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February 2003
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50
more dogs for Delhi Police The Times of India – 20.12.2002 The Asian
Age – 7.1.2003. Latest
Scam Warnings From Watchdogs, USA Think that
you’re too smart to be conned? More than a half-million Americans
suffered identity theft during the past year – and many of them were
tricked into divulging vital personal information. Identity theft
leads the list of scams plaguing consumers. It cost American banks
and two credit card companies more than $300 million annually, the
government reported this year. Internet scams – nondelivery of
merchandise and online identity theft – cost each victim an average of
@427. Bottom Line/Personal interviewed one of the three top consumer
rights Advocates and how to defend against them…. APPLICATION
FRAUD How it works: You get a
phone call offering a pre-approved credit card at an attractive interest
rate with no interest on balance? The caller just needs you to
verify some information, including your Social Security number, date of
birth and mother’s maiden name. Trap: These are the three pieces of information that allow any con artist to apply for credit in your name. The illegally obtained card is charged to the limit, and the account goes into default. Since the card wasn’t sent to your address, you don’t find out until you are refused for a new card or loan. Credit providers send you a notice of the default – but it goes to the address used by the scam artist. Under federal law, you are liable for only @50 of the fraudulent charges, but restoring your credit can take years. The stolen information is often sold by the thief, causing repeated fraudulent applications in your name. Self-defense:
Place a fraud alert in your credit report with the credit-reporting
agencies so issuers notify you when a credit application is made in your
name. Some fail to call, so check your credit report annually. (Courtesy: Mr. S.J. Grogan,
USA)
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