1-In-10 Americans Become Victims of Fraud [more...]

New Law Promotes Access to Free Credit Reports [more...]

Child Abduction Prevention Info Now on DVD [more...]

Need More Miles? [more...]

10 Simple Ways to Protect Your Family and Your Money [more...]

The Facts on FACTA [more...]

Cool Tools [more...]

Police Target 29A Virus Creators [more...]

According to The Federal Trade Commission, nearly 25 million adults-11.2 percent of the adult population-were victims of fraud last year. Certain racial and ethnic minorities were much more likely to be victims of fraud then non-Hispanic whites. According to the survey, American Indians and Alaska Natives were the ethnic group most likely to be victims: nearly 34 percent had experienced one or more frauds in the preceding year. Seventeen percent of African Americans were victims; over 14 percent of Hispanics were victims; and over 6 percent of Non-Hispanic whites were victims.

The survey of 2,500 randomly chosen consumers shows that consumers with high levels of debt were more likely to be victims of fraud. Three of the top four categories of fraud related to credit, including credit-repair scams often targeted at those carrying high debt loads or having bad credit.

The most frequently reported type of consumer fraud was advance-fee loan scams, in which consumers pay a fee for a "guaranteed" loan or credit card. Four and a half million consumers–2.1 percent of the U.S. adult population-paid advance fees but did not receive the promised loan or card. In fact, some consumers reported that more than once during the last year they paid fees to get loans or credit cards they did not get.

Buyers' club memberships or bills for unordered publications were the second most commonly reported fraud category in the survey. Some four million consumers – 1.9 percent of the U.S. adult population – were unwittingly billed for memberships they did not authorize or publications they did not order.

Credit card insurance scams and credit repair were the third and fourth most common frauds identified in the survey. While federal law limits consumers' credit card fraud liability to $50, fraudsters sell credit card insurance by falsely claiming that cardholders face significant financial risk if their credit cards are misused. An estimated 3.3 million consumers bought unnecessary insurance against the unauthorized use of their credit cards.

Women and younger consumers are more likely to complain if they have been victims of fraud, the survey found. An estimated 74.5 percent of female victims complained. For males, the complaint rate was 10 percentage points lower. Similarly, almost 75 percent of consumers under the age of 35 complained, compared to only 55.4 percent of consumers between 55 and 64.

According to the survey, consumers between the ages of 25 and 44 are most likely to be fraud victims. Eleven percent of them were victims, compared to 8.7 percent in the 45 to 54 year bracket, 6.1 percent of consumers aged 55 to 64, and only 4.7 of consumers 65 years and older.

Soon you'll be able to get your credit report for free. A recent amendment to the federal Fair Credit Reporting Act (FCRA) requires each of the nationwide consumer reporting companies to provide you with a free copy of your credit report, at your request, once every 12 months, from www.annualcreditreport.com. The Federal Trade Commission (FTC), the nation's consumer protection agency, has prepared a brochure, Your Access to Free Credit Reports, explaining your rights and how to order a free annual credit report.

A credit report contains information on where you live, how you pay your bills, and whether you've been sued, arrested, or filed for bankruptcy. Nationwide consumer reporting companies sell the information in your report to creditors, insurers, employers, and other businesses that use it to evaluate your applications for credit, insurance, employment, or renting a home.

Consumers in Western states will first be able to order their credit reports under the federal law beginning December 1, 2004.

How do I know when I'm eligible to get a free report?

Free reports will be phased in during a nine-month period, rolling from the West Coast to the East beginning December 1, 2004. Beginning September 1, 2005, free reports will be accessible to all Americans, regardless of where they live.



Consumers in the Western states - Alaska, Arizona, California, Colorado, Hawaii, Idaho, Montana, Nevada, New Mexico, Oregon, Utah, Washington, and Wyoming - can order their free reports beginning December 1, 2004.

Consumers in the Midwestern states - Illinois, Indiana, Iowa, Kansas, Michigan, Minnesota, Missouri, Nebraska, North Dakota, Ohio, South Dakota, and Wisconsin - can order their free reports beginning March 1, 2005.

Consumers in the Southern states - Alabama, Arkansas, Florida, Georgia, Kentucky, Louisiana, Mississippi, Oklahoma, South Carolina, Tennessee, and Texas - can order their free reports beginning June 1, 2005.

Consumers in the Eastern states - Connecticut, Delaware, Maine, Maryland, Massachusetts, New Hampshire, New Jersey, New York, North Carolina, Pennsylvania, Rhode Island, Vermont, Virginia, and West Virginia - the District of Columbia, Puerto Rico, and all U.S. territories can order their free reports beginning September 1, 2005.

How do I order my free report?

You can order your free annual credit report online at www.annualcreditreport.com, by calling 877-322-8228, or by completing the Annual Credit Report Request Form and mailing it to: Annual Credit Report Request Service, P.O. Box 105281, Atlanta, GA 30348-5281.

When you order, you need to provide your name, address, Social Security number, and date of birth. To verify your identity, you may need to provide some information that only you would know, like the amount of your monthly mortgage payment.

KidSmartz, a 30-minute DVD, reveals the psychology and techniques used by child predators and teaches parents how to effectively discuss abduction prevention with their children. The producers claim that one half of all profits are donated to the National Center for Missing and Exploited Children. Currently available at Borders, Wal-Mart, and Amazon.com for $13.49.

1. If at home, search the house completely checking closets, garage, crawl space, piles of laundry, in and under beds, inside large appliances (washer or dryer)-wherever a child may crawl or hide.
2. If you still cannot find your child, immediately call the police.
3. If your child disappears in a public place, notify the location manager or security office. Then immediately call the police. Many stores have a child security plan-if a child is missing in the store, employees immediately mobilize to look for the missing child.
4. When speaking to the police, provide your child's name, date of birth, height, weight, and any other unique identifiers such as eyeglasses and braces. Tell them when you noticed that your child was missing and what clothing he or she was wearing.
5. Request that your child's name and identifying information be immediately entered into the National Crime Information Center (NCIC) Missing Person File.
6. Contact the National Center for Missing & Exploited Children on their toll-free telephone number, 1-800-THE-LOST (1-800-843-5678).

Now passengers short a few miles of a free ticket on American, American West or Delta can buy miles for four cents apiece at Miles4Sale.com. Miles are immediately deposited into your account and can be redeemed for tickets or upgrades. Miles4Sale also allows users to give miles as gifts or set up a bridal registry.

Need to know how many miles from one carrier can be converted for use at another? Go to WebFlyer.com.

Rip-offs and con artists exist in every industry. Whether you are buying a car, repairing your home, arranging an exotic vacation, or buying online, someone is likely waiting to take you to the cleaners. In the spirit of the New Year, here are ten of our top consumer protection recommendations:

• Before taking your car in for repairs, inconspicuously mark key components with chalk or a sharp implement. After the repair and before paying the repairman, inspect the items you marked and see if they have been actually replaced. Better yet, ask that all of the old components be returned to you after the repair.
• Negotiate the price of your next new car before test-driving it at the dealership. Dealers typically request a copy of your driver's license before allowing you to test drive their vehicles. Doing so helps them prevent drive-offs, but it allows them to do some quick research and find out what you paid for your last vehicle and what you earn. This information gives them a decided advantage during negotiations. Better yet, rent the car of your choice for a day. This will allow you to drive the vehicle at your leisure and really determine if it is the right one for you.
• Change the door locks on your home. Over the years, we tend to lend our keys out to housekeepers, repair people, and family members and forget to get them back. While you're at it, replace all the batteries in your home's smoke alarms and battery-operated clocks.
• Steer clear of drive-by repairmen. Notorious for shoddy work and rip-offs, these scoundrels can be defeated by requesting a copy of their contractor's license and insurance documents. Better yet, check the license plates of their vehicle. If it's from out-of-state, or a county miles away, chances are you're likely to be taken.
• Watch out for bogus chimney repairs and waterproofing scams. These cons are most typical in those parts of the country where wood burning fireplaces and basements are common home features. After a quick - and often free - inspection these operators immediately recommend major repairs are necessary in order to make your home safe. Avoid these self-serving scoundrels and hire home inspectors that don't do repairs.
• Shred all documents containing personal information before tossing them in the trash. Use only a shredder that cross-cuts. A straight cutter cuts the documents in ribbons, making them susceptible to easy reconstruction.
• Consider CCTV for your home. The cost of closed-circuit cameras and recorders are so low most people can afford to install them in their home. Configure the system to only record when you are out of the home or the alarm is on.
• Put only your name on your luggage tags. Burglars are known to frequent airports to identify travelers leaving their home unoccupied. Most frequently targeted are young families traveling with children. Why-because their homes are most likely to be unoccupied while gone. Put your name and address inside your luggage.
• Next time you go to the hospital, BYOD (bring your own drugs). Hospitals charge for every item and pill they dispense. Aspirin may be as much as $5 per tablet. If possible, bring your own medications and bypass the hospital pharmacy.
• Buy a cheap pen. Check thieves steal checks and wash them with acetone to remove everything but your signature. They then re-write them to the person they wish and change the dollar amount. The best defense is to use a cheap uni-ball gel pen (sometimes called gel roller-ball) for all check writing. The ink in these pens cannot be removed with acetone.

After seven years of tireless lobbying, a coalition of security groups lead by The National Council of Investigation and Security Services convinced law makers to amend the Fair Credit Reporting Act and eliminate the requirement that employers obtain employees' permission before investigating suspected misconduct. In March 2004, the President signed into law the Fair and Accurate Credit Transactions Act (FACTA). Among other things, FACTA amends Section 603 of the FCRA and eliminates the requirement that employers notify employees of their intention to conduct an internal investigation and obtain permission from those they intend to target. However, employers are reminded that these changes do not alter the requirements to receive permission from job applicants when ordering consumer reports or investigative consumer reports from consumer reporting agencies. CRAs must still obtain a certification of compliance from the requesting employer prior to receiving the request for a report. Please contact us if you would like more information about the FACTA or the FCRA.

The FTC's new rules regarding consumer rights become effective January 31, 2005. For more information about consumer rights and notices visit the FTC Web site. Go to http://www.ftc.gov/bcp/conline/pubs/credit/fcrasummary.pdf to view a down-loadable PDF version of the Consumer's Summary of Rights.

Need an aerial photograph of your home, business, or school? Give TerraFly a try; it is likely to change your view of the world. A public service of Florida International University with cooperation from the National Science Foundation, NASA, U.S. Geological Survey, and IBM, this powerful and easy to use tool delivers high-quality aerial photo imagery to your desktop. Derived from USGS Digital Orthophoto Quadrangles (DOQs), the imagery has been altered for precise mapping and crystal clear viewing. Aerial photo imagery is available over almost any area within the continental United States at 1-meter resolution or better (at 1-meter resolution 1meter=1pixel). Some urban areas are available at 1-foot and better resolutions. Basic use is free. However, a $500 annual subscription enables a host of powerful tools for commercial use and precision analysis. The site is not only useful but fun. A few minutes of experimentation and any user will master TerraFly.

Security concern: While technology like TerraFly has many beneficial uses, terrorists and criminals with the intent to trespass will also find it useful. The technology reduces the amount of advance work bad guys will have to perform before they strike. The ability to peer behind fences and into secure areas from one's home computer should send shivers down the spine of every security professional.

While computer viruses continue to plague PC users around the globe, law enforcement agencies everywhere struggle to track the destructive code and identify their creators. Last month, Czech and Russian authorities tightened their grip on the European computer virus-writing group known as 29A. The group is notorious among cyber-security experts and hackers for penning some the most innovative viruses yet created. Recent creations include viruses that target cell phones and pocket PCs that run on Microsoft® software.

29A claims its creations spring from its academic creativity and the intellectual challenge that the work provides, and says as a matter of practice its members to do not release their viruses into the wild. However, the group does publish the source code for its viruses on its Web site. Czech police recently raided the home of Marek Strihavka, a.k.a. Benny, and seized several computers, storage devices for "analysis." The group's Web site says Benny is no longer a member. However, sources speculate that Benny may have authored Slammer. Slammer was released into the wild in 2003 and inflicted what is now estimated to have been more than $2 billion in damage, to computers and networks worldwide.

Source: Wall Street Journal