Financial Crime: Awareness & Prevention. Jon Jarosinski

Transcription

1 Financial Crime: Awareness & Prevention Jon Jarosinski 1

2 Objectives Current trends in financial crime How to identify scams Ways you can protect yourself

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4 Agenda ID Theft Scams & Con Schemes Credit & Debit Card Fraud

5 Financial Crimes Smarter form of theft Access to technology Proliferation of consumer information Organized criminal enterprises

6 ID Thief Shiva Brent Sharma New York Times, July 4, 2006 "I don't know how much I made altogether, but the most I ever made in a quick period was like $20,000 in a day and a half or something."

7 Identity Theft Definition Fraudulent use of personal information for profit Uses Opening new accounts Account takeover

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9 Account Takeover Identify target accounts Impersonate victim Request large wire transfers

10 Identity Theft Impact to Victims Damage to credit history Time and expense to clear record Legal action to collect debts

11 Identity Theft How does it happen? Physical theft Robbery, burglary, mail theft, trash Electronic theft System intrusion, malicious software

12 ID Theft Prevention Reduce exposure of personal information Limit what you carry with you Securely store important documents Shred discarded papers Be cautious about releasing information

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14 ID Theft Prevention Examine your credit report regularly to identify fraudulent accounts early Free credit report available online (member service/credit report) NO!

15 Signs of Fraud Accounts you don t recognize Wrong address information Incorrect balances 15

16 Monitoring Accounts Accountholders best at detection Don t wait for paper statements Do use online banking or alerts 16

17 ID Theft Victims Rights under Fair Credit Reporting Act (FCRA) Federal Trade Commission ID Theft Guide ID Fraud Affidavit

18 ID Theft Victims Fraud alert on credit report Credit freeze Credit monitoring services

19 Questions?

20 Phone Fraud 20

21 Rachel Calls This is Rachel from Cardholder Services Robo-calls in violation of Do-Not-Call lists Report to FTC, DATCP 21

22 Jamaican Lottery You won! But pay fees to get your prize? Caller ID can t be trusted Plan B: Threats & scare tactics 22

23 Grandson Scams Phone calls late at night, early AM Imposter claims trouble, requests cash Funds sent outside the US 23

24 Grandson Scams Don t tell Mom & Dad! Crooks do their homework Report call to local PD, FTC, IC3 24

25 Counterfeit Checks

26 Counterfeit Check Scams Victims cash bogus checks, send money to scammer Often internet-based

27 $$$$

28 $

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32 Oh, No!

33 Counterfeit Check Scams Many Variations: Online sale Apartment sublet Work at Home

34 Suspicious? Too good to be true? Instructions to send money? Ask your bank or credit union

35 UW Credit Union s Role Tellers trained on current scams Counterfeit checks often not identifiable Accountholder responsible for any deposit returned unpaid

36 Questions?

37 Credit Card & Debit Card Fraud

38 Credit Card & Debit Card Fraud Steal card data Copy data onto bogus plastic card Profit! Various points of compromise...

39 Fraud & Phishing Message from familiar sender Request for personal info Malicious attachments Never Open!

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41 SMiShing

42 Skimming Devices

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45 Skimming Devices

46 Credit Card & Debit Card Fraud Don t Panic! Fraud is 0.02% of total volume Safer, more convenient than cash Visa benefits protect cardholders

47 Cardholder Protection Zero liability for unauthorized charges Credit returned to account Fraud investigated to identify suspect

48 Cardholder Responsibilities Never share your card or PIN Report lost or stolen card immediately Notify bank or CU of unauthorized charges

49 Fraud Prevention Monitoring system tracks card usage to identify possible fraudulent activity Outgoing calls to cardholders Report lost/stolen cards 24 hours a day

50 Questions?

51 Fraud Awareness Know what s out there Watch for alerts Be skeptical

52 What You Can Do Reduce your exposure Check your credit history Use online banking

53 Thank You! (608) x2116