The Federal Trade Commission recently released its list of the top consumer complaints received by the agency in 2011. For the 12th year in a row, identity theft complaints topped the list. Of more than 1.8 million complaints filed in 2011, 279,156 or 15 percent, were identity theft complaints. Nearly 25 percent of the identity theft complaints related to tax- or wage-related fraud.

The report breaks out complaint data on a state-by-state basis and also contains data about the 50 metropolitan areas reporting the highest per capita incidence of fraud and other complaints. In addition, the 50 metropolitan areas reporting the highest incidence of identity theft are noted.

The next nine complaint categories are Debt Collection; prizes, sweepstakes, and lotteries; shop at home and catalogue sales; bank and lenders; internet services; auto related complaints; imposter scams; telephone and mobile services; and advance-fee loans and credit protection/repair.

The FTC enters complaints into Consumer Sentinel, a secure, online database available to more than 2,000 civil and criminal law enforcement agencies in the United States and abroad. Enforcers search the database to research cases, track targets, and identify victims.

“The FTC’s Consumer Sentinel Network is an incredibly powerful tool for law enforcers who are working to protect consumers and go after the bad guys,” said David Vladeck, Director of the agency’s Bureau of Consumer Protection. “It’s used by agencies across the country and around the world to enhance their enforcement efforts.”

Other federal and state law enforcement agencies contribute complaints to the Consumer Sentinel Network, including the U. S. Postal Inspection Service, the Department of Justice’s Internet Crime Complaint Center, and the Offices of the Idaho, Michigan, Mississippi, North Carolina, Ohio, Oregon, Tennessee, and Washington Attorneys General. Private-sector organizations that contribute complaints include all U.S. and Canadian members of the Better Business Bureau, Western Union and Moneygram, and the Lawyers Committee for Civil Rights Under Law.

According to Richard Cordray, Director of the newly created Consumer Financial Protection Bureau, “The Consumer Sentinel Network is a treasure trove of information for law enforcers.”

The Federal Trade Commission works for consumers to prevent fraudulent, deceptive, and unfair business practices and to provide information to help spot, stop, and avoid them. To file a complaint in English or Spanish, visit the FTC’s online Complaint Assistant or call 1-877-FTC-HELP (1-877-382-4357). The FTC enters complaints into Consumer Sentinel, a secure, online database available to more than 2,000 civil and criminal law enforcement agencies in the U.S. and abroad.

Many people still feel protected from identity theft as long as they stay off the internet. This week’s post is a reminder that much of identity theft is still low tech. It’s dumpster diving and, in this case, capitalizing on low security in a health provider’s facility.

The message is we need to be vigilant of our paperwork at all times. We need to do things like keep and eye on the mail box, shred personally identifying information, and keep our fiduciaries on the ball as well. The latter is harder than the former since it involves a perhaps uncomfortable interaction with those we trust–still, we need to make sure our doctors, accountants, financial planners and everyone else we entrust with our personal information are also taking steps to protect us.

Here’s is the cautionary tale:
Chelsea Catherine Stewart of Birmingham, Alabama has been sentenced for 39 months for wrongfully obtaining individually identifiable health information. She also plead guilty to attempted bank fraud and aggravated identity theft.

This may seem like another story about a health care worker stealing patient information. But this one is a bit different. Chelsea was visiting a friend at Trinity Medical Center. When there was no one monitoring the patient files, she helped herself and copied the information of patients down.

This is what we call low tech hacking. It is the basic steps like locking files and shredding that must be taken to protect information.

For more information on how HV Shred can help please visit www.hvshred.com

At HV Shred, we use our blog to educate the community about the latest scams.  Caller ID Spoofing is far from being a “funny ha ha” spoof.  It could be a serious attack on your personal information.  How does it work?  A Caller ID Spoofer logs on to one of several websites that enable them to create an account by paying a small fee–the account allows them to enter a name and a number they want to pretend to be calling from–a bank–a credit union–some entity we are inclined to trust.

When we see the trusted name on our caller ID, we pick up the phone feeling as if we know with whom we are speaking–lulled into a false sense of confidence, we share personally identifying information. 

What to do?  Never give personal information over the phone on a call you don’t initiate.  If you are contacted by a financial institution or similar, hang up and call the number you know directly.  Better safe than sorry.

Be sure also to let you financial institution know if someone is spoofing them–they want to weed these hacks out even more than you–they are costing us all a lot of money and frustration.

For more on identity theft protection, please visit www.hvshred.com

In this season of Valentine’s and budding romances, we just want to help make everyone aware of a scam found to be more and more prevalent by The Internet Crime Complaint Center (a private/public partnership established to deter/detect/and defend again identity theft.  The IC3 has warned the public to be wary of romance scams in which scammers target individuals who search for companionship or romance online. Scammers search chat rooms, dating sites, and social networking sites looking for victims. The principal group of victims is over 40 years old and divorced, widowed, elderly, or disabled, but all demographics are at risk.

Scammers use poetry, flowers, and other gifts to reel in victims, the entire time declaring their “undying love.” These criminals also use stories of severe life circumstances, tragedies, deaths in the family, injuries to themselves, or other hardships to keep their victims concerned and involved in their schemes. Scammers also ask victims to send money to help overcome a financial situation they claim to be experiencing. These are all lies intended to take money from unsuspecting victims.

Victims who have agreed to meet in person with an online love interest have been reported missing, or injured, or in one instance, deceased. IC3 complainants most often report the countries of Nigeria, Ghana, England, and Canada as the location of the scammers. If you are planning to meet someone in person that you have met online, the IC3 recommends using caution, especially if you plan to travel to a foreign country, and, at the very least:

• Do not travel alone.
• Read all travel advisories associated with the countries you will visit. Travel advisories are available at http://travel.state.gov/.
• Contact the United States Embassy in the country you plan to visit.

Even though it seems to be contrary to the thought of starting a new romance, do not be afraid to check a new acquaintance’s story online. Remember, like most fraudulent schemes, scammers use whatever personal information you provide to quickly paint themselves as your perfect match. If your new friend’s story is repeated through numerous complaints and articles on the Internet, it is time to apply common sense over your feelings. To obtain more information on romance scams and other types of online schemes, visit www.LooksTooGoodToBeTrue.com. Anyone who believes they have been a victim of this type of scam should promptly report it to the IC3’s website at www.IC3.gov.

HV Shred, Inc is proud to be a resource, so please also check out www.hvshred.com for more information.

Keeping to our education theme, here are some more tips to protecting your identity-particularly as you operate on-line.
(1) Use Security Software That Updates Automatically The bad guys constantly develop new ways to attack your computer, so your security software must be up-to-date to protect against the latest threats. Most security software can update automatically; set yours to do so. You can find free security software from well-known companies. Also, set your operating system and web browser to update automatically.

Don’t buy security software in response to unexpected pop-up messages or emails, especially messages that claim to have scanned your computer and found malware. Scammers send messages like these to try to get you to buy worthless software, or worse, to “break and enter” your computer.

(2) Treat Your Personal Information Like Cash Don’t hand it out to just anyone. Your Social Security number, credit card numbers, and bank and utility account numbers can be used to steal your money or open new accounts in your name. So every time you are asked for your personal information – whether in a web form, an email, a text, or a phone message – think about whether you can really trust the request. In an effort to steal your information, scammers will do everything they can to appear trustworthy.
(3) Check Out Companies to Find out Who You’re Really Dealing With When you’re online, a little research can save you a lot of money. If you see an ad or an offer that looks good to you, take a moment to check out the company behind it. Type the company or product name into your favorite search engine with terms like “review,” “complaint,” or “scam.” If you find bad reviews, you’ll have to decide if the offer is worth the risk. If you can’t find contact information for the company, take your business elsewhere.

Don’t assume that an ad you see on a reputable site is trustworthy.

For more tips and information about securely destroying your confidential data, please visit www.hvshred.com

Again, we can’t emphasize enough how important it is to stay vigilant during tax season. Thieves who steal taxpayers’ personal tax-related information can use it to steal identities as well. To help prevent these crimes, the IRS offers the following suggestions.

1. The IRS does not initiate contact with taxpayers by email to request personal or financial information or to announce an audit or refund. If you get a notice like this, it’s a fraud.
2. If you receive a scam e-mail claiming to be from the IRS, forward it to the IRS atphishing@irs.gov. IRS impersonation schemes flourish during tax season and can take the form of e-mail, phone, websites—even tweets. If you receive a paper letter or notice via mail claiming to be the IRS but you suspect it is a scam, contact the IRS.
3. Be aware of the ways identity thieves can get your personal information, such as by stealing your wallet or purse, posing as someone who needs information about you through a phone call or e-mail, looking through your trash, accessing information you provide to an unsecured Internet site.
4. If you discover a website that claims to be the IRS but does not begin with “www.irs.gov,” forward that link to the IRS at phishing@irs.gov.
5. If your Social Security number is stolen, another individual may use it to get a job. That person’s employer may report income earned by them to the IRS using your Social Security number, thus making it appear that you did not report all of your income. When this occurs, contact the IRS to show that the income is not yours. Your record will be updated to reflect only your information. You will also be asked to submit substantiating documentation to authenticate yourself, thus minimizing the chance this will occur again.
6. Show your Social Security card to your employer when you start a job or to your financial institution for tax reporting purposes, but do not routinely carry your card or other documents that display your Social Security number.
7. While preparing your tax return for electronic filing, make sure to use a strong password to protect the data file. Once your return has been e-filed, burn the file to a CD or flash drive and remove the personal information from your hard drive. Store the CD or flash drive in a lock box or safe. If working with an accountant, you should ask them what measures they take to protect your information.
9. If you have information about the identity thief that impacted your personal information negatively, file an online complaint with the Internet Crime Complaint Center (IC3). The IC3 gives victims of cyber crime a convenient and easy-to-use reporting mechanism that alerts authorities of suspected criminal or civil violations. IC3 sends every complaint to law enforcement or regulatory agencies that have jurisdiction over the matter.

For more information, view the IRS publications Protect Yourself from Identity Theft and Taxpayer Guide to Identity Theft all available at www.irs.gov

There is also plenty of information on best practices for identity theft prevention at hvshred.com

We are all vulnerable to ID theft 24 hours a day, 7 days a week. However, there are times of the year when we need to be more vigilant about our surroundings. Tax Time is one of them.

This is the time of year that all of your personal information is traveling through the mail. What makes it more tempting for identity thieves is that it is a target rich environment. Steal the mail out of all the mailboxes on a street this time of year and you are sure to get something worthwhile.

Then there is the problem of false tax returns in your name. The IRS is orking to set up systems for identifying fraud that are getting much more accurate at detecting fraud. They also have some tips to help protect yourself.

Here are some we suggest:
•The IRS doesn’t send emails. Don’t respond to them.
•Get your mail in a locked mailbox.
•Send your mail out in a locked mailbox.
•Never answer questions over the phone unless you called them.

For more information on best practices in ID Theft Protection, please visit www.hvshred.com

In the latest issue of Consumer Reports, the experts responded with a definitve yes when asked whether fianancial records for closed accounts of parents who died several years ago pose an identity theft danger. Quoting their response, “Thieves have stolen IDs of the dead, but your biggest risk is that there might be something in those boxes about you: beneficiary information, say, from life insurance policies. Shred the documents or a pay a reputable company to do it for you.”

The fact is, any personally identifying information in the wrong hands poses an identity theft threat. HV Shred can help make the process easy and quick. Outsourcing shredding service means no hassles with sorting out staples, paper clips, bank books, check books, or even small binders.

More information at hvshred.com