Identity theft new problem in Indonesia

Identity theft new problem in Indonesia

Vishnu K. Mahmud, Contributor, vmahmud@yahoo.com

There was an e-mail that circulated a while back, warning users of a mobile phone scam. It tells the story of a woman called on her cellular phone by the "authorities" who were trying to track down a drug syndicate that was using her phone number. She was asked to turn off her phone for a few hours, which she did.

It turns out that individual later called her parents, saying the woman was in an accident and required funds for hospital treatment. Could they transfer some money to a bank account number? The parents were in a panic as all calls to her cell phone went unanswered.

A few weeks back, there was news that a group of offshore call center employees in India had managed to pilfer funds from bank accounts in the U.S. Media reports state that the perpetrators had access to confidential client information that enabled them to launch financial transactions.

Both cases highlight the dangers of identity theft. In the U.S., victims of such crimes faced bad credit histories or financial ruin due to the irresponsible acts of identity thieves.

How can criminals get away with this? It is actually relatively simple. With your name, address, date of birth, phone number, social security number and perhaps your mother's maiden name, they would be able to access personal financial details, order new credit cards, falsify other identity documents, take out personal loans or launch other scams using your name.

Most banks have safeguards against this kind of threat, with some even forcing customers to physically go to the bank, with an ID, to confirm specific transactions. Better safe than sorry.

However, because of today's advancing technology, more and more information is now centralized, and occasionally, not protected. Do you put your ATM PIN code in your mobile phone memory? Or perhaps keep your banking information in your PDA?

Does either digital device have a lock to keep out unauthorized people from accessing this sensitive data? What happens if you lose it? Apart from replacing the hardware, can you replace the information? And what if it falls into the wrong hands? Can they use your phone numbers and records?

Moreover, there are still the dangers from the web. Acts of phishing (pronounced like fishing) dangles incentives to try and get users to bite by revealing user names and passwords. For example, you receive an e-mail that requests confirmation of your login name or password for your online banking account, otherwise it will be canceled. Or a link to a site that looks like your Internet banking page, when in reality it simply captures the required data.

Banks never contact their clients via e-mail for information. If in doubt, call your bank's call center number, which is usually available on the Internet site (make sure it is the legitimate one!) or on the back of your ATM card.

With all these dangers, should we just cancel our Internet accounts and hide in a shell? Not really. Like anything else in the world, there are benefits that must be considered that could help our busy daily lives. E-banking and mobile banking makes life a lot easier to pay bills and transfer funds without having to line up to an ATM or bank branch. However, using it requires some extra precautions, as does anything else nowadays.

Keep your user name and password, along with any other corresponding information, a complete secret. If you sign up for a new service (Internet, phone line, credit card, etc.), it may be wise to go to the offices directly.

Restrict the amount of personal information you give to third parties, even though they may offer prizes or other incentives.

At the very least, you may receive e-mail spam, junk mail or telemarketer calls. On the other end of the scale, it could be much worse.

If you use Internet banking, limit the amount you can access online, keeping the bulk of your funds in other accounts that are not Internet-ready. This may be inconvenient, but it does provide a balance. You can usually transfer funds to your Internet-abled account via ATMs.

Identity theft is not something to be taken lightly. If your wallet or ID card/passport go missing, you must immediately report it to the police and cancel everything. You don't want the bad guys out there to use your identity.