While there is no foolproof way to protect ourselves against all emerging technology-based scams, Better Business Bureau of Southern Arizona says consumers can arm themselves by understanding the two major objectives of online criminals: cheating people out of money and tricking them into divulging personal information to commit identity theft.

The evolving methods used by cybercriminals are becoming increasingly sophisticated.  However, consumers’ two most powerful tools are research and skepticism.

The most common Internet scams to cheat consumers involve obtaining credit card information and getting them to send money by wire transfer.  This type of fraud occurs in general merchandising by phony or lookalike websites, predatory offers such as credit-repair services, friendship swindles, fake check scams using online auctions and classified ads and requests for upfront payment to receive supposed lottery prizes and work-at-home kits.

The second category of cybercrime involves coaxing consumers to reveal personal information, including their Social Security number, date of birth, address and telephone numbers. This is done by sending out authentic-looking emails supposedly from government agencies, retailers, financial institutions and other businesses.   These emails typically contain hyperlinks that lead to online forms requesting personal information or download malicious software that can steal login information or passwords.

BBB offers the following recipe to stay ahead of cybercriminals:

Research before revealing – Research unfamiliar retailer and charity websites at www.tucson.bbb.org before entering a credit card number.

Be wary of unsolicited emails – Government agencies, credit card companies and banks will never ask for personal information such as a Social Security or Medicare number through email.   In addition, when you receive a link to a “special deal” or coupon through a social network site, type in the Internet address yourself.  A link’s true destination may be hidden, take you to a lookalike website or download malware onto your computer.

Use secure payment methods – Never send money by wire transfer to someone you don’t know.  Use a credit card, online payment system or escrow service to pay for auction or classified ad items.

Beware of overpayment checks – Cybercriminals use scams that involve sending a legitimate-looking check and asking that the monetary difference be returned by wire transfer.  Though the check may initially be accepted for deposit at a bank, it may take several days to bounce, resulting in the loss of the wired money and penalties.

Be selfish with personal information – Social media sites encourage sharing; however, avoid sharing your birth date, address and other information that may be used to help put together a profile that can be used to steal your identity.  Check the privacy settings for your profile and considering hiding your profile unless you approve a friendship/contact request.

Practice safe computing – Don’t use short passwords, or the same password for multiple sites.  Passwords should contain a variety of upper and lower case letters and digits or characters.  Ensure your computer anti-virus software and operating system are up to date with the latest security updates and run malware scans on a weekly basis.

There is no telling what new online threats lurk around the corner, however, common sense and an abundance of caution go a long way towards protecting yourself from online crime.

Identity theft crimes are not limited to individuals; businesses can also become victims. Recently, a Tucson business- Happy Tails Travels- discovered this firsthand when they became a victim of business identity theft.

Happy Tails, which specializes in “personalized pet transportation services” for adopted pets, began getting phone calls in February from consumers who claimed they had wired money to Happy Tails with the promise of having a pet delivered to them. Happy Tails learned through these phone calls that scammers had copied their Web site, and were soliciting business from prospective customers, using the business’ name.

The callers told the business that the scammers posing as Happy Tails requested that their victims wire the money to them- making it almost impossible for law enforcement to track where the money went.

“The most frustrating part of this for us is this foreign based ‘company’ pops up over and over with different fake company names that they insert into our site,” said Happy Tails co-owner, Bridget Monrad. “This negatively affects our time and resources and hurts good hearted people who think they are adopting a pet.”

Copycats not only design similar-looking websites, but will create fraudulent advertisements and solicitations featuring real business names, logos and contact information to cheat consumers under false guises and potentially ruin other businesses’ reputations.

“Impostors hijack and exploit information from legitimate organizations to swindle unsuspecting consumers,” said Kim States, BBB President. “It’s becoming a huge problem, and ensnaring more and more businesses.”

Business victims usually detect stolen identities when confronted by customers regarding false solicitations, fake websites, phishing emails, fraudulent charges or check cashing schemes. (more…)

Reports that millions of credit card numbers may have been compromised recently are a timely reminder that consumers need to stay on top of their credit card accounts,  Better Business Bureau of Southern Arizona advises.

“Most of us depend on being able to use credit cards for everyday purchases,” said Kim States, BBB President. “When identity thieves strike, we may feel powerless, but there are steps we all can take to safeguard our accounts.”

Normally, credit card issuers will notify customers if their accounts have been compromised. The issuer may send you a new card and freeze the old account. Some companies will offer fraud monitoring services for a limited period of time. If they do, find out whether the service will result in a charge to your account and how you can cancel the service it you don’t want to keep paying for it.

Although most credit card companies don’t charge cardholders for fraudulent charges on their accounts, customers need to check their accounts for potential fraud not detected by a card issuer’s computers. You should look at transactions on the account regularly to make sure you actually made the purchases listed. Report any discrepancies immediately.

Most card issuers allow cardholders to check their accounts online. Some ID theft experts recommend that consumers switch to electronic delivery of credit card statements, especially if your mailbox isn’t secure. This prevents thieves from stealing your mail to commit ID theft. If you get mailed statements, go over them regularly to determine that all the charges are legitimate.

Another important step is checking your credit report on a regular basis. If you see accounts there that you didn’t open, contact the issuer to report potential fraud. You may want to consider getting a “credit freeze” that will prevent the opening of new accounts.

Many advertisements on television or online claim to offer “free credit reports,” “free credit scores” or “free credit monitoring.” Often, the service is free only if you sign up for another service that isn’t free. In some cases, the advertisers may be attempting to steal your identity or sign you up for something that results in a monthly fee charged to a credit card. Beware of links in unsolicited emails that ask for personal information or account numbers.

The only way to get a truly free copy of a credit report is by using a service sponsored by the three nationwide credit reporting agencies – Experian, Equifax and Transunion. The service is available at AnnualCreditReport.com or by calling 1-877-322-8228. Consumers also may go to the website and download a request form that can be mailed to an address in Atlanta. Mailed reports normally arrive within two or three weeks.

Other tips that can help safeguard your accounts

• Review receipts at stores before you sign them. Make sure the amounts jive with what you are purchasing.
• Keep copies of ATM and sales receipts for your records and compare them with your monthly statements. Call the credit card company if you find a discrepancy. If fraud is involved, consider filing a police report.
• Be aware of your surroundings when using your card. Could someone be looking over your (more…)