Ways of Identity Theft

Understanding the various ways someone can steal your personal information is key to protecting yourself from identity theft. Your Social Security number and account numbers for bank accounts and credit cards can fall into the wrong hands. Some thieves are sneaky and know how to acquire your information by means of rummaging through trash. While other thieves play on the innocence of their victims and acquire this information after building a trust.

Trash Scavenging

Most people throw away credit card statements after paying the bill, or they may toss old bank statements in an effort to clear clutter. Sadly, placing these sensitive documents in a trash bin, and then placing the trash bag in a public trash receptacle increases your risk of becoming a victim of identity theft. A dishonest person may swipe a trash bag from a trash receptacle and then rummage through the bag looking for your personal information. Shredding documents before placing them in the trash helps protect your identity.

Online Purchases and Billpay

The computer and Internet conveniently let you pay bills and manage your accounts online. Inputting your personal information into a company's website can put you at risk for identity theft. But there are ways to protect yourself. Always inspect websites before entering your information and check for security logos such as lock box or the VeriSign symbol.

Phishing Techniques

"Phishing" is the term used to describe people who play on your innocence in an attempt to get information such as your Social Security number, bank account number or credit card number. A dishonest person may send an unsolicited e-mail or contact you by telephone. He may offer a service or claim to represent your bank or credit card company. To verify your identity, he might ask for your account numbers. Never give out this sensitive information. Delete e-mails or hang up the phone and contact your bank or credit card company immediately to report the incident.

Credit Report Monitoring

Taking extra precautions to protect your personal identity lowers your risk of becoming a victim. Still, someone may get her hands on your information and attempt to open several accounts in your name. Protect yourself and sign up for credit report monitoring. This low-cost service alerts you if someone (including yourself) applies for credit using your name and Social Security number. It's an easy way to stop identity theft.