Security Breaches in the News - #1

The names, addresses, and Social Security numbers of about 3000 people employed by a handful of state businesses were on a password-protected flash drive stolen from a Florida Department of Revenue employee in Georgia. The people were current employees of six large corporations that are being audited by the state.

Question

My company collects credit applications from customers. The form requires them to give us lots of financial information. Once we're finished with the application, we're careful to throw them away. Is that sufficient?

NO. Have a policy in place to ensure that sensitive paperwork is unreadable before you throw it away. Burn it, shred it, or pulverize it to make sure identity thieves can't steal it from your trash.

Protecting Personal Information: Five Steps for Business

1. Take Stock: Know what personal information you have in your files and on your computer. Understand how personal information moves into, through, or out of your business and who has access - or could have access to it.

2. Scale Down: Keep only what you need for business. That old business practice of holding on to every scrap of paper is "so 20th century." These days, if you don't have a legitimate business reason to have sensitive information in your files or on your computer, don't keep it.

3. Lock It: Protect the information you keep. Be cognizant of physical security, electronic security, employee training, and the practices of your contractors and affiliates.

4. Pitch It: Properly dispose of what you no longer need. Make sure papers containing personal information are shredded, burned, or pulverized so they can't be reconstructed by an identity thief.

5. Plan Ahead: Draft a plan to respond to security incidents. Designate a senior member of your team to create an action plan before a breach happens.

Tips to reduce the risk of identity theft (Part 1)

1. Shred financial documents.
2. Never clink on links in unsolicited emails.
3. Do not use obvious passwords.
4. Do not give out personal information.
5. Protect your social insurance number.
6. Keep your personal information in a secure place.
7. Be alert to bills that do not arrive when they should.
8. Be proactive about unexpected credit cards or account statements.
9. Be alert for credit being denied unexpectedly.
10. Respond immediately to calls or letters about purchases you never made.

How Thieves Get Your Identity

1. Stealing: Taking your purse, wallet, mail, pre-approved credit card, new checks, personnel files from work, or tax information.

2. Changing your address: Completing a change of address form to get your mail and personal statements.

3. Phishing: Pretending to be a financial institution and sending scam alerts to get your personal information.

4. Dumpster diving: Going through your trash.

5. Skimming: Storing your credit card number in a special storage device when processing your card.