8 tips for protecting your personal data

The amount of information available online these days makes it much easier for fraudsters to access personal data and use it to create fake IDs, open new credit card accounts or send bogus emails under someone else’s name.

For instance, to perpetrate medical identity theft, a fraudster only needs your name, social security number and date of birth to use your medical insurance for someone having an operation. You are sent the bill and held responsible for the deductible, even though you didn’t physically have the procedure. Once this individual uses your insurance, your records are tied together indefinitely, although under HIPPA regulations, you won’t be able to see the fraudster’s actual medical record for privacy reasons. Ironic isn’t it?

Security expert Frank Abagnale offers these tips to help protect against identity theft:

1. Shred everything — This includes catalogs, credit card applications, anything that has identification information on it. He recommends using a security micro-cut shredder because it cuts paper into the size of a grain of rice.
2. Use credit freezes — You can freeze credit for as long as you like and unfreeze it only when necessary, such as when making a large purchase or applying for something that requires a credit check. He especially recommends freezing credit for young children, since fraudsters will target them in particular because fraudulent accounts are unlikely to be identified until the child gets a job, goes to college or makes a large purchase of some sort.
3. Use credit monitoring services — These can be valuable in monitoring inquiries to your credit accounts and help track any suspicious activities.
4. Value your personal information — This includes things like the routing numbers and account numbers on checks. Abagnale recommends only writing checks for your mortgage, rent and other bills, but not for personal purchases. Don’t write your social security number on checks or feel that you need to give it to anyone who asks for it. There are other ways for businesses to track you in their systems. Also use second level passwords wherever possible on accounts.
5. Do not use a debit card for purchases — The safest form of payment besides cash is a credit card. “Use their money, not yours,” recommends Abagnale. “Using a credit card lowers your risk and liability.” To withdraw money from the bank, use an ATM card and only use ATMs connected to banks or reputable businesses.
6. Practice safe computing — Make sure computers have security software and that it is up to date. Do not download information you did not request or click on links in spam emails, and use strong passwords to restrict access.
7. Monitor all accounts — Check credit card statements, annual social security statements and watch bank accounts for any incorrect or unusual activity.
8. Beware of the personal information shared on social media — Do not post front-facing photos of yourself or family members on social media because someone can use it to become you says Abagnale. Avoid sharing your birth date or where you were born, because this information can also be used to steal your identity.

“Every piece of information leads to another piece of information,” cautions Abagnale. Guard it carefully.

Patricia L. Harman is editor-in-chief of Claims magazine. Contact her at pharman@alm.com.