Is Sarah Palin's Identity Safe? No.

By John Sileo

Sarah Palin and I both have something in common. We are both victims of identity theft.

You’ve probably seen in the news that a hacker gained access into Sarah Palin’s Yahoo.com e-mail account. The hacker used a simple scheme and basic social engineering tools (research on Google and Wikipedia, common-sense guessing) to reset the password on her account.

In addition to denying Governor Palin access to her own account, the hacker had full control to:

• Read every saved and current e-mail in her account. (Luckily, she never sent her Social Security number, passwords or account numbers via e-mail, not to mention correspondence pertaining to her role as candidate for Vice President of the United States.)

• Steal the e-mail addresses and any other sensitive information stored in her contacts. (John McCain might want to change his e-mail address.)

• Send out e-mails as if the hacker were Sarah Palin, or worse yet, send out official e-mails as Alaska Governor, Sarah Palin.

The potential for abuse is mind-boggling. Sarah Palin should take immediate steps to protect her stolen identity. Here are the steps I would recommend:

1. Before closing down the compromised account, she should review all of the e-mails and contacts to which the hacker had access. Any account numbers, passwords, pin numbers or other personally identifying information that she sent via e-mail should be handled on a case-by-case basis. For example, if she e-mailed her credit card number, that account should immediately be closed. This is a perfect example of why you shouldn’t send any information by e-mail that you don’t want published on the front page of a newspaper.

2. Subscribe to an identity surveillance service so that she can monitor the illegal use of her identity beyond standard credit report tracking. Remember, less than 20% of identity theft touches your credit report, so it is important to monitor other sources of risk, including non-credit loan reports, cyber-trafficking of your personal data, and court, criminal or government documents posted online. The service I use to monitor these identity items (and to insure me and help me recover in case my identity is used illegally) is CSIdentity.com. The compromised data may not be used for years, so it is important to keep a watchful eye over time and not resort to a one-time credit check.

3. At the very minimum, place a fraud alert on her credit file with Experian, Equifax and TransUnion. I recommend going one step further and actually placing a complete credit freeze on her Social Security number. This will keep any identity thieves from setting up new credit accounts in her name by assigning a password to her credit file. It is slightly inconvenient and can cost a few dollars, but it is the best step for someone whose identity has been knowingly stolen. Make sure to sign up for the identity surveillance (step 2) before freezing your credit, as this makes the monitoring process more difficult.

John Sileo is America’s Top Identity Theft Speaker and the award-winning author of Stolen Lives: Identity Theft Prevention Made Simple. To learn more, please visit
www.ThinkLikeASpy.com.

Should You Hand Over Your Credit Card?

You are having dinner at a local restaurant. It is time to pay the bill and you will be using a credit card. The card will be taken into a back room to be run through the credit card machine. Do you turn your credit card over to the waiter? Although you may feel foolish to your friends for making a big deal out of letting your credit card disappear, there are a number of ways you can stay on top of your personal information:

• When in doubt, pay with cash. This old-fashioned way of paying has absolutely zero identity creep.

• Pay attention. Is the waiter taking your card to another part of the restaurant or will the waiter (and your card) be in plain view?

• Pay at the counter. This way your card will never be out of your sight.

• Be observant and evaluate situations with a mindset that's proactive about protecting your identity.

As always, practice observation and evaluation of situation for a mindset that is proactive about protecting your identity.

Can You Name the Fastest-Growing White-Collar Crime in America?

Oprah Winfrey, Steven Spielberg and Tiger Woods have all been targeted by identity thieves, what the FBI calls the fastest growing white-collar crime in America. If undetected, it can take up to 300 hours to restore your personal identity once targeted.

Two years ago, the federal government began tracking identity theft victims. A hotline set up at the Federal Trade Commission now receives more than 3,000 calls a week.

Identity theft is a non-violent crime with a high profit margin that can become addictive. CSIdentity CEO Bill Morrow says that all criminals need is access to the Internet and within seconds they can buy and trade thousands of identities.

“While you are sleeping, these guys in Transylvania are trading Social Security numbers and credit cards in their footed pajamas,” Morrow says. "Identity theft is exploding and victims now include children all the way up to seniors. Thieves like to work undetected and the chances of being caught are slim.”

Organized crime reaps an estimated $700 million a year through ID theft. It’s a figure that’s expected to reach $2 billion by 2010.

Experts say that as long as we live in a free country with ready access to information, criminals will find a way to obtain others’ personal information and commit identity theft. Make sure your information is safe and that you check your e-mail updates from CSIdentity. If you are unsure how to access your account, call customer service at 1-800-805-7004.

Can You Protect Children From Identity Theft?

Information on children can be gleaned from sources such as school rolls, or any other places that have detailed information on children.

Using children’s identity information, along with adult birth dates and other information, thieves can go undetected for a decade or more until a child grows up and applies for credit.

Thieves like to go undetected. Stealing children’s Social Security information presents a much lower chance of getting caught, at least for a longer period of time as a child does not utilize their Social Security number until they are older.

Of the more than 500,000 identity theft complaints received in 2005 by the Federal Trade Commission, five percent involved people 18 or younger, an increase from three percent in 2003.

According to a recent study by the Identity Theft Resource Center, based in San Diego, the theft usually takes place early in the child’s life. The researchers found that, in 54 percent of the cases, the theft took place before the child was six years old.

Most parents today apply for Social Security numbers for their children soon after birth. That single piece of information is all the identity thief needs to establish lines of credit.

Because the child has no other credit history, it’s unlikely the victim would find out until they become an adult and need to borrow money. They then may discover they have accumulated a mountain of unpaid debt without ever knowing it.

There are a number of things parents can do to prevent their children from becoming identity theft victims:

• Use extreme caution when revealing your child's Social Security number, or providing a photocopy of a birth certificate. Before complying with any request, first question whether it is absolutely necessary. Don’t hesitate to ask the party requesting the information exactly how it will be stored and who, if anybody, besides them will have access to the information.

• Monitor your child’s credit history and make sure you are proactive with protecting your child’s identity early.

• Don’t let anyone in your family carry a Social Security card. Any card with your Social Security number should be left at home.

• Be on the lookout for business mail arriving in your child's name. Pre-approved credit offers should be closely examined, as should any account statements. A collection notice shouldn’t be regarded as a mistake, but a cause for alarm.

• When children are old enough to use the Internet, stress the need for privacy and password integrity. Discourage the use of a mother’s maiden name as a password.