The Grinch Effect: Identity Theft at Holiday Parties
Huzzah! The holiday party season has officially begun! It is my favorite time of year because I try to take a few weeks off of the professional speaking circuit to slow down to a normal pace. Over the coming weeks, all of the Whos in Whoville gather to celebrate the communities to which we all belong. Whether it is a neighborhood party, a work celebration or an association shindig (okay, I’m starting to use words that my parents use), it is a great time to honor our friendships, colleagues and causes.
Unfortunately, the abundance of the season attracts malcontents who try to take advantage of our happiness and busy-ness. I call this the Grinch Effect: stealing from others while they are lost in a brief moment of joy. Like the Grinch pilfering the last stocking from the fireplace, identity thieves use our distraction to pluck pieces of private data from our festive homes. Enough already! If you are hosting a holiday party (either at your home or in your office), here are some tips on protecting your identity to foster holiday serenity:
Electronic Pickpocket Video – Identity Theft Expert
There is a new wave of Hi-Tech Identity Theft that the average person has no idea is possible. Identity Thieves are able to steal your credit card information without even touching your wallet.
RFID, or radio-frequency identity technology was introduced to make paying for items faster and easier. What many probably didn’t expect is that the same technology can be used by thieves to get your payment information just as easily. All major credit cards that have this technology have a symbol (pictured to the right). It means that your card can communicate via electromagnetic waves to exchange data (your credit card number) between a terminal and an electronic tag attached to an object, for the purpose of identification. With a quick scan of the card, the same way you would scan it to pay for items, all of your payment information is directed towards a source or identity thief’s computer in this case.
With a laptop and an antenna, it’s possible that a virtual pickpocket can steal credit card information, without ever touching their victim. All that is needed is a credit card reader that you can purchase online and a laptop computer. With a simple scan the crook can lift your credit card number, expiration date, and in some cases your name. Since 2006 all U.S. passports also have RFID technology so identity thieves are able to scan those just as easily and pick up more personal information in order to rip you off. These passports contain specific contact information as well as date of birth.
Identity Theives Don’t Take A Holiday
The month between Thanksgiving and Christmas is the biggest shopping time of the year. As we enter the season of giving there is one thing we should be stingy with – protecting our Identities!
Holiday madness, crazed shoppers and packed malls. While we are bustling from store to store and internet site to internet site trying to complete everyone’s holiday list, thieves and scammers are taking our distraction as a signal to strike. According to the author of Privacy Means Profit and identity theft expert John Sileo, “This is the easiest time of year for thieves to steal wallets, break into houses and profit financially from the season of giving without victims detecting it for a long time.”
With just three weeks until Christmas, now is the time to protect yourself and make sure that your Identity is safe from potential thieves. Just last month, Sileo was hired to speak to the Department of Defense and included some of the most important Holiday Safety Prevention Tips:
WikiLeaks – The Ultimate INSIDE Job
If you need a world class example of the adage that INFORMATION IS POWER, look at the recent kerfuffle WikiLeaks has caused. Since threatening to release more than 250,000 U.S. diplomatic cables, WikeLeaks has experience a rash of cyber problems (none attributable to the U.S. Government, but it does make you wonder…):
“The site’s efforts to publish 250,000 diplomatic cables has been hampered by denial-of-service attacks, ejection from its server host and cancellation of its name by its American domain name provider. Each time WikiLeaks has worked out other arrangements to bring the site back online.” – By Charley Keyes and Laurie Ure, CNN
Who wouldn’t leak information via WikiLeaks? You are pretty much guaranteed anonymity with few repercussions. You don’t like the way something is being handled at your corporation or in your Government Department, but have a Non-Disclosure Agreement that keeps you from speaking up publicly? Send it to WikiLeaks and let them do your dirty work. Non-traceable, non-accountable, high profile information dissemination at your service. I’m not sure if it’s fair or ethical, but who cares when it’s so damned convenient and effective? Transparency in a box.
Google Spying Cost Them $1
Some months ago, Google got caught sniffing the wireless connection in our homes as they photographed our houses to post on Google Street View. Although the case may be newsworthy, the settlement is only peanuts. Google has been found guilty of trespassing on Aaron and Christine Boring’s home and will have to pay them the astounding amount of $1 for punitive damages. The search engine giant admitted that they trespassed when they took a picture of the plaintiffs house for Google Street View and ended up settling the case. The couple were hoping to make a point, but also realized that they financially can’t take on the huge corporation.
The Street View cars have found controversy not only because they drive around and take pictures of homes to post to the Internet, but they were also collecting sensitive information from WiFi connections while doing so. Google admitted that it had in fact accidentally collected private details, and stated they deleted all the private information gathered. Although we are left helpless with that data breach, we DO have the option to remove our homes from Street View. Recently I outlined how you can do this by following a few simple steps to remove yourself from Google Street View.
Get Ready to Expose Yourself: Deep Packet Inspection is Back
According to the Wall Street Journal, profiling methods for Internet users are coming back and are more intrusive than ever. Advertisers may begin to use a technology known as “deep packet inspection,” which reads and analyzes the raw packets of your personal data that travel across the internet.
These packets contain all of your online activity – not just your web browsing – and therefore can be more dangerous than “cookies”. With the information they gather online, advertisers target ads directly to you based on your online history. Have you ever felt like all the advertisements on sites were for services you have used or would use? Well they often are, and with deep packet inspection, they will be even more specific! The use of this technology gives advertisers the ability to show you ads based on extremely detailed information. It is so specific that they could theoretically tell if you are online for work or for fun, though they don’t necessarily distinguish on this trait when serving up ads. They can also tell the difference between your usage style and that of your spouse or kids. Thanks to the WSJ for this simple graphic of how deep packet inspection can work:
The Top 12 Ways Victims Detect Identity Theft
There are many signs that your identity has been stolen, even if you haven’t started to feel the real pain yet. If you detect these signs early, it probably isn’t too late to keep the damage to a minimum if you act quickly. Unless you are already at number 12…
- Your bills or statements are not arriving in your mail on time.
- You notice unauthorized charges on your credit card bill.
- You notice new accounts or erroneous information on your credit report.
- You are denied credit for a large purchase.
- You receive credit card bills from cards you don’t own.
- You are contacted by a collection agency on an item you didn’t purchase.
- You receive bills for unknown purchases.
- You are unable to set up new banking,loan or brokerage accounts.
- You notice withdrawals on your checking or savings account that you didn’t make.
- The checks listed on your bank statements don’t reconcile with those listed in your check register. Many times these checks are made out to “Cash.”
- You notice a downward trend in benefits on your annual Social Security Statement.
- The police show up at your door.
Cyber Theft on Cyber Monday
Don’t let a Cyber Scrooge Spoil Your Holidays!
Although most shoppers gear up and focus on Black Friday, Cyber Monday offers tons of hot deals to online shoppers. It began in 2005 and quickly became one of the biggest online shopping days of the year. On average, online shopping increases by 16% (worth more than $760 million dollars) on this one day alone!
Shoppers find the appeal in avoiding parking lots at malls, bustling stores and frantic holiday crowds. While it is very convenient, you can also be putting yourself at greater risk for identity theft and credit card fraud if you are not careful. In any situation there are steps you can take to protect yourself and make it easier to detect fraud if you become a victim. If you protect yourself, I feel that you are safer shopping online than in person (where about 15% of identity theft takes place).
Protect Yourself Online on Cyber Monday
Here are a few steps to take to protect yourself on Cyber Monday:
- Never Shop on a Public Wi-Fi Connection - Although you may trust the baristas at your local coffee shop, you can’t always trust the person sitting next to you. Hackers can easily tap into Wi-Fi connections at public hot spots to steal your identity information. This can be especially dangerous when you are making purchases with your credit card on unsecured connections. Always wait until you are on a land line (Ethernet cable) at a location you trust – I recommend making purchases at home.
Identity Theft Prevention this Holiday Season
AAA Hawaii’s Annual Holiday Season Travel and Shopping Poll of 250 local residents reveals that 76% plan to primarily shop this holiday with credit or debit cards. However, almost four in ten of surveyed shoppers have little or no concern about identity fraud happening to them this holiday shopping season! Identity theft is rampant throughout the holiday season. Over the past 3 years stolen data being used in less than one week jumped from 33% to 71%, meaning that they steal today and shop today. Identity thieves count on our lackadaisical attitude toward monitoring our wealth.
Not only does legitimate business pick up during the holiday season, but Identity theft and fraudulent Business seems to be on the rise as well. Especially during these hard economic times Identity thieves are on the prowl more than ever looking for a quick fix to their financial problems. It is just not possible to observe and ward off every threat to our identity. There will be documents that you forget to destroy or lock up, accounts that you won’t cancel, checks that you will mail, and waiters that will disappear with your credit card. It is not practical to think that we can cover every situation that threatens the safety of our identity. But we are not helpless in these situations.
Identity Theft Statistics & Holiday Shopping
Identity theft statistics, dry as melba toast, have something to teach us about shopping this Holiday season. Listening to the media, you would think that the Internet and cybercrime are to blame for most cases of identity theft. They are biased toward technology stories because they are new and interesting (actually, they are starting to get old). If it’s not hackers and phishers, then its war driving and key logging.
But their technological bias is Wrong.
Cybercrime only accounts for 11% of actual identity fraud cases in the latest Javelin study and online shopping accounts for a meager 1%!
When it comes to victims having their identity stolen while making in-store purchases, women have a 94% incident rate and men only 43%. Women tend to shop more in stores, men online.
There is an important lesson in this confusion between reality and perception: don’t automatically believe everything you hear, especially in the media. It’s sexy to write about cybercrime, but the disproportionate amount of attention it receives gives us a false sense that it is the leading cause of identity theft. As you start your holiday shopping, don’t be afraid to shop online, but only if you have protected your computer and internet connection properly.
Here’s what you need to know:
- Technology plays a smaller role in identity theft than we perceive
Sileo In the Media
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