Control Credit - Debt
Prevent Identity Theft
Identity theft occurs when your personal identification, credit or account information is stolen and used without your knowledge to commit fraud or other crimes. Identity theft is a costly and dangerous crime - one that can ruin your credit. A thief can use your information to open bank accounts, apply for loans and credit cards, rent apartments and, in some cases, assume your identity if they're arrested.
According to the Federal Trade Commission, some of the most common ways thieves steal an identity are:
- Dumpster diving - they go through trash looking for bills or other paper with your personal information on it.
- Skimming - they use special devices to steal credit/debit card numbers.
- Hacking - they hack into a computer to extract information
- Phishing - .they pretend to be banks or other companies and use emails or pop-up messages to try to get you to reveal your personal information
- Stealing - They steal wallets and purses; mail, including bank and credit card statements; pre-approved credit offers; and new checks or tax information. They steal personnel records for their employers, or bribe employees who have access.
To protect yourself against identity theft, you should protect your private information, especially your Social Security Number.
- Shred all important documents - to thwart a thief who may be dumpster diving, always shred or tear your credit card receipts, bank statements, credit card solitications and other documents containing sensitive information
- Check your bank and credit statements - monitor your statements on a regular basis to ensure all charges or account activity is accurate
- Be on guard when you're online - be careful about surfing the web on public computers and keep your computer's antivirus and anti-spy software up to date.
- Don't share your account passwords - choose intricate passwords that include letters, numbers and characters. Keep your password to yourself.
If you think your identity has been stolen, take action immediately! Visit the Federal Trade Commission site and follow their four steps for defending your identity.
Take the Quiz-
48% of credit card owners only pay their minimum monthly payment each month.
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The average household with debt carries approximately $10,000 to $12,000 in total revolving debt and has 9 credit cards.
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Credit card companies usually offer credit limits to college students between $500 and $3000, with higher interest rates than non-students, between 18% and 20%.
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The US has recently seen an over 50% increase in bankruptcies among people under age 25 (fastest growing age range for bankruptcies).
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Total consumer debt topped $2 trillion for the first time in 2003.
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66% of Americans don't pay off their entire credit card bill each month.
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Persons entering college are offered an average of 8 credit cards the first week of school.
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55% of college students acquire their first credit card during their first year of college, and 83% of college students have at least one credit card.
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45% of college students are in credit card debt, the average credit card debt being $3,066.
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Undergraduates students carry an average of three credit cards.
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Graduating students have an average of $20,402 in combined education loan and credit card balances.
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20% of graduating college students have $10,000 or more in non-school related credit card debt.
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University administrators state that they lose more students to credit card debt than to academic failure.
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Students double their average credit card debt-and triple the number of credit cards in their wallets-from the time they arrive on campus until graduation.