MyCRA Specialist Credit Repair Lawyers

Tag: identity crime

  • Protect Your Personal Information To Prevent Identity Theft

    Identity crime

    (As seen on the ATO’s website)
    Your personal information is the key to your identity.
    Protecting your personal information is just as important as locking your front door.
    Do you know what you need to protect and how? Watch the ATO’s video and make protecting your personal information part of your day.

     

    Here is the full transcript for the video:

    Your personal information, like your identity – is unique. You use it to verify who you are and to access things like bank accounts, loans and tax returns.

    Protecting your personal information is important. But do you know what to protect?

    Personal information includes your name, address, date of birth, credit card details, myGov details, tax file number and driver’s licence details.

    Without proper protection your personal information can be stolen. For example, a scammer might use a fake job recruitment process to ask for information like your tax file number. Scammers can also email you, knock on your door and collect your details via online ‘classifieds’.

    Like locking up your house or covering your pin at the ATM, make protecting your personal information part of your day. Here are a few simple tips to follow:

    • firstly, don’t put your tax file number on your resume and only give it to an employer after you’ve started a job
    • never share your tax file number on social media
    • if your relationship status changes, think about changing any passwords you shared, and
    • if you’re going to use a tax agent, make sure they’re registered.

    Go to ato.gov.au/identitycrime for more tips.

    Protect your personal information and you’ll protect yourself.

  • Identity fraud survey: Find out if you are protected

    Identity FraudIt’s Identity Fraud Awareness Week 2013 this week running October 13 to October 19. Identity fraud can leave your credit file in ruins, and in some cases can mean a five year battle to recover your good name. Find out how protected you are from identity fraud by taking the Australian Federal Police’s (AFP) online identity fraud survey. Read more about how identity crime can impact your credit file. Know the basic things to keep you and your credit file safe. And this week, take steps to safeguard yourself in the future, and pass on the message of safety to the people around you.

    By Graham Doessel, Founder and CEO of MyCRA Credit Rating Repair and www.fixmybadcredit.com.au.

    Identity theft victims who have had credit taken out in their name can often struggle to recover from having their identity stolen long after the initial fraud has occurred.

    People can have mobile phones and credit cards taken out in their name as a minimum. Some can even have mortgages and cars purchased in their name.

    The real pain comes when a victim discovers defaults on their credit file – which not only ruins their ability to obtain credit at the time, but those listings remain on their credit file for usually five years from the initial fraud.

    What is not often realised is how difficult getting default listings removed from the credit file can be. Even for a victim of identity theft, there is no guarantee the defaults can be removed from their credit file. The victim often has to try to prove they didn’t instigate the credit in the first place. This can be difficult if victims are not aware of how or even when the identity theft occurred.

    The Australian Crime Commission now sites high-tech organised crime as costing Australians $15billion a year, and is reported to be the fastest growing crime in the country. And the Australian public is starting to become concerned.

    Results from the Office of the Australian Information Commissioner’s (OAIC) 2013 Community Attitudes to Privacy survey were released last week. The survey reports that 48% of Australians believe that online services, including social media, now pose the greatest privacy risk. Only 9% of survey respondents considered social media websites to be trustworthy in protecting privacy.

    To know if you may be vulnerable to identity fraud – take the AFP’s identity crime survey this week, and pass it on to people you know. Most involved in identity crime prevention agree that Australians need to increase their knowledge of identity theft, and how to protect themselves – particularly with the volume of computer use in this country. Here are some ways the AFP suggest we can all protect ourselves form identity theft:

    How can I protect myself from becoming a victim of identity theft?

    You can take some simple steps to reduce the risks of having your personal information stolen or misused:

    • secure your mail box with a lock and make sure mail is cleared regularly

    • shred or destroy your personal and financial papers before you throw them away, or keep them in a secure place if you wish to retain them

    • always cover the keypad at ATMs or on EFTPOS terminals when entering your PIN, and be aware of your surroundings— is anyone trying to observe or watch you, are there any strange or loose fixtures attached to the machine or terminal?

    • ensure that the virus and security software on your computers and mobile devices is up-to-date and current

    • don’t use public computers (for instance, at an internet café), or unsecured wireless ‘hotspots’, to do your internet banking or payments

    • be cautious of who you provide your personal and financial information to—ensure that there is a legitimate reason to supply your details. Don’t be reluctant to ask who will have access to your information and which third parties it may be supplied or sold to. Ask to see a copy of the Privacy Policy of the business before you supply your details

    • only use trusted online payment websites for items won at online auctions or purchased online. Never make payments outside of trusted systems—particularly for goods which you have not yet received

    • regularly review your bank statements and obtain a copy of your credit history report. Report any unauthorised transactions or entries ASAP

    • ask your bank or financial institution for a credit or debit card with an embedded ‘micro-chip’—they are more secure than cards with only magnetic stripes

    • do not respond to scam emails or letters promising huge rewards if bank account details are supplied, or in return for the payment of ‘release fees’ or ‘legal fees’

    • if responding to an online employment or rental advertisement, be wary of transmitting personal information and copies of documents via email or electronically. If asked to attend an interview, do some prior research to confirm the legitimacy of the company or employment agency

    • in relation to social networking sites, always use the most secure settings. Take extreme care if placing personal details such as date of birth, address, phone contacts or educational details on your profile, and do not accept unsolicited ‘friend’ requests

    • for other useful tips, refer to the “Protecting Your Identity booklet – What Everyone Needs to Know (PDF, 700KB)“, published by the Attorney-General’s Department.

    • take our online identity crime survey to see how secure your identity is.

    I believe it is also really important to be aware of what your credit file says, and to know if there have been any changes you haven’t initiated.

    In my experience often credit file discrepancies can be the first sign we have been victims of identity theft. It is a good idea to regularly obtain a copy of your credit report to ensure that everything on your credit file is as it should be. Strange credit enquiries, changes of contact details, and of course default listings you are unaware of can mean someone has been using your identity.

    A credit file report can be obtained for free every 12 months from the major credit reporting agencies Veda Advantage, Dun and Bradstreet and Tasmanian Collection Service and is sent to the owner of the credit file within 10 working days. Or you can pay to have it sent urgently.

    If you are vulnerable to identity theft, you may also be able to purchase an alert service with credit reporting agencies – to be kept updated on any changes to your credit file which can indicate identity theft attempts.

    This Identity Fraud Awareness Week, the take home message from MyCRA would be:

    • stay vigilant (you never know when identity theft could strike)
    • stay informed (fraudsters are always thinking of new ways to trick people so try to stay one step ahead – it might help to sign up for alert services from Stay Smart Online, and check the ACCC’s Scamwatch website regularly)
    • and talk to others (you don’t want family and friends to become the next victim).

    Image: Victor Habbick/ www.FreeDigitalPhotos.net

  • Identities at risk in the Australia Post system

    Identity theftIn the news this week it was revealed that Australia Post customers have been exposed to identity theft. On Monday a Sydney Postal Centre worker was found guilty on four charges of mail theft. The worker was caught stealing credit cards and other sensitive information for criminal contacts. Investigators are unable to say how many people’s confidential details had been compromised, having only recovered four letters. We feature this story in full from news.com.au, and look deeper at identity theft, what criminals have to gain from it, and how you and your credit file may be at risk.

    By Graham Doessel, Founder and CEO of MyCRA Credit Rating Repair and www.fixmybadcredit.com.au.

    An Australian Government survey on identity theft, released in June 2011 by then Attorney-General Robert McLelland, revealed 1 in 6 Australians have been a victim or know someone who has been a victim of identity theft. Identity theft can happen to anyone, and it seems even if you have no Facebook account, only a minimal online presence, answer no scam phone calls and don’t unnecessarily reveal your personal information, you can still be at risk, just by your mail being compromised.

    This recent news story illustrates how easily this can occur:

    Australia Post customers at risk of identity theft after sorter stole credit cards for criminal contacts

    AUSTRALIA Post customers have been left exposed to potential scams and identity theft after a worker at a Sydney postal centre was caught stealing credit cards and other sensitive information for criminal contacts.

    Investigators are unable to say how many people’s confidential details disgraced night sorter Morris John Lilio compromised, with only four letters he lifted recovered.

    The 60-year-old had been working at the Waterloo facility since 2008 when he was nabbed on camera sneaking out eastern suburbs residents’ mail in August.

    CCTV footage of his early-morning shifts revealed him repeatedly looking around the facility before slipping mail into his jacket sleeves and leaving the building for his morning break.

    On the day he was arrested police seized several letters – one of which had a credit card inside it – all addressed to one Woollahra household hidden in a Gregory’s street directory inside a colleague’s parked car.

    Detectives also found a series of text messages on Lilio’s two mobile phones, including some from earlier in the morning when officers swooped on the thief.

    “If you ever want the guy’s signature he can get that also,” one message said, listing a man’s birthdate and phone number. “He said if he could get two really good GE (Money) or GO. Also can you please look out for tax return cheques.”

    In an earlier message Lilio wrote: “That’s all I could get this morning. 2 and u got both. But send one of girls 2 pick up.”

    “No good, reported stolen,” he was messaged back.

    Lilio told police that people had asked him to do “things I don’t want to do” after he got involved with drugs, but he denied acting on their demands for stolen mail.

    He later claimed in court that any letters seen in his jacket got there by mistake when he was putting it on for his break. But in Central Local Court last week, magistrate Mark Buscombe said Lilio’s explanation that letters had repeatedly got stuck in his clothes accidentally was “fanciful”.

    He found Lilio guilty on four charges of mail theft, adding the former Australia Post worker had told police a series of lies and the text messages clearly showed he had been stealing mail for others based on the details they sent him.

    Police admitted the bulk of the mail Lilio stole was never found and it was not known who he had passed the confidential material to.

    Australia Post spokeswoman Melanie Ward said the organisation had a “zero-tolerance” to mail-security breaches and any workers implicated were immediately sacked, although she would not say what screening processes Australia Post had in place for its staff.

    Lilio is scheduled to be sentenced next month.

    Organised crime and Identity theft

    The typical identity theft victim is an ordinary person, who just happens to have fallen prey to the vast criminal network which exists on the internet or elsewhere.

    A leading commentator on technology issues, Stilgherrian warned people of the intricacies of identity theft in the modern age in his article ‘The real cyber criminals are no lolling matter’:

    “First, these crimes are committed on a vast scale. Criminal processes are orchestrated globally, automated, and supported by thousands of unwitting, disposable minions. If only a tiny percentage of people fall for scams, we’re still talking millions of dollars.

    Second, the bad guys are good at this. Really good. Blaming the victims is inappropriate. “They had it coming to them”? Really? Third, it all connects up. Fifty bucks went missing from your credit card precisely because the number had been stolen from a poorly-secured online store. The legitimate website popped up the message from the fake anti-virus product because it, too, was poorly secured and had been hacked automatically by software that probed a hundred thousand websites one night.

    Or, in the case of identity theft, when someone takes out $50,000 of loans in your name? That happens through the gradual accumulation of personal data. Your name and email address from a list stolen from a hacked website, cross-matched with your street address from another, your date of birth from a third, and so on.

    These databases can contain millions of people’s details. They’re traded in shady online markets where people buy the pieces missing from the databases they already have, merge them, refine them, mark ‘em up and sell ‘em on until eventually there’s enough to turn it all into a credit application. It’s then laundered though “money mules”, people recruited in the belief they’re making money at home with just a computer.”

    The story of this vast, global ecology of crime is both fascinating and real. So why isn’t it told?

    Well, it’s a hard story to tell. Everything’s new and different. Imagine trying to tell the story a bank hold-up if you had to first explain all the pieces as if they were brand new. Bank. Money. Gun, Trigger. Balaclava, “OK, everybody lie down on the floor and keep calm.” Getaway car.

    Global organised crime is a complex octopus. By the time you’ve explained the first sucker at the end of tentacle number one you’re up to the next ad break and everyone’s lost attention.

    The Australian Crime Commission’s CEO, John Lawler revealed at a national conference for credit professionals in September that identity crime is a “key facilitator” for organised crime groups because it is an anonymous crime which can enable significant fraud.

    “Every single person in this room and the various sectors and organisations that you represent are targets for organised crime,” he told the Conference.

    “Criminals will exploit technology to not only carry out new crimes but commit traditional crimes on a much larger scale.”

    The ACC estimates organised crime is currently costing the Australian economy at least $15 billion per annum – and that the impacts of this are significant and growing.

    Mr Lawler says the amount of personal information requested and stored online, along with the growing popularity of social networking sites, provides organised crime with a larger pool of victims and data to harvest.

     “Organised criminals seek to conduct significant research on their intended victims and tailoring their operations to target weaknesses,” he says.

    So whilst this Aussie postal worker has been caught out and that is indeed terrible – we need to take a step back and look at the bigger picture. Look at the machine he was feeding this information to. That’s the big issue. The real problem here. They can probably find many people like him to do what he did. There are probably many people willing to go through somebody’s rubbish bin for a few bucks, to steal mail out of letterboxes, to make some shady phone calls to get personal information, even to write up computer programs and online scams to trick people. Some of these fraudsters probably have no idea that they are potentially contributing to not just theft, but in the wrong hands full-blown identity theft at some point – where not only money is stolen, but credit and therefore a person’s good credit rating.

    A life turned upside down

    Recovering from identity fraud is never an easy task – and it can be fraud to the tune of a mere $300 which is as devastating to a victim’s ability to obtain credit in the future, as fraud of $300,000.  Creditors need proof the victim didn’t initiate the credit. But many people don’t know how the fraud eventuated, and even if they do there’s no guarantee they can recover their good credit rating – meaning they can be locked out of credit for the duration of the credit listing, which in the case of a default, is 5 years. Not to mention if there is a hefty debt to pay they are not responsible for.

    Early intervention is critical

    If you have ever had any type of scam or crime committed against you, the message is – be wary of what the real ramifications of that fraud could be, and take action to protect your credit file as well as your finances. Check your bank and credit card statements thoroughly – any suspect signs could mean you are at risk of identity theft. You should also order a copy of your credit report – which would indicate if your credit file has been misused or attempts have been made to obtain credit in your name.

    Contact Police immediately and also alert your Creditors and the Credit Reporting Agencies which hold your credit file if you are at all suspicious of identity theft before it leads to fraud.

    Image: nuttakit/ www.FreeDigitalPhotos.net

  • Has your tax file number been given out to debt collectors?

    If you have a tax bill you haven’t paid – be aware your tax file number may have been given out to debt collectors contracted by the Australian Tax Office. This is despite the recent warnings from the ATO that compromised tax file numbers are leading to identity theft. We look at the story behind this recent revelation and report on the prevalence of tax file number – related identity crime. Identity theft can lead to credit fraud which can leave you in debt and with bad credit history.

    By Graham Doessel, Founder and CEO of MyCRA Credit Rating Repairs and www.fixmybadcredit.com.au.

    The Herald Sun reported yesterday in their story ‘Debt collection agents given tax file numbers’ that the ATO gives out the tax file numbers of consumers whose debt they are referring to debt collection agencies. The numbers are used for identification purposes.

    “THE tax file numbers of Australians are being passed on to contracted third-party debt collection agencies by the Australian Tax Office, despite the ATO claiming compromised tax file numbers are leading to identity theft,” the lead in states.

    This surprising revelation comes after the Herald Sun revealed this month there had been a surge in compromised tax file numbers. See last week’s post ‘Over 23,000 accounts of tax file number identity theft last year.’

    The newspaper published data from the Australian Taxation Office showing over 23,300 Australians had their tax file number compromised in the 2012 financial year. This was up from 22,000 last year.

    Likewise, ATO’s August campaign involved urging consumers to keep their tax file numbers safe to avoid identity theft. They revealed that scams such as fake job ads and bogus ATO emails were leading to compromised tax file numbers and identity theft. Here is an excerpt from their media release ‘Scammers target job seekers’ with comment from Tax Commissioner Michael D’Ascenzo:

    “Personal information can be used by scammers to lodge false tax returns in your name, enable the use of your credit cards or even result in people taking out a loan in your name. In some cases, identity crime can take years to resolve.”

    This year there have been over 6,000 reports from the community about bogus e-mails using the ATO brand, and over 4,000 reports of attempted phone scams.

    At this time of year when many people expect refunds, scammers use the opportunity to pretend to be from the ATO.”
    Only certain people and organisations can ask for your TFN, the most common being:

    • the ATO, when discussing your tax records
    • your employer, but only after you start work
    • your bank or other financial institutions
    • Centrelink, and
    • your superannuation fund.

    It was not mentioned which people and organisations are commonly recipients of Australian tax file numbers.

    ATO response on tax file number referral

    The ATO told the Herald Sun that contractors use the numbers for identification purposes only and said there is no risk because strict security requirements are placed on them.

    Here is an excerpt from the Herald Sun story:

    Four companies are contracted to do debt collection for the ATO and only two responded to queries from the Herald Sun asking about security arrangements or how many staff would have access to public tax file numbers.

    The ATO stated: “The four debt collection agencies we use are subject to strict security and privacy provisions as part of their contract. Any breach could nullify the contract and result in prosecution.

    “No taxpayer information, including tax file numbers, is to be sent overseas.”

    The ATO added that every two years it checked the premises and IT systems of third-party debt collection companies, and the last checks were done between July and October this year with no major risks or breaches identified.

    But the country’s biggest accountancy body has expressed concerns about the use of tax file numbers when not necessary.

    “If the tax office is sharing TFNs with third parties, regardless of the contractual arrangement, then there is a concern and a great risk … that the information is distributed, that the information could be misused somewhere along the line,” CPA Australia head of tax Paul Drum said.

    “In that regard, it seems unusual that the Tax Office would need to provide a TFN when the information provided to the debt collectors includes a claims reference number anyway.”

    Whilst the security checks employed by the ATO seem acceptable, I too question the requirement for sharing of this crucial financial information to outside bodies if not absolutely necessary.

    In this day and age when instances of identity fraud are reportedly on the rise, and becoming more sophisticated by the day; when we are urged by Government, by law enforcement, by banks, even by the ATO to regard our personal information as a valuable commodity – it seems unusual that the policy for sharing this crucial financial information still remains in place.

    Identity crime and your credit file

    Compromised personal information in any form is a big threat to our credit file health.

    If fraudsters get hold of your identity information they can duplicate it, and attempt to take credit out in your name. If successful, they can borrow anything from credit cards, mobile phones, cars, even mortgage properties. They are never so kind as to pay that debt back – so your credit file, your good name is left compromised and you are left with debt you didn’t initiate.

    It can be difficult to correct any credit file discrepancy – but identity crime can be even more difficult to remove from your credit history – because you have to prove – somehow – that you didn’t initiate the credit in the first place. This can involve evidence that you may or may not have. You may not be able to get any documentation, and also the identity theft could have occurred long before you find out about it.

    If you find out any personal information is compromised, or you know you are the victim of identity theft, the best place to go first if the Police.

    Once you are in a position to try to recover your good credit history, a Police report will go a long way to proving your innocence.

    Police may also advise you of other avenues open to you as well as an identity theft victim, such as requesting a Victims of Commonwealth Identity Crime Certificate.

    If you need help recovering your credit file health for whatever reason, contact a Credit Repair Advisor on 1300 667 218 or for more information visit the MyCRA Credit Rating Repairs website www.mycra.com.au.

    Image: Arvind Balaraman/ www.FreeDigitalPhotos.net

  • New laws to penalise identity thieves

    The Attorney-General Nicola Roxon announced yesterday new laws in Australia will mean white collar criminals and serious and organised crime groups will face tougher penalties. We look at what those penalties will mean, and how they can prevent identity theft and subsequent credit fraud leading to bad credit history.

    This week is National Identity Fraud Awareness Week October 8-14.

    By Graham Doessel, Founder and CEO of MyCRA Credit Rating Repairs and www.fixmybadcredit.com.au.

    Legislation introduced into Parliament yesterday – The Crime Bill, will aim to deter white collar criminals and organised crime groups. The Bill will increase financial penalties for all Commonwealth crimes, and create a new offence of using a false identity when travelling on aeroplanes. It will make it a crime to use a false identity to book a flight over the internet or to take a commercial flight. It will also be a crime to use a false identity when identifying oneself for a flight.

    Another significant change as part of The Crime Bill will be an increase to penalty units. “Penalty units” in the Commonwealth Crimes Act will increase from $110 to $170. These have not increased since 1997.

    “Identity theft is one of the fastest growing crimes in Australia. This Bill will make it a criminal offence to use a false identity when travelling within Australia by air or booking domestic flights online or using a mobile phone,” the Attorney-General Nicola Roxon said in a statement to the media.

    “Organised criminals invent or steal identities in order to evade detection and commit serious crimes such as money laundering, drug offences, fraud and terrorism.

    The bill expands laws against identity theft by making it a crime to use a carriage service like the internet or a mobile phone to obtain identity information with the intention of committing another offence.

    So for instance, if fraudsters use the internet to obtain your personal information and it was shown the intention was to commit fraud, then the new laws should in theory kick in -placing a crime in not only the attempted fraud, but the actual misuse of your identity information.  Personal information is such a valuable commodity in criminal circles. Criminals can use your personal information to impersonate you, commit crimes, and also to take out credit in your name, leaving you with a pile of debt and bad credit history as the calling card. So this is a significant improvement.

    Ms Roxon said an example of the effect of the increase in penalty units was the maximum fine for obtaining a financial advantage by deception would jump from $66,000 to $102,000 for an individual.

    “This is a significant increase and should send a strong message that crime does not pay,” she told The Australian yesterday (Flying under false name to be a crime).

    Some more examples of how changes could deter criminals:

    •  A person who dishonestly uses the financial information of another person without their consent will face up to $51,000 in fines, up from $33,000. Companies who commit this crime could be liable for more than a quarter of a million dollars in fines, up from $165,000;

    •  A person who knowingly makes a false or misleading statement in documents they lodge with ASIC will face up to $34,000 in fines, up from $22,000. A company will be liable for up to $170,000 in fines, up from $110,000.

    This may go some way to deterring identity thieves within Australia. But there is still a significant amount of fraud related crime which originates from outside Australia. Widespread internet use means identity crime can have very long arms. And this is the real problem with this type of crime. It can be difficult to find let alone prosecute and penalise criminals for identity crime and other financial crimes when it doesn’t originate on our shores. But it was probably a necessary to step for the government to take to fight this global problem of identity crime nationally.

    To find out more about identity crime, and how it could impact your credit rating, you can read our last post Is your good name at risk? What you may not know about identity theft and your credit file. If you are looking to remove bad credit history after identity theft, contact a Credit Repair Advisor on 1300 667 218 or visit our main site www.mycra.com.au.

     

  • Is your good name at risk? What you may not know about identity theft and your credit file

    It is reported that possibly as many as 24 per cent of Australians* have been, or knows someone who has been, a victim of identity crime in the last six months. As this week is National Identity Fraud Awareness Week, we are hoping to do our part to raise awareness about this crime. Victims are not always ‘gullible’ as may be the impression in the wider community. Many experts say it is not a matter of if you experience an identity theft attempt, but when. So we look at the facts on identity crime both worldwide and in Australia, and hope to educate more people about this new crime wave, as it can severely impact your credit file and hinder your ability to obtain credit. It could also help to pass the information on to someone you know.

    By Graham Doessel, Founder and CEO of MyCRA Credit Rating Repairs and www.fixmybadcredit.com.au

    Australian Federal Police released a statement yesterday warning Australians to defend themselves against identity crime. AFP National Coordinator Identity Security Strike Team’s Darren Booy said this year’s focus is on limiting the amount of personl information that falls into the hands of criminals.

    “Identity fraud is an emerging threat to Australia and is growing rapidly, with identity fraudsters using increasingly sophisticated methods to manipulate their victims,” Superintendant Booy said in a statement to the media.

    Who commits identity theft?

    It can originate from someone you know – for example an acquaintance obtains identity documents or credit card details to impersonate you. Or more increasingly it comes from professional fraudsters whose main occupation is to steal personal information and financial details in order to commit fraud. These fraudsters are reportedly part of a network of criminals possibly involved in many other crimes. The Australian Federal Police recently stated that most large crime groups have built identity theft into their repertoire.

    The key to successful identity theft is obtaining your vital personal information. The internet is a big source of personal information and its ever increasing use makes you more vulnerable to identity crime than ever.  This means identity crime can have very long arms and can originate overseas. Social networking, online banking, company databases and email scams can all be havens for today’s cyber- criminal.

    You can also fall victim to a number of rampant telephone scams, credit card skimming, or criminals can also take to going through your rubbish bin for anything they may be able to use to steal your identity.

    Why is identity theft increasing?

    The pay-offs are huge for criminals. It is estimated by the Australian Crime Commission that identity crime costs Australians $1 billion a year.( OECD Committee on Consumer Policy, Online Identity Theft, February 2009, p. 37).

    In cyber circles alone, world estimated costs for cybercrime are staggering.

    Cyber-crime expert Mischa Glenny says that while there are no precise figures out there, the White House suggested in 2009 that cybercime and industrial espionage inflicts damage of around U.S.$1tn per year, which is almost 1.75% of GDP.

    “Traditional bank robbers must be absolutely gobsmacked when they hear sums like this being hoovered up by cyber- criminals week in, week out,” he said in an article Cybercrime: is it out of control?

    How would identity theft impact my life?

    We consider if someone is alerted to having money stolen from credit cards early, or perhaps is able to call their bank and stop fraud in its tracks – that they are the lucky ones.

    The unlucky identity theft victim is unaware of the fraud until their identity is misused, and their credit rating with it. When identity theft damages your credit rating – it is because the fraudster has been able to overtake credit accounts, or has gained access to enough personally identifiable information about you to forge new identity documents.

    This gives the fraudster access to credit cards, loans, even mortgages which allows them to extract significant amounts of money without you realising it straight away.

    Fraudsters are never kind enough to pay back the credit they obtain in your name. After 60 days you may be issued with written notification of non-payment and the intention for the creditor to list a default on your credit file. It is at this moment that some people who were previously unaware of any problems find out they have been victims of this more sophisticated type of identity theft.

    But often the credit file holder has also had their contact details changed – and this means it is not until they apply for credit in their own right and are refused that they find out about the identity fraud. This can be a significant time after the initial crime.

    When would I know if I have been a victim of identity theft?

    Some signs to watch out for include:

    1. Strange unaccountable withdrawals on credit or personal bank accounts. It may not need to be a big amount to indicate fraud. Many criminals do ‘test’ amounts to begin with before extracting more significant amounts.

    2. Phone calls or emails from what often appear to be legitimate companies, asking for money or personal details. If you have given bank details or personal information in this way either online or on the phone there is a high chance it was a scam. Verify with the company in question.

    3. Can’t log in to social networking or bank accounts.

    4. Credit refusal

    5. Bills or letters of demand sent to you for accounts you don’t know about

    6. Missing mail – particularly credit card statements which could indicate someone has overtaken your accounts. In this case no news is not good news.

    What steps can I take to prevent identity theft?

    1. Keep virus software up to date on your computer. Install automatic updates and perform regular virus scans.

    2. Keep your privacy settings secure on all social networking sites.

    3. Keep your passwords and PIN numbers secure. Don’t carry PIN numbers with your credit/debit cards, change passwords regularly and use a variety of passwords for different purposes.

    4. Check all your credit card and bank statements each time they come in.

    5. Cross-shred all personally identifiable information which you no longer need.

    6. Buy a safe for your personal information at home.

    7. Do not give any personal information or credit card details to anyone via phone or email unless you are sure the site is secure, and or you can verify the company details.

    8. Be aware of who gets our personal information and for what purposes. What can these people do with the information they are gathering? For instance, is it really necessary for the site you are registering on to have your date of birth?

    9. Keep up to date with the latest scams by subscribing to the ACCC’s ‘SCAM watch’ website. For a list of ways your computer can put you at risk, visit the governments Stay Smart Online website www.staysmartonline.gov.au.

    10. Check your credit file regularly. A credit check at least every 12 months (which is free annually) will alert you to any suspicious activity with your credit file.

    If you think you might be vulnerable to identity theft, here are some things you need to do:

    What can I do if I suspect I am a victim of identity theft?

    1. Notify Police immediately. Many people do nothing due to embarrassment, or because they don’t believe the fraud was significant enough. But is only through this crime getting reported that statistics get collated, and we start to have any chance of catching the criminals.

    2. Notify creditors. You may need to cancel credit accounts.

    3. Obtain a credit report. This report is free once per year for every Australian who holds a credit file. It will indicate to you whether any of your contact details have changed, or whether there have been credit enquiries on your account. If you act quickly enough, you may be able to stop your credit rating from being affected by black marks which would come from fraudsters obtaining credit in your name.

    4. Notify credit reporting agencies of the possible fraud. They will be able to put an alert on your credit file.

    5. Police may assist you in obtaining a Victims of Commonwealth Identity Crime certificate, if they believe you are eligible. You can apply to a magistrate in your State for this certificate, which may help in recovering your credit rating or credit accounts. Victims need to have had a Commonwealth Indictable Offence committed against them. For more information, visit the Attorney-General’s website www.ag.gov.au.

    If you or someone you know needs help recovering their credit rating following identity theft, contact MyCRA Credit Repairs, www.mycra.com.au or call a Credit Repair Advisor tollfree on 1300 667 218 for confidential advice and help restoring your good name.

    The Australian Federal Police have established an Identity Crime Survey to test people’s vulnerability to identity crime, and we encourage everyone to take the test: http://www.afp.gov.au/what-we-do/campaigns/national-identity-fraud-awareness-week.aspx

  • Credit file warning: Organised crime groups focused on stealing your identity

    In the future, the security of your personal information may be more crucial than ever. A warning coming from the Australian Crime Commission that organised crime groups will be more likely to hone in on opportunities associated with identity theft to commit crimes in the future. This could have serious implications for every aspect of your life. Your identity is basically your good name, and financially, it is also the key to your ability to obtain credit through your credit file. If you become an identity theft victim, you may also become a victim of credit fraud and end up in serious debt and with bad credit history for years. We look at what is happening, what is predicted for the future, and the 10 ways you can protect your personal information.

    By Graham Doessel, Founder and CEO of MyCRA Credit Rating Repairs and www.fixmybadcredit.com.au.

    The Australian Crime Commission (ACC) has said at a national conference for credit professionals that identity crime is used by almost all of the serous and organised criminal groups operating in Australia and is a key enabling activity for a range of frauds.

    The ACC’s Chief Executive Officer, John Lawler presented at the Dun and Bradstreet Consumer Credit Conference, ‘Credit risk in Australia – The road ahead’ last week. Mr Lawler spoke on ‘Global trends in consumer fraud’. Mr Lawler said identity crime is a “key facilitator” for organised crime groups because it is an anonymous crime which can enable significant fraud.

    “Every single person in this room and the various sectors and organisations that you represent are targets for organised crime,” he told the Conference.

    “Criminals will exploit technology to not only carry out new crimes but commit traditional crimes on a much larger scale.”

    The ACC estimates organised crime is currently costing the Australian economy at least $15 billion per annum – and that the impacts of this are significant and growing.

    Globally, the cost of cyber-crime alone has been calculated at $388 billion annually. This is more than the global market in marijuana, cocaine and heroin combined ($288 billion).

    Mr Lawler says the amount of personal information requested and stored online, along with the growing popularity of social networking sites, provides organised crime with a larger pool of victims and data to harvest:

    •Phishing attacks have become well designed and targeted.
    •Companies are being increasingly targeted as criminals are attracted to large volumes of data stored in single systems.
    •Organised criminals are also warehousing data for later use, making it more difficult to detect when and how data breaches have occurred.

    He says that the most threatening crime groups are diversified in the nature of their crimes – so they are running several ‘games’ and warned that these groups are increasing their level of involvement in fraud. He says this is due to the big pay offs. It’s anonymous so generates less risk, whilst bringing in “some significant profits.” The range of fraud types can include credit card fraud, mass marketed fraud, revenue and taxation fraud, superannuation fraud and financial market fraud.

    “Organised criminals seek to conduct significant research on their intended victims and tailoring their operations to target weaknesses.

    Serious and organised crime is embracing technology and the cyber environment like never before. The use by organised crime of professional facilitators, the use of false and stolen identities provides them with access to systems and data on an unprecedented scale. One manifestation of this is the unlawful access to and supply of illicit commodities, malware and illegal firearms through online sites such as darknets.

    This interface is occurring at all levels from an individual perpetrator to sophisticated serious and organised criminal networks. The anonymity and obfuscation of identity/location provided by the cyber environment facilitates these criminal acts,” he said.

    He warned of the prevalence of “white-collar” fraud like investment fraud. Which don’t target the naïve, but target those with plenty of money looking to invest prior to retiring. The scams are extremely well thought out:

    “Fraudulent syndicates rely on establishing a perception of legitimacy, trustworthiness and success. Syndicates typically establish virtual offices or fictitious corporations which mirror legitimate businesses. They build a perception of legitimacy through highly professional looking websites that provide press releases and make false claims of outstanding corporate performance. They are often linked to false regulator sites and can manipulate search engine data so that those undertaking due diligence are provided with affirmative responses in relation to the investments that are being yielded,” he explained.

    The ACC says education is key to improving our steeliness against this type of crime. They have written a letter via Australia Post to every householder in Australia warning of the risks of serious and organised investment fraud in Australia.

    But they say both businesses and the public sector have a role to play in understanding the ways they can minimise risk to all consumers.

    10 Ways To Protect Your Personal Information From Identity Theft

    1. Keep virus software up to date on your computer. Install automatic updates and perform regular virus scans.

    2. Keep your privacy settings secure on all social networking sites.

    3. Keep your passwords and PIN numbers secure. Don’t carry PIN numbers with your credit/debit cards, change passwords regularly and use a variety of passwords for different purposes.

    4. Check all your credit card and bank statements each time they come in.

    5. Cross-shred all personally identifiable information which we no longer need, rather than throwing it straight in the bin.

    6. Buy a safe for your personal information at home.

    7. Don’t give any personal information or credit card details to anyone via phone or email unless you are sure the site is secure, and or you can verify the company details.

    8. Be aware of who gets your personal information and for what purposes. What can these people do with the information they are gathering? For instance, is it really necessary for the site you are registering on to have your date of birth?

    9. Keep up to date with the latest scams by subscribing to the government’s ‘SCAM watch’ website.

    10. Check your credit file for free every 12 months. By requesting a copy of your credit file from one or more of the major credit reporting agencies, you can be aware of any discrepancies which may need to investigated. Often it is only through a credit check which comes back with defaults on your credit file that many realise they have been victims of identity theft.

    Report any incident of identity theft, no matter how small, or even if you have been reimbursed for the damage – to the Police. The more people that report identity theft, the more effective will be Australia’s Government and Police response to it.

    If you are already an identity theft victim, it can be difficult to navigate the current credit reporting system to have the bad credit history removed from your credit file.

    MyCRA Credit Repairs can completely remove bad credit history such as defaults, clearouts, writs and Judgments from credit files that have errors, are unjust or just shouldn’t be there. Contact a Credit Repair Advisor on 300 667 218 or visit www.mycra.com.au for more information.

    Image: Salvatore Vuono/ www.FreeDigitalPhotos.net

     

  • Attorney-General’s survey shows identity theft is on mind of most Australians

    A national identity theft survey reveals that most of us are worried about identity theft, and the number of us who have been or know someone who has been a victim of identity theft has increased. We look at what the survey reveals, whether these fears are founded, and what we can do to alleviate them.

    By Graham Doessel, Founder and CEO of MyCRA Credit Rating Repairs and www.fixmybadcredit.com.au

    The Attorney-General Nicola Roxon has published results of a nationwide survey into identity theft. The research released today was commissioned by the Attorney-General’s Department and repeats a similar id theft survey conducted in July 2011. The key findings include:

    • 89 per cent of respondents are concerned about identity theft and 61 per cent think identity theft will increase in the next year

    • 24 per cent of respondents had been, or knew someone who had been, a victim of identity crime in the last six months – an increase of seven per cent since 2011

    • When identify crime occurred, 58 per cent involved the internet, through either a virus or an online scam, 35 per cent involved the loss of a credit or debit card, 18 per cent involved mail theft and 9 per cent involved the theft or loss of physical identity documents such as a passport and drivers licence.

    The results of this research will inform the review of the National Identity Security Strategy currently being undertaken by the Department in conjunction with the States and Territories.

    Ms Roxon assured Australians there were solutions and preventative measures to combat the ongoing problem of identity crime, which is one of the top three enablers of serious and organised crime in Australia, and can have serious financial implications for business, governments and individuals.

    “While identity theft is understandably concerning, Australians can take some simple steps to protect their identity,” Ms Roxon said in a statement to the media.

    “Making sure you don’t respond to suspicious e-mail or store personal details on your mobile phone are two easy steps to prevent identity theft.”

    She also made mention of the Document Verification Service – currently a government agency service which allows key identity documents such as passports, driver licenses and birth certificates to be cross-checked between departments. The government will roll out the DVS to the private sector next year.

    “From next year, the financial and telecommunications sectors will be able to access the DVS to check Commonwealth identity documents, such as passports and visas – further helping the private sector to protect their customers’ identity,” she said.

    Should Australians be afraid of identity theft?

    From our point of view, the more you are educated about identity crime and how to prevent it – the less fear it sparks in your mind.

    Let’s look at a broader survey – the Australian Bureau of Statistics Personal Fruad Survey. This surveyed a total of 1.2 million Australians over 2010-11 and was released in April this year.

    Whilst it was reported that Australians lost in total $1.4 billion due to personal fraud, the ABS puts the national vicitmisation rate for actual identity theft at 0.3% (a decrease from 0.8% in 2007).

    Perhaps there has been an increase in identity theft since the ABS survey was published, but what may likely have occured, is that people are talking about identity theft more. It could be that more people “know someone” who has been a victim of identity crime or personal fraud. Could we assume that more people are talking about their experiences, and hopefully reporting instances of fraud and identity crime?

    Without people reporting instances of identity theft, it is difficult to get ahead of fraudsters.

    It is a very real fact that full-blown identity theft – where someone steals your personal information and assumes your identity – can have very disastrous consequences. Identity fraud can involve crooks taking loans out in your name. This not only means you could be lumbered with random debt, but often you are unable to get any loan of your own for 5-7 years because your credit file is blacklisted when these debts fall into default.

    The message we want to send is that your personal information needs to be guarded well. If you safeguard your personal information as much as possible, you put yourself at less risk of identity theft.

    Educate yourself on the ways that fraudsters could misuse your personal information or your credit rating. Put as many preventative measures in place as you can (such as anti-virus software, paper shredder, safeguarding information, regular credit file checks) to ensure that you have the least possible chance of becoming a victim.

    And most importantly, stay up to date with scams that are out there. Identity crime and scams are changeable – what worked for fraudsters one week quickly becomes public knowledge, so they move on to something new. Getting on to something like StaySmartOnline’s Alert Service, or checking SCAMWatch regularly will go a long way to helping you to stay ahead of identity crime.

    And talk, talk, talk about what you know about identity theft, to help educate the community around you. Talk especially to young people who might not fully understand the consequences of giving away their personal information (and there are consequences even for under 18’s) and also talk to older people – who may be more vulnerable to these predators and could need help with education and updates to computer software.

    If you or someone you know have been a victim of identity crime which has impacted your credit rating, all may not be lost. We may be able to help you recover your good name. Contact a Credit Repair Advisor on 1300 667 218 to discuss your suitability for removing bad credit, or visit our main website for more information www.mycra.com.au.

    Image: Salvatore Vuono/ www.FreeDigitalPhotos.net

    Image 2: phanlop88/ www.FreeDigitalPhotos.net

  • Australia has new privacy legislation to fight worldwide cybercrime

    New laws passed the Senate yesterday changing Australia’s privacy legislation to bring us in line with other countries and pave the way for Australia to accede to the Council of Europe Convention on Cybercrime – effectively allowing Australia to work alongside other countries to share and access information to aid in investigations of cybercrime. We look at the implications for this new bill, and the benefit in investigating fraud cases which can not only lead to loss of monies but negatively impact the victim’s credit file.

    By Graham Doessel, Founder and CEO of MyCRA Credit Rating Repairs and www.fixmybadcredit.com.au.

    We have been following the passage of this Bill through Parliament for over 12 months, since its introduction into the House of Representatives in June. See http://mycra.com.au/blog/2011/06/government-brings-laws-war-cyber-crime-identity-theft/ and http://mycra.com.au/blog/2011/11/bill-fight-global-cybercrime-coming-year/ and looking at the possible impact these changes could have on identity theft numbers.

    The Cybercrime Legislation Amendment Bill 2011 amends the Mutual Assistance in Criminal Matters Act 1987, the Criminal Code Act 1995, the Telecommunications (Interception and Access) Act 1979 and the Telecommunications Act 1997.

    The Government amended the Bill in the Senate to address some of the recommendations made by the Joint Select Committee on Cyber-Safety, including privacy protections and aspects of the provision of assistance to foreign agencies. The Government has agreed in principle with 12 of the Committee’s 13 recommendations.

    The passing of the Bill means Australia is one step closer to acceding to the Council of Europe Convention on Cybercrime, meaning it would join 34 other nations that have already become a party to the Convention. The Convention is the first international treaty on crimes committed via the Internet and other computer networks, dealing particularly with computer-related fraud, child pornography and violations of network security.

    Attorney-General Nicola Roxon said in a statement to the media yesterday that the Convention will help make it easier for police to track down cyber criminals around the world.

    “In particular, this will help combat criminal offences relating to forgery, fraud, child pornography, and infringement of copyright and intellectual property.

    “The Convention promotes a coordinated approach to cybercrime by requiring countries to criminalise these computer related offences. The Convention also establishes procedures to make investigations more efficient to improve international cooperation,” Ms Roxon says.

    Privacy Protection or Privacy Invasion?

    One well publicised change to Privacy Law will be the increase in police powers of surveillance. Police will be able to enforce the retaining of data by internet service providers on persons of interest even before they have an arrest warrant.

    Whilst these legal changes are widely approved, some raised concerns during a Senate inquiry into online privacy that this part of the law threatens the Privacy of individuals and threatens human rights and civil liberties.

    There are so many reports that the world is effectively chasing the tail of cybercriminals – the extent of which is far-reaching and difficult to combat. Australia is reportedly now a prime target for fraud with many accounts of scams, bugs, phishing attacks etc etc often instigated from overseas shores.

    To find out more about how we as ordinary Australians fit into the cyber-crime puzzle, you can read our blog post about the ‘Dark Market’: http://mycra.com.au/blog/2011/09/insight-%e2%80%98dark-market%e2%80%99-cyber-crime-underworld/.

    And often by the time people know they have had fraud committed against them the dust has long settled on any trace.

    But the effects can be felt for years by their victims, especially if the fraudsters are able to steal an identity, and take credit out in their victim’s name. The victim is then not only faced with a mountain of debt, and a series of defaults against their credit file. Both of which are not easy to recover from. They have to prove it wasn’t them that initiated the debt – pretty hard when there is no actual ‘perpetrator’ that anyone can see.

    For the sake of people in this situation, and victims of other cybercrimes – in particular, child pornography which is possibly more rampant, more damaging and more difficult to investigate – we need to get united as we are on the Web.

    It may be a bitter pill to swallow for Australians to give up some of their rights to Privacy to be replaced with more privacy protection but we may all have to swallow it regardless.

    What you can do to protect your credit rating from identity theft

    Our message at MyCRA Credit Rating Repairs is: please take steps to protect your credit rating from fraud!

    Educate yourself – visit the government sites like SCAMwatch, Stay Smart Online, and the Attorney-General’s website. If you are interested in keeping up to date with what could be occurring – say in cyber-circles you can visit technology sites like ZD Net Australia, or Computerworld or even subscribe to MyCRA’s RSS Feed for updates on security issues affecting credit files.

    Know what’s on your credit file – grab a free copy of your credit file today from one or more of Australia’s credit reporting agencies, Veda Advantage, Dun & Bradstreet, and TASCOL in Tasmania which will be mailed to you within 10 days.
    Your credit report is free every 12 months – take advantage of this by ordering a copy every year. Make sure there are no defaults currently attached to your file. If they shouldn’t be there or there are errors – you may be eligible for credit repair.

    If you feel vulnerable to fraud, for a fee credit reporting agency Veda offers an ‘alert’ service, which informs you of ANY changes to your credit file such as a change of contact details or a credit enquiry, which would point to you being a victim of identity theft – possibly BEFORE there are harmful defaults put against your name.

    For more information on identity theft, or help with credit repair following identity theft, contact MyCRA Credit Rating Repairs tollfree on 1300 667 218 or visit our website www.mycra.com.au.

    Image: Victor/ www.FreeDigitalPhotos.net

    Image 2: thanunkorn/ www.FreeDigitalPhotos.net

  • How Malware can infect your life and put you and your credit file at risk of fraud

    Think malware is a term used to describe clothes you go shopping in? Then you might have a big problem. Malware is what’s known as a syntactic form of identity crime – where fraudsters attempt to exploit technical vulnerabilities in order to commit fraud. Today the total malware count is just shy of 80 million. That’s scary stuff. We tell you exactly what it is, and what you can do to prevent your personal information from being exploited by fraudsters and prevent debt and bad credit history from credit fraud.

    By Graham Doessel, Founder and CEO of MyCRA Credit Rating Repairs and www.fixmybadcredit.com.au.

    Last week I received a warning from the Stay Smart Online alert service about a new spam email containing a Trojan horse virus as an attachment. This must have caught out enough people for SSO to put out a warning about it. In fact, new forms of malware catch out millions of people every day. It is reported there are 55,000 new unique malware samples per day sent out there. So how can we stay on top of it?

    Stay Smart Online defines malware, and explains how it can infect your life through your computer:

    What is ‘malware’ and how does it affect your computer

    Malware—short for ‘malicious software’—is the term often used to refer to any type of malicious code or program that is used for monitoring and collecting your personal information (spyware) or disrupting or damaging your computer (viruses and worms).

    Spyware

    The term spyware is typically used to refer to programs that collect various types of personal information or that interfere with control of your computer in other ways, such as installing additional software or redirecting web browser activity.

    Examples of spyware include:

    Keyloggers

    A keylogger is a program that logs every keystroke you make and then sends that information, including things like passwords, bank account numbers, and credit card numbers, to whomever is spying on you.

    Trojans

    A Trojan may damage your system and it may also install a ‘backdoor’ through which to send your personal information to another computer.

    Viruses and worms

    Viruses and worms typically self-replicate and can hijack your system. These types of malware can then be used to send out spam or perform other malicious activities and you may not even know it.  Both can use up essential system resources, which may lead to your computer freezing or crashing.  Viruses and worms often use shared files and email address books to spread to other computers.

    How does your computer become infected with malware

    Most spyware is installed without your knowledge. It often gets onto your computer through deception or through exploitation of browser vulnerabilities.

    •Spyware can come bundled with other software. When you download a program, the spyware can be downloaded and installed at the same time.
    •Some spyware infect a system through security holes in the Web browser or in other software. When the user navigates to a Web page controlled by the spyware author, the page contains code which attacks the browser and forces the download and installation of spyware.
    •Be wary of USB sticks from unfamiliar or untrustworthy sources, for example those given away at conferences, trade shows, or in promotional packs. These devices may contain malicious software, which could cause severe damage to your computer or compromise your personal information.
    •Some “rogue” spyware programs masquerade as security software.
    •Worms can also be used to install spyware on your computer.

    A recent article published in the Sydney Morning Herald Tech Section has some alarming concerns from some pretty hefty security people about the internet’s battle with malware. Many wonder if we could possibly be losing the fight against it – with updates unable to keep up with new developments, and anti-virus letting some slip through the cracks. If you’re game, you can read this article here: Anti-virus can’t keep up with threat onslaught.

    Concerns aside, far and away the best way we can have any hope of fighting it – is with installing updates on our computers. Here are Stay Smart Online’s best tips for preventing malware:

    How to prevent spyware from getting onto your computer

    •Install anti-spyware and anti-virus software and set it to automatically check the product website for updates. This will ensure that your computer is protected against the latest viruses and spyware.

    •Install a firewall. It will prevent unauthorised access to your computer and the installation of spyware on it. Some firewalls can also prevent information being taken from your computer and sent to someone else.

    •If you must use a USB stick from an unfamiliar source, you should always scan the USB stick for viruses or other malware before accessing any of its content. You should also disable the autorun function, which is commonly enabled on the Microsoft Windows operating system. This will lessen the risk that any malicious software that may be on the USB stick, will automatically start when you connect it to your computer.

    •Keep yourself informed about the latest security threats and solutions. You can sign up for the free Cyber Security Alert Service from this website. Alternatively, your anti-virus software vendor may have an email alert system. Look for a ‘keep informed’ tab or section on the software’s main screen.

    •Be cautious about opening emails from unknown or suspicious sources. Look at the sender of the email as well as the body and the subject of the email. Do not open email attachments or click on hyperlinks in these emails. You should install spam filters to minimise the amount of spam you receive.

    •Set your anti-virus software and anti-spyware software to automatically scan incoming email.

    •Only download files and software from reputable web sites. Read the licence agreement and terms of use before you download software and don’t download it if you don’t understand or trust the terms and conditions.

    •Be wary when exchanging files even with colleagues or friends. Scan the files before you install them or run them on your computer.

    •Never click on an ‘Agree’, ‘Ok’ or ‘No’ button to close a window on a suspicious website or pop-up. This can launch spyware onto your computer. Instead, click the red ‘X’ in the corner of the window to close the window.

    Your credit file at risk

    In SMH’s article, Charles Wale, security and risk consultant at Lee Douglas and Associates, who has consulted for over 50 ASX-listed companies says consumers need to realise their machines are targets.

    “They are after your personal information for identity theft and login details, especially for banking sites so they can remove funds in their favour,” he tells SMH.

    What can fraudsters do if they can get their hands on your personal information?

    They can steal passwords to your bank or credit accounts and they can also create a patchwork quilt of information that can allow them to eventually have enough on you to request duplicate identity documents, and apply for credit in your name.

    Running up credit all over town, perhaps buying and selling goods in your name, or in some cases mortgaging properties – the victim can have a stack of credit defaults against their name by the end of their ordeal – and sometimes no proof it wasn’t them that didn’t initiate the credit in the first place.

    Recovery can be slow, and in some cases victims have had no way to prove they weren’t responsible for the debt – with fraudsters leaving no trail and the actual identity crime happening long before the fraud took place.

    So to prevent devastating identity crime, which leaves you in debt and can leave you without any way of obtaining new credit for years to come, make it your business to educate yourself on internet and or computer risks. And think before you click….it could save your financial future.

    If you need help in recovering your good name following identity theft, you may find a professional credit repairer can give you the best chance at having the defaults removed from your credit file. Contact MyCRA Credit Rating Repairs on 1300 667 218 for more information.

    Image: Idea go/ www.FreeDigitalPhotos.net

     

  • AFP and FBI sign agreement to pool resources on identity crime

    Police from Australia and the United States have joined forces to pool their resources to fight a number of crimes which cross international borders, including identity crime and cyber-crime. We watch these changes with interest as they apply to fighting the increasing instances of identity crime which can result in victims being stung with bad credit and being banned from borrowing for 5 to 7 years when frausters use their good name to take out credit.

    By Graham Doessel, Founder and CEO of MyCRA Credit Rating Repairs and www.fixmybadcredit.com.au.

    The Australian Federal Police (AFP) and the Federal Bureau of Investigation (FBI) signed a memorandum of understanding (MoU) in Washington on Friday to share intelligence in order to fight many types of crime, including identity crime and cyber crime, ninemsn reports in its story AFP, FBI pool resources against crime.

    The MoU, called Combatting Transnational Crime, Combatting Terrorism and Developing Law Enforcement Cooperation focused on collaboration between agencies in terrorism, illicit drugs, money laundering, illegal firearms trafficking, identity crime, cyber crime and transnational economic crime.

    It also consolidated AFP and FBI cooperation in the exchange of information, resources and technical and forensic capabilities.

    The Australian Government made changes to Australia’s laws in June last year, to allow for the international collaboration of information on cybercrime. The Cybercrime Legislation Amendment Bill 2011, amended several laws in order to comply with the only international treaty on cyber-crime.

    This was done in the hope of coming up to speed with other countries in the fight to tackle an international wave of cyber-attacks.

    Cyber-crime and identity crime are a global phenomenon, and potentially this relationship between Police forces could improve the chances of tracking fraudsters, and potentially lead to more arrests.

    Currently, identity crime and cyber- identity crime is often one of those largely ‘untrackable’ crimes  – especially if it originates overseas. It can lead to the victim having any number of credit accounts taken out in their name, which can result in the victim being stuck with wrong defaults on their credit rating, or a bad credit rating they didn’t initiate, and a whole heap of trouble recovering their good name. Often Police are unable to prosecute anyone, and it is up to the identity theft victim to go about proving they didn’t initiate the bad credit.

    It will be interesting to see whether more arrests can be made or whether the sharing of information could deter cyber-criminals in the future.

    If you have been a vicitm of identity crime or cyber-crime, we would be interested to hear from you, and the process you went through. Did you let Police know of the attack?

    If you need help with a bad credit rating you didn’t inititate which would point to identity theft, whether inititated on our shores or overseas, you may be able to get assistance in recovering your good name. You may be eligible for a Victims of Commonwealth Identity Crime Certificate, and/or you may be able to get help from a professional credit repairer to help with getting those wrong defaults removed from your credit file.

    Contact our credit repair team on 1300 667 218 to get advice.

    Image: Victor Habbick/ www.FreeDigitalPhotos.net

  • Veda throws new light on identity theft and credit fraud: 1 in 5 affected

    Identity theft numbers continue to climb. How can this impact your credit file and possibly lead to a wrong default listing? And what action can you take if you are a victim of identity fraud?

    By Graham Doessel, Founder and CEO of MyCRA Credit Rating Repairs and www.fixmybadcredit.com.au.

    Credit reporting agency Veda Advantage has revealed more results of their annual Australian Debt Study, of around 1,000 Australians that one in five have had their identities stolen or had their personal or financial data illegally accessed.

    The results, released on Thursday to the Sydney Morning Herald and published in the story Identity theft hits one in five: study, shows the figures have climbed higher than previous studies on identity theft. This includes the widely attributed study on identity theft commissioned by former Attorney-General Robert McLelland twelve months ago, which revealed one in six Australians had fallen victim to, or knew someone who was a victim of identity theft.

    It was reported that credit card crime such as skimming is one of the major problems plaguing consumers. Here is more from that story:

    Australians aged 35-49 are the most likely group to fall victim to identity fraud while 18-24 year olds are the least likely to report illegal access to their personal or financial data…

    …people earning more than $70,000 are much more likely to be targeted for bank account and credit card crime than those earning $40,000 a year or less and cases of identity theft and financial fraud are highest in Western Australia and NSW.

    Findings also show that almost one in three Australians suffered some form of credit crime and lost their wallet containing credit cards and identification.

    Matthew Strassberg, a Veda senior advisor said: “Identity crime is a thriving industry in Australia, with the Australian Bureau of Statistics estimating the cost of personal fraud to consumers at $1.4 billion dollars a year.

    “Whilst credit card fraud is a common form of identity crime, many people do not realise that with only a small amount of personal data, an identify thief could take out a second mortgage on a house, or open up a new line of personal credit and purchase items in their name or under a false identity.”

    Credit card fraud is the most common type of identity crime, but it is buffered by substantial bank insurance and good general knowledge of the steps to take should a person’s credit card be stolen – cancel cards, let the bank know etc etc – but the silent ‘killer’ if someone’s wallet is stolen or a home is broken into; or personal information accessed over the internet or through the various sophisticated computer viruses that are out there – could be the personal information that can be accessed and misused.

    We consider if someone is alerted to having money stolen from credit cards early, or perhaps is able to call their bank and stop fraud in its tracks – that they are the lucky ones.

    The unlucky identity theft victim is unaware of the fraud until their identity is misused, and their credit rating with it. When identity theft damages a person’s credit rating – it is because the fraudster has been able to overtake credit accounts, or has gained access to enough personally identifiable information about the victim to forge new identity documents.

    This gives the fraudster access to credit cards, loans, even mortgages which allows them to extract significant amounts of money without the victim realising it straight away.

    If credit accounts are not repaid – after 60 days the victim may be issued with written notification of non-payment and the intention for the creditor to list a default on their credit file. It is at this moment that some people who were previously unaware of any problems find out they have been victims of this more sophisticated type of identity theft.

    But often the credit file holder has also had their contact details changed – and this means it is not until they apply for credit in their own right and are refused that they find out about the identity fraud. This can be a significant time after the initial crime.

    It can often be difficult for Police to track down who was responsible for the fraud, and likewise, it can be difficult to prove to creditors the victim did not instigate the credit in the first place. People can be left not only owing thousands of dollars, but can also be left robbed of the ability to take out new credit. Major fraud such as this can completely debilitate a family for years after the crime took place. Bad credit sticks around for between 5 and 7 years, depending on how the unpaid credit is listed on the victim’s credit file.

    Knowing how to dispute a credit report which is damaged from identity theft is a science, as is all credit listing complaints. The onus is on the credit file holder to prove to the creditor they did not initiate the credit. This requires proof, including Police reports and documentary evidence.

    This is why many identity theft victims – and all victims of credit file mistakes – turn to professional credit repairers to repair their bad credit in these instances. Often there is only one shot at disputing a credit listing with a creditor. Seeing a professional can give people the best chance of correcting bad credit and having those mistakes (including mistakes from fraud) which appear on their credit report removed for good.

    If you are the one in five who has been a victim of identity theft, have you checked your credit file lately? Do you know whether you could be at risk of identity fraud and credit misuse?

    You can get a free copy of your credit file annually from one or more of the credit reporting agencies in Australia and you should do this to make sure your good name hasn’t been compromised.

    If there is something on your credit report that you don’t agree with, or you think you may have fallen victim to identity crime, contact Police and contact a credit repairer – don’t be embarrassed, and don’t put up with bad credit that shouldn’t be there.

    Image: scottchan/ www.FreeDigitalPhotos.net

    Image: vichie81/ www.FreeDigitalPhotos.net

  • Are you at risk of identity theft?

    How much are you putting your life, your personal information and your credit file at risk of fraud? Test your awareness of identity theft, determine what you don’t know and take some steps to protect you and your family. This initiative is part of Privacy Awareness Week 2012, of which MyCRA Credit Rating Repairs is a partner.

    By Graham Doessel, Founder and CEO of MyCRA Credit Rating Repairs and www.fixmybadcredit.com.au.

    Last year, as part of Privacy Awareness Week, the Asia-Pacific Privacy Authorities developed an Id Theft Self-Assessment Test in which you are asked 11 questions on various topics. At the end, you will receive an assessment of how at risk you are of identity theft.

    Here’s some things you may not know about identity crime…

    Identity crime is an area which is ever-growing and ever-changing.

    It is reported that 1 in 6 people in Australia is a victim or knows someone who has been a victim of identity theft or fraud in the past 6 months.

    Victims are not always ‘gullible’ as may be the impression in the wider community. Many experts say it is not a matter of if you experience an identity theft attempt, but when.

    It can originate from someone you know – for example an acquaintance obtains identity documents or credit card details to impersonate you. Or more increasingly it comes from professional fraudsters whose main occupation is to steal personal information and financial details in order to commit fraud.

    Fraudsters are after your personal information. The internet is a big source of personal information and its ever increasing use makes you more vulnerable to identity crime than ever.  This means identity crime can have very long arms – often it originates from overseas crime syndicates. Social networking, online banking, company databases and email scams can all be havens for today’s cyber- criminal.

    You can also fall victim to a number of rampant telephone scams, credit card skimming, or criminals can also take to going through your rubbish bin for anything they may be able to use to steal your identity.

    Identity theft is increasing because the pay-offs are huge for criminals. It is estimated identity crime costs Australians $1 billion a year (OECD Committee on Consumer Policy, Online Identity Theft, February 2009, p. 37).

    In cyber circles alone, world estimated costs for cybercrime are staggering.  Cyber-crime expert Mischa Glenny says that while there are no precise figures out there, the White House suggested in 2009 that cybercime and industrial espionage inflicts damage of around U.S. $1tn per year, which is almost 1.75% of GDP.

    “Traditional bank robbers must be absolutely gobsmacked when they hear sums like this being hoovered up by cyber- criminals week in, week out,” he says.

    How can I be affected?

    We consider if someone is alerted to having money stolen from credit cards early, or perhaps is able to call their bank and stop fraud in its tracks – that they are the lucky ones.

    The unlucky identity theft victim is unaware of the fraud until their identity is misused, and their credit rating with it. When identity theft damages your credit rating – it is because the fraudster has been able to overtake credit accounts, or has gained access to enough personally identifiable information about you to forge new identity documents.

    This gives the fraudster access to credit cards, loans, even mortgages which allows them to extract significant amounts of money without you realising it straight away.

    If credit accounts are not repaid – after 60 days you may be issued with written notification of non-payment and the intention for the creditor to list a default on your credit file. It is at this moment that some people who were previously unaware of any problems find out they have been victims of this more sophisticated type of identity theft.

    But often the credit file holder has also had their contact details changed – and this means it is not until they apply for credit in their own right and are refused that they find out about the identity fraud. This can be a significant time after the initial crime.

    Some signs to watch out for include:

    1. Strange unaccountable withdrawals on credit or personal bank accounts. It may not need to be a big amount to indicate fraud. Many criminals do ‘test’ amounts to begin with before extracting more significant amounts.
    2. Phone calls or emails from what often appear to be legitimate companies, asking for money or personal details. If you have given bank details or personal information in this way either online or on the phone there is a high chance it was a scam. Verify with the company in question.
    3. Can’t log in to social networking or bank accounts.
    4. Credit refusal
    5. Bills or letters of demand sent to you for accounts you don’t know about
    6. Missing mail – particularly credit card statements which could indicate someone has overtaken your accounts. In this case no news is not good news.

    What can I do if I suspect I am a victim of identity theft?

    Notify Police immediately. Many people do nothing due to embarrassment, or because they don’t believe the fraud was significant enough. But is only through this crime getting reported that statistics get collated, and we start to have any chance of catching the criminals.

    Notify creditors. You may need to cancel credit accounts.

    Obtain a credit report. This report is free once per year for every Australian who holds a credit file. It will indicate to you whether any of your contact details have changed, or whether there have been credit enquiries on your account. If you act quickly enough, you may be able to stop your credit rating from being affected by black marks which would come from fraudsters obtaining credit in your name.

    Notify credit reporting agencies of the possible fraud. They will be able to put an alert on your credit file.

    Police may assist you in obtaining a Victims of Commonwealth Identity Crime certificate, if they believe you are eligible. You can apply to a magistrate in your State for this certificate, which may help in recovering your credit rating or credit accounts. Victims need to have had a Commonwealth Indictable Offence committed against them. For more information, visit the Attorney-General’s website www.ag.gov.au.

    What steps can I take to prevent identity theft?

    1.Keep virus software up to date on your computer. Install automatic updates and perform regular virus scans.
    2.Keep your privacy settings secure on all social networking sites.
    3.Keep our passwords and PIN numbers secure. Don’t carry PIN numbers with your credit/debit cards, change passwords regularly and use a variety of passwords for different purposes.
    4.Check all your credit card and bank statements each time they come in.
    5.Cross-shred all personally identifiable information which you no longer need.
    6.Buy a safe for your personal information at home.
    7.Do not give any personal information or credit card details to anyone via phone or email unless you are sure the site is secure, and or you can verify the company details.
    8.Be aware of who gets our personal information and for what purposes. What can these people do with the information they are gathering? For instance, is it really necessary for the site you are registering on to have your date of birth?
    9.Keep up to date with the latest scams by subscribing to the government’s ‘SCAM watch’ website. For a list of ways your computer can put you at risk, visit the governments Stay Smart Online website www.staysmartonline.gov.au.
    10.Check your credit file.

    If you or someone you know needs help to remove bad credit history on their credit rating following identity theft, contact MyCRA Credit Repairs, www.mycra.com.au or call tollfree on 1300 667 218 for confidential advice and help restoring your good name.

    Image above: Chris Sharp/ FreeDigitalPhotos.net

    MyCRA Credit Rating Repairs is proud to be a partner for Privacy Awareness Week 2012.

  • Privacy Commissioner reports data breaches on the rise

    As part of Privacy Awareness Week 2012, over 180 business leaders met in Sydney this week to discuss the topic of data breaches. Data breaches can occur through lost or stolen laptops, portable storage devices and paper records, or through databases being ‘hacked’ into or organisations mistakenly providing information to the wrong person. The effects of data breaches can be theft of identity and potentially credit fraud leading to bad credit history for the victim. The Privacy Commissioner claims there is in effect one data breach a week in Australia – an increase of 27 per cent from last year.

    This is an excerpt from Privacy Commissioner Timothy Pilgrims statement to the media on Monday on data breaches in Australia:

    “The Office of the Australian Information Commissioner (OAIC) was notified of 56 data breaches in the last financial year, equivalent to a data breach a week. This is up from 44 in the previous year, an increase of 27 per cent,” Mr Pilgrim said.

    However, the Privacy Commissioner also noted that he opened a further 59 investigations into other breaches where he wasn’t notified of the incident.

    “Serious harm can befall people when the security of their personal information is compromised”, Mr Pilgrim said. “It is our view that whenever there is a real risk of serious harm, affected individuals should be notified.”

    …Data breach notification is not a mandatory obligation applying generally to government and business in Australia. However, there is increased pressure on the Government to introduce laws to make it a general legal requirement as it is elsewhere — data breach notification is already a mandatory requirement in Europe, the UK and the United States….

    The Privacy Commissioner warned that in some circumstances, it may be a breach of the Privacy Act not to notify as organisations covered by the Privacy Act must take reasonable steps to protect the information they hold.

    For businesses who would like a reference for guidelines on handling personal information security breaches, the OAIC has released this document:

    Data breach notification: A guide to handling personal information security breaches. It outlines four steps to consider when responding to a breach or suspected breach and also outlines preventative measures that should be taken as part of a comprehensive information security plan.

    Personal information has become a valuable commodity used to commit identity fraud and potentially ruin the victim’s financial future.

    We can’t take lightly the possibility that any company that keeps data on its customers could be exposed to data breaches. Identity theft is becoming more prevalent, and personal information is lucrative for fraudsters.

    Personal information in the wrong hands can lead not only to identity fraud, but the misuse of the victim’s credit file, which can have significant long term consequences.

    Data breaches are difficult for individuals to have any control over, and the only way people can ensure their details are safe are to demand that the companies they deal with have strong IT systems before disclosing that information.

    The Australian Crime Commission’s Identity Crime report advises consumers on ways they can protect their personal information. They advise all individuals to obtain a copy of their credit report annually in order to keep abreast with any changes to their credit file which may point to identity theft.

    This could detect suspicious entries such as new credit enquiries or changes in contact details which would point to an identity theft attempt, allowing steps to be taken before the fraud affects the person’s good credit rating.

    If a person may be vulnerable to identity theft through a data breach, they should check their credit file immediately, and also contact Police who will advise them on the best course of action to take to restore their accounts and potentially their good name. This could include applying for a Victims of Commonwealth Identity Crime Certificate – which covers particular Commonwealth Identity Crime and can aid in recovery.

    If people need help to prepare a case to creditors for default removal following identity theft, it may help to contact a reputable credit repair company.

    Image above: David Castillo Dominici/ FreeDigitalPhotos.net

    MyCRA Credit Rating Repairs is proud to be a partner for Privacy Awareness Week 2012.

  • Are 177,000 CHILDREN capable of staying safe on Facebook?

    Parents…are your children on Facebook? We look at what this could mean for them, for you and for your credit file.

    By Graham Doessel, Founder and CEO of MyCRA Credit Rating Repairs and www.fixmybadcredit.com.au.

    An alarming statistic was revealed by a leading West Australian newspaper on Sunday on the possible number of WA children on Facebook who were under 13.

    The Sunday Times revealed in its article “Facebook offers up 150,000 West Australian kids” Perth Now, March 3, 2012 that the Facebook advertising database claims it can reach more than 170,000 children in WA under the age of 13.

    “Facebook allows users access to its database statistics if they’re planning to advertise on their website.

    It says advertisers wanting to target young teens in WA could reach an estimated 177,220 users aged 13 or under.

    Facebook doesn’t let users sign up unless they claim to be over 13. But users often give away their true age by listing information such as the primary school they attend,” the article says.

    This is a global issue. A U.S. Facebook study released in June last year, showed that of the 20 million children on Facebook who actively used the social networking site in the past year, 7.5 million—or more than one-third—were younger than 13 and not supposed to be able to use the site.

    “Among young users, more than 5 million were 10 and under, and their accounts were largely unsupervised by their parents,” the report revealed.

    It also revealed that one million children on Facebook were harassed, threatened, or subjected to other forms of cyber-bullying in the past year.

    So what’s happening with our kids? Are they all accessing Facebook in secret? Or are we simply letting them do it – despite government and even Facebook advice to the contrary?

    Apart from the grave dangers of sexual predators and cyber-bullies for our children – we are become more vulnerable to identity theft and being slapped with a bad credit score as a result.

    Identity crime is the fastest growing crime in Australia, according to the Australian Crime Commission. It was reported by former Attorney General Robert McLelland’s office last year, that identity theft affects one in six Australians in some way.

    It’s time to all get a better understanding of the internet. Those who don’t apply meaningful cyber-security measures at home are putting themselves at risk of identity theft, and simply threatening the family’s good credit rating.

    We cannot let our young children have free reign of the computer, regardless of how ‘tech-savvy’ they are.

    Here’s what can happen to anyone, let alone children:

    We can download viruses, participate in scams, release credit card details and disclose personal information and passwords to criminals which can be used to extract money or take out credit in people’s names.

    This can happen through Facebook, it can happen via email, and it can happen via very legitimate looking websites.

    If millions of Australian parents have been fooled, what chance do these 177,000 children under 13 have? That’s what the cyber-crooks are banking on.

    Don’t know the first thing about the internet? If your child does – you need to get to know about it!

    The amount of personal information that many young people have freely available for viewing on Facebook is frightening. That can be information about them, or it can also be about friends and family.

    We may say it is harmless, but what’s to say fraudsters can’t sit on that information and wait until their victims come of age to commit fraud in their name? In fact, authorities say it is happening – they even have a name, it’s called ‘data warehousing’.

    Superintendant Brian Hay from the Queensland Fraud Squad told Channel 7’s Sunrise Program in October last year, that criminals were targeting the personal information of our young Facebook users. and storing the personal information until they turn 18.

    “We know that the crooks have been data warehousing identity information, we know that they’ve been building search engines to profile and build identities,” he told Sunrise.

    Most identity theft victims have no idea they have given away personal information to fraudsters until it is too late. If identity fraud sees accounts in the victim’s name going undetected and unpaid past 60 days, the parent’s credit file can be ruined for 5-7 years due to defaults.

    It need not be major fraud to be a massive blow to the identity theft victim – leading to a bad credit score. Unpaid accounts for as little as $100 can lead to a bad credit score and have the same impact on getting a loan. So any misuse of someone’s credit file can be extremely significant.

    For parents who want to educate themselves about the risks of cyber-crime, the Government has put together the CyberSmart website, encouraging parents and kids to be aware of the dangers the internet may pose for children. A Cyber Smart fact-sheet for this age group recommends the close monitoring of all children’s internet use.

    And importantly, if young people of any age are on Facebook, educate them and yourself about what that could mean for them and for you.

    If people suspect identity theft has affected their credit file, they can contact MyCRA Credit Rating Repairs www.mycra.com.au or call tollfree on 1300 667 218 for help restoring their good name and clearing their bad credit score following identity theft.

    Image: Clare Bloomfield / FreeDigitalPhotos.net

    Image: Ambro/ FreeDigitalPhotos.net