What social media networks don’t want you to know may hurt
How Social Media Networks Facilitate Identity Theft and Fraud
by Kent Lewis
Recent research reveals that identity theft affects as many as ten million Americans each year, costing victims an additional 300 million hours in identity recovery and repair. According to the FTC “Consumer Fraud and Identity Theft Complaint Data” report (February 2008), the losses to businesses and financial institutions total nearly 53 billion dollars annually. Younger generations are more susceptible to identity theft than older generations. College students are 27% more likely to get their identity stolen (more than twice as likely as Americans ages 50 to 59).
The increase in vulnerability is not just with younger generations, however. A combination of factors including: a lack of consumer knowledge regarding protecting your identity online, growing comfort with and trust in social platform providers, the need for social platforms to generate revenue and a lack of standards or policing of these standards, have lead to tremendous potential for online theft and fraud. Although the issue is not yet in the mainstream conscious, it may well be sooner than later.
Fueling the Fire
Social media sites generate revenue with targeted advertising, based on personal information. As such, they encourage registered users to provide as much information as possible. With limited government oversight, industry standards or incentives to educate users on security, privacy and protecting your identity, users are exposed to identity theft and fraud. Additionally, these platforms have terabytes of confidential user information, and are likely vulnerable to outside (or inside) attack. On the marketing front, Google recently patented an algorithm to rate individual’s influence within social media. Once publicized, it will likely encourage greater participation by active users in order to boost their influence score.
Crimes of Opportunity
With the increased global use of social media, there are more opportunities than ever before to steal identities or perpetrate fraud online. For example, status updates posted on Twitter, Facebook and many other social media sites can be used by criminals. If you post that you’re out of town on vacation, you’ve opened yourself up for burglary. If you mention that you’re away on business for a weekend, you may leave your family open to assault or robbery. When it comes to stalking or stealing an identity, use of photo and video sharing sites like Flickr and YouTube provide deeper insights into you, your family and friends, your house, favorite hobbies and interests.
Social networking sites, however, have the greatest potential for abuse. While everyone should know by now never to share your social security number and driver’s license, many social networking sites ask for, if not require, sensitive information that can be used against you in a variety of malicious ways. The following profile elements can be used to steal or otherwise misappropriate your identity:
- Full name (particularly your middle name)
- Date of birth (often required)
- Home town
- Relationship status
- School locations and graduation dates
- Pet names
- Other affiliations, interests and hobbies
You’re probably asking why sharing your pet’s name, high school graduation date and membership to the NRA with the public is a potentially dangerous move. There are a variety of reasons to keep personal information confidential, or at least closely managed. Below are just a few examples of how this information can be used to compromise your identity:
- Phishing attempts using this information can be used to gain trust in order to obtain non-public information through online conversations. A Portland company was recently attacked with false Better Business Bureau false complaints in order to obtain additional information about the company and its employees.
- GPS-enabled phones sharing your location can reveal sensitive information like your home address, work address and everywhere else you go.
- 95% of Facebook profiles have at least 1 application, many of which are not reviewed and can be used for malicious and criminal purposes.
- False profiles can be used fuel resume fraud or defamation of character. A Canadian reporter recently was defamed via a false profile that included misleading posts, poorly considered group memberships and intellectually inconsistent political positions.
- An American soldier abroad in Iraq discovered his bank account was being repeatedly being accessed online and drained. A security expert was able to replicate access with nothing more than his name, email and Facebook profile.
- An IT professor and author used MySpace information to hack into a friend’s email and bank accounts, as outlined in a Scientific American article and NPR story.
Before you jump online and cancel all of your social media accounts, consider that there are ways to be smart about what you share and who you share it with. By following the best practices outlined below, you can enjoy the benefits of social media without making yourself a target for criminals.
- Never, ever give out your social security or driver’s license numbers.
- Consider unique user names & passwords for each profile.
- Vary your passwords and change them regularly.
- Don’t give out your username & password to 3rd parties (even if it helps you connect to others and build your network.
- Assuming you plan to be active in social media, minimize the use of personal information on your profiles that may be used for password verification or phishing attacks.
- Avoid listing the following information publicly: date of birth, hometown, home address, year of high school or college graduation, primary email address.
- Only invite people to your network that you know or have met vs. friends of friends and strangers.
- For password security verification questions, us a password for all answers (rather than the answer to the specific question, like “what is your mother’s maiden name?”).
- When age-shifting to protect your real birthday, keep the date close, otherwise, you may expose yourself to age discrimination.
- Watch where you post and what you say, as it can be used against you later.
- Google yourself regularly and monitor your credit using the free annual report or monthly monitoring services.
Consumers need to be educated on the proper use of social media as it relates to protecting privacy and security. Social networks need to understand the impact of not addressing security and privacy issues. If the information becomes corrupted, it not only casts doubt on the social network but on your real-life personality.
When social media leads to personality theft
5 dangers of social media
Fact Sheet 127 – Blog Sense
Identity Theft: Startup Fallout and Startup Opportunity
How I stole someone’s identity