Identity fraud is a serious threat – as if we could forget. It seems not a day goes by without being told to shred letters in case someone decides to rummage through our wheelie bins while we’re asleep. Failing that, we hear we should be following credit cards to the till in restaurants, just in case the waitress has a ‘skimming’ device on her belt and fancies cloning it when she finishes her shift. Over the top? Maybe, but the media has a point.
Identity fraud is the fastest growing crime in the UK, and the last official estimate from the Home Office (in February 2006) put the annual cost at GB pound 1.7bn. This could explain why the department’s Identity and Passport Service is heading up a group of organisations endorsing this year’s National Identity Fraud Prevention Week.
Other groups including the BSIA, two of the country’s biggest credit reference agencies – Experian and Equifax – and the Metropolitan Police have all lined up to support the scheme. It aims to raise awareness of and, ultimately, stamp out identity fraud.
Thrown away
“I don’t know anyone who would leave their wallet open for thieves to simply take cash or cards, but that is virtually what is happening with people’s personal details, both in terms of information thrown away and information put on the web,” said Neil Munroe, external affairs director at Equifax.
“Personal information is a valuable asset, and the steps are relatively easy to reduce the risk of ID fraud and theft. Our goal, and that of the other partners, is that this week will help individuals better understand those steps so that we can have a real impact on this insidious crime.”
New research by organisers shows that 79% of households in the UK regularly throw out sensitive documents that could be used to steal an identity. Glaswegians fared worst, with 82% of households in the city carelessly disposing of material that could be useful to a fraudster.
But it isn’t just individuals who are affected. The Federation of Small Businesses (FSB) this week warned that identity fraud remains a serious risk to businesses.
David Croucher-Jones, FSB home affairs chairman, said, “Hindsight, when dealing with loss of money or critical business information, is a luxury that few small businesses can afford.
“Preventative action is always much easier and less painful than having to take remedial action later on.”
So what can be done?
Buy a shredder
Shredding documents is one of the easiest ways to prevent criminals from building up a profile based on the documents you throw out. There is a wide range of shredding devices on the market, from industrial cross-cutting shredders that turn old bank statements into confetti, to space age (yet environmentally-friendly) scissors which cut five strips at a time.
Whatever you choose, making shredding a habit at home and at work will make it much harder for thieves to steal your address, bank details or even your whole identity – leaving them free to get credit in your name.
Be vigilant
Tony Marsh, general manager at Royal Mail Security, said preventing identity fraud is mostly about good housekeeping.
“Don’t discard documents, such as credit card receipts or utility bills without completely destroying them – they tell too much about you. Make sure that your mail delivery point is secure and can’t be ‘picked’ after delivery, and if you’re going away, get someone to collect or move your mail for you.”
If you are planning a holiday, Royal Mail also offers ‘Keepsafe’, a service that holds onto mail for up to two months before delivering it to you on your return.
The Metropolitan Police Service recommends regular checks of bank and credit card statements. Under controversial new rules, police forces in the UK no longer deal with the initial stages of identity fraud. Victims have been told to report any concerns to their bank or building society, which will then be responsible for investigation and, where appropriate, onward reporting to the police.
Other tips
– Don’t give out any personal details on unsolicited phone calls or to people in the street. Just because they have a clipboard, it doesn’t mean you should trust them!
– You can protect new credit and debit cards by signing them as soon as they arrive, and by activating them quickly. Make sure you keep them in sight when paying for goods and services,
– Documents shouldn’t be left in cars as they can prove tempting for smash-and-grab thieves,
– Make sure computers are protected by the latest anti-virus and spyware software.
An unusual approach
Scotsman Jamie Jamieson has come up with a novel and, it appears, effective way of protecting one’s credit rating.
According to his website, “all you have to do is send ‘notice of correction’ letters to Britain’s three credit reference agencies to warn financial service providers that applications in your name for financial products must be accompanied by your thumbprint, or they should be treated as fraudulent”.
It seems credit reference agencies have to follow this instruction. If they don’t, and credit is issued in your name without you supplying a thumbprint, you are not liable. Better still, if a fraudulent print is submitted in an attempt to take out credit, it could help to lead police back to the thief.
Although Jamieson’s idea is free to implement, you will need to buy an ‘inkless’ print pad to get going which will set you back around GB pound 3. He is also asking people to donate money to charities listed on his website, where you can find out more about the scheme.