By a number of different measures, Vermonters are leaving themselves open to identity theft and fraud and are not practicing some basic ways to protect themselves. Indeed, 14 percent of Vermont adults in the last two years have had someone rip them off financially, typically through a credit or debit card.An AARP Vermont telephone survey of some 800 adults across the state looked at how Vermonters are being targeted by scams and what they are doing to secure their personal information and identities.
“Vermonters are being targeted and falling victim to scams and cons at an increasing rate and older Vermonters are particularly at risk,” said Greg Marchildon, AARP Vermont State Director. “The findings in this statewide survey show that there is much more the average citizen can do to protect their identities and personal finances from these criminals.”
Summary of findings:
HOME-BASED/PERSONAL PROPERTY PROTECTIVE MEASURES
- Over half (53%) say most of their personal mail comes into an unlocked mailbox or mail slot at home.
- While about two out of five Vermont adults say that they shred documents that may contain personal information at least a few times a month (once a week or more: 23%; a few times a month: 18%), one-quarter (26%) say they never shred personal documents.
- Among those who say they own or drive a car (91%), many leave personal belongings in the car. In the week before completing this survey, not surprisingly, a majority (80%) say they leave their car license or registration in the car. Other personal items respondents indicate they left in a car that could make them vulnerable to ID theft include:
- A purse or wallet (16%)
- A backpack (15%)
- Checkbook (12%)
- Personal files (7%)
- House keys (7%)
- A personal or business laptop (6%)
ID THEFT
Security Breach
- One-third (34%) of adult Vermont residents say they received notification of a security breach at an organization with whom they’ve done business in the 12 months prior to taking this survey. One out of eight (12%) of these respondents say they believe the breach resulted in someone using their identity to purchase products or services without their authorization.üWhen asked what action they took as a result of the notification, one in five (19%) say they did nothing, while two out of three increased the monitoring of their bank and credit (61%), nearly half changed their online password with that company (46%), and about one-quarter put a credit alert on their credit file (27%).
Credit Profile/Identity
- Additionally, about one in seven (14%) Vermont adults say that in the past two years someone has used their identity or credit profile to purchase products or services they didn’t authorize.Most (72%) of these respondents say it was used to purchase merchandise with their existing credit or debit card.
Credit Monitoring - Among those adults in Vermont who have internet access (87%), nearly two out of five (37%) say they havenotset up online access to their bank and credit card accounts. And nearly a third of those who have set up online access to their accounts say they rarely (2%) or never (28%) monitor them.
- Most (72%) adults in Vermont with internet access say they havenotchecked their free credit reports atannualcreditreport.com, and most say they rarely (19%) or never (56%) access the three major credit bureaus online to view their credit accounts or reports.
- Three-quarters (75%) Vermont residents age 18 or older donothave a security freeze placed on their credit files with the three major credit bureaus.Passwords and Prevention Measures
- Among Vermont adults who say they access the internet through a smartphone (61%), one-quarter (26%) say they do not use a passcode on their phone to lock or unlock access to the phone.
- Among those who access the internet via a laptop (68%) or desktop (57%) computer, one in seven (14%) say they do not use a password or passcode on either device.
- Interestingly, among those with internet access (87%), one in eight (12%) say they use the same password on all accounts and one-third (34%) say they use passwords on all accounts that are of similar variations.Just a third (33%) indicates they use distinctly different passwords on every online account.
- One in five (19%) with access to the internet say they have never changed the password on their online banking account. Another seven percent say they changed this password over a year ago.üMost (82%) do not have an online password account manager like LastPass, KeePass, Personal or 1Password.
INVESTMENT BEHAVIOR - At best, most Vermonters only consider themselves somewhat knowledgeable about financial investing (43% somewhat knowledgeable; 22%not that knowledgeable;17%not at all knowledgeable).Still, nearly half (48%) of Vermont adults indicate that they own securities like stocks, bonds, or mutual funds.üWhile half (50%) Vermont adults report that they have not hired a financial professional, such as a stock broker, financial planner, or investment advisor, among the half (49%) who have hired a financial professional, four out of ten (38%) say theydidnotcheck the background of that professional to see if they were registered with a national or local securities regulator before they hired them.üWhen asked where they would turn for help or report that they were contacted or approached by someone about an investment opportunity they felt might be phony,:
- Just two percent indicate they would contact the Securities and Exchange Commission.
- Less than one percent say they would contact the Federal Trade Commission.
- Nearly one-quarter (22%) say they would contact the police.
- One in ten (10%) say they would turn to the Better Business Bureau for help.§About one in seven (15%) adults in Vermont says theyare not surewhere to go for help, and many indicate they would turn to a variety of sources.
IMPOSTER SCAMS
Computer Repair
- Just under half (36%) of all Vermont adults say they or someone they know has received a phone call or email from someone claimingto be a computer technician from Microsoft saying there was something wrong with their computer and if they allow them access, they can fix it. In reality, this is a scam to hack into the computer and steal someone’s identity.
Relative/Friend in Distress - Nearly one-third (27%) say they or someone they know has received a phone call or email from someoneclaimingto be a friend or relative in some kind of distress who needs money wired into some account. In reality, it is really a scam to steal money.
IRS Back Taxes
- One in five (19%) adults in Vermont say that they or someone they know has received a phone call or an email from someoneclaimingto be from the IRS telling them to send money right away in order to settle existing or back taxes or they will contact a collection agency. In reality, it is really a scam to steal money.
Large Lottery Win
- Over a third (36%) say that they or someone they know has received a phone call or an email that says they won a large lottery worth millions of dollars but to claim the winnings, a processing fee must be paid. In reality, there are no lottery winnings and it is really a scam to steal money.
Craigslist Purchaser
- Nearly one in five (17%) say that they or someone they know has been contacted by email by someone who was wanting to buy an item on Craigslist and offering to pay by sending a cashier’s check or money order. In reality, it is a fake cashier’s check or money order and really a scam to steal an item.
AARP Vermont launched a comprehensive consumer protection educational campaign two years ago to help arm residents with the information they need to prevent fraud. Through community forums, media outreach, literature and regional gatherings, the initiative has reached thousands of Vermonters. In addition, free document shredding events are planned for South Burlington in June and Rutland in July. Details can be found ataarp.org/vt. Resources and information on this issue can be found ataarp.org/fraudwatchnetwork.AARP is a nonprofit, nonpartisan membership organization with 130,000 members in Vermont and 40 million members nationally. Through a wide array of special benefits, services, and information resources, we help our members make important choices, reach their goals and dreams, and make the most of life after 50.
Source: AARP Vermont 6.10.2015