Lessons in privacy
College may be a safe haven in many ways, but identity theft is still a serious risk
Identity theft can go undiscovered for months, even years. And college students may not realize that even though they may have little credit in their own names, their identities can be hijacked. Thieves have even been known to apply for student loans, so keep a close eye on your loan portfolio. And be sure to check your credit record at least once a year to see if any credit accounts have been opened in your name. Reports generally cost around $9, but they are free if you have recently been denied credit. To obtain a copy of your credit report, you can contact the three major credit bureaus: Equifax (800-685-1111), Experian (888-397-3742), and TransUnion (800-888-4213).
College students who use the Internet regularly--and most do--must also be careful when downloading music or videos. Identity thieves have been known to attach special software to files that can grab any personal financial information stored on a computer. Or a student may unwittingly give away his or her financial dossier by falling for a "phishing" scheme: Scamsters send official-looking E-mails that purport to be from, say, a bank or online business, asking for credit card and bank account numbers and passwords. That's what happened when some Citibank customers recently received phony E-mails requesting account information, ostensibly to help clear up a "billing error."
It's personal. Perhaps the most disturbing part about identity theft is that it's often extremely personal. One study found that 16 percent of identity theft is committed by friends, family members, or coworkers. In East Lansing, Mich., last spring, a 22-year-old Michigan State University senior who worked in an apartment building with many student tenants was charged with allegedly stealing personal data off their leases--including info about their parents, who had cosigned the leases--and using it to obtain approximately $100,000 worth of credit.
The consequences of identity theft can be devastating for students as they get their adult lives off the ground. Your credit record is like a financial report card: It tells the world whether you pay your bills on time and how big a debt burden you bear. Credit grantors review it, and landlords peruse it when determining whether you'll be a responsible renter. Even some employers look at the credit reports of potential hires.
That's why it's important for identity theft victims to repair their credit as quickly as possible. Notify the credit bureaus that you have been victimized and request that a fraud alert be placed on your record, file a police report, and close any existing accounts that have been tampered with or opened by strangers. The FTC operates a clearinghouse ( www.consumer.gov/idtheft or 877-438-4338) to assist victims. The Department of Education also has a website at www .ed.gov/misused (click "ID Theft") for students.
What you don't know can indeed hurt you.
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