iCheck Microsoft Office 2003 Introductory

These articles further explore computer safety, ethics, and many other topics covered in the Technology Handbook found in the student edition.

Staying Safe Online and Netiquette (p. H35)

Introduction Learn about identity theft.

Directions Read the information below and apply what you learn to answer the questions. Check your work carefully, and click Check Answers.

How to Avoid Identity Theft

Identify theft is a crime in which someone takes your personal information (such as your name, address, social security number, driver’s license number, date of birth, or mother’s maiden name) and uses it to establish credit and charge items to you. In some cases, identify thieves arrange to have mail, such as a credit card bill set up in your name, sent to their house so that you are not aware of the charges that you owe until someone investigates your credit history. In many business transactions, such as renting an apartment or securing a car or home loan, the owner or banker runs a credit check to see if you have any debt that you have failed to pay. Imagine your surprise when you find out that you owe thousands of dollars on a credit card that you never applied for! Not only will you have to prove that you were the victim of identity theft to avoid paying the debt, but you will also be unable to rent an apartment or buy a car or house until you clear your credit history.

Needless to say, it is important to be aware of scams intended to steal your personal information from you. In the past, identify thieves scavenged victims’ trash for credit card bills or other correspondence with personal information that can be used to establish credit. With the Internet, thieves no longer need to dig through your trash. They use the Internet to solicit the information from you. If you come across one of the following Internet scams, report it immediately to an adult:

• “Phishing” is a scam in which an identity thief sends you an e-mail in which he or she pretends to be a representative from a company with which you do business. For example, you might receive an e-mail that is supposedly from your bank or Internet provider that asks you to provide personal information to update your account.
• Some identity thieves send e-mails in which they claim that they are from a foreign country and they need help transferring money to the United States. They ask for your bank information and promise that they will pay you for your assistance.
• Ironically, some people have actually received e-mails from companies that claim to offer identity theft protection and credit repair. However, after they send their personal information, they find out that those who sent the e-mail were quite the opposite.
• The “You won a prize!” scam is increasingly common. This scam involves receiving an e-mail that indicates you have won a prize, perhaps a trip or a large amount of cash. Of course, you must provide your personal information in order to receive the prize.

In order to avoid these scams, always keep in mind what people really need to know to complete a transaction. For example, when you call your bank, the banker often asks for your mother’s maiden name because he or she needs to verify your identity. However, if someone claiming to work for your bank calls or e-mails you, he or she has no need to know any information already included in your bank file. Clearly, this person has contacted you only to solicit your personal information.

1			What personal information does an identity thief often solicit?
2			What does credit history mean?
3			What is phishing?
4			Name one way to avoid Internet scams.