Identity theft: the scourge of modern America, where criminals use our technological conveniences against us to steal money, steal credit and use our own information against us.
It’s estimated that 15.4 million consumers were hit with some kind of identity theft in 2016, according to Javelin Strategy & Research, up from 13.1 million the year before. And with tax filing season in full swing, you can expect millions of tax filers to be targeted between now and mid-April. Stolen refund checks are among the top targets of identity theft thieves.
For 2017, the Internal Revenue Service has joined with representatives of the software industry, tax preparation firms, payroll and tax financial product processors, and state tax administrators to combat identity theft refund fraud to protect the nation’s taxpayers. These include new log-on standards if you file your taxes electronically.
Regardless of what the IRS is doing to protect your identity, all individuals should be aware of what they can do to reduce the chance of being a victim. Security measures that individuals can take include:
• Always use security software with firewall and anti-virus protections.
• Use strong passwords for all online accounts, including both lowercase and uppercase letters, numbers and symbols.
• Recognize and avoid “phishing” e-mails, as well as threatening calls and texts from thieves posing as legitimate organizations such as your bank, credit card companies and even the IRS.
• Don’t click on e-mail hyperlinks or download attachments from unknown or suspicious e-mails.
• Protect your personal data, by ensuring that your tax records are secure, and do not routinely carry your Social Security card.
Even following these precautions do not guarantee absolute safety. If someone wants to hack into your background and steal your identity, they will definitely work multiple ways to gain access.
If you are a victim of identity theft, the Federal Trade Commission recommends these steps:
• File a complaint with the FTC at www.identitytheft.gov.
• Contact one of the three major credit bureaus to place a “fraud alert” on your credit records: Equifax, Experian or TransUnion.
• Contact your financial institutions and close any financial or credit accounts opened without your permission or tampered with by identity thieves.
• If your Social Security Number has been compromised, and you know or suspect you are a victim of tax-related identity theft, the IRS urges you to contact them immediately, either by phone at (800) 829-1040 or online at www.irs.gov. You can also go to www.irs.gov/individuals/identity-protection for more specialized information on dealing with identity theft.
But remember, it’s not just your tax refunds that might be targeted. The Palm Beach County Sheriff’s Office has identified several areas of identity theft concern, including if your monthly credit card and bank statements suddenly stop arriving, you are denied credit for no apparent reason, you start getting bills from companies you do not recognize or credit collection agencies try to collect on debts that do not belong to you.
If you do become a victim, be sure to report the crime to the Federal Trade Commission. The FTC collects complaints about identity theft from consumers and stores them in a secure online database available to law enforcement agencies worldwide. The FTC provides information on ways to resolve problems resulting from identity theft and refers individuals to various private and government agencies for further action. Learn more at www.consumer.gov/scams.
