Identity theft occurs when someone uses your personal information, like your name, Social Security number or credit card number, without your permission, to commit fraud or other crimes.
Identity theft can happen in various ways, such as:
1. Dumpster Diving
- They rummage through trash looking for bills or other paper with your personal information on it.
2. Phishing
- They pretend to be financial institutions or companies and send spam or pop-up messages to get you to reveal your personal information.
3. Changing Your Address
- They divert your billing statements to another location by completing a change of address form.
4. Old-Fashioned Stealing
- They steal wallets and purses; mail, including bank and credit card statements: pre-approved credit offers; and new checks or tax information. They steal personnel records, or bribe employees who have access to your information.
5. Pre-texting
- They use false pretenses to obtain your personal information from financial institutions, telephone companies and other sources.
(Federal Trade Commission 2009)
Pay cards help protect your identity
- Pay cards are not linked to your credit bureau information or any of your other accounts. This helps minimize the risk of personal data loss.
- If pay cards are lost or stolen, your money is protected by FDIC insurance.
- Monthly statements are available online and not mailed to your home unless requested, which helps protect your name, your address and account information from mail fraud.
