Identity Theft on Campus

In September 2008, Carmen Belcher, 25, checked her Bank of America debit card account statement online. Expecting nothing unusual, she was stunned to see two transactions from a clothing store and a cell phone provider she didn’t subscribe to. Belcher contacted the retailer and learned the name and address of the person who attempted the transaction. Though she didn’t recognize the exact address, she did recognize the last name; it was that of a friend she met while enrolled at Hampton University and with whom she frequently spent time.

“I was shocked she would steal from me because she had the same material things I had, so I thought there was no competition,” says Belcher, an aspiring entertainer and assistant to a music industry representative. “As I understood it, she didn’t work because her parents paid her graduate school tuition.”

Belcher’s former friend charged approximately $300 to pay a cell phone bill. (The clothing store purchase, which was attempted online, failed to go through. Belcher was told it was because the shipping address did not match the billing address.) But Belcher, who says she rarely checked her bank statements,  was unable to get her money back. She missed the 60-day period that Bank of America requires for reporting fraudulent activity. Her former friend had also moved out of the country by the time Belcher discovered the charges.

Unfortunately, Belcher is not alone. In 2008, almost 10 million people in the United States discovered they were victims of identity fraud, according to Javelin Strategy & Research, a provider of quantitative research on financial services. Identity theft might be the last thing on the minds of college students. This makes them an attractive target for thieves, who wait for them to unknowingly leave behind a trail of personal information, either online or within physical reach.

“People don’t realize or think about how much information they give away,” says Linda Foley, the founder and chairman of the Identity Theft Resource Center (www.idtheftcenter.org), a San Diego-based nonprofit organization that educates consumers and supports victims of identity theft nationwide. “Identity theft can affect a student’s ability to get a college loan, credit, or a job.”

It doesn’t help that there is no standard profile for an identity thief. In fact, victims aged 18 to 24 years old are more likely to know those who’ve defrauded them; sometimes the thief may even be someone close. Belcher’s friend knew her shopping habits and was one of the few people Belcher invited to stay over at her apartment.

Javelin Strategy & Research states in its 2009 Identity Fraud Survey Report that of the 35% of victims who know how their information was taken, 43% of the crimes were committed through physical contact, such as the stealing of a wallet, checkbook, or credit card. “Dumpster diving” and “shoulder surfing”——using direct observation techniques, such as looking over someone’s shoulder or even using vision-enhancing devices——are also common methods used to steal personal and financial information.

According to Foley, you can’t prevent identity theft, but you can take precautions. Belcher now shreds documents and doesn’t carry all her credit cards with her. When she has overnight guests she now removes important documents from a filing cabinet located in her easily accessible home office. “It’s hard because you don’t expect people to steal from you, but the only way to really protect yourself is to always be on top of everything,” she says.Here are four ways to decrease your risk of being a victim of identity theft:

1. Monitor your accounts.

Review your bank and credit card statements closely, so if you notice something strange, you can take immediate action. “It will give you an early warning should there be an issue,” says Adam Levin, chairman and co-founder of Identity Theft 911 L.L.C. (www.identitytheft911.com), which focuses on identity theft resolution and providing fraud solutions and consumer education. “If you see a transaction you don’t recall, call the bank and ask them to look into it.”

Check your credit report by going to www.annualcreditreport.com. While you should check your report at least once a year, here’s a tip: You can obtain one free credit check per year from each of the three major credit bureaus (Experian, Equifax, and TransUnion), so you can keep regular tabs on your accounts by checking a different one every four months. According to Levin, depending on your state of residence, you may have the option of checking your report more than once a year. Contact your state’s Department of Consumer Affairs or Office of the Attorney General for more information.

2. Sign up for fraud alerts. Most financial institutions offer fraud alerts, which help detect and identify fraud quickly. Customers can receive timely notification about important or suspicious activity on their accounts via e-mail alerts or telephone calls. You can also add a victim’s statement to your credit report so that you’re contacted to verify future credit applications. Fraud alerts can be placed directly on your files with Experian, Equifax, and TransUnion.

3. Don’t give it all away online. “Students need to understand that  in a transparent Internet world, they must be aware of the characteristics of their identity,” explains Gary Gordon, executive director of the Center for Applied Identity Management Research, a nonprofit corporation co-hosted by Indiana University and the University of Texas at Austin that identifies key identity management challenges. “Name, birthday, address, Social Security numbers–even where you live, your dog’s name–all of that is important.” If there’s something you feel inclined to share, like your birthday, you can give the day you were born, but not the year, or vice versa. “You don’t have to put much information out there to utilize the full benefits of social networking,” says Gordon.

4. Remember the basics. Avoid carrying your Social Security card. Shred personal and financial documents. Don’t forget to install a firewall and regularly update the anti-virus and anti-spyware software on your computer. Invest in an inexpensive safety box to lock up your financial documents, passport, and Social Security number.

Remember that you might not discover that you’ve been the victim of identity theft until years later, so protect yourself now. The process of clearing your name and restoring your credit can take months and sometimes years depending on the severity of the case.

Fast Facts: What to Do After Your Identity Has Been Stolen

Immediately file a police report. Your local police department can play a key role in the recovery process. Furthermore, credit card companies and financial institutions may require this type of documentation to prove that your identity and/or accounts have in fact been compromised, so be sure to get a hard copy of your police report.

If you are having difficulty getting a company to reimburse you or to take responsibility for their role in the incident, you can file a complaint with the Federal Trade Commission (www.ftc.gov) or the Better Business Bureau (www.bbb.org/us).

Contact the Social Security Administration (www.ssa.gov) and provide proof that your identity has been stolen.

Additional reporting by Siobhan Dixon

This article originally appeared in the December 2009 issue of Black Enterprise.