by Terry Savage
If you think your finances are safer now that you use a chip card, think again. The latest Javelin Identity Fraud Study reports the number of identity fraud victims increased by 16 percent in 2016 to more than 15 million consumers. And the amount the thieves took grew by $1 billion to more than $16 billion in the past year.
A large part of the increase came from “card not present” fraud in the first year since chip cards became widely used. Fraudsters are resorting to more invasive ways of getting your identity details than simply counterfeiting mag stripe cards.
So-called “phishing” schemes have become far more sophisticated. Gone are the days of the misspellings and clumsy grammar that made fraud emails obvious. Fraudsters have gotten better at tricking you into clicking on a link in one of these emails. Once you do that on your computer or smartphone, these links deploy malware called “bots” to collect all your data, including PIN and CV authentication numbers as you shop online.
There’s also a growing trend of identity fraud crimes enabled by victims’ social media posts. Harmless items on your pages, including celebrations of your birthday, or a college graduation or reunion, give thieves information they use open new accounts in your name. Fraudulent new credit accounts for more than half the increase in identity theft crime last year.
So what should you be doing to guard your identity? Here are some suggestions, which mostly involve common sense and a commitment to regularly review your finances.
—Check online accounts regularly. Visit your bank or credit card website at least once a week to make sure that no withdrawals or unauthorized charges have been made. Yes, you’re protected from fraud, but there’s no way to avoid the hassle of getting a new account number when you’ve been attacked. At least you can minimize the trauma by catching fraudulent purchases immediately.