In late December, the FTC filed charges against a LeapLab data broker to facilitate the theft of millions of consumer accounts. The complaint said that LeapLab bought payday loan applications and sold the information in disreputable marketing. At least one of these companies that market then used this information to make millions of consumers accounts without proper authorization. The FTC also filed a complaint against one of these companies, Ideal Financial Solutions. When LeapLab bought payday loan applications, he sold only about 5% were given to legitimate business loan. The majority, however, were sold to third parties regardless of how the information - which included the names of customers, addresses, social security numbers and bank account numbers, among other data -. Would then be used
This was not an isolated incident
Cybersecurity blogger Brian Krebs dug in LeapLab history and discovered that there was not the only source Ideal Services financial used to obtain consumer information. Scammers can be really stupid, often sending all-too-obvious phishing emails that you want to roll your eyes as you press the button to mark it as spam. But they can also be very intelligent. In this case, companies expected assess information on loan applicants to determine whether they qualify or not preying on people who are desperate for money. The salary cycle loan debt is enough of a danger with legitimate business loan, but the thousands of scam companies set up to take advantage of those who opt for a short term loan are also a major problem.
This is a frightening example of a practice that is unfortunately too common these days. It is a reminder to us all that important to know that you are providing your information is of vital importance.
How can I be sure when filling out online forms?
1. Do your research. Before giving your information via an online form, do some digging into the company's background. According to a source interviewed by Krebs, the people who submitted their information to a site ready wages were immediately redirected to another site with multiple loan options. More worryingly, none of the respondents could remember the site name they gave their information. You make a purchase, loan or any other reason, look into the history and reputation of the company before handing over your information. Search for the company on the Better Business Bureau Web site or make an old Google search to see what happens. If a site is known for scamming you can find pretty quickly that way!
Another way to determine the legitimacy of a website is to look on the Whois.com database. You can find out who owns the domain when the domain was created and when it is set to expire. A brand new area or set to expire may be indicative of a site set up for the purpose defraud.
2. Make sure the site is secure. Even if you give information to a legitimate business, the security of the website of this company is just as important. A simple way to check the security of a website is to look at the address bar when you visit the site. If the URL begins with "https: //" instead of the usual "http: //" - ". Safe" you can be sure that you visit a secure Web site the "s" means Moreover, many Web browsers change color on the left side to indicate a Web site that has been verified as safe. Learn more about how to tell if a website is secure in this guide. Knowing a site is secure before completing the online form is a good way to ensure that your information will be transmitted securely.
3. Take a minute to decide if it is worth the risk. Especially in all cases where you provide your social security numbers, credit card or bank account, you should be deliberate to make the decision to put your information. After all, it takes only a moment to send a crook your information - but it could take months or years to recover from the devastating effects of identity theft and financial fraud. If you have doubts about a website, follow your instincts and look into other options instead of filling a potentially dangerous online form.
Be careful offline is just as important
There are no online forms that you need to worry about - scammers are always target people in the offline world . Whether you attend job fairs, wedding expos or even walk down the street, you might find yourself invited to complete a questionnaire and provide your personal information. Although scribble your name, phone number, email address or other details may seem harmless, it can potentially open yourself to annoying telemarketing phone calls, emails and postal mail. In the worst case, you could end up as a target for fraudsters who buy your information from data brokers like LeapLab.
Whenever possible, avoid giving your information to strangers. If you do receive phone calls requesting personal information, do not give it without asking as many questions as you can. Scammers usually do not want to - or can not - answer your questions. Do not be afraid to hang up the phone, watch company the scammer claims to represent and remember using a phone number from the company's business card or a trusted site, such the company website or its accredited Better Business Bureau page. You can use the same search advice for any company that contacts you, and it's also worth googling the person's phone number calling to ask for your information. Often you will find information from others who have been contacted by the same warning people about scams involved.
Protective ServicesIdentity theft can help
Although they can not prevent your information from being stolen, a protection service against identity theft can help detect fraud and alert you timely. Indeed, the first services monitor the Internet black market for personal information to make sure it will not be sold, traded or used otherwise. Many also provide monitoring of credit report to ensure the suspect accounts are opened in your name. Check out our reviews of identity theft protection for more information on this crime and determine which service is best for you.