MyCRA Specialist Credit Repair Lawyers

Tag: Identity Theft

  • Dumping of e-waste in Ghana exposes sensitive data to potential identity thieves

    Media Release
    29 September 2011

    The illegal dumping of Australian e-waste on overseas shores and the potential for those discarded hard drives to still contain sensitive data which exposes the former owners to identity theft and potential misuse of their credit file, demonstrates how urgently Australia needs to change its attitude towards personal data, according to a national credit repairer.

    Director of MyCRA Credit Repairs, Graham Doessel says personal information is a valuable commodity nowadays.

    “Identity theft and subsequent fraud is a lucrative business for criminals, and personal details are the key to potentially racking up thousands of dollars of credit in the victim’s name.”

    “To avoid identity theft, people need to develop the ethos that personal information should be destroyed when it is no longer required, whether that involves cross-shredding documents, or properly wiping hard drives of stored data before discarding,” Mr Doessel says.

    These warnings come after it was revealed by SBS’s Dateline program this week that western countries across the globe, including Australia, had been illegally dumping some 500 containers worth of e-waste such as TVs, monitors and computers into Ghana every month.

    While many locals scavenge the waste for copper and other valuable resources, it was revealed by a local journalist that getting private information from hard drives was also possible and demonstrated accessing personal information from one of the dumped hard drives.

    “You can find personal information, company information…So people can take information and then use it to frame you up or do something against you,” journalist Enoch Messiah says as reported by ZD Net Australia.

    Mr Doessel says a lot of identity fraud is committed by piecing together enough personal information from different sources in order for criminals to take out credit in the victim’s name. He says often victims don’t know about it right away – and that’s where their credit file can be compromised.

    “There is no simple re-imbursement for loss on this scale. Not only can the victim’s bank accounts be drained, but they can also find themselves with several defaults on their credit file that they did not initiate, basically destroying their ability to obtain all forms of credit unless they can be removed,” he says.

    He says once the victim’s credit rating is damaged due to defaults from this ‘stolen’ credit, they are facing some difficult times repairing their credit rating in order to get their life back on track.

    “These victims often can’t even get a mobile phone in their name. It need not be large-scale fraud to be a massive blow to their financial future – defaults foras little as $100 will stop someone from getting a home loan,” he says.

    Once an unpaid account goes to default stage, the account may be listed by the creditor as a default on a person’s credit file. Under current legislation, defaults remain on the credit file for a 5 year period.

    “What is not widely known is how difficult credit repair can be – even if the individual has been the victim of identity theft, there is no guarantee the defaults can be removed from their credit file. The onus is on them to prove their case and provide copious amounts of documentary evidence” he says.
    According to ZD Net, the government recently passed legislation mandating a co-regulatory scheme for computer and TV recycling in Australia, set to be phased in at the end of this year.

    “But people should still be aware that whenever they want to discard a hard drive, they should take adequate measures to ensure all sensitive data is adequately removed before it leaves their hands,” Mr Doessel says.

    Adrian Briscoe, general manager of Asia Pacific for data recovery company Kroll Ontrack, told ZDNet Australia that the best methods to ensure data is completely removed was to use software that overrides the hard-drive sectors seven times, or to physically wipe the hard drive using a degausser that pulses the drive with electromagnetic radiation. Briscoe said it was vital to personally ensure the data is erased before getting rid of old hard drives.

    “I don’t think people necessarily understand the dangers of just releasing a computer back … they have no guarantee that once they release a computer physically, that the data won’t turn up again because they have not actually witness the data being erased,” Briscoe says.

    For more information on credit repair following identity theft, people can contact MyCRA Credit Repairs tollfree on 1300 667 218 or visit their website www.mycra.com.au.

    /ENDS.

    Please contact:   Lisa Brewster – Media Relations   Mob: 0450 554 007 media@mycra.com.au
    Graham Doessel  – Director    Ph 07 3124 7133  www.mycra.com.au www.mycra.com.au/blog 246 Stafford Rd, STAFFORD Qld

    MyCRA Credit Repairs is Australia’s leader in credit rating repairs. We permanently remove defaults from credit files.

    Links: http://www.zdnet.com.au/dumped-aussie-e-waste-a-security-threat-339323066.htm

    Image: Sura Nualpradid/ FreeDigitalPhotos.net

     

     

  • Privacy Commissioner casts final verdict on Sony data breach

    It seems that there will be no reprisal according to Australian law for the victims of the Sony PlayStation/Qriocity saga which left the personal information of approximately 77 million Sony customers worldwide exposed to hackers and threatened the victims with possible identity theft and credit file misuse.

    Australian Privacy Commissioner Timothy Pilgrim released his official report last Thursday on his investigation into Sony Australia’s possible breach of the Privacy Act.

    His investigation found that Sony did not breach Australia’s Privacy Act when it fell victim to a cyber-attack.

    The investigation looked at whether Sony complied with the National Privacy Principles in the Privacy Act. The Principles require organisations to take reasonable steps to protect personal information, and limit the circumstances in which organisations can use and disclose personal information.

    “I found no evidence that Sony intentionally disclosed any personal information to a third party.  Rather, its Network Platform was hacked into. I also found that Sony took reasonable steps to protect its customers’ personal information, including encrypting credit card information and ensuring that appropriate physical, network and communication security measures were in place,” Mr Pilgrim said.

    Mr Pilgrim was concerned about the time that elapsed between Sony becoming aware of the incident and notifying its Australian customers and the OAIC. There was a gap of a week between the data breach and the notification. However, the Privacy Act does not contain a deadline for data breach notification – so this failure to notify does not classify as a breach of privacy.

    “I would have liked to have seen Sony act more swiftly to let its customers know about this incident. Immediate or early notification of a data breach can allow individuals to take steps to mitigate the risks that arise from their information being compromised,” Mr Pilgrim said.

    “However, I am pleased that in response to this incident, Sony has now implemented extra security measures to strengthen protections around the Network Platform.”

    During the investigation, the Privacy Commissioner examined information pertaining to relationships between the various Sony entities involved in this matter.

    “The international nature of these relationships raises challenges for regulators monitoring personal information flows in these kinds of situations where large global companies are collecting personal information while operating in a number of different jurisdictions.”

    In recognition of this, the Privacy Commissioner will provide a copy of his investigation report to privacy regulators in APEC member economies for their consideration.

    The Privacy Commissioner can only investigate what is in the bounds of the Australia’s Privacy Act to investigate – and here we get to the real problem.

    Unfortunately our Privacy Laws don’t extend to mandatory data breach notification. So the Privacy Commissioner was unable to investigate what many agree was the real issue – why Sony took a week to notify its millions of customers their personal information – including credit card details had been compromised.

    The entire saga and this subsequent investigation has served to highlight a massive hole in Australia’s privacy laws which are leaving people open to this kind of breach of security with no retribution via our Government policy.

    As we advised at the time of the data breach, it is important for anyone who has had their personal details compromised in this way to be on the  lookout for possible misuse of their credit file.

    Often people don’t know they have been victims of identity theft until they attempt to obtain credit and are refused, due to defaults on their credit report they are unaware of.

    It is recommended that everyone check their credit file for free every year from Australia’s credit reporting agencies. For people who have been the victim of a data breach and other people vulnerable to identity theft, it might pay to include a separate credit file monitoring service. For instance Veda Advantage will (for a fee) monitor people’s credit files and alert the credit file holder to any changes or entries on their credit file – including credit enquiries.

    If people need help with credit rating repair following identity theft, they can contact MyCRA Credit Repairs toll free within Australia on 1300 667 218.

    Image: Arvind Balaraman / FreeDigitalPhotos.net

     

     

  • Fears about data breaches are justified

    Media Release
    22 September 2011

    Australians have every right to be concerned about data breaches and loss of personal details, as personal information has become a valuable commodity used to commit identity fraud and potentially ruin the victim’s financial future, a national credit repairer says.

    Director of MyCRA Credit Repairs, Graham Doessel says a recent survey revealing concerns about data breaches shows we are all worried about where our personal information could be put at risk, and this is not without reason.

    “More and more of my clients have been through the ringer attempting to have black marks removed from their credit file due to identity theft, simply because our education, our legislation and our technology is unable to keep up with fraudsters. People want to know their details are going to be safe when they shop, when they use the internet and with the companies that have their details in their computer systems,” Mr Doessel says.

    This comes as a global survey reveals widespread concern over the security of personal information. A survey conducted online by Harris for US-based identity management specialist SailPoint, showed the majority of adults in the United States, Great Britain and Australia are worried about possible exposure of their personal information, and a large percentage of adults have lost confidence in how companies protect their personal information.

    “The widespread impact of data breaches like Epsilon and Sony PlayStation, where millions of consumers were impacted around the world, is making customers more cautious about conducting business with certain financial institutions and retailers,” said Jackie Gilbert, vice president of marketing and co-founder at SailPoint.

    Mr Doessel says personal information is like gold to identity thieves.

    “Basically, a lot of identity fraud is committed by piecing together enough personal information from different sources in order for criminals to take out credit in the victim’s name. Often victims don’t know about it right away – and that’s where their credit file can be compromised,” he says.

    He says once the victim’s credit rating is damaged due to defaults from this ‘stolen’ credit, they are facing some difficult times repairing their credit rating in order to get their life back on track.

    “These victims often can’t even get a mobile phone in their name. It need not be large-scale fraud to be a massive blow to their financial future – defaults for as little as $100 will stop someone from getting a home loan,” he says.

    Once an unpaid account goes to default stage, the account may be listed by the creditor as a default on a person’s credit file. Under current legislation, defaults remain on the credit file for a 5 year period.

    “What is not widely known is how difficult credit repair following can be – even if the individual has been the victim of identity theft, there is no guarantee the defaults can be removed from their credit file. The onus is on them to prove their case and provide copious amounts of documentary evidence” he says.

    Mr Doessel says the best defence an individual can take against identity theft is to get educated on how their personal information can be put at risk.

    “Sites like the Government’s SCAMwatch website, and the Stay smart online website, can give people good practical tips for keeping their information secure,” he says.

    But he also says in the case of data breaches, it comes down to a need to know basis.

    “At best we can minimise the amount of people who hold our personal information. People should always question the need for it to be handed over. If it is not essential, don’t do it.”

    “Unfortunately it seems everywhere we turn some company has been hacked – and it seems every entity with a computer is vulnerable. It is still extremely scary the level of risk our personal information undergoes these days when it is stored online,” he says.

    He says it is important for people to keep up to date with what is on their credit file, to be alerted to any entries which point to a theft of identity.

    Under current legislation a credit file report can be obtained for free every 12 months from the major credit reporting agencies Veda Advantage, Dun and Bradstreet , Tasmanian Collection Service and Experian and is sent to the owner of the credit file within 10 working days.

    For those who are vulnerable to identity theft, they can pay extra with credit reporting agency, Veda Advantage to have their file on an ‘alert’ system, which tracks any changes to their credit file that may occur within a 12 month period.

    Mr Doessel says people who suspect identity theft should report the matter immediately to Police, no matter how insignificant they think the fraud is.

    “This crime is not very widely reported. But it is only through people reporting identity theft that any real statistics get collated on this issue. Likewise, if people want to try and repair their credit rating, the first thing I tell them is to make sure they have a Police report,” he says.

    /ENDS

    Please contact:   Lisa Brewster – Media Relations   Mob: 0450 554 007 media@mycra.com.au
    Graham Doessel  – Director  Ph 07 3124 7133

    www.mycra.com.au www.mycra.com.au/blog

    246 Stafford Rd, STAFFORD Qld

    MyCRA Credit Repairs is Australia’s leader in credit rating repairs. We permanently remove defaults from credit files.

    Link: SailPoint Survey

    Image: renjith krishnan/ FreeDigitalPhotos.net

  • Being credit file savvy can save you money

    Media Release
    19 September 2011

    Concerned Australians focusing on saving and reducing debt in the wake of the GFC, are overlooking how maintaining a clear credit file can be a simple way of making significant household savings, according to a national credit repairer.

    Director of MyCRA Credit Repairs, Graham Doessel says people eager to save are busy reducing debt and going without life’s luxuries, but in the process are overlooking a key way they can save themselves thousands.

    “A clear credit file allows consumers to shop for the best credit at the lowest interest rate. For instance, on a $400,000 home loan, those with a bad credit rating are potentially slugged around $550 extra per month in interest when comparing a non-conforming loan with a loan at a current standard variable rate,” Mr Doessel says.

    He says if people have a bad credit rating, it sticks for 5 to 7 years, and they are most times shut out of credit with the major banks for this period.

    “Unfortunately those people with a bad credit rating will generally be refused credit by mainstream lenders and funnelled into higher interest rate loans and cards which only seem to perpetuate the debt cycle for the very people who would benefit from saving money,” Mr Doessel says.

    Current information from the Australian Bureau of Statistics on household savings show for the first time since 2003, household savings have dramatically increased. The ABS revealed in March 2011 the saving ratio rose to 10.1% in seasonally adjusted terms in the September quarter 2010.

    Mr Doessel says many of his credit repair clients are in a better financial position than they have been in years for loan qualification, but are held back from taking advantage of competitive interest rates and stable house prices by black marks on their credit rating.

    “Many clients have everything in place for obtaining loans, until they apply for credit with a lender and are knocked back due to credit rating defaults they were previously unaware of – and often those defaults should not be there,” he says.

    He says the best way people can prevent this scenario is to get familiar with their credit file and the ways their good name can be compromised. He provides 6 tips for being credit file savvy:

    1. Make repayments on time. Any bills which are more than 60 days in arrears can be listed by the creditor as defaults on a person’s credit file. This includes home loans all the way through to phone and power bills.

    2. Dispute bills correctly. Many people find themselves with a bad credit rating following bill disputs with creditors such as phone and power companies. Many people are unaware that regardless of whether the bill has been disputed by the customer, if it is more than 60 days late the creditor will generally still list the non-payment as a default on the customer’s credit rating – whether the customer believes the amount is accurate or not. To avoid a bad credit rating when disputing bills, people should pay the bill by the due date and attempt to recover the money from the credit provider afterwards.

    3. Ensure the accuracy of your credit file. All credit active individuals are entitled to a free yearly credit file check from all the credit reporting agencies that may hold a file on them. People should take advantage of this, and ensure there are no errors on their credit file. Mistakes can and do occur on credit files. If there are inconsistencies, people do have the right to have them rectified.

    4. Educate yourself on identity theft. Identity theft is the fastest growing crime in Australia, and it can potentially ruin a person’s good credit rating. Typically, the fraudster extracts personal details from the victim and goes about obtaining credit under their name. Often the victim is not aware of the fraud until they attempt to obtain credit and are refused. Fraudsters have taken out credit cards, racked up thousands of dollars of debt, and in some cases have taken out mortgages in their victims’ names.

    The best way to prevent identity theft is to be aware of how it can occur. The Government’s SCAMwatch website www.scamwatch.gov.au is a great place to start getting educated on what to watch out for. For help with preventing online identity theft, the Government’s Stay Smart Online www.staysmartonline.gov.au website also offers ways to combat identity theft through internet use.

    5. Beware excess credit enquiries. Every time a person other than the credit file holder makes an enquiry on the credit file, this entry is noted. Unfortunately the credit file doesn’t show the nature of the enquiry, or whether the credit was approved or declined. Generally excess credit enquiries on the credit file will also hinder people’s chances of obtaining the best loan.

    People can avoid this by not shopping around for credit, or by ensuring that all banks/brokers they deal with do not run a credit check on them until absolutely necessary. Potential borrowers can obtain a copy of their own credit file without incurring a credit enquiry, and this may be a better option to maintain a clear credit rating.

    6. Keep credit limits to the minimum needed. Reducing credit limits not only prevents overspending – it is also beneficial for a person’s credit rating. Credit limits are recorded on all credit that has been taken out by the credit file holder. This amount shows on a person’s credit file, not the amount they have actually used. People should reduce lofty credit limits closer to the actual debt amount.

    Mr Doessel says all credit active individuals will benefit from educating themselves on credit reporting in Australia, and for those that discover inaccuracies on their credit file they will save themselves money by having them removed.

    “People can greatly benefit from clearing their credit file of errors. Sometimes people have neither the time, nor knowledge of legislation that is required to deal with creditors, and in this instance a credit repairer can do the work for them,” he says.

    /ENDS

    Please contact:

    Lisa Brewster – Media Relations   Mob: 0450 554 007 media@mycra.com.au
    Graham Doessel – Director  07 3124 7133

    http://www.mycra.com.au/ www.mycra.com.au/blog

    Credit Repairs is Australia’s leader in credit rating repairs. We permanently remove defaults from credit files.

    Link: Australian Bureau of Statistics Household Saving

    Image: Arvind Balamaran/ FreeDigitalPhotos.net

  • Facebook users should be wary of new Timeline feature

    Security of people’s personal information on Facebook is again under the spotlight since the announcement of Facebook’s new ‘Timeline’ feature which tracks the digital history of its users, charting their online activity.

    And in a shock revelation today Australian technologist, Nik Cubrilovic has revealed this tracking actually continues even after the user has logged out. Cubrilovic says tests he has conducted show that:

    “when users log out of Facebook, rather than deleting its tracking cookies, the site merely modifies them, maintaining account information and other unique tokens that can be used to identify users,” his blog says.

    An article in The Australian last week titled Every click you make, Facebook tracker will be watching you featured Australian Privacy Commissioner Timothy Pilgrim. He issued a warning to consumers on about the introduction of this new feature, and its privacy implications.

    “I would strongly encourage people using social networking sites to make sure they know what information may be made publicly available on that site and to think carefully about the information they are sharing and who might have access to it,” Mr Pilgrim said.

    With the new information that has come to light today, it would seem even more important for Facebook users to exercise caution around this new system.

    The discovery is featured in The Sydney Morning Herald’s story Facebook tracks you even after logging out. The article quotes David Vaile, executive director of UNSW’s Cyberspace Law and Policy Centre. He says Facebook’s changes were a ”breathtaking and audacious grab for whole life data”. In an email interview he accused the social networking site of attempting to ”normalise gross and unsafe overexposure”.

    ”While initially opt-in, the default then seems to be expose everything, and Facebook have form in the past for lowering protection after people get used to a certain level of initial protection – bait and switch,” he said.

    Cubrilovic says he has been sitting on this information for over a year, despite notifying Facebook of his discovery at the time. He says the recent introduction and media coverage of the Timeline feature has prompted him to reveal his findings.

    Although there has been no ‘official’ response to media to date in response to the issue, a couple of engineers who work for Facebook have denied allegations they track cookies.

    “I am a Facebook engineer that works on these systems and I wanted to say that the logged out cookies are used for safety and protection including: identifying spammers and phishers, detecting when somebody unauthorized is trying to access your account, helping you get back into your account if you get hacked, disabling registration for a under-age users who try to re-register with a different birthdate, powering account security features such as 2nd factor login approvals and notification, and identifying shared computers to discourage the use of “keep me logged in.”

    Also please know that also when you’re logged in (or out) we don’t use our cookies to track you on social plugins to target ads or sell your information to third parties. I’ve heard from so many that what we do is to share or sell your data, and that is just not true. We use your logged in cookies to personalize (show you what your friends liked), to help maintain and improve what we do, or for safety and protection,” the engineer writes to Emil Protalinski for ZD Net.

    Identity theft can be devastating for the victim, and many times they face an uphill battle with their credit rating following it. If the crime is sophisticated – the virtual stealing of someone’s good name can go undetected for a significant time. Often it is not until the victim applies for credit somewhere and is refused that they realise their personal information has been stolen and identity fraud has been committed against them. People may have credit applications as a minimum and possibly defaults, mortgages and mobile phones attributed to them incorrectly.

    Once any account remains unpaid past 60 days, the debt may be listed by the creditor as a default on a person’s credit file. Under current Australian legislation, defaults remain listed on the victim’s credit file for a 5 year period.

    What is not widely known is how difficult recovery from identity theft can be. Unfortunately there is no guarantee defaults can be removed from a person’s credit file. The onus is on the identity theft victim to prove to creditors they didn’t initiate the debts in order to succeed with the credit repair. But for the victim who is virtually robbed of their financial freedom, it is a point worth fighting for.

    Signs which may alert people to possible identity theft:

    – Money missing from bank account/s
    – Suspicious entries on credit card statements or bank statements.
    – Statements for strange accounts.
    – Missing mail such as bank statements or Centrelink statements.
    – Credit refused somewhere.
    – Mail about new credit applications.

    For more information on identity theft, or for help with credit repair following identity theft, visit the MyCRA Credit Repairs website.

    Image: jscreationzs/ FreeDigitalPhotos.net

     

  • Insight into the ‘dark market’ of the cyber-crime underworld

    Identity theft is on the lips of many concerned Australians. It is also discussed in length amongst Governments, business and the Police who attempt to not only unravel the workings of cyber-crime, but in turn are (albeit often unsuccessfully) attempting to stay one step ahead of it.

    On Wednesday, British newspaper The Guardian, featured organised crime expert Misha Glenny in an article, titled Cybercrime: is it out of control? Anyone who is even slightly curious about the cyber-underworld should at the very least read this article.

    It features Glenny’s new book, titled ‘DarkMarket: CyberThieves, CyberCops and You’. This book follows Glenny’s international bestseller ‘McMafia’.

    The book’s promo says:

    “DarkMarket explores the three fundamental threats facing us in the 21st century: cyber crime, cyber warfare and cyber industrial espionage. The Governments and the private sector are losing billions of dollars each year, fighting an ever-morphing, often invisible, often super-smart new breed of criminal: the hacker.”

    The workings of the underworld will astound any reader interested in how internet scams are perpetrated, and how we as individuals can fit in as pieces of the cyber-crime puzzle at many levels.

    Glenny gives an example of how criminals can hack into computer systems of companies, and use people power of ‘mules’ on the ground, to steal millions of dollars. Here’s how they did it in Canada:

    “The scam was impressive in its simplicity and effectiveness. The gang bought a number of pre-paid debit cards in different locations and placed $15 on each card. Once they had broken into the computer system of the company that issued them, they found the network area that dealt with the limits placed on each card. They sought out the cards they had purchased and, using the control they had established over the company’s networked system, they electronically raised the spending limit on the cards from $15 to tens of thousands of dollars. Over one weekend, they extracted around $1m (£640,000) using the affected cards in ATM machines around the world,” the article says.

    U.S. company, Fidelity National Information Services, which is one of the biggest providers of technology and card services to the banking industry worldwide recently had US$13million stolen in the same way.

    “Traditional bank robbers must be absolutely gobsmacked when they hear sums like this being hoovered up by cyber criminals week in, week out… The Mr Big who orchestrated the whole operation, I was told, kept 70% of those profits for himself – only 30% went to the hackers and the so-called “cash-out” team – that is, the people who have somewhat laboriously to go from ATM to ATM and extract up to $500 each time (before, of course, transferring 70% back to Mr Big),” Glenny says.

    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 the worlds GDP.

    He says that Britain, the US, Canada, Western Europe, Australia and New Zealand are top targets for cyber criminals from across the world. He says in today’s world any business that is computer-based is vulnerable to attack.

    Glenny describes in great detail the nature of the cyber-crime underworld. He says up until recently criminals could shop at “carder” sites, designed for hackers to deal in credit card or card details – effectively a department store for criminals.

    “The first and the most celebrated among thieves was CarderPlanet. Members would come to this website, run out of Odessa in Ukraine, to buy and sell stolen credit card details, to purchase viruses, trojans and worms with which they could compromise victims’ computers, to take tutorials in how to deploy the latest cyber weapons, or to hire a botnet – a network comprising thousands of zombie computers – to use in an attack against your enemies,” the article says.

    Glenny says these sites set up ‘Escrow’, which is similar to PayPal, using legitimate channels such as Western Union, and allowed criminals to trade with one another – without being ripped off by each other.

    “Carder” sites such as DarkMarket have slipped out of fashion because they were too easily infiltrated by law enforcement agencies such as the FBI and the Serious Organised Crime Agency here in Britain. Instead, the lone wolves have started to form packs with trusted friends and these look more like traditional organised crime groups with a clear hierarchy and division of labour,” Glenny says.

    He gives one example of the new cyber-criminals and the infiltration of malicious software called “scareware”, which played on the fear of virus infection. The company, ‘Innovative Marketing’ made so much money selling fake virus software they established three call centres in England, Germany and France.

    “The structure acts as a mask that obscures the real money-makers: the people who assemble the zombie networks and the Mr Bigs who use their services. The mules are easy to catch but they are very small cogs in a more ruthless machine. The next challenge for law enforcement is not unlike that facing the Untouchables in Al Capone’s Chicago. Capone, of course, was eventually busted for tax evasion. But how can you track down a digital Al Capone when you don’t know who he is or where he is?” he says.

    This illustrates the importance for people to report any instance of identity theft to the Police, no matter how small we may think the matter is. It could be a drop in the ocean to big amounts like the $13m stolen from FIS, but who knows – it could all be drops in the ocean from the same source.

    Cyber-crime with the purpose of idenitty theft can take many forms. It can be perpetrated by stealing the personal information of individuals, generally through obtaining it via virus software known as ‘malware’ or by phishing scams which appear to be genuine companies asking for personal details which can then be used to generate fake identification. Then the fraudster will go about taking out credit in the victim’s name.

    If the theft goes undetected, the fraudster can be racking up thousands of dollars in debt in the person’s name. This is when identity fraud affects the victim’s credit file. When this happens, it is not only the victim’s bank accounts that can be affected, but more importantly their ability to obtain credit in the future.

    In Australia, if a credit file holder fails to make repayments on credit past 60 days, then a default can be placed on their credit file by the creditor. This default shows on the credit rating for 5 years, and can severely hinder their chances of getting credit once it is placed. For the identity theft victim, this can leave them severely disadvantaged for 5 years, and unable to take out legitimate credit. The only way they may be able to restore their good name is through lots of hard work proving to creditors they did not initiate the credit.

    For information on preventing identity theft, and help with repairing a credit rating following fraud, contact MyCRA Credit Repairs, or call tollfree 1300 667 218.

    Image: Salvatore Vuono / FreeDigitalPhotos.net

  • Is Facebook’s face recognition putting your privacy at risk?

    German officials have been quick to protect citizens against possible invasions of privacy and identity theft . Last week they met with Facebook to demand policy change to its biometric function.

    Facebook agreed to a voluntary code of conduct to protect its users’ data. The issue was over Facebook’s facial recognition function, which it has been using since December last year. The function catalogues the faces of users, making ‘tag’ suggestions automatically.

    Technology commentators CIO published the story ‘Facebook bows to stricter German culture’:

    “A few weeks ago, the State of Schleswig-Holstein had ordered all state sites to remove Facebook’s “like” button, and threatened to impose hefty fines on those that didn’t. It said Facebook builds profiles of users and non-users alike with the “like” button’s data, which violates German law.
    And in early August the head of the German data protection authority asked Facebook to disable its facial recognition feature and argued that facial recognition amounts to unauthorized data collection on individuals.

    “It’s obvious that this makes people very nervous when it comes to privacy,” said Carsten Casper, a Gartner privacy analyst, reports the BBC.

    The code of conduct agreement was announced after Richard Allan, Facebook’s director of European public policy, met last week with Germany’s Interior Minister Hans-Peter Friedrich in Berlin and a state parliamentary committee in Kiel, according to ZDNet.

    “With Facebook’s willingness to sign up for this self-regulation … the debate over the extent to which German data protection law applies to Facebook has been considerably defused,” the Interior Ministry said, according to German news website The Local.

    What is interesting, is that no other countries have found this function to be a threat to privacy. Or the framework of privacy laws in other countries may not exist to prevent its use.

    Back in June there were concerns over the potential privacy dangers of the introduction of face recognition technology to Facebook. This comes from an article from The Wall Street Journal for The Australian:

    The technology also raises concerns that Facebook has built a potentially sensitive database of its more than 600 million users based on their facial characteristics, even as other tech titans such as Google say they’ve stopped short of adding facial recognition to some of their services.

    “Facebook users thought they were simply tagging their friends. Turns out Facebook was building an image profile database to automate online identification,” said Marc Rotenberg, executive director of the Electronic Privacy Information Centre, a privacy group based in Washington.

    In a statement, Facebook said it “should have been more clear with people during the roll-out process when this became available to them.”

    Personal information is a valuable commodity these days. The Australian Crime Commission cites identity theft as the fastest growing crime in Australia and much of it is about profile building and data gathering in order to commit identity fraud against unknowing victims, often in other countries.

    And it is ordinary people that are most at risk of identity theft and a subsequent bad credit rating. Commentator Stilgherrian recently shared these insights into identity theft:

    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.

    Is facial recognition just the missing piece of the puzzle scammers need to completely annihilate their victims’ lives?

    How to avoid identity theft

    Public education can go a long way to lessening the instances of identity theft. The Government’s Stay Smart Online website recommends Australians follow these 8 top tips for increasing their resistance to identity fraud, and avoiding the loss to their bank balance and potentially their good credit rating:

    1. Install and renew your security software and set it to scan regularly.
    2. Turn on automatic updates on all your software, including
    your operating system and other applications.
    3. Think carefully before you click on links or attachments, particularly in emails and on social networking sites.
    4. Regularly adjust your privacy settings on social networking sites.
    5. Report or talk to someone about anything online that makes you feel uncomfortable or threatened – download the government’s Cybersafety Help Button.
    6. Stop and think before you post any photos or financial or personal information about yourself, your friends or family.
    7. Use strong passwords and change them at least twice a year.
    8. Talk within your family about good online safety.

    Where to go for help following identity theft

    Sometimes unravelling the tangled ‘web’ of online identity fraud for the purposes of negotiating with creditors to restore someone’s good credit rating is a minefield that many individuals have neither the time nor the skill set for.

    Credit repairers are more commonly involved in assisting people in cases of identity fraud due to a better knowledge of legislation and ability to work within it when negotiating with creditors over the victim’s financial future and to clear their credit file.

    For more information on identity theft and help with clearing your credit file, contact MyCRA Credit Repairs or call tollfree 1300 667 218.

    Image: Salvatore Vuono/ FreeDigitalPhotos.net

  • Global cybercrime study reveals cost at $114 billion a year

    A worldwide study has calculated the cost of global cybercrime at $114 billion annually.

    The Norton Cybercrime Report 2011 surveyed the experiences of 20,000 people in 24 countries including 802 in Australia.

    The results reveal 69 per cent of online adults have been a victim of cybercrime in their lifetime. This means there are more than one million cybercrime victims every day. Norton has calculated this would make 431 million adult victims worldwide in the past year, at an estimated annual cost of $388 billion based on financial losses and lost time. This would mean that cybercrime supersedes the costs of the black market in marijuana, cocaine and heroin combined ($288 billion).

    For the first time, Norton also reveals the extent of which mobile digital devices make up this number. It says 10 percent of adults online have experienced cybercrime on their mobile phone.

    The study identifies men between 18 and 31 years old who access the Internet from their mobile phone as even more likely victims: in this group four in five (80 percent) have fallen prey to cybercrime in their lifetime.

    Globally, the most common – and most preventable – type of cybercrime is computer viruses and malware with 54 percent of respondents saying they have experienced it in their lifetime. Viruses are followed by online scams (11 percent) and phishing messages (10 percent).

    “There is a serious disconnect in how people view the threat of cybercrime,” said Adam Palmer, Norton Lead Cybersecurity Advisor. “Cybercrime is much more prevalent than people realize. Over the past 12 months, three times as many adults surveyed have suffered from online crime versus offline crime, yet less than a third of respondents think they are more likely to become a victim of cybercrime than physical world crime in the next year. And while 89 percent of respondents agree that more needs to be done to bring cybercriminals to justice, fighting cybercrime is a shared responsibility. It requires us all to be more alert and to invest in our online smarts and safety.”

    The disconnect between awareness and action is further illustrated by the fact that while 74 percent of respondents say they are always aware of cybercrime, many are not taking the necessary precautions. Forty-one percent of adults indicated they don’t have an up to date security software suite to protect their personal information online. In addition, less than half review credit card statements regularly for fraud (47 percent), and 61 percent don’t use complex passwords or change them regularly. Among those who access the Internet via their mobile phone, only 16 percent install the most up to date mobile security.

    Cyber-generated identity theft

    With online identity theft, often people aren’t aware it has occurred to them, until they apply for credit and are refused. At this stage it can be revealed that a long list of defaults have been put there by someone who has used the victim’s good name to obtain credit.

    Credit file defaults are debilitating – leaving people unable to obtain home loans, personal loans, even mobile phone plans during the term of the listing which is generally 5 years.

    Unfortunately, credit file damage due to identity theft can be very difficult to rectify. To clear their good name, the identity theft victim needs to prove to creditors they did not initiate the credit – which can be difficult. Not only are victims generally required to produce police reports, but large amounts of documentary evidence to substantiate to creditors the case of identity theft.

    How to avoid identity theft

    Public education can go a long way to lessening the instances of identity theft. The Government’s Stay Smart Online website recommends Australians follow these 8 top tips for increasing their resistance to identity fraud, and avoiding the loss to their bank balance
    and potentially their good name. These would apply to all types of internet use, including mobile digital devices:

    1. Install and renew your security software and set it to scan regularly.

    2. Turn on automatic updates on all your software, including your operating system and other applications.

    3. Think carefully before you click on links or attachments, particularly in emails and on social networking sites.

    4. Regularly adjust your privacy settings on social networking sites.

    5. Report or talk to someone about anything online that makes you feel uncomfortable or threatened – download the government’s Cybersafety Help Button.

    6. Stop and think before you post any photos or financial or personal information about yourself, your friends or family.

    7. Use strong passwords and change them at least twice a year.

    8. Talk within your family about good online safety.

    Where to go for help following identity theft

    Sometimes unravelling the tangled ‘web’ of online identity fraud for the purposes of negotiating with creditors to restore someone’s good name is a minefield that many individuals have neither the time nor the skill set for.

    Credit repairers are more commonly involved in assisting people in cases of identity fraud due to a better knowledge of legislation and ability to work within it when negotiating with creditors over the victim’s financial future.

    If you need help with credit repair following identity theft, contact MyCRA Credit Repairs or call tollfree 1300 667 218.

    Image: twobee/ FreeDigitalPhotos.net

  • Survey reveals Perth most at risk of identity theft

    A survey on identity theft risks released by internet security software company AVG today reveals the Australian cities most at risk of online identity fraud and data loss.

    The survey of online and mobile consumer behaviour was conducted over 2 weeks in August, and involved 1250 consumers across 5 states of Australia who own an Internet-connected device and have Internet-access at home.

    Results showed Perth respondents were most at risk for stolen identities, digital fraud and data loss, followed by Brisbane, then Sydney and Melbourne in equal third and Adelaide ranking fifth as the most security savvy city.

    Here are AVG’s findings :

    Overall Results

    Across the board, the survey showed many Australians are putting themselves at risk of identity theft, viruses and malware with poor PC security habits and a lack of comprehensive protection. Of those surveyed in the five cities:

    •         22 per cent have been the victim of a phishing scam

    •         25 per cent have shared online passwords with at least one other person

    •         12 per cent do not run an anti-virus scan at least monthly

    •         73 per cent do not use an identity monitoring service or other form of identity protection service.

    Recently we blogged about mobile security and the need for people to secure their smartphone to prevent identity theft. Interestingly, AVG’s survey revealed how little users considered the value of security on their mobile devices.

    While most of those questioned (77 per cent) use three or more passwords online, less than one in five (18 per cent) had changed the password on their mobile device in the past year.

    “Consumers are getting better at recognising and addressing online threats, but it’s vital to ensure all your bases are covered. Taking some security measures and overlooking others — such as backing up your PC and not your smartphone — is like locking your door and leaving the windows open. Comprehensive online protection means covering all Internet-enabled devices – smartphone, tablet and PC,” said Lloyd Borrett, Security Evangelist at AVG (AU/NZ).

    In terms of credit repair –the statistics are interesting. MyCRA certainly has seen a few clients from Perth who have claimed to be victims of identity fraud.

    Often it is not understood how easy it is for criminals to steal peoples’ personal information or bank details online, and then use that information to take out credit in the victim’s name. It is also not realised how widespread the problem is becoming.

    A recent survey of online fraud reveals one in 10 people have lost money to online fraud in the past year. That figure has doubled in four years.

    There can be great difficulty for people in recovering their clear credit file following identity theft. Particularly with some of the more sophisticated forms of identity theft, often the victim is not aware their credit file has been used right away. Often people don’t know they are victims until they apply for credit and are flatly refused. Some have even had properties mortgaged in their name.

    Credit rating defaults remain on credit files in Australia for 5 years. The consequence of people having a black mark on their credit rating is generally an inability to obtain credit. Most of the major banks refuse credit to people who have defaults, or even too many credit enquiries.

    By law in Australia, if a listing contains inconsistencies the credit file holder has the right to negotiate their amendment or removal.

    But to clear their good name, the identity theft victim needs to prove to creditors they did not initiate the credit – which can be difficult. Not only are victims generally required to produce police reports, but large amounts of documentary evidence to substantiate to creditors the case of identity theft.

    In terms of preventing this crime, there is a host of information for internet users, but many people don’t learn about identity theft until they or someone they know becomes a victim.

    The Government has two websites with a host of information about safe computer use for internet users. Its Stay Smart Online website gives people information on how they can secure their computer, as well as safety tips for the whole family.

    The SCAMwatch website www.scamwatch.gov.au specifically warns internet users about scams in the community. Visitors can log on to an alert system for any new scams which are found to threaten the safety of people and their personal information.

    The Stay Smart Online website recommends Australians follow these 8 top tips for increasing their resistance to identity fraud, and avoiding the loss to their bank balance and potentially their good name:

    1. Install and renew your security software and set it to scan regularly.
    2. Turn on automatic updates on all your software, including your operating system and other applications.
    3. Think carefully before you click on links or attachments, particularly in emails and on social networking sites.
    4. Regularly adjust your privacy settings on social networking sites.
    5. Report or talk to someone about anything online that makes you feel uncomfortable or threatened – download the government’s Cybersafety Help Button.
    6. Stop and think before you post any photos or financial or personal information about yourself, your friends or family.
    7. Use strong passwords and change them at least twice a year.
    8. Talk within your family about good online safety.

    For more information on credit rating repair following identity theft, people can visit the MyCRA Credit Repairs website www.mycra.com.au.

    Image: jscreationzs / FreeDigitalPhotos.net

    Image: Stuart Miles / FreeDigitalPhotos.net

  • Fraudsters target overseas-based property owners

    Identity theft appears to be the new black in criminal circles. Perhaps there has never been a better time to commit identity theft. Opportunity is high, awareness is still fairly low, and prevention of this crime unfortunately seems to be reactionary-based as fraudsters think up bigger and better ways of gaining access to people’s good names.

    Recently the West Australian Government announced details of a property scam which has presented itself in Western Australia.

    Police are investigating a scam in which properties are sold by fraudsters without the knowledge of the overseas-based owners. Last year, Wembley Downs retiree Roger Mildenhall had his Karrinyup investment property sold without knowing anything about it. But more recently, it is alleged that Nigerian-based scammers sold a Ballajura property without the owners’ knowledge.

    “A couple returning from overseas have advised authorities that their property has been sold without their knowledge or consent and a joint investigation has been launched.

    The previous owners were living and working overseas at the time and didn’t discover the property had been sold until they recently returned to Perth to inspect the property.

    The real estate agent involved has told investigators that he received a phone call from a man claiming to be the owner in February this year inquiring about the property. Shortly after, the agent received an urgent request to sell the property as funds were needed for a business investment, later revealed to be a supposed petro-chemical project,” Landgate announced in a statement earlier this month.

    The West Australian Newspaper last week reported the WA Government has upgraded its security measures for overseas-based property owners.

    “WA property owners living abroad who are concerned about identity theft can now lodge a caveat over their property to reduce the risk of being targeted by scammers, under a raft of anti-fraud measures introduced by Landgate.

    Lands Minister Brendon Grylls said yesterday Landgate would expand its TitleWatch service so homeowners can receive email alerts notifying them of any activity on the title deeds of their nominated property. Overseas-based property owners can pay $160 to lodge a new caveat on their property to prevent registration of a change of ownership, mortgage or lease.

    They could remove the caveat only by attending Landgate’s Midland office in person and completing a 100-point identity check, Mr Grylls said…
    Under the range of increased security measures, all transfers of land executed overseas will now require a 100-point identity check, signatures to be witnessed by an Australian Consular officer and the sales will need to be independently checked by at least two senior Landgate officers.

    “It is important that we continue to move to ensure that a person’s No. 1 asset is protected,” Mr Grylls said.

    Property owners and Real Estate agents in every state need to be aware that overseas-based property scams are occurring, and to arm themselves with preventative measures to protect against identity fraud.

    The other property scam to watch out for is the fake rental property scam. The ACCC’s SCAMwatch website warns individuals about responding to property advertisements, as there have been reported incidents of scams in the community.

    “SCAMwatch is warning prospective tenants to be wary when responding to rental properties advertised on the net where the ‘owner’ makes various excuses as to why you can’t inspect the property but insists on an upfront payment for rent or deposit.

    Scammers will often use various shared accommodation sites to post these fake listings. They will go to great lengths to ensure that the offer looks genuine by including photos and real addresses of properties. However, photos and details of properties can be easily obtained on the internet.

    Once hooked, the scammer will request money, often via money transfer, or personal details upfront to ‘secure’ the rental property. SCAMwatch warns consumers not to send money or provide personal details to people you don’t know and trust.”

    Long term affect for victims

    Fraudsters now see personal information as a valuable commodity. Many are able to use that information to take out credit in the victim’s name. Often the victim is not alerted to the misuse of their credit file for some time, often not until they attempt to obtain credit themselves. By then, victims may have credit applications as a minimum and possibly defaults, mortgages and mobile phones attributed to them incorrectly.

    Once any account remains unpaid past 60 days, the debt may be listed by the creditor as a default on a person’s credit file. Under current Australian legislation, defaults remain listed on the victim’s credit file for a 5 year period.

    If a victim has defaults on their credit file following identity theft – the defaults still remain there for 5 years. The onus is then on the identity theft victim to prove to creditors they didn’t initiate the debts in their name. If they are unable to prove this, they are virtually blacklisted from obtaining further credit themselves for 5 years.

    It is important for everyone to think twice about who they allow to have access to their personal information, and to verify all transactions are legitimate before handing over their details or any money. SCAMwatch has these suggestions:

    How to protect yourself

    * Insist on inspecting the property- a drive-by is not enough. With these types of scams, the property may genuinely exist, but it is owned by someone else.
    * If it is overseas, ask someone you can trust to make inquiries. If there is a real estate agent or similar in the area they may be able to assist.
    * Do not rely on any information provided to you from anyone recommended by the person advertising the property.
    * An internet search on the name of the person offering the property and their email address may provide useful information.
    * Where possible, avoid paying via money transfer. It is rare to recover money sent this way.
    * There are many share accommodation websites, consider choosing the ones with clear warnings about scams or which offer added protection.
    If you are satisfied that the offer is legitimate and decide to accept it, keep copies of all correspondence, banking details and the listing itself.

    For more information on identity theft prevention, or help with credit repair following identity theft, contact MyCRA Credit Repairs.

    Image: vichie81 / FreeDigitalPhotos.net

     

     

  • Is your smartphone use increasing your risk of identity theft?

    A recent survey found that over half of all mobile phone users own a smartphone.  The survey conducted by TNS Mobile Life found 52% of mobile users own a smartphone device, which is an increase of 24 per cent from 2010.

    But unfortunately fraudsters are also aware of this. People should be wary about the possible risks to the security of their personal information when they are using their smartphone.

    The fact that people are using these devices to log in to social networking, use email, download applications and access bank accounts means they also need to be careful they are not opening the door to identity theft. This could leave them hugely out of pocket, and potentially ruin their credit rating.

    Security firm Earthwave Managed Services guest blogged on CSO this week, and warned readers about emerging identity theft risks with smartphones.

    “The smartphones of today don’t just make calls and take pictures. They serve as handheld PC’s and can potentially provide a thief with enough information about your online presence so that further theft of finances and identity can occur,” the firm says.

    Earthwave says the same types of malicious malware and viruses that are present on home computers are being directed to smart phones, but there is a gap in adequate security in this area. Here’s how they say people’s personal information can be compromised:

    “The malware could be injected using a PDF document, an image on a website, an e-mail or even embedded in webpage code. While the PC and notebook fall victim to the same attacks, the smartphone is even more vulnerable due to sluggish software development and user naivety…

    “The hype surrounding the app-race gives attackers another means of entry – App Stores. Cyber criminals can code apps which include malware with the aim of gaining anonymous and complete access to the data residing on the phone,” the firm says.

    Earthwave says people should adhere to the same security practices as those applied to their notebook to prevent smartphone identity theft. They suggest four security measures to take:

    1. Install firmware updates that resolve security issues.
    2. Always use strong passwords and stay vigilant with your email and web browsing.
    3. Always be extremely careful what information you provide on social networking sites
    4. Configure websites containing personal or financial information to be encrypted for the entire session, if the site provides this functionality.

    Identity theft can be devastating for the victim, and many times they face an uphill battle with their credit rating following it. If the crime is sophisticated – as could be the case with malware-generated identity theft, the virtual stealing of someone’s good name can go undetected for a significant time.

    Often it is not until the victim applies for credit somewhere and is refused that they realise their personal information has been stolen and identity fraud has been committed against them. People may have credit applications as a minimum and possibly defaults, mortgages and mobile phones attributed to them incorrectly.

    Once any account remains unpaid past 60 days, the debt may be listed by the creditor as a default on a person’s credit file. Under current Australian legislation, defaults remain listed on the victim’s credit file for a 5 year period.

    What is not widely known is how difficult recovery from identity theft can be. Unfortunately there is no guarantee defaults can be removed from a person’s credit file. The onus is on the identity theft victim to prove to creditors they didn’t initiate the debts. But for the victim who is virtually robbed of their financial freedom, it is a point worth fighting for.

    For more information on identity theft, or for help with credit repair following identity theft, visit the MyCRA Credit Repairs website.

    Image: Salvator Vuono / FreeDigitalPhotos.net

  • Australian PlayStation users given free identity theft protection for a year

    Finally Sony has recognised the possible threat that was made to the personal information of its 1.5 million Australian PlayStation users. After one of the world’s biggest data breaches occurred on the PlayStation Network in April, Sony has come to the party with an offer of free identity protection for the year.

    The Sydney Morning Herald reports about this in its story ‘Sony offers free ID theft protection to Aussies.’

    The package includes “CyberAgent Internet Surveillance”, whereby CS Identity’s technology scours the internet for unauthorised use of your identity. The firm conducts 24/7 monitoring of criminal web pages, chat rooms, bulletin boards and file sharing sites to identify trading or selling of customers’ personal information.

    Identity restoration is also included, which involves the firm helping customers restore their identity after becoming the victim of identity theft.
    The data stolen during the breach includes names, gender, addresses, email addresses, birthdays and login passwords for Sony’s PlayStation Network and its Qriocity music streaming service.

    All up 1,560,791 Australian accounts were affected – 280,000 of which had credit card details. This is a fraction of the 77 million total accounts exposed worldwide.

    Security experts have warned that even without credit card details, hackers could use the other stolen details to construct highly targeted and believable attacks designed to steal more personal information and/or infect computers.

    The SMH says the Australian Privacy Commissioner, Timothy Pilgrim, has been investigating the breach, and they say it is still ongoing. In May we blogged about Australia’s Privacy Laws, as they relate to data breaches.

    The Government is set to introduce tougher Privacy Laws following this data breach. One of which will be mandatory notification laws, helping to protect Australians from identity theft following any future data breaches, and another which will allow victims of identity theft following a data breach to be able to obtain some kind of compensation for any loss they may receive.

    The Sydney Morning Herald recently reported one in 10 Australians who use the internet have lost money to online identity fraud over the past year, according to VeriSign Authentification Services. We recently blogged that these fraud figures have doubled since 2007. The cost of this is estimated to be $1.286 billion during the past year.

    But the real cost of identity theft comes when a person’s credit file is impaired. When identity theft affects people’s credit files there is no reimbursement for losing the money they could borrow. But victims often lose their dream home, can’t borrow for their business and can’t get the new car they wanted.

    Often victims don’t know about the fraud until they apply for credit and are refused because they have a bad credit rating.

    Image: Arvin Balaraman / FreeDigitalPhotos.net

  • Parents’ lack of cyber-knowledge can lead to identity theft

    Media Release

    22 August 2011

    Parents who hand over control of the home computer to their children due to a lack of their own technical knowledge are putting their personal information and their good name at risk, a national credit rating repairer warns.

    Director of MyCRA Credit Repairs, Graham Doessel says experience is showing us the ‘set and forget’ mentality of installing anti-virus software, and leaving the rest to our children is simply not effective in combating the current level of cyber-crime which is resulting in identity theft.

    “Every day there’s more and more reported cases of online identity theft. Criminals can gain access to personal information in a host of ways, in order to commit identity fraud in the victim’s name. To expect our children to be able to effectively protect us and themselves against this crime is asking too much of them,” Mr Doessel says.

    This comes as a recent Cyber-Survey commissioned by Telstra reveals more than one in three parents of children aged 10-17 admit their offspring’s tech skills exceed their own.

    Darren Kane, Telstra’s Internet Trust and Safety Officer says Telstra’s inaugural Cyber-Safety Indicator shows more than 87 per cent of young people use the internet at least once a day, with almost half spending at least three hours a week on social networking sites.

    “The research shows that a gap in technology skills is leading parents to believe that they are less capable of understanding how their kids might be exposing themselves to online risks such as cyber-bullying and identity theft,” Mr Kane says.

    Mr Doessel says there is a real danger for children in downloading viruses, participating in scams, releasing credit card details and disclosing personal information and passwords to criminals. But he says this can all be minimised by parents taking an active role in their child’s internet use, and constantly updating their own cyber-awareness.

    “Identity theft is the fastest growing crime in Australia and parents need a major update on their own knowledge of cyber-safety if they expect to be able to stay one step ahead of both their children and cyber-criminals,” he says.

    The survey also showed mixed views on social networking: 36 per cent of parents trust their child’s use of social networking sites, while a quarter admit to worrying about them posting personal information online and 15 per cent worry about who their children talk to and what they talk about.

    Mr Doessel says fraudsters are often extremely good at extracting personal information from people, and sites like Facebook are the perfect avenue for doing this.

    “The amount of personal information that many young people have freely available for viewing on Facebook is frightening. 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?”

    “Fraudsters are also looking for credit card details, passwords and bank details to commit identity theft. The security of these details can all be compromised with the constant onslaught of viruses attacking the computers of most Australians these days,” he says.

    Mr Doessel says a major downfall to being an identity theft victim is not only the initial loss of monies, but if the fraud sees accounts in the victim’s name going undetected and unpaid past 60 days, a person’s credit rating 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. Unpaid accounts for as little as $100 can have the same negative impact on someone’s ability to obtain credit as a missed mortgage payment. So any misuse of someone’s credit file can be extremely significant,” he says.

    For parents who want to educate themselves on cyber-crime, Mr Doessel recommends good places to start are the Government’s Stay Smart Online(www.staysmartonline.gov.au), and Cyber Smart websites (www.cybersmart.gov.au).

    The Government recommends the close monitoring of all children’s internet use. Some of the other recommendations it makes include:

    • Be aware of and involved in children’s internet use. Bookmark a list of ‘favourites’ for them. Encourage children to share new websites and explore together. Assist them whenever they need to disclose personal information.
    • Talk to children about personal information and why it is special.
    • Consider creating a family ‘fun’ email account separate from all other accounts for the child’s use. This way it can be deleted if misused.
    • Consider using filters, labels and safe zones to manage children’s online access.
    • Install and update anti-virus and other e-security software to restrict unauthorised access to data on the home computer and protect that data from corruption. Turn firewall on, set computer to automatic scan and update regularly.

    If people suspect identity theft has affected their credit file, they can contact MyCRA Credit Repairs www.mycra.com.au.

    /ENDS

    Please contact:

    Lisa Brewster – Media Relations   Mob: 0450 554 007  media@mycra.com.au

    Graham Doessel – Director  07 3124 7133

    http://www.mycra.com.au MyCRA Credit Repairs is Australia’s leader in credit rating repairs. We permanently remove defaults from credit files.

    Links:

    http://www.telstra.com.au/abouttelstra/media-centre/announcements/parents-say-tech-skills-are-a-barrier-to-keeping-kids-cyber-safe.xml
    http://www.cybersmart.gov.au/Parents/Cybersafety%20issues/Protecting%20personal%20information/Identity%20theft.aspx

    Image: Michal Marcol / FreeDigitalPhotos.net

  • Government warning about Facebook scams

    It was only going to be a matter of time before identity thieves would target their victims through scams on social networking site Facebook.

    South Australian Minister for Consumer Affairs, Gail Gago has issued a warning statement for people about new methods of scams which she says are very advanced.

    “Social media has played a role in enabling scammers to disguise themselves as legitimate companies or individuals to persuade victims to hand over money or personal details…With more consumers purchasing goods online, there now is a greater risk that a consumer could become a victim of identity theft. Scammers use this as an opportunity to offer non-existent goods ranging from puppy dogs to motor vehicles to con unsuspecting customers,” she says.

    The Federal Government’s Stay Smart Online explains how scams are perpetrated on Facebook. They say when data is shared between people who know each other, there is a higher level of trust and fraudsters are taking advantage of this. They try and get victims to click on links or give over information. Ultimately the purpose is to generate revenue for the fraudsters; they may use a number of techniques including using malicious software to take control over your computer, and/or steal people’s information.

    Not widely known, is just how far fraudsters may be able to go with the information they receive from their unsuspecting victims. Bank account or credit card details, when received in conjunction with the other information displayed on social networking sites like Facebook can end up being a recipe for disaster for people’s credit ratings.

    Fraudsters may be able to use those details to take out credit in the victim’s name. Identity fraud can often go undetected, until the victim applies for credit and is refused due to defaults they had no idea about.

    Credit rating defaults stick for 5 years, and for anyone who has lived with a black mark on their credit file, they are virtually banned from most credit for 5 years. This includes major credit through to mobile phone plans.

    Just because someone claims to be a victim of identity theft, it doesn’t automatically guarantee they will have their good name restored. Lengthy negotiation with creditors often ensues, with the victim requiring copious amounts of evidence and usually police reports to prove the case of identity theft.

    So it is important to heed the almost daily warnings of scams we hear about, in order to stay one step ahead of what can be a very damaging crime.

    The Premier’s office cites these top five scams reported in South Australia for the last financial year:

    • Computer (PC) virus checks: An individual phones, claiming they are a certified computer engineer and convinces the consumer their computer has a virus. The consumer allows the scammer access to their hard-drive leaving personal details exposed.

    • “Nigerian” and similar scams: Consumers are promised huge rewards if they help someone to transfer money out of their country by paying fees or releasing their bank account details.

    • Overseas lotteries: Consumers receive a letter from an overseas lottery or sweepstakes company claiming the consumer has won money or prizes, and then asks the consumer to pay a fee to release the winnings, or to provide personal details.

    • False billing (blowing): Targets small businesses who receive a bogus bill for a listing or advertisement of their business in a publication they never appeared in.

    • Employment scams: Consumers are offered employment in non-existent markets. Scammers claim CVs will be considered upon payment of a fee to process the application, with the consumer usually not receiving a response and being left out of pocket.

    Consumers are urged to report any suspected scam to the ACCC via the SCAMwatch website www.scamwatch.gov.au or call the information line on 1300 302 502.

    We recommend all internet users subscribe to the government’s Stay Smart Online alerts for advice on new scams and viruses which may affect their computer and threaten their good name.

    If people have already been a victim of a scam, and they want help with credit repair, contact MyCRA Credit Repairs. We permanently remove defaults from credit files.

    Image: Master isolated / FreeDigitalPhotos.net

  • Tax file number fraud almost doubled since last year

    MEDIA RELEASE

    8 August 2011

    Tax payers should be on the lookout for a scam designed to extract tax file numbers for the purpose of identity fraud, which could leave their bank accounts empty and their credit files ineffective for up to five years, a national credit repairer warns.

    Director of MyCRA Credit Repairs, Graham Doessel says if people fall victim to this particular type of identity theft, they are at a high risk of having their credit file misused.

    “A person’s tax file number is like the key to their credit file. If fraudsters are able to obtain this number, they have a crucial piece of information for building a duplicate identity in the victim’s name,” Mr Doessel says.

    Mr Doessel says social networking sites like Facebook have made it easier for fraudsters to obtain the extra personal information a criminal could need for identity fraud.

    “People post a whole host of information about themselves on sites like Facebook, MySpace and Twitter, but people need to think – what would a criminal do with this information? If fraudsters already have a person’s tax file number, a simple check on Facebook for a date of birth can give them the tools they need to request replacement copies of personal documents, and use those documents to take out credit – even mortgage homes in the victim’s name,” he says.

    This comes as The Telegraph reported yesterday that the practice of stealing tax file numbers has almost doubled in the past year, from 12,669 to 31,200 from the previous year.

    The number of complaints made to the Commonwealth Ombudsman about the Australia Tax Office also increased almost 40 per cent, largely because of the stolen TFNs.

    It reported that techniques to steal someone’s TFN include bogus approaches by phone calls, emails, letters, websites and text messages. People who share the same name and birthday are also in the “at risk” category.

    The Government issued an alert on its Stay Smart Online  website following the 2010 financial year about bogus emails from the ATO specific to e-tax.

    “New fraudulent emails are circulating which pretend to be from the Australian Tax Office. Using social engineering tricks the criminals behind these emails try to trick you into providing personal information as a pretext to receiving a tax refund. This personal information can be used by the criminals to steal your identity,” the alert says.

    The Telegraph reported an ATO spokeswoman as saying stolen TFNs and identity theft was a big problem – the effects could last for years and were a nightmare to clean up.

    “When an identity is stolen it can take a long time to put everything right,” she said. “A person can face financial problems if someone commits fraud or other crimes using your identity.

    Other impacts may be experienced in getting a job, a bank loan or other credit, renting a house or a car, or applying for government services or benefits.”She said the ATO had established a “client identity support centre” to assist people whose identities were stolen.

    Mr Doessel says identity fraud can often go undetected until the victim applies for credit and is refused.

    “The fraudster could abuse someone’s good name all over town and it is not until the victim applies for credit and is refused, that they learn about the identity theft and subsequent fraud,” Mr Doessel says.

    Any kind of credit account (from mortgages and credit cards through to mobile phone accounts) which remains unpaid past 60 days can be listed as a default by creditors on the victim’s credit rating, and those defaults remain there for 5 years.

    Mr Doessel says the consequence of people having a black mark on their credit rating is generally an inability to obtain credit.

    “Most of the major banks refuse credit to people who have defaults, or even too many credit enquiries, so it is really essential to keep a clean credit record,” he says.

    By law in Australia, if a listing contains inconsistencies the credit file holder has the right to negotiate their amendment or removal.

    “To clear their good name, the identity theft victim needs to prove to creditors they did not initiate the credit – which can be difficult. Not only are victims generally required to produce police reports, but large amounts of documentary evidence to substantiate to creditors the case of identity theft,” Mr Doessel says.

    Contact www.mycra.com.au for more details on credit repair following identity theft.

    /ENDS

    Please contact:
    Lisa Brewster – Media Relations   Mob: 0450554 007 media@mycra.com.au

    MyCRA Credit Repairs is Australia’s leader in credit rating repairs. We permanently remove defaults from credit files.

    Links

    http://www.dailytelegraph.com.au/news/sydney-nsw/big-new-crime-is-to-steal-you/story-fn7y9brv-1226109959920

    http://www.ssoalertservice.net.au/view/8cba427852e2faa582ca0ed3391cfcd3

    Image: nuttakit/ FreeDigitalPhotos.net