It happens far more often than many people realize — almost 3 million incidents each year.
We’re talking about identity theft. When someone steals your identity for their own gain, it’s deeply unsettling — and can cause serious harm.
With just the nine digits of your Social Security number,thieves can open credit accounts and accumulate large debts under your name with alarming ease.
The sooner you spot it, the better.
How to Protect Yourself From Identity Theft Scams
An app called Credit Sesamehelps you guard against identity theft by keeping a close eye on your financial activity.
Credit Sesame’s complimentary identity theft protection will notify you about significant changes in your credit report (like someone attempting to obtain credit in your name), and it includes $50,000 in identity theft insurance.
Another effective defense is knowing what warning signs to watch for, particularly because scammers now use a wide range of tactics to pilfer your information.
With that in mind, here are five of the most prevalent identity theft schemes:
1. The W-2 Email Scam
The IRS issued an urgent warning about this expanding ID theft scheme in February.
Here’s how it typically unfolds:
Someone in your employer’s payroll or HR office receives a forged email from a fraudster posing as a high-ranking corporate executive.
The message requests copies of employees’ W-2 forms — essentially asking for each employee’s personal details including addresses, wages and Social Security numbers.
In January, this struck Scotty’s Brewhouse, a well-known Indiana restaurant chain with 4,000 staff members.
Once attackers obtain this data, they can exploit it for malicious ends — for exampleopening lines of credit or filing fake tax returns to claim fraudulent refunds.
2. Email Subject Line: “A Notice From the Internal Revenue Service”
The IRS also cautions about this particular ploy in its 2017 “Dirty Dozen” list of common tax-related scams. These schemes tend to spike during tax season.
If you receive an email claiming to be from the Internal Revenue Service, remember that the IRS does not initiate contact with taxpayers by email to request personal or financial details.
Never click on links or reply to these emails.
If you get one, forward it to [email protected] to report it.
3. “This Is an Update From Norton Anti-Virus”
Authorities refer to this tactic as “Malware Based Phishing.”
It occurs when a scammer embeds a malicious program — or malware — within emails or websites.
This software masquerades as helpful but actually records everything you type and tracks the sites you visit, then uses that information to steal your identity.
One instance is an email disguised as a Norton Anti-Virus alert. It urges you to install an updated browser “to strengthen your computer security.”
Do not do it.
Clicking the link simply installs malware.
To stay safe, be extremely cautious when downloading any software from the internet. Contact the company that allegedly sent the message by sending a separate email or calling them directly. Ask if the communication is genuine before downloading any file.
4. Beware of the Skimmers
In identity theft parlance, a “skimmer” is a tiny device criminals attach to an ATM or a store’s payment terminal to copy data from your debit or credit card.
It reads the information from your card’s magnetic stripe and stores it in an electronic memory. That way, a thief can use your card details to make unauthorized charges.
Skimmers aren’t a myth — they’re real and widespread.
Here’s an example from Consumerist of several cleverly hidden skimmers found in a U.S. retail store recently — much to the staff’s surprise.
They also frequently appear on gas station pumps.
To guard against skimming, make a habit of regularly checking your credit report. (Tip: Credit Sesame can help with that, too.)
5. Sneaking in Through Your Google Search Results
You know the saying, “If it seems too good to be true, it probably is”?
That applies to a scam known as “search engine phishing,” according to the Center for Identity Management and Information Protection, a nonprofit research organization.
Scammers build websites promoting “too good to be true” deals, then get them legitimately indexed by Google, Yahoo and other search engines.
Then the bait appears in search results — an unbelievably cheap price for a gaming console, or an unusually lucrative job posting.
When you visit the scam site, you’re persuaded to hand over personal data to claim the offer.
Tips to Protect Your Information
Knowing the red flags helps, but here are additional precautions you can take to shield yourself from identity theft schemes:
- Sign up for a free identity protection service like Credit Sesame to monitor your financial accounts. It will alert you if someone applies for credit using your identity.
- Shred any paper documents that contain personal information before discarding them.
- Install reputable anti-virus software and secure your devices with strong passwords.
- Exercise great caution when sharing personal details or account numbers online or over the phone.
- Wipe all personal data from digital devices before donating or selling them.
- Contact the three main credit bureaus — TransUnion, Experian and Equifax — and place a credit freeze to block new credit applications in your name.
If you believe someone has stolen your identity, visit IdentityTheft.gov, the federal government’s central resource for identity theft victims. It provides checklists and template letters to help you recover.
Alex Harper ([email protected]) is a senior writer at Savinly. He has personal experience with identity theft.
