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.