Consumer Protection and Education

How can I protect myself against identity theft?

What do I need to know about vehicle leasing versus buying?

How can I learn about consumer related questions?

 

How can I protect myself against Identity theft?

1. What is identity theft?
   ANS: According to the Federal Trade Commission (FTC), identity theft occurs when someone uses your personal information, such as your name, Social Security number ( SSN), credit card number or other identifying information, without your permission to commit fraud or other crimes. Identity theft is the fastest growing white collar crime in the United States.
   
   A survey commissioned by the FTC revealed that an estimated 27 million Americans have fallen victim to identity theft in the last five years, 10 million of them in 2003 alone.
   
   Identity theft is a serious crime that has caused victims to spend months or years—and lots of money—to clear their name, correct erroneous information and clean up their credit record. Although victims are usually not liable for the debts the thief has accumulated, they often lose job opportunities, and are refused loans or housing. Some have even been arrested for crimes they did not commit.
   
   
2. How does it happen?
   ANS: It doesn’t seem possible, but it’s easier than you might think. If an identity thief can obtain your personal information, he or she can use it to call your credit card issuer and change the mailing address on the card, open a new credit card account or bank account in your name, drain your bank account, take out a loan, even buy a car or a house.
   
   According to the Privacy Rights Clearinghouse, thieves obtain your SSN, driver's license, credit card numbers and other pieces of identification, in a variety of ways, which include:
   
   
   • "Dumpster diving" in trash bins for unshredded credit card and loan applications and documents containing SSNs.
   • Stealing mail from unlocked mailboxes to obtain newly issued credit cards, bank and credit card statements, pre-approved credit offers, investment reports, insurance statements, benefits documents, or tax information. Even locked mailboxes may not stop a determined thief.
   • Accessing your credit report fraudulently, for example, by posing as an employer, loan officer, or landlord.
   • Obtaining names and SSNs from personnel or customer files in the workplace.
   • "Shoulder surfing" at ATM machines and phone booths in order to capture PIN numbers.
   • Finding identifying information on Internet sources, via public records sites and fee-based information broker sites.
     
      
3. How can I protect myself?
   ANS: These actions will help prevent thieves from using your identity:
   
   
   • Minimize the amount of information a thief has access to. Don’t carry more credit cards than you need to, don’t carry social security cards, birth certificate or passport.
   • Don’t carry other items with your SSN on them unless you need them that day.
   • Reduce the amount of personal information that is “out there.” Remove your name from marketing lists of major credit card bureaus, opt-out of the sale or sharing of your information when offered to you, sign up for the FTC Do Not Call Registry and the Direct Marketing Association’s Mail Preference Service.
   • Never give out your SSN, credit card number, or other personal information over the phone, mail or Internet unless you initiated the contact and you have a trusted business relationship.
   • Order a copy of your credit report once a year from each of the three national credit bureaus.
   • Ask about information security procedures and safeguards at your workplace.
   • Place passwords on your bank, credit card and phone accounts.
     
     
   Use this handy online checklist to help you evaluate whether your employer and any business you patronize has taken steps to reduce the risk of identity theft among its employees and customers.
   
   
4. What should I do if I become a victim of identify theft?
   ANS: If you fall victim to identity theft, take immediate action. Right away, contact the fraud unit for at least one of the three credit reporting agencies: Experian, Equifax and TransUnion. As of April 2003, if you notify one bureau, it will notify the other two.
   
   Ask the agency to flag your file with a fraud alert. Additionally, the FTC suggests you take the following steps immediately:
   • Review your credit report.
   • Close any accounts that have been tampered with or opened fraudulently.
   • File a report with your local police or the police in the community where the identity theft took place.
   • File a complaint with the Federal Trade Commission.
     
   The Privacy Rights Clearinghouse offers many more suggestions for dealing with identity theft. The Clearinghouse suggests keeping a phone log of all conversations, including dates, names of the individuals you spoke with, and their phone numbers, when dealing with authorities and financial institutions. Follow up these conversations in writing, and send all correspondence by certified mail, return receipt requested. Keep copies of all letters and documents pertaining to your case.
   

Top of page

What do I need to know about vehicle leasing versus buying?

ANS: The Federal Consumer Leasing Act gives you the right to information that helps you understand and negotiate your lease. A number of leasing options are available. Look for the lease that best fits your needs, your budget, and your driving patterns, then compare leasing to buying the vehicle. Be sure to consider the differences between:

1. beginning, middle and end-of-lease costs. Some figures vary or are not readily available and must be estimated which makes comparisons difficult.
   
2. ownership, up-front costs, monthly payments, early termination fees, vehicle return, future value, mileage, excess wear and end of term options.

How long you intend to keep the car is an important factor when comparing leasing to buying. Whether or not you finance the purchase or can pay cash is another key factor. The Federal Reserve in cooperation with agencies and organizations including the Cooperative Extension System has developed "Keys to Vehicle Leasing" A Consumer Guide. The information is available in brochure form or on the web site.

If you have a problem with your lease, you should talk with the dealership or leasing company directly. If you still have a problem, you will want to learn more about your rights by consulting the federal Consumer Leasing Act - Regulation M. For more information on state laws, contact the NH Consumer Protection & Antitrust Bureau, 33 Capitol St., Concord, NH 03301 -6397 or call (603) 271-3641.

Top of page

Where can I turn if I have other consumer related questions?

ANS: New Hampshire citizens are encouraged to check the Consumer Protection and Antitrust Bureau's site on the State of New Hampshire's "Webster" website or request a current copy of the New Hampshire Consumer's Sourcebook. This publication covers topics from Advertising to Warranties. Most sections contain a summary of the law that applies to a topic, lists of points to consider and places to go for more information or help. Another site to check is Consumer World as it connects users to state and federal consumer offices; Better Business Bureaus; company consumer service departments, investment and credit information sources; consumer resource directories, ratings, guides, toll free numbers, shopping guides and more. You can go directly to the Federal Trade Commission-- Consumer Protection site for publications such as "Choosing and Using Credit Cards" or access information, such as the Consumer Action Handbook, from the Federal Consumer Information Center in Pueblo, Colorado.

Top of page

Programs:

• Managing Money in Tough Times
  
• Making Money Work For You
• More...
  

Top of page

Publications:

• Buying the Things You Need
• Keys to Vehicle Leasing
• NH Consumer Sourcebook

Top of page

Other Resources:

• CardWeb.com, Inc.
• Consumer World
• Federal Trade Commission
• Federal Consumer Information Center
• FirstGov.gov
• Financial Security In Later Life- Consumer Links
• Identity Theft:

  What to do if you are a victim of identity theft

  • ID Theft: Fighting Back Against
  • Recovering from identity theft
  • Identity Theft: What To Do If It Happens to You
  • Remedying the Effects of Identity Theft
    

  Prevention is the key

  • Privacy Rights Clearinghouse Offers a Privacy Survival Guide and look into other ways you can protect your personal privacy.
  • For more suggestions about protecting your identity and privacy
  • Coping With Identity Theft: Reducing the Risk of Fraud
    
    

  General information

  • About Identity Theft
  • Understanding Identity Theft
  • Privacy Rights Clearinghouse An excellent website with a wealth of information on just about every aspect of protecting your privacy. Fact sheets are easy to read and website is well organized. What you learn may scare you!
  • Privacy Rights Clearinghouse – Identity Theft
  • Federal Trade Commission: National Resource for Identity Theft
  • The FTC provides a wealth of information on identity theft and privacy, as well as numerous other consumer protection issues. If you are interested in managing your money most effectively, this should be at the top of your bookmarks.
    

  Vulnerable populations

  • And what about privacy for kids?
  • College students are prime targets for identity thieves
  • Senior citizens are vulnerable because they tend to be more trusting of others, have larger accumulations of assets, don’t see credit reports regularly, have Social Security numbers on health insurance cards (including Medicare), and often aren’t as aware of the risks associated with advanced technologies. The Colorado Gerontological Society provides this risk assessment.
    

  Federal law

  • US Dept of Justice – Making a Federal Case of Identity Theft
  • US Dept of Justice – Identity Theft: The Crime of the New Millennium

• Keys To Vehicle Leasing
• NH Legal Advice and Referral Center

Top of page