Identity Theft CBA Credit Hang-out July 1, 2015 Lisa Schifferle, Attorney Division of Consumer & Business Education Federal Trade Commission
What We Will Cover • Identity Theft – IdentityTheft.gov – First Steps – Next Steps
• Data Breaches – Identitytheft.gov/databreach – First Steps – Next Steps
Identity Theft
Scope of ID Theft Problem • 9 million new victims annually • #1 complaint to Consumer Sentinel in 2014 • 13% Sentinel complaints were identity theft in 2014
How Victims’ Information is Misused Gov't&Benefits&39%
What is IdentityTheft.gov? • Federal government’s one-stop resource to help you report and recover from identity theft. • Provides – detailed advice, such as • Getting a credit report • Getting an Identity Theft Affidavit • Getting a police report
– easy-to-print checklists, and – sample letters
RobodeIdentidad.gov
What to Do Right Away
(1) Contact companies where fraud occurred • Contact fraud department, not customer service • Instruct company to immediately close or freeze the accounts that have been fraudulently opened or used • Send written dispute including an Identity Theft Affidavit • Request closure letter from company describing results of its actions
(2) Contact CRAs • Obtain Credit Report free of charge • Place Fraud Alert
• Consider Credit Freeze
Fraud Alert • One call • Creditors must take “reasonable steps” to verify identity • Less effective • 90 days (renewable) or 7 years
vs. Credit Freeze • Write each bureau • No one can apply for new credit – must thaw the report • More effective • Effective until thawed • Possible fees
(3) Report to the FTC • FTC provides Hotline Phone Counselors and Webbased Consumer Guidance to help victims recover • To file an ID Theft Complaint with the FTC: – www.ftc.gov/idtheft or 877-ID-THEFT
• ID Theft Complaint will generate and populate an “ID Theft Affidavit” for victim’s use • FTC does not take enforcement actions on behalf of individuals
(4) File a Police Report • Call the local police as soon as possible • Request copy of official police report to create Identity Theft Report
Next Steps
Next Steps: Correcting the Credit Report • Fastest and most comprehensive result with “blocking,” a consumer right under FCRA § 605B – Permanently removes the identity theft-related information from credit reports • Alternative: Standard dispute procedures under FCRA § 611 – Corrects credit report – preserves and corrects valuable existing accounts
Data Breaches
IdentityTheft.gov/databreach
First Steps • Visit IdentityTheft.gov/databreach • Take advantage of credit monitoring offer • Check your credit report – annualcreditreport.com
• Place a fraud alert
Next Steps – depend on info exposed • Next year, try to file your taxes early – before a scammer can. • Consider placing a credit freeze.
Disclaimer • Views expressed in this presentation are not necessarily those of the Commission or any Commissioners. • Any answers to questions are the opinion of the staff presenter and not the Commission’s or any Commissioner’s.
Questions?
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Resources to help prevent ID Theft • Federal Trade Commission materials on ID theft prevention and education: ftc.gov/idtheft • The National Crime Prevention Council (the folks responsible for the McGruff Crime Dog campaigns) microsite with dedicated to financial safety information: www.ncpc.org/programs/living-safer-being-smarter/financial-safety. Resources to help if someone has experienced ID Theft • Federal Trade Commission materials for hose who are recovering in the aftermath of identity theft: identitytheft.gov and in Spanish: RobodeIdentidad.gov. If offers clear, step-by-step instructions, detailed advice, easy-to-print checklists, and sample letters.
www.creditbuildersalliance.org
CBA!Tools! CBA hosted webinars addressing ID Theft • Webinar: Credit Check Learning Community - How to dispute errors and ID Theft • Webinar: Credit Check Learning Community - Dealing with Identity Theft Relevant news articles on ID Theft NYTimes article about dealing with the prospect of youth Identity Theft.
www.creditbuildersalliance.org
ID Theft and Youth CFPB tips for parents and foster parents on checking credit reports for youth • CFPB Tipsheet for Parents • CFPB Tipsheet for Foster Parents CFPB credit report dispute templates for youth in foster care (may be modified for youth in general) • When a credit report should not exist for the youth • When there should not be credit activity from before the youth turned 18 • When there is an error on the credit report for the youth California Office of the Attorney General resources for adults working with youth • Teen ID Theft Fact Sheet • Teen ID Theft PowerPoint Presentation • Teen ID Theft PowerPoint Presentation Speaker's Notes ChildFocus resources for adults working with youth in foster care • Protecting the Credit of Youth in Foster Care