Identity theft and caller ID fraud

The most recent technique from identity thieves can be employed to fool you into thinking you are talking to a financial institution when the person on the other end is really a criminal who wants to steal from you. A somewhat new strategy used to trick people into giving up financial or personal information via the telephone is caller ID fraud.

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Identity or credit theft is a crisis that keeps growing, and as more consumers are fooled into providing personal information, more criminals decide to join the theft business. Theft of identity is quite profitable; identity theft contributes to tens of millions worth of criminal activity annually.

Identity theft is the crime of a criminal stealing financial or personal information from an individual so that they can present themselves as that individual when applying for credit or loans. It will take, on average, about twelve months for the average victim to straighten out the troubles created by identity theft. During that time, their own credit report is ruined. The thief can use compromised credit to spend a lot of money while posing as the victim, and the victim gets stuck with the bills.
 

Dishonest people are now employing a new technique called "caller Identification spoofing." With caller ID equipment, the screen will reveal both the name and the phone number of the caller. By using caller Identification spoofing, a crook can change the number that appears on the screen, making it appear that the person on the phone is someone from a trusted location, such as a credit union, charge card company, or some government agency. Caller identification allows individuals with telephones to see who is calling by viewing a small display near, or attached to, their phone.

The caller ID makes the call seem legitimate, so the victims frequently comply, only to find out later that their personal information has been taken and used for criminal purposes. The caller will often compose some story about why they are calling, but ultimately, the will inevitably ask for financial information from the would-be victim. With a faked number, the caller can act as a bank representative or federal official, calling on some important business. The target of the crooks may be a credit card number, bank or credit union account number, or a Social Security number or some other variety of information that can be used for financial gain.

How can you arm yourself from these sorts of criminals? Here are a few tips:

Do not give out personal or financial information to a stranger who contacts you on the telephone, period. There is simply no genuine grounds for any organization to request your Social Security number, bank account number or credit card number.

Your bank already has your personal information; they won't call you to ask for it. Financial institutions don't call people inquiring about their financial or personal information.

If you doubt the need may be honest, ask the caller to submit their request by mail.

If people don't possess your telephone number, then they have no way to contact you. Get an unlisted phone number and don't give out the number to anyone.

As time goes on and technology improves, identity thieves are becoming better and better at coming up with ways to obtain the personal information from their victims. You have to take great care to guard your personal information, as no one will do it for you. As technology advances, it is going to get much more difficult to avoid being victimized. Consumers should take a proactive stance towards protecting themselves.