Watch out for scammers, as they are getting more and more creative. They’ll take an old con and give it a new twist. Some go high-tech, employing texting, cameras or software. Others embrace the old ways, using nothing but a voice and a telephone. Leaving working families wipped out and  left with nothing but bank balances in the red. Although credit card fraud is on the rise and credit card fraud on the Internet is rising even more dramatically; many Internet shoppers know that the reality is that it’s actually much safer to enter your credit card number on a secure online order form than it is to give your credit card to a waiter at a restaurant. Credit and charge card fraud costs cardholders and issuers hundreds of millions of dollars each year. While theft is the most obvious form of fraud, it can occur in other ways. For example, someone may use your card number without your knowledge.

Below are some usefull tips to help protect  from credit card fraud.

Things to do:

• Sign the back of your cards as soon as they arrive.
• Carry your cards separately from your wallet, in a zippered compartment,or another small pouch.
• Keep a record of your account details in a secure place.
• Watch your card carefully during the transaction, and get it back as quickly as possible.
• Void incorrect receipts.
• Save receipts.
• Open bills promptly and reconcile accounts monthly.
• Report any questionable charges.
• Notify your card company in advance of a change in address.

Things not to do:

• Lend your card to anyone.
• Leave cards and receipts lying around.
• Sign a blank receipt.
• Write your account number down anywhere that other can see.
• Give out your account number over the phone unless you’re making the call to a company you know is safe.

Identity thieves use low-tech methods (stealing your wallet or even eavesdropping at key moments) as well as sophisticated Internet scams to rob people of their sensitive personal data. How much information does someone really need to know in order to impersonate you to a 3rd-party? Your name? Birth date? Address? Armed with easily found information such as this, and maybe a couple other key pieces of information such as the high school you went to, your dog’s name or your mother’s maiden name, an individual might be able to access your existing accounts or establish new loans or credit in your name. While nothing can guarantee that you won’t become a victim of identity theft, you can minimize your risk, and minimize the damage if a problem develops, by making it more difficult for identity thieves to access your personal information.

When entering a PIN number or a credit card number in an ATM machine, at a phone booth, or even on a computer at work, be aware of who is nearby and make sure nobody is peering over your shoulder to make a note of the keys you’re pressing.

To make your mailbox a less attractive target for identity thieves, try to reduce the amount of unsolicited offers. Opt out of pre-approved credit card offers and remember to cancel mail delivery when you go on holiday. If you don’t, that mountain of mail makes a tempting target. Outgoing mail requires protection too. When you write a check and mail it to your credit card company, don’t include information that is complete enough for someone to use.

Shree documents (both paper and electronic) that contain personal or financial information before discarding them. This prevents dumpster diving and, in the online world, the ability for hackers to bypass information that has not been permanently deleted from your computer.

Place passwords on your credit card, bank, and phone accounts. Avoid using easily available information like your mother’s maiden name, your birth date, the last four digits of your Social Security number or your phone number, a series of consecutive numbers, or a single word that would appear in a dictionary. Combinations of letters, numbers, and special characters make the strongest passwords. When opening new accounts, you may find that many businesses still ask for your mother’s maiden name. Find out if you can use a password instead.

While there has been much coverage of missing data discs, hackers cracking systems and the like, the full extent of the underground world of fraud has only just been revealed in a deeply disturbing report which was published today. Symantec, the leading internet security firm, have announced the results of their recent review of the criminal underground network which the police are finding so hard to crack. It seems that while we battle to maintain the security of our systems and personal details, those which have been stolen are on sale for as little as £5 to anyone who is interested!

Even though the UK has been in the news of late over a number of high profile data handling errors, this is something which is taking a grip right around the world. Top of the league, again, was the US with over 31% of worldwide fraudulent activity within their boundaries, China and Germany accounted for 7% each and while the share of fraudulent activity in the UK was only 4% of the worldwide figures, the details are still alarming. So what exactly is going on?

There are a number of issues which need to be addressed to improve online security which include :-

Social Networking Sites

As bizarre as this may sound, Social Network Sites are the first port of call for many of those looking to commit ID fraud or worse, with many users of these sites posting very detailed and personal information on their profiles. Using the details available it is then possible to obtain copies of birth certificates, etc and assume the life of someone else. This can lead to loan applications, mortgages, credit cards and much more, with the victims only finding out when it is too late.

Spyware

Spyware is something which we have all come across but it is still the tool of choice for so many fraudsters, offering the chance to upload software to a victim’s computer, access their files and in many cases use their computer to carryout more fraudulent activity in the name of someone else. It is vital that we all ensure that our machines are safe, our firewalls are up to date and carryout regular virus scans to see if any new threats have sneaked in.

Password Protection

How many of us use the same user name and password for a vast array of our secure accounts and websites? How many of us have not changed our passwords at any time in the last 6 months? How many of us think that it will never happen to me? These are the easy pickings for the hackers and the fraudsters, and it has proved very very simple to hack into a whole array of bank accounts and cause havoc.

The fact that personal information on a possible fraud victim is changing hands for anything from £5 in these online cyber crime shops is frightening enough, but the fact that many of us are making it so easy for them is even more alarming. Let us all do our bit and try to stamp out what could become a massive crime wave if we are not careful.

As the population still digest the enormity of the loss of confidential information for 25 million people in the UK, many are starting to ask the question, “Can the ID card program survive?”

The confidence in the governments ability to securely retain the type and amount of data which will be required for ID cards has forced many of the public and MPs to think again.  Can they really afford to back a system which has the potential to be even more damaging than the loss of 25 million records, can they take the chance that security systems and procedures are in place to retain and protect this information? The answer at the moment is no…………

It would be greatly unfair to say that the current Labour government were the only ones ever to lose such information, as it has happened time and time again in the past and will no doubt happen in the future.  One of the main problems for today’s government is the speed with which rumours grow legs and are manipulated by the press.  There will have been many occasions in the past, throughout the years, where information has disappeared in a similar fashion (although not on the same scale) and it has been kept quiet.

The government effectively had their hands forced with the current situation with rumours rife in the press and on websites, that something was seriously wrong.  Faced with such a problem and the fact the news was leaking out, a hurried statement needed to be issued, perhaps giving the authorities less time to stop the potential for fraud or find the discs in question.

The saga also puts the spotlight back onto recent redundancies within the civil service, at a time when MPs are holding out their own hands for more and more benefits, pensions and greater salaries.  Many are asking how MPs can justify putting the very services which we consider safe and secure at risk, while increasing their own income from the same pot – i.e. the tax payer.  

While the news that the HMR&C have “lost” two CDs holding the private and banking details of about 25 million people in the UK has been headline news for the last 24 hours, is your bank account really at risk? Will you become the victim of ID theft?

The sad fact is that no matter how hard the government try to convince people that there is no risk, there is a REAL risk to you from a number of different angles. 

Firstly there is the possibility that someone may actually have access to your bank details, your names and address, your previous addresses and your previous names.   Using this information it is not hard to redirect bank statements, cheque books and the like to a new address.

Secondly, there is a very definite threat of ID theft for both the adults on the discs and the children, with full names, addresses, dates of birth and national insurance numbers all present on the CDs which have gone missing.  This is a fraudsters dream, giving them more than enough information to apply for loans on your behalf, credit cards and many other financial liabilities – liabilities that you will be left with.

The Chancellor of the Exchequer stated yesterday that anyone found to have lost out due to this information falling into the wrong hands will receive full cover under the Banking Code.  But why on earth should the Banking Code be expected to cover what are in reality the short comings of the government? Whatever happens, if any compensation is paid out it will come out of the public purse in some way.  Forget those promises to be reimbursed; it is actually your own money they would use to do this!

While the authorities claim that the information does not seem to have fallen into the wrong hands as yet, you can bet your last dollar that each and every gang of crooks up and down the country will be looking for these discs, and the information held on them – something which could be worth millions of pounds in the right hands.  This is a problem which has possible repercussions many many months into the future – and you will only find out when it is too late!

Even though there have been some major advances in the detection of identification theft, you would be wrong to assume that all is well and you can let down your guard.  The crooks are becoming ever more ingenious in their approach and the methods used to obtain your details. As they say on the National Lottery advert – “It could be you!”

While there are many experts and observers out there who will claim that ID theft is under control and manageable, the truth is that it will always be with us.  The internet has opened up a whole new medium, a way in which they can steal your details without being traced, a medium by which they can obtain access to millions of people by SPAM emails.

There are many people out there who consider these crooks to be sophisticated and highly intelligent, when in reality they do not need to be.  It is very easy to fake a site to look like the original, set-up a fake email address and milk as many visitors as they can of their private details.  This is the main problem, it is not rocket science and as soon as one culprit is closed down, there are ten more ready to take their place.

The only way you can minimise the impact is not to answer unsolictored or strange emails, keep your details secret and check your bank account statements on a regular basis.  If you see anything which seems even remotely strange or incorrect, contact your service provider asap – it could literally save you thousands in the long term.