Tag Archives: Fraud

Well, don’t be PARANOID, per se.

All this talk about fraud and identity theft can paint a pretty grim picture of the world.

This is not the intent of the Fraud Prevention Unit.

The point of this information is to help you know what to look for when it comes to this type of crime. You have to be watchful, but to become cynical and paranoid is taking things too far.

We each have an individual view of the world, a lens through which we view ourselves, other people, society and life in general. We each have a set of values and beliefs that influences how we perceive every single piece of data we encounter.

This is a good thing. It’s what makes us all different, and that keeps life interesting. But this flipside is that, whether we realize it or not, we also seek confirmation of those same values and beliefs. We seek out those things that reinforce our view of reality, and reject those that would contradict it.

If you convince yourself that “everyone but me is dishonest and is trying to steal everyone else’s identity and money,” you will end up only seeing those things which confirm this view of the world.

Without realizing it, you may even set yourself up to become a victim, since you expect it to happen all the time anyway. For example, if you always expect to be ripped off, you may actually decide to take your car to a less-than-trustworthy mechanic, without realizing why you even made this decision (your subconscious desire to prove that the world is an ugly, terrible place with nothing but bad people in it).

The fact is, most people are honest. Even in a crummy economy, if you drop your wallet, most people will try to return it to you. There are so many people doing good things to help out others every single day, all around the world. Let yourself see it. Sure, you’re getting phishing emails a couple times a week, but those are coming from a very small number of criminals. Be alert, but don’t let yourself become cynical. Life is just no fun that way.

By the way, you didn’t win the lottery

Here’s a good rule of thumb when deciding how to respond to a potentially fraudulent email message, letter, telephone call or other type of communication: if a stranger walked up to you on the street and said the exact same thing, would you believe them?

For example, you’re walking down the street when a random guy in a shabby gray suit approaches you. He says, “Greetings, I am a foreign dignitary currently in exile and would like to ask for your assistance in transferring my fortune into the United States, totaling 250 million USD. If you help, I will let you keep 25% of that amount. I will need your checking account number to complete this process.”

You’d tell the clown to get lost.

Or perhaps he says, “Congratulations! You have been selected in the Canadian lottery as the top prizewinner! In order to claim your prize of 2.5 million USD, please give me a cashier’s check for $2,945.23 to cover taxes and other fees.”

Unless you’re very gullible, your reaction would be the same.

I know that the economy isn’t good at the moment. You might be facing layoffs, reduction in pay, or worse. Your employer might be going out of business completely. You get an email that promises instant riches and it seems like all your prayers have been answered.

These thieves know that. That’s why they’re in the fraud business to begin with. They’re counting on your sleepless nights of worrying about where you’re going to get the money to make it. And they’re only going to make your situation worse.

You have to keep your guard up. Imagine that offer coming from a stranger on the street, and you will instantly see through it.

Stay Vigilant

Nobody is ever 100% safe from fraud, scams or identity theft. Even if you’ve done everything possible to prevent becoming a victim, it can still happen.

Take, for example, the data breach at Heartland Payment Systems a few months ago. Through no fault of their own, thousands of people experienced unauthorized use of their credit or debit cards. It wasn’t that they fell for a phishing email or a fake phone call. They simply made a purchase or two at a store or restaurant that used Heartland as their card processor.

However, there is no reason to panic. By taking simple steps to stay safe on your end, you can drastically reduce your chances of becoming a victim of fraud.

The key is to be informed and vigilant. Know what the threats are, know how to spot a scam and keep a close watch on your financial statements, and you’ll be miles ahead of where the crooks would like you to be.

That’s why REGIONAL Federal Credit Union is bringing you this new website. We believe that education is key to achieving financial security and independence.

It’s not all doom and gloom, though. In fact, it is my aim to make this site as entertaining as possible (despite the admittedly bone-dry seriousness of this first post). I’ll be posting some Video Dispatches from the FPU very soon. Be sure to check those out. There’ll be enough weird props, strange pop culture references, silly music and bad acting for everyone, and you’ll learn something, too.

I’ll be learning, too. After all, there are new variations on these scams popping up all the time. It will be a chore to keep up, but I will do my best. In the meantime, questions, comments and suggestions are always welcome! Use the comment function below, or email me directly at cturpen@regionalfcu.org. Also be sure to follow the FPU on Twitter (@fraudprevunit). I’ll be posting tips and updates there as well.

And always remember: stay vigilant.