Caller ID scammers plan to do a number on you Updated 7/6/2006 10:59 PM ET
By Gary Haber The News Journal http://www.usatoday.com/tech/news/techinnovations/2006-07-06-uavs-iraq_x.htm Caller ID the little telephone display that tells you who's calling is many people's protection from folks they'd rather not talk to, whether it's a telemarketer making a pitch at dinner time or a scammer trying to con them out of personal financial information. Now, legislation pending in Congress would strengthen a line of defense that turns out to be more porous than many may think. Technology readily available for sale over the Internet allows callers to fool caller ID with a bogus name and number. The practice is known as identity spoofing. It's hard to get a handle on how widespread identity spoofing is, but it's gone well beyond harmless pranks. The AARP Bulletin recently reported a scam in which people received fraudulent calls claiming they missed jury duty and asking for their Social Security number. The calls seemed legitimate because the telephone number of the local courthouse showed up on caller ID. In Pennsylvania, constituents of Republican Rep. Tim Murphy were flooded with bogus calls from someone purporting to be from Murphy's office. The primary worry for consumers is that if a call appears to be coming from their bank, credit card company or a government agency, they could be persuaded to give up financial data a thief could use to open new bank accounts or apply for loans and credit cards. "It's a new way to scam people, because people rely on caller ID," says Sid Kirchheimer, author of "Scam-Proof Your Life" and the AARP Bulletin's Scam Watch columnist. The scam is part of the growing business of identity theft. A recent survey by the Council of Better Business Bureaus and Javelin Strategy and Research says 8.9 million Americans were victims of identity theft in 2005. While that's down from 10.1 million in 2003, the average dollar amount per incident rose to $6,383 from $5,249. Consumers paid an average of $422 out of pocket and spent an average of 40 hours to untangle the matter, according to the survey. Congress gets involved Propelled by recent high-profile cases of ID spoofing, the "Truth in Caller ID Act of 2006" sailed through the House of Representatives on a voice vote. The legislation is expected to receive broad support in the Senate. The bill, co-sponsored by Rep. Joe Barton, R-Texas, and Rep. Eliot Engel, D-N.Y., would make it illegal for callers to manipulate their name or number. It would give the Federal Communications Commission jurisdiction over identity spoofing and authorize the agency to impose fines of up to $10,000 per violation. Victims would also get the right to sue for damages. Engel says he was surprised to learn about the wide availability of Internet sites that allow scammers to purchase technology to thwart caller ID. "You can see a situation where ... scam artists can get people's Social Security numbers by posing as their bank or hospital," he says. Telephone carriers are also working on the issue. "This is definitely an issue our companies are concerned about and are keeping an eye on, says Allison Remsen, a spokeswoman for the United States Telecom Association. Verizon takes "a very aggressive approach" to ID spoofing, says John Lewandowski, the company's manager for security systems. "We investigate, and where appropriate, we refer it to law enforcement," Lewandowski says. Verizon is not the only carrier experiencing ID spoofing, he says. States tackling problem, too Several states also have taken up the issue of ID spoofing. Florida Gov. Jeb Bush signed a law banning commercial telemarketers from using ID spoofing. Violators can be fined up to $10,000 per incident. Alaska and New York have considered anti-spoofing legislation. Delaware has no law that specifically bars people from misrepresenting their name and number on the recipient's caller ID. If done for commercial purposes, however, the practice could be treated as a violation of the state's Deceptive Trade Practices Act or the Consumer Fraud Act, says Barbara Gadbois, who directs the Consumer Protection Unit of the Delaware Attorney General's Office. Extracting personal information that is then used to steal money or commit another crime is a felony punishable by up to eight years in prison, Gadbois says. Consumers be wary Even if Congress outlaws identity spoofing, consumers need to protect themselves by not giving out personal information over the telephone, consumer experts say. "If you're smart enough not to carry your Social Security card around in your wallet, you need to be smart enough not to give out information over the phone," says Gerry Kelly, Delaware's deputy commissioner for consumer affairs with the Office of the State Bank Commissioner. "The consumer needs to be in charge of the conversation," says Kelly, who teaches a Delaware Money School course on how to avoid financial scams. If you think the call is legitimate, Kelly advises to tell the caller to put his request for information in writing. Or call back the company on your own. Look up the company's number yourself rather than using the number the caller gives. Consumers must be vigilant, agreed Gadbois. "It's just amazing how many criminals find creative ways to take advantage of consumers," she says. On the Web: www.usdoj.gov/criminal/fraud/idtheft.html, Department of Justice Fraud Section. www.fraud.org, National Fraud Information Center. ---------------------[BOXED FEATURE]---------------------- Protecting yourself * Don't give out personal information such as your Social Security number, driver's license number, credit card account number or bank account numbers over the phone. * Banks, credit card companies and government agencies don't call people asking them to confirm or update this kind of information. They usually contact people by letter. * If you think the call may be legitimate, ask the caller to send you a letter specifying the information sought. Or call back the business or government agency on your own. Get the phone number yourself. * Getting an unlisted telephone number and signing up for the Federal Trade Commission's Do Not Call registry may reduce the likelihood of getting these calls. * Consider getting caller ID, even though it's not foolproof, or screening your calls. By the numbers * 8.9 million estimated number of U.S. identity theft victims in 2005, according to a survey by the Council of Better Business Bureaus and Javelin Strategy and Research. * 255,565 Complaints of identity theft in the U.S. reported to the Federal Trade Commission in 2005. ================================ George Antunes, Political Science Dept University of Houston; Houston, TX 77204 Voice: 713-743-3923 Fax: 713-743-3927 antunes at uh dot edu Reply with a "Thank you" if you liked this post. _____________________________ MEDIANEWS mailing list [email protected] To unsubscribe send an email to: [EMAIL PROTECTED]
