Four Things Businesses Can Do to Prevent Identity Theft

While individuals have to protect their own personal information to prevent identity theft, businesses have a greater responsibility to protect their customers’ personal information from identity theft. Here are four precautions businesses should take:

1) Use alarm systems.

We may often think that customer information stored in our computer systems is stolen by savvy Internet computer hackers, but there’s plenty of identity theft happening the old fashioned way – by physically stealing documents. Alarm systems are effective deterrents – especially those that are monitored by a security company. In addition to using an alarm system, make it more difficult for thieves to access your offices by using deadbolts on external doors and secure exposed windows with security film, bars, screens or shatter-proof glass.

2) Lock up business records.

Use locking file cabinets to store physical business records. Be sure to lock the filing cabinets at night and during the day when there’s no one available to monitor access. For computer system and database back ups, lock them in a safe or a security deposit box. Don’t leave them lying around.

3) Shred paper documents.

Tossing business records out with the trash or placing in the recycling bin is an invitation for disaster. Shred all business records that you no longer need before placing into the recycling bins and don’t forget to include any mail or billing documents that has sensitive information on it. If you have large volumes of data that needs to be destroyed, contract with a shredding service that will come to you. They will shred the documents and dispose of them properly.

4) Limit computer access.

Password-protect your computers and limit access to sensitive information on a “need-to-know” basis. Also, when a employee no longer works for your business, immediately cut off their access to your computer network. Yes, this could lead to more expense, but a disgruntled employee can do a lot of damage. You must take all steps necessary to prevent and avoid identity theft for you and your customers.

Five Tips to Prevent Identity Theft in Schools

Educational institutions have a responsibility to keep staff and student information safe and secure. Here are nine tips on how to prevent identity theft in the schools.

1. Know What Identity Theft Is

If you don’t understand what identity theft is or how it happens, you will be unequipped to recognize and handle potentially dangerous situations. Most identity theft is directed at employees rather than the students using low-tech methods. Educating staff about ‘social engineering’ techniques should be a high priority. For example, an ID thief might call a district office asking for employee information for ‘verification’ purposes. Create a process to handle these types of calls that will determine whether or not the request is legitimate.

2. Appoint an Information Security Officer

The person in charge of IT security should review the handling of all sensitive information – how it is handled, who has access, and where it is stored.

3. Conduct Ongoing Training

Distribute information about maintaining security to both staff and students using printed literature, e-mails and webinars or closed circuit television. And invite specialists to conduct in-school training sessions.

4. Be Specific with ID Theft Prevention Suggestions

Tell staff, particularly those working in areas that have a lot of personal information like human resources, exactly what to do. Advise them to always log off or turn off their computers whenever the leave their desk, and thoroughly brief them about online phishing schemes that try to extract personal information from unsuspecting victims.

5. Identify All Sources of Sensitive Information

While computers are the main source of stored information, put security measures in place for protecting information included on paper reports, filed in cabinets, and loaded onto laptops and PDAs.

Federal Identity Theft Task Force Reviews Prosecution Standards

In May of 2006, the President signed an Executive Order establishing an Identity Theft Task Force, directing it to develop a coordinated strategic plan to combat id theft. Among other recommendations, the plan was directed to include suggestions for "ensuring just and effective punishment for those who perpetrate identity theft." Task Force recommendations specific to prosecution and punishment for identity theft -- which can also be found in detail on the FTC's website -- include:

· Requiring each United States Attorney’s Office to appoint an identity theft coordinator and develop an Identity Theft Program for each District, and creating working groups and task forces to focus on the investigation and prosecution of identity theft.

· Amending federal statutes and guidelines used to prosecute identity-theft related offenses. Specific proposed amendments include:

• Amending the identity theft and aggravated identity theft statutes to ensure that identity thieves who misappropriate information belonging to corporations and organizations can be prosecuted. Also, add new crimes to the list of predicate offenses for aggravated identity theft offenses, such as mail theft, tax fraud, and conspiracy to commit those crimes.
• Amending the statute that criminalizes the theft of electronic data to eliminate the current requirement that the information must have been stolen through interstate communications.
• Amending 18 U.S.C. § 1030(a)(5) to eliminate the current requirement that the defendant’s key-logging or malicious spyware actions must cause ‘damage’ to computers and that the loss must exceed $5,000.
• Outlawing pretexting.
• Enacting legislation to make it a felony for data brokers and telephone company employees to sell or transfer customer information without prior written authorization from the customer.
• Amending the U.S. Sentencing Guidelines to ensure that an identity thief’s sentence can be enhanced when the criminal conduct affects more than one victim.

Effective ID Theft Reporting Starts with Organization

When you become the victim of identity theft you also become your own caseworker to report identity fraud and keep the momentum going forward to get all issues resolved. If you have good organization skills, they’ll come in handy, and if you don’t, consider enlisting a trusted friend or family member to help you keep your information organized. Here are a few tips on how to organize your case:

• Don’t make calls without a plan. Before you contact a credit reporting agency or a creditor company to report the crime or solicit information about the reporting process, prepare a list of questions to ask. Also document as much as you know about your identity theft case so you can talk about it calmly and logically. And if you’re not satisfied with the answers that you’re given, ask to speak to a supervisor.
• Keep a list of all the calls you make. Write down the name of each person you talk to, their phone numbers, the date of the call, and specifics about the conversation.
• Follow up in writing with all contacts you've made on the phone or in person. Send your correspondence using certified mail with a return receipt requested so you have a record that the company or organization received your letter and when.
• Keep copies of all correspondence or forms you send and receive.
• Never send originals when required to provide supporting documents. Send copies only.
• Set up a simple filing system for easy access to paperwork related to your identity theft case.
• Once your case is resolved, keep all your files. It is unlikely that you will need to use them again, but problems can sometimes reappear and your saved documentation will prove invaluable.

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