checks - Identity theft What you can do In addition to contacting Liberty Bank, if you are an identity theft victim, you may wish to: - Contact the three major credit bureaus to report unauthorized activity: Equifax, Experian and TransUnion. - Close other accounts that you believe have been tampered with or opened fraudulently. - File a police report and submit it to your creditors. - File a complaint with the Federal Trade Commission (FTC) by going to http://www.ftc.gov/bcp/edu/microsites/idtheft/ 20
We re here to help Liberty Bank Customer Service Center 888-570-0773 Weekdays 8 am to 7 pm Saturdays 8 am to 3 pm You can report a lost or stolen credit card anytime by calling 866-234-4691. 21
3 15 M a i n S t r e e t M i d d l e t o w n, C o n n e c t i c u t 0 6 4 5 7 8 8 8-5 7 0-0 7 7 3 l i b e r t y- b a n k.c o m M e m b e r F D I C E q u a l H o u s i n g L e n d e r BRO082 Effective Date: June 1, 2012