McAfee, the antivirus software company,
recently released a list of the most dangerous places to give your Social
Security number. Many of the places on the list might surprise you:
1. Universities and colleges
2. Banking and financial institutions
3. Hospitals
4. State governments
5. Local government
6. Federal government
7. Medical businesses (These are businesses
that concentrate on services and products for the medical field, such as
distributors of diabetes or dialysis supplies, medical billing services,
pharmaceutical companies, etc.)
8. Non-profit organizations
9. Technology companies
10. Health insurers and medical offices
The places are ranked based on the number of
data breaches involving Social Security numbers from January 2009 to October
2010. What's most disturbing is that you must disclose your Social Security
number if you want to receive services from most of those places (either as
required by law or the groups' own policies).
So I asked Adam Levin, chairman and
co-founder of Identity Theft 911, what people could do to prevent their Social
Security numbers from falling into the wrong hands and keep their identities
safe. "It's obvious there is no slam-dunk 100% way to protect
yourself," he says. "Everywhere you turn, you're going to run into an
organization looking for information from you."
However, you can take steps to lower your
risk, he says. And there are things you can do to detect identity theft and
limit the damage.
Don't be so quick to give out your number. As
Levin said, a lot of organizations and companies will ask for your Social
Security number. But that doesn't mean they all have to have it. You will be
required to provide your Social Security number in any situation that requires
your identity to be verified (such as an application for credit or a license)
or about which the IRS must be notified. Otherwise, be sure to ask whether the
agency, business or organization has to have it. Unfortunately, even though
many groups -- such as private insurers -- can't require your Social Security
number, they might refuse to do business with you if you don't provide it. In
those cases, ask if you can give just the last four numbers rather than your
full Social Security number.
Don't ever give out your Social Security
number or any other personal information to someone you don't know who
initiates contact with you by phone, e-mail or in person. For example, if you
receive an e-mail that claims that you must provide personal information to
claim a refund from the IRS, it's a scam. The IRS doesn't request information
from taxpayers by e-mail.
Lock away your Social Security card. Your
Social Security card belongs in a fireproof safe in your home, not in your
wallet. Why? Because if someone stole your wallet, he'd be able to steal your
identity, too. And don't leave your card or any other personal information
sitting out where others can see it. Levin says this is a big problem at
universities, where students leave wallets, credit-card statements and other
items with personal information that can easily be stolen. See 5 Steps
to Protect Your College Student's ID. Be sure
to cross-cut shred any documents with your personal information once you no
longer need those documents.
Protect your number from cyber
thieves. Even though there's not much you can do to protect your personal
information once you hand it over to another business or organization, you can
take steps to protect the data on your computer. Make sure you install
antivirus and Internet security software on your computer -- and update it
frequently. "If you buy the software and don't update it, it's like
becoming a member of a gym and not going," Levin says. The McAfee
Total Protection software is $59.99 (after a $20 rebate) and the Norton
360 software is $79.99. Levin also says you should frequently change
passwords for your online accounts and not use the same passwords for financial
accounts and social networks.
Control the damage. Even if you
take all these steps, there still is a chance that you will become a victim of
identity theft. That's why it's imperative to check your accounts daily to
catch any transactions you didn't make. "If you have time to check e-mail
and a social networking site, you can find time to check your bank and
credit-card accounts," Levin says. And take advantage of the free credit
report you're entitled to once a year from each of the three credit bureaus --
Experian, Equifax and TransUnion. Go to www.annualcreditreport.com to get your reports. Rather
than checking them all at once, though, order each one separately to spread out
your credit checks throughout the year.
If you notice any problems, act
quickly to repair the damage. You can contact the credit bureaus and ask them
to put a fraud alert or credit freeze on your accounts. A fraud alert, which is
free, requires lenders to make some effort to verify your identity before
issuing new credit in your name. A credit (or security) freeze prevents the
credit reporting companies from releasing your report without your consent. The
credit bureaus charge a fee to initiate a freeze, but you might not have to pay
if you're a resident of a state that waives the fee for identity theft victims.
See Fraud Alert vs. Credit Freeze.
If your wallet (with your Social
Security card or any credit cards inside it) is stolen, report it to the
police. With a police report, you can place an extended fraud alert, which
lasts seven years, on your credit report, and you'll have documentation that
will help you bolster your case if you become a victim of identity theft.
See the Federal Trade
Commission's identity theft page for information about what you
can do if your identity has been stolen.
