How to be extra vigilant during the holiday season and keep your financial information safe.
As the holiday shopping season approaches, it’s a good time to think about how you plan to keep your financial information safe. At a time when you will be searching online for the perfect gifts, "You have to be aware there are people out there whose intentions are to take your money and give you nothing in return," according to Susan Grant, director of consumer protection and privacy for the Consumer Federation of America.
Here are seven tips to consider when securing your personal data during the holiday shopping season:
1. Scrutinize stores, products and charities: If you see a product offered by a merchant you’re unfamiliar with, start with an internet search to ensure the merchant is legitimate. Sites such as the Better Business Bureau and Consumer Reports can provide information about businesses, products and services, and Charity Navigator applies ratings to charities in order for donors to evaluate them before giving. Finally, the Federal Trade Commission(FTC) “works to prevent fraudulent, deceptive and unfair business practices in the marketplace.” The FTC can be an excellent resource for reviewing potential scams.
2. Develop complex passwords: Ensure your passwords have at least eight characters, use a combination of capital and lower case characters, have at least one number and include special characters (such as: %, $, !, etc.), if the system supports them. Do not reuse passwords on multiple systems – if one system gets compromised, reused passwords could provide access to other accounts. The Department of Homeland Security recommends other tips as well, such as using long phrases and avoiding common words.
3. Take a close look at every link before you click: Phishing scams occur when an attacker poses as a trusted source, like a popular charity, to try to obtain your personal information. When you get an email for instance that asks you to enter your credit card number, double check the validity of the requester. Look to see if the URL in the email matches the URL on the company’s website. If you need to, call the company to verify the legitimacy of the request (Note: Your bank or credit card company will never ask you to enter your credit or debit card information in this way).
4. Keep your data safe on public Wi-Fi networks: Public Wi-Fi networks are frequent sources of hacks. Attackers can set up fake Wi-Fi networks that will give them access to your data. In addition, make sure you never set your phone to auto login to Wi-Fi hotspots and only log into networks from trusted providers.
5. Make sure your software is up-to-date: Ninety-nine percent of computers are vulnerable to attacks from security holes in software. Software companies try their best to keep their software security as up-to-date as possible, but in order to take advantage of this you need to update your software as often as possible. Set up reminders on your computer so you can know when to update key pieces of software. Lastly, always back up your data. You never know when disaster may strike and you don’t want to lose your photos, music or work files.
6. Monitor your financial accounts: Proactively check your credit reports from the top three reporting credit bureaus for free by visiting the Annual Credit Report website. In addition to your credit report, regularly review your bank account and credit card transactions for fraudulent activity. Consider signing up for credit monitoring and/or identity theft monitoring: Different from checking your credit report, credit monitoring may notify you if someone is attempting to commit identity fraud in your name, such as registering for a new credit card or bank loan. Identity theft monitoring takes this one step further and may work on your behalf to resolve certain issues that arise. Examples of identity theft monitoring providers include Identity Guard and LifeLock. Note that credit and identity theft monitoring services can come with a fee, so it’s recommended to compare plans before selecting a provider.
Don’t let a data breach ruin this holiday season for you. All it takes is a little time and effort, and you can enjoy the best gift of all – peace of mind.