Recognizing Scam Emails

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It’s becoming pretty common to get emails from a bank, the IRS, a credit card company, or other important institution about someone hacking your account, fraud complaints and other seemingly serious and financially threatening topics. Unfortunately, it’s equally as common that these emails are scam emails attempting to either distribute a virus onto your computer or get you to follow a link from the email to a site that records your entered username and password to use for fraudulent purposes.

By now you probably know not to ever follow these links, but instead to use your own bookmarks when going to a financial institution’s website to check the validity of an email such as those described above. But you can also save yourself some time and stress by simply learning how to recognize a scam email when you get one.

Look for typos: It’s not impossible but it’s very rare that a large financial institution sends an email with flagrant typos. When you see obvious typos, or unprofessionally worded emails, you can usually bet it’s a scam.

TMI: If the IRS really had an official complaint that you were committing fraud, do you think they’d email you about it? Many of the scam emails give inappropriate details within them and seem to cover topics that one would think a financial institution would call or send a physical letter to discuss.

Email address: Does your bank’s manager generally send out client emails from his or her Hotmail account? Probably not. Scam emailers often send emails from a free Yahoo. Google or other account, which is a dead giveaway.

Carbon copies: Scam emailers sometimes send the same email to multiple people. If you see many names in the CC section of the email, it’s likely a scam.

If you get a suspicious email from a company you do business with, make sure to notify them and, if asked, send them a copy of the email.

New article from Jason Alderman: Credit card stolen? Here’s what you do

By Visa Inc.’s Jason Alderman

Despite high-profile media attention, the odds of having your credit or debit card number stolen by crooks remains at historically low levels. That said, it’s always good to know what to do in case lightening does strike and someone fraudulently uses your card. Left unchecked, they might try to run up bills, drain your checking account or worse – steal your identity.

Here are actions to take if this happens to you:

First, contact the bank or credit union that issued your card. You’ll find a toll-free number on the back of your card, on your billing statement or at the company’s website. Close the compromised account and open a new one with a different account number. Change related passwords or PIN numbers and notify companies that have automatic payments tied to the closed account to make sure you don’t miss a payment. Also log all calls, letters and emails you have with your card issuer about the fraud – this will be helpful if you need to file a claim or police report.

Contact one of the three major credit bureaus, Equifax (888-766-0008), Experian (888-397-3742) or TransUnion (800-680-7289), and place an Initial Fraud Alert on your credit file if you suspect you have been, or are about to be, a victim of identity theft. Whichever bureau you contact will notify the other two to do the same. If you wish, you can renew these fraud alerts each quarter, free of charge. If you determine that you actually have suffered identity theft, you can also file an Extended Fraud Alert, which will stay on your reports for seven years.

Placing a fraud alert entitles you to one free credit report from each bureau. Although the alert makes it harder for someone to open new credit accounts in your name, it won’t necessarily prevent them from using existing accounts. That’s why it’s important to close compromised accounts and to carefully review your credit reports for errors, fraudulent activity or suspicious credit inquiries from an unfamiliar source. Also be aware that posting a fraud alert could delay your own ability to obtain new credit.

If you determine someone has stolen from your account or your identity has otherwise been compromised, file an identity theft report with the police. The Federal Trade Commission’s “Defend: Recover From Identity Theft” website contains step-by-step instructions for completing and filing the report with local, state and federal law-enforcement agencies (www.ftc.gov/consumer).

Also send copies of the report – by certified mail, return requested – to the credit bureaus and companies whose accounts were impacted. You can also file a complaint with the FTC, which will enter the information into a secure online database shared by thousands of civil and criminal law-enforcement authorities worldwide (https://www.ftccomplaintassistant.gov).

Most card issuers provide “zero liability” coverage for unauthorized credit and debit card use when you promptly report the loss. Rules vary, so ask your bank or credit union for its policies.

Going forward, carefully monitor your monthly credit card and bank statements for fraudulent charges. To learn other good tips for protecting your personal and account information and preventing fraud, visit:

• The National Cyber Security Alliance’s www.StaySafeOnline.org.
• The FBI’s “Be Crime Smart” page (www.fbi.gov/scams-safety/be_crime_smart). 
• Visa Inc.’s VisaSecuritySense (www.visasecuritysense.com), which contains tips on preventing fraud online, in stores and at ATMs, spotting deceptive marketing practices, and more.

Jason Alderman directs Visa’s financial education programs. This article is intended to provide general information and should not be considered legal, tax or financial advice. It’s always a good idea to consult a legal, tax or financial advisor for specific information on how certain laws apply to you and about your individual financial situation.

Preventing Identity Theft

There are many ways to protect your private information from fraud. Though some tasks take a bit of effort, be aware that cleaning up the mess identity thieves leave behind is far more difficult and time-consuming. Here are tips from BALANCE Financial Fitness Program, a free resource for AACFCU members.

Credit Reports

• Periodically check your credit report from each of the three major credit bureaus. You can obtain a copy of each report free once a year from the Annual Credit Report Request Service.
• Dispute inaccurate information immediately.

Personal Identity Information

• Keep all identification and financial documents in a safe and private place.
• Provide personal information only when you know how will be used, you are certain it won’t be shared and you initiated contact and know who you’re dealing with.
• Make all passwords hard to guess by using a complex combination of numbers and upper and lower case letters.
• Request a vacation hold if you can’t pick up your mail.
• Deposit outgoing mail in post office collection boxes or at your local post office.
• Remove mail from your mailbox promptly.
• Keep your purse or wallet in a safe place at work.
• Be aware of your workplace’s security procedures.
• Memorize your Social Security number rather than carrying your Social Security Card.
• Do not have your Social Security or driver license number printed on your checks.
• Review your Social Security annual statement for accuracy.
• Provide your Social Security number only when necessary and to those you absolutely trust.
• Before revealing your Social Security number, ask why your number is needed, how your number will be used and what happens if you refuse.

Credit Card and ATM/Debit Cards

• Carry only those cards you really need.
• Shred all statements and pre-approved credit card offers with a crosscut shredder.
• Opt out of receiving pre-approved credit offers.
• Photocopy both sides of your credit cards so you have all the account numbers, expiration dates and phone numbers, and keep the copies in a safe place.
• Be aware of people behind you at the ATM, or anywhere else you swipe your card.
• If you give your credit or debit card to someone for a transaction, watch them swipe it and inspect the receipt for accuracy.
• Know your billing cycles and contact creditors if bills don’t arrive on time.
• Examine the charges on your credit card statements every month.

Checking Accounts

• Know where your checkbook is at all times.
• Print firmly and use indelible ink when writing checks. 
• Check your account statement for fraudulent activity. 
• Do not give out your checking account number unless you know the company requesting the information and understand why the information is necessary.

Computer

• Update virus protection software periodically and after every new virus alert is announced.
• Do not download files or open hyperlinks sent from people you don’t know.
• Use a firewall program to prevent your computer from being accessible to hackers.
• Use a secure browser to guard the security of your online transactions.
• Enter personal and financial information only when there is a “lock” icon on the browser’s status bar and look for the URL to read “https” versus “http.”
• If you must store personal and financial information on your laptop: 1. Use a strong password – one that is a hard-to-guess combination of upper and lower case letters and numbers 2. Don’t use an automatic log-in feature 3. Always log off when you’re finished.
• Before disposing of a computer, delete personal information using a “wipe” utility program to overwrite the entire hard drive.

How to Remove Credit Report Inaccuracies

What do you do when you spot an error on your credit report? Take steps to dispute it. Because of the Fair Credit Reporting Act, cleaning up your own credit report is usually quick and easy. Credit reporting agencies (often called credit bureaus) should only report accurate and current information.

Step one – Obtain your credit reports
To know exactly what is happening with your credit, check the reports from all the major credit bureaus – TransUnion, Equifax, and Experian. The information on each report may vary because not all creditors report to every bureau. You may receive a free report from each company once per year from Annual Credit Report Request Service, or you may obtain them from the bureaus directly for a fee:

• Annual Credit Report Request Service
  877-322-8228
  www.annualcreditreport.com
• Experian
  P.O. Box 2104
  Allen, TX 75013-2104
  888-397-3742
  www.experian.com
• TransUnion
  P.O. Box 390
  Springfield, PA 19064-0390
  800-916-8800
  www.transunion.com
• Equifax
  P.O. Box 105783
  Atlanta, GA 30348
  800-685-1111
  www.equifax.com

Step two – Know what can be removed
You can’t rid every negative notation from your file – credit bureaus are obligated to report all credit and debt information as long as it is correct and timely. So what can be removed?

• Wrong information. If the report lists incorrect information, such as an account you never opened, someone else’s name or a judgment for a lawsuit you were never a part of, you can have it permanently purged from your record.
• Duplicate information. While an account can sometimes show up multiple times, you may want to have your report list it just once. This can prevent lenders from believing you have more debt or credit problems than you actually do.
• Old, negative information. In most cases, negative information, even when accurate, won’t haunt you forever. Your credit report may reflect lawsuits, judgments, liens, foreclosures, a Chapter 13 bankruptcy (from the filing date), late payments, and charged-off accounts for seven years. Chapter 7 bankruptcy will be evident for ten years from the date of filing. Child support arrearage and default notations for student loans, though, can be reported until satisfied.

Step three – Dispute inaccuracies
If you do spot errors or items that should have aged off your report, it is time to take action:

• File the dispute with the bureau. You may make your dispute on the company’s website, over the phone or by mail. In all cases you’ll have to provide your personal identification and a description of what is wrong, and what the correct information is. If you have any documents that support your case (such as copies of cashed checks that confirm you paid an account), include those as well.
• Wait 30 days. After you file your dispute, the bureau has 30 days to investigate the matter, and a dispute notation will show up on your report. The creditor will have this time to verify the information, and if they can’t prove it’s accurate, the bureau will stop reporting it. When the bureau completes the investigation they will send you a written report covering what they found, and an updated copy of your credit report if it resulted in any change.

In the majority of cases, removing inaccuracies is that simple. However, if the investigation results in no change, write a letter to the creditor and explain why the information is incorrect and that you want them to report the accurate information. Include copies of supporting documents (a statement showing a zero balance, for example), if you have them. The creditor may not continue to report unproven information.

Finally, if the situation still doesn’t get resolved to your satisfaction (or if the negative information is correct but you have a good reason for why it happened), consider writing a letter of explanation to add to your report. In one hundred words or fewer, you can explain your side of a credit problem. Write the note clearly, include supportive facts, and send it to the bureaus to be attached to your report. This “100-word statement” could make a positive difference to whoever is reading the report.

Disposing of Old Credit Cards: How to safely get rid of expired credit cards

Whether you’re disposing of a credit card because you got a replacement card in the mail or due to the fact that you canceled your account altogether, it’s important to be careful. While you may often see images of people simply folding the card in half or slicing it up into four strips with a pair of scissors, there is actually a science to disposing of the card correctly so that thieves, even if they do get their hands on it, are unable to use it. Even if your card is canceled, thieves can try to extract the information on the card and attempt to fraudulently get a new (active) card issued or to piece together missing information needed to commit fraud on other active accounts you own.

Step One: Make the Magnetic Strip Unusable
Although the magnetic strip doesn’t have any personal information on it that is readable to the naked eye, a lot of thieves have the ability to scan it. To eliminate the risk of this happening, run a magnet across the top of the strip. Use a fairly powerful one, not one of the super-thin ones that you might find on the cover of your phone book. Consider using one that would actually work to attach a piece of construction paper to the refrigerator without it falling off when you open the door.

If you don’t have such a magnet, cut the magnetic strip lengthwise several times so that it would be difficult for thieves to piece it back together or to use the scanner to read it if they somehow accomplished this feat. Either way, once you’re done, cut the card widthwise as well.

Step Two: Cut the Card To Confetti
Make the pieces small enough so that it’s impossible to read your name or the card number, and don’t forget the security code on the back. Also, if you’ve signed your card, don’t let your signature be obviously visible unless you want someone to practice forging it. Sometimes you can use a shredder to decimate your old credit card. It depends on how powerful yours is. You don’t want the credit card to get stuck if your shredder is only designed to handle paper.

Step Three: Dispose of the Card Properly
If you’re really worried about dumpster divers or have a history of being victimized by identity thieves, don’t throw all of the pieces of your credit card into the same trash bag. Instead, distribute them over the course of a couple of trash pickup cycles. That way, even if a thief does manage to ferret out some of the pieces of your card, it’s unlikely he will get all of them. A variation on this is to put the card confetti in your pocket and drop the pieces in random trash cans you pass as you go about your day.

Other tips: double check to be sure you are getting rid of your old card and not your new one, especially if the old and new cards look similar.

Find more helpful articles like this at http://aacfcu.onyourway.com.

Protect Your Kids from Identity Thieves

By Jason Alderman from Practical Money Skills

You’re probably weary of being reminded to take precautions against identity theft, but here’s a wrinkle you may not have considered: Identity thieves have broadened their reach by harvesting children’s dormant Social Security numbers (SSNs) and using them to illegally obtain jobs, credit accounts, mortgages or car loans and much worse.

Many victims have no inkling anything is amiss until they later apply for a student loan, bank account, job or apartment and are turned down because of poor credit history. Some families have even been hounded by collection agencies or served with arrest warrants because the debts or criminal activities thieves executed were so extreme.

There’s no completely foolproof way to protect your child’s identity, but here are some precautions you can take:

Although it’s tempting to simply not register your kids for SSNs until they turn 18, that’s not practical in today’s world. For one thing, children need one if you want to claim them as dependents on your taxes. They also may need one if you want to obtain medical coverage or government services for them or open bank accounts or savings bonds in their name.

Most parents register their children for SSNs at the same time they apply for birth certificates at the hospital. If you wait until later to apply, you must provide proof of your child’s U.S. citizenship, age and identity, as well as proof of your own identity.

Because each person’s SSN is unique, it’s not uncommon for schools, healthcare providers, insurance companies and others to require that parents provide one as an identification tool. However, don’t be afraid to ask:

• Why do they need an SSN – is there a legal requirement and if so, what is it?
• Will they accept alternative identification?
• What will happen if you don’t disclose it?
• What security precautions do they take with personal information?
• Will they agree not to use the SSN as your child’s personal identification number on correspondence, account statements or ID cards?

Warning signs your child’s personal data might have been compromised include:

• Preapproved credit account offers.
• Calls from collection agencies, creditors or government agencies.
• You’re denied opening a bank account in their name because one already exists with the same SSN.
• They are denied credit, employment, a driver’s license or college enrollment for unknown or credit-related reasons.

There may be legitimate reasons why your child is receiving credit offers. For example, if you opened a college fund or they enrolled in a frequent flyer program.

However, if you strongly suspect an identity theft has been committed, you can:

• File a police report and keep a copy as proof of the crime.
• Contact the fraud units at the three major credit bureaus for instructions: Equifax (800-525-6285), Experian (888-397-3742) and TransUnion (800-680-7289).
• Notify the Federal Trade Commission (877-438-4338). Their Identity Theft site at www.ftc.gov contains information on fraud alerts, credit freezes, working with police and much more.
• Ask Social Security (800-772-1213) whether anyone has reported income using your child’s SSN. Search “Identity Theft” at www.ssa.gov for information.
• Contact the IRS’ Identity Protection Unit (800-980-4490).

Bottom line: Use the same precautions with your child’s personal information as you do with your own and make sure you know the warning signs and what to do if it’s compromised.

Jason Alderman directs Visa’s financial education programs. Find this original article here at Practical Money Skills.

This article is intended to provide general information and should not be considered legal, tax or financial advice. It’s always a good idea to consult a legal, tax or financial advisor for specific information on how certain laws apply to you and about your individual financial situation.

The Importance of a Strong Password

Almost every day you see something written about identity theft. What we do not always think about is our online passwords. It is so easy to use the same password for all our accounts or use a simple password we have used for several years. It is just so much to keep up with. Does that sound like you? Well, here is some food for thought.

One of the best ways of reducing online identity theft is creating a strong password. Strong passwords include a combination of letters (both upper and lower case), numbers and symbols. A password should be unique and easy for you to remember but difficult for others. If you must write your passwords down, keep them in a secure place and out of plain sight. Do not share them over the internet, email or on the phone. We highly recommend that you follow these 8 simple steps to help safeguard your online experience.

1. Use passwords that have at least eight characters and include letters (both upper and lower case), numbers and symbols. The longer the password, the tougher it is to crack. A 12-character password (recommended) is stronger than one with eight characters.              
2. Avoid common words: some hackers use programs that can try every word in the dictionary.
3. Do not use your personal information, your login name or adjacent keys on the keyboard.
4. Change your passwords regularly (at a minimum every 90 days). 
5. Answer challenge questions with a random word(s) and/or number(s). Never use correct personal information.
6. Do not use the same password for each online account you access.
7. Make sure your internet service is protected. Your home service should be password protected. Do not use an unfamiliar network that cannot be verified as secure to access any of your account or credit card information.
8. If you are not using your internet for long periods of time, disconnect it from your computer.

Is it time for you to change your password? Give it some thought and maybe you can come up with something to protect yourself and your family.

How do identity thieves misuse their victims’ information?

No one can totally eliminate the risk of identity theft, but here are ways you can reduce your chances of becoming a victim:

• Don’t carry your Social Security card in your wallet unless you need it that day. 
• Avoid using public computers to access financial accounts, and use intricate passwords. 
• Limit personal information online. 
• Shred any paperwork that contains nonpublic information.
• If you access financial accounts or shop online, make sure the Web site is secure. Secure sites have an “s” after the http—https://.
• Check your credit report regularly at www.annualcreditreport.com and monitor your transactions. Reconcile your accounts regularly.
• Keep an inventory of everything in your wallet and your PDA.

U.S. Department of Justice data show that identity theft is the fastest-growing crime in America, and studies show that the 18- to 29-year-old age bracket accounts for 30% of all identity-theft complaints.

Manage Financial Transactions Away From Home

Will retirement, military deployment or another event take you away from home for an extended period of time? Here are several ways to manage your finances safely and simply.

Get access
• Online Account Access: Enjoy access to your AACFCU accounts on the Web 24 hours a day. Call 800-448-4096 to get started.
• Telephone account access: Call us to set up access to your AACFCU accounts with audio response teller for times when you have a touchtone phone available.
• Mobile banking: Log in to your AACFCU account from your smart phone to check balances, make transfers, pay bills and more! *Data charges may apply. Check with your carrier for any applicable charges.
• Shared branching sites: A shared branching cooperative (http://www.cuservicecenter.com/) can be your credit union away from home. These shared branching sites give you access to your AACFCU accounts to make transactions such as deposits and withdrawals.

Automate
• Sign up for direct deposit: It’s safe, quick and convenient. Your paychecks are automatically deposited into any of your AACFCU accounts.
• Online Bill Pay: Use our free online bill pay to schedule payments and help avoid late fees. Log-in using our 24-hour Online Account Access to get started.

Manage it
• Access accounts securely: Only use a secure network with a password, vary passwords for accounts and change passwords regularly.
• Sign up for E-statements: Get quick access to your credit union account statements online.
• Text alerts: Get balance notifications or other reminders. Get started when you log in to your account online.
• Credit reports: Review securely at http://www.annualcreditreport.com/.
• Credit card tracking: Access your monthly statement online to track purchases.

Still Writing Checks? Consider the Benefits of Paying Bills Online

If paying bills online is convenient, fast, saves money and allows greater control, why do many of us still write checks the old-fashioned way?

Given all the benefits of online bill-pay, it’s a mystery why more people don’t take advantage of the service. Perhaps it’s because we don’t like change, we don’t like the thought of setting up all the accounts or we’re worried about sending payment data over the Internet.

Believe it or not, paying bills online actually may protect you from identity theft. The most common theft of our personal information is not from the Internet–it’s from statements left in a mailbox or pilfering paper with personal information from the garbage. Also, bill-pay sites use encryption technology to scramble your data during transmission.

Once you take the plunge, you won’t regret it. You have two main choices: (1) pay most creditors at their own Web sites; or (2) use a single Web site, like AACFCU’s bill pay site, that allows you to pay all creditors. The second option makes it easier to track your spending and it’s simple compared with book marking and remembering several user names and passwords for all creditors.

Click here to learn more about AACFCU’s free Online Bill Pay.

If you want to go paperless, we can help you streamline the process. For more information, contact us at cuinfo@aacfcu.com or (800) 448-4096.