Like many Americans, you probably rely on your checking account for many of your day-to-day purchases. All of your transactions, whether online or in person, can leave you vulnerable to fraud or theft if you’re not careful. It can happen to anyone, and it’s impossible to prevent it 100% of the time, but it’s way less likely to happen to you if you follow some simple precautions. We asked banking experts from around the country to weigh in, and got some excellent responses. Here are some easy tips to protect your account from theft and fraud.
Don’t sign your debit card
Greg Meyer, Community Relations Manager at Meriwest Credit Union, says, “don’t sign the back of your debit card. Write “Ask for ID” in big block letters with a permanent marker. If you sign the back of your card, you are just giving a thief an example of your signature.” The downside of this strategy is you’ll have to bring your ID with you for major purchases, but most people do that anyway, and it’s a small price to pay for added peace of mind.
Destroy old documents
If you bank online, you probably already receive e-statements, which cuts down on the amount of mail your bank sends you. For any bank documents you do get in the mail, however, be sure to shred the ones you don’t need to keep for your records. Jessica Williams, Marketing Coordinator for Consolidated Credit Counseling Services, Inc., says, “Shredding this paper work will stop the chances of someone successfully stealing your information through old statements that were tossed away in the trash.” She also recommends cutting up old debit cards at least 8 – 12 times before throwing them away. “Make sure the card number and name on card are not legible,” she adds.
Bank online
Online banking is super convenient. You can check your account balance, transfer money and pay bills without ever leaving your computer. In many ways, online bill pay is more secure than sending a check in the mail, because it doesn’t send your account number to the recipient. However, you still need to take precautions. The rest of the tips in this series will help you use online banking safely.
Make sure you have a secure Internet connection
As banking activist Brian Penny puts it, “Your banking transactions are only as secure as your internet connection.” He recommends that you, “set up a Proxy server, and get security software installed on any electronic device you access your account with. Until then, you’re doing your personal business in the public eye.” This is also exactly why you shouldn’t bank online in public places like cafes and libraries, especially if you’re using someone else’s wireless network. You just don’t know how safe your information is.
Choose a complex password
Donovan Fox, Communications Manager at Pentagon Federal Credit Union, says, “the most important thing you can do to protect your online identity and information is to maintain a secure password. Vary your capitalization and avoid dictionary words.” He also recommends changing your password frequently.
Consider keystroke encryption
If you do a lot of online banking, or regularly shop online, you may also want to consider keystroke encryption software. George Waller of Strikeforce Technologies explains what that is:
“Keyloggers are malware programs that track your keystrokes. They alert you when you type in bank names, and steal your login and password credentials as you log into your account, before it gets to the SSL protected website. Keystroke encryption software, like GuardedID, encrypts each keystroke as you make it and securely passes it into the application you’re using (website, email, instant message, SMS, etc.).”
Don’t click links or attachments in unsolicited emails
Joyce E. Morningstar, Senior Wealth Manager for Dynamic Wealth Advisors, puts it very simply: “If it looks sketchy, don’t open it.” You should never click on links or attachments in unsolicited emails, especially not if they claim to be from your bank or credit union. No financial institution will send you important documents via email, and they certainly won’t ask for your account information that way either. If you’re still not sure whether an email is real, call your bank’s customer service hotline and ask.
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