Tax Day Safety Tips : Avoid Identity Theft

Welcome to tax day 2011. Most of us on this day are focused on those pesky tax returns and getting them to the I.R.S., either hard copies or electronically, before day's end. This is a perfect time to remind you about identity theft and provide a couple of tips to help prevent it.

According to the Federal Trade Commission's (FTC) Identity Theft Survey Report of 2003, almost 10 million Americans (or 4.6% of the population) have discovered that they were a victim of some sort of ID theft within the last year.

Identity thieves steal your information by several ways: Mailbox raiding or dumpster diving and fraudulent activity through email, the telephone, ATM machines and personal file hacking. Social networking sites are also used by identity thieves to find more personal information to help "fill in the gaps."

The average victim spends 30 hours resolving their ID theft problems, total each year American spend 297 million hours resolving their ID theft problems.

To help keep your identity on maximum security during tax season, follow these five rules:

1. If you file your return electronically, do so with an authorized e-file partner of the IRS.

2. Encrypt copies you keep on your computer.

3. Make sure your Internet security is up-to-date.

4. Turn off all sharing services.

5. Make sure your Internet connection is secure before you file. There should be a "https" at the beginning of the web site address.

Source(s): http://www.allbusiness.com/crime-law-enforcement-corrections/criminal-offenses-fraud/13828784-1.html

http://www.ncvc.org/ncvc/main.aspx?dbName=DocumentViewer&DocumentID=32359#4

Protect Yourself Against Identity Theft

Identity theft can be prevented, or the damage can be lessened considerably, by taking a few steps in your everyday life to keep your private information secured.

1. Run a credit report on yourself to double check the facts

2. Shred all of your credit, debit, ATM card receipts, bank statements, and tax documents before you dispose of them

3. If you close a checking account, make sure all remaining checks are shredded

4. Family web site? Don't give too much personal info, like place of birth or mother's maiden name. These are often used as passwords

5. Keep a copy of all credit cards or other forms of ID that you carry with you and keep it in a fire-proof safe or safety deposit box outside the home

6. Balance your checkbook and savings with the bank often to assure there are no discrepancies

7. Shred all unused pre-approved credit card offers