Phishing—A New Form of Identity Theft

Another form of identity theft being used more frequently is Internet scams called "phishing." According to the Anti-Phishing Working Group, the global association focused on eliminating internet fraud and identity theft, there were over 23,000 unique phishing reports during the month of May 2007. Phishing involves fraudulent e-mails that are sent to consumers, under the guise of recognized financial institutions, corporate companies, or "personalized" e-mail letters from overseas banks. These e-mails ask for personal information such as bank account, credit card, and Social Security numbers. Often there are direct links to false Web sites that look like the real thing. Though some Internet scams are obvious, these fraud attempts are becoming more convincing. Trusted bank names are being used, fooling you in to divulging information that can lead to having your entire savings wiped out and your identity taken.

What's being done?

Other associations are also working to crack down on phishing scams. Microsoft, eBay, PayPal, and Visa support the Phish Report Network, a resource that intends to deter phishing by generating a database of offenders. Even Web browsers have joined in to curtail phishing activity—both Internet Explorer and Netscape will soon have features that display warnings when blacklisted sites are visited.

What can you do?

By following simple guidelines and using caution, you can avoid the possibility of having your personal information stolen.

• A genuine financial institution will not send you an e-mail asking for account or credit card information.
• Do not respond to any e-mail or phone requests for personal information. Delete any questionable e-mail, and do not click on the links provided.
• Utilize the resources online to report phishing scams.
• Be aware. Most phishing scams are fairly obvious, containing glaring grammatical and spelling errors, offers of millions of dollars, or threats to your credit record.
• Get copies of your credit report annually to make sure you're the only one using your information. Visit towerfcu.org for details on how to order your report.

Report suspect e-mail to: antiphishing.org, or to the Internet Fraud Complaint Center at www.ic3.gov. To file a complaint with the FTC, go to ftc.gov/idtheft or call 877-FTC-HELP.

The following e-mail is an example of what you may receive in your inbox. Note the grammatical and spelling errors throughout the body of the message, which serves as a noticeable clue that the message is fraudulent:

National Credit Union Administration Share Insurance | Resources for Credit Unions | Resources for Consumers | News | Search Dear FCU holder account, This notice infroms you that your Credit union bank has joined our Federal Credit Union (FCU) network. For both, our and your security, we are asking you to activate anonline account on our database. After activation you can login on our system with your SSN and your Credit/Debit PIN number. You must visit the FCU activation page and fill in the form to activate your online account: http://www.ncua.gov/ActivateAccount.html In accordance with NCUA User Agreement, you can use your online account in 24 hours after activation. We thank you for your prompt attention to this matter. Please understand that this is a security measure intended to help protect you and your account. Thank you for your time.