Children are appealing targets for ID theft; parents can guard them

They even go after one of the most vulnerable groups: children."Children are not in any condition to protect themselves," said Adam Levin, chairman and co-founder of Identity Theft 911, which provides identity-theft products and helps victims of the crime. "It's up to their parents.

Children are especially enticing targets for identity-theft crooks because it can take years before the crime is discovered.

"Children, while it doesn't occur often, are probably the most vulnerable just because if someone steals my child's identity, they can use that for 10 to 15 years before they [the child] apply for a loan and they find that their credit is really not good," said Thomas Harkins, chief strategy officer for Secure Identity Systems in Nashville.

Statistics on child identity theft are hard to pin down.

"We don't ask for age in our identity-theft surveys," said Claudia Bourne Farrell, spokeswoman for the Federal Trade Commission. "Our self-reported, anecdotal data indicates that about 5 percent of the complaints last year were for people 18 and under."

The number of child identity thefts reported may be lower than the actual number because "many people find out after they're over the age of 18 that they were victims of identity theft when they were under 18," Mr. Levin said.

"The conventional wisdom is that it's about 500,000 people a year who are children who become victims of identity theft," he said.

The most common way child identity theft occurs is when the child's Social Security number is used to establish new lines of credit.

source : http://www.google.com/news?

Making Cents: Knowing your credit score

If you've ever applied for a mortgage, car loan or most any other type of financing, you're familiar with the importance of having a good credit score. These days, insurers and even potential employers often scrutinize credit scores.

Ranging from 300 to 850, the higher your credit score, the better. But what exactly is a credit score and how is this almighty number determined?

A credit score, which is often referred to as a FICO score, is named for its software creator, the Fair Isaac Corp., and determined from information on credit reports. That payment history data is entered into software that establishes the number lenders use to estimate risk. The higher the score, the less likely a borrower will default on a loan.

There are five determining factors of a credit score. Payment history carries the most weight, followed by the amounts you owe, the length of your credit history, types of credit you use and new credit.

Payment history includes the number of accounts you have paid on time, negative collections and delinquent accounts.

What you owe is broken down as follows: the amount you owe on various accounts; the types of accounts with balances; any revolving credit lines; amounts due on installment loan accounts; and the number of zero balance accounts.

Types of credit may include a mortgage, installment or revolving accounts. A variety of accounts will typically earn you a higher credit score.

A number of factors come under the heading of new credit: The number of accounts you've recently opened, the number of recent credit inquiries and the time elapsed between making an inquiry and opening an account.

Attempting to open too many accounts in a short space of time will bring your credit score down.

The sooner you bring overdue bills up to date, the better. If you foresee a problem maintaining payment schedules, contact your creditor and hammer out a plan. Avoid opening new accounts that you don't need. And don't close unused accounts - that zero balance could help your score.

Be aware of the types of credit you currently use. A mixture of credit cards, installment loans and fixed-payment loans can help increase your credit score - provided you make timely payments.

source : http://www.google.com/news?

The High Cost of a ‘Free Credit Report’

EARLIER this year, Kris Steele, a Web developer in Madison, Wis., who was planning to buy a car, decided to check his credit score.
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Mr. Steele, 27, remembered a number of commercials for FreeCreditReport a young slacker singing about various life problems — living in the in-laws’ basement, dressing as a pirate to wait on tables in a seafood restaurant — all because he had neglected to check his credit score. The ads were lighthearted and catchy, with lyrics like: “F-R-E-E, that spells free creditreport.com, baby. Saw their ads on my TV, thought about going but was too lazy.”

So Mr. Steele headed to the site and filled out the information form, including his credit-card number, which he thought the site needed to verify his identity.

But a couple of months later, Mr. Steele noticed the site had been charging his credit card. While he believed he had signed up for a free report, he had actually enrolled in a credit-monitoring service that cost $14.95 a month. He says he never expected that it would cost anything.

“It’s called FreeCreditReport.com,” he said. “It’s kind of easy to make that assumption. I didn’t see anything in the process of signing up that said, ‘Hey, if you don’t cancel in 30 days or whatever, you’re going to get charged.’ ”

Consumer groups have long objected to sites like FreeCreditReport.com. Consumers may obtain a free credit report each year from the three major agencies, as mandated by an act that Congress passed in 2003. The only authorized site for that is

source : http://news.google.com/news?

How to Improve Your Credit Report

With the economy on go-slow and lenders in a cautious mood, this is the perfect moment to get to know your credit report. It lists your credit accounts, your repayment record and much more – and it can make all the difference between getting the credit card, loan or mortgage you want and a string of puzzling rejections.

Find out what a credit report contains, how it’s used and what you can do to improve it – and your chances of getting the credit you need.

Improve Your Credit Rating: Who has a Credit Report?

If you’re over 18 and have ever taken out a credit card or loan, apart from a student loan, then you have a credit report, which is held securely by a credit reference agency – Experian is the UK’s largest.

Lenders usually check your report when they decide whether to make you an offer and what terms, such as interest rates, to set. It helps them to make informed and responsible decisions.

Improve Your Credit Rating: What does a Credit Report Contain?

As well as listing your credit accounts and showing whether you make repayments on time and in full, your credit report contains a range of information that helps lenders to assess whether you are a reliable borrower and can afford to take out more credit. This data includes details of any court judgments against you for non-payment of debts, plus bankruptcies or individual voluntary arrangements you’ve taken out.

The electoral roll shows if you have registered as a voter at your current address. Lenders check the roll as a precaution against fraud, to make sure that you live where you say you do.

Another section lists the people with whom you share a joint account, such as a credit card or mortgage. These people are known as your financial associates. Their credit report details don’t appear in your report but lenders may look them up separately because their circumstances could affect your ability to repay what you owe.

source : http://www.google.com/news?

Clean up credit score to land a sweet mortgage rate

If you're planning to sell your house in this sluggish housing market, you need to make a good impression. Clean the windows. Wax the floors. Power-wash the cat.

If you're a home buyer, you need to do some housekeeping, too. Unless your credit record is spotless, you probably won't qualify for the lowest mortgage rates.

When you apply for a mortgage, most lenders will review your FICO score, a widely used score developed by Fair Isaac. A few months ago, borrowers with a FICO score of 700 usually qualified for the lowest mortgage rates, says Mavel Vargas, manager of lending research for Informa Research Services. Now, though, most borrowers need a score of at least 720 to get the best rates, she says.

Most borrowers know that falling behind on debts will hurt credit scores. But other issues that could hurt your score may be less obvious, including:

•"Same as cash" offers. These deals, offered on everything from new decks to high-definition TVs, provide a way to postpone having to pay for a large purchase, for anywhere from 90 days to a year. But these offers carry hidden costs for borrowers, says John Ulzheimer, president of educational services for

source : http://www.google.com/news?

Seeking approval New rule for getting a mortgage today: Don't assume anything

But even borrowers who think they're well positioned to be approved for a mortgage "can't assume anything," said Guy Cecala, of Inside Mortgage Finance. And they'd better be prepared to shop around to get the best rates.

Cecala estimates that a third of the people who were able to get a loan in 2005 and 2006 no longer qualify for financing today. That takes into account the disappearance of subprime and Alt-A loans as well as the tightened requirements for getting prime mortgages, he said.

"Mortgage credit is as tight as we've seen it in a generation," said Cecala, publisher of the industry newsletter. "When does it get looser? When people feel that the housing market is stabilized, and that's really not going to happen until we start seeing an end to rising defaults and foreclosures, and housing prices have stabilized in markets throughout the country."

If he had to guess, it'll be another year before getting a mortgage becomes any easier.

In some cases, lenders are even looking beyond the numbers for proof not only that an applicant has a job with a steady income stream but is also likely to keep that job, said Bob Moulton, president of Americana Mortgage Group on Long Island, N.Y.

Case in point: One of his clients, an employee at Bear Stearns, was recently required to get a statement from the human resources department indicating continued probability of employment at the firm. The statement could not be obtained, and the mortgage wasn't approved, he said.

"They're trying to be a lot smarter than they were three, four or five years ago," he said.

source : http://www.google.com/news?

Credit Scores Cost Consumers $28 Billion, Survey Says (Update2)

July 10 (Bloomberg) -- U.S. consumers remain in the dark about how the credit-scoring system works in obtaining mortgages, insurance and credit cards, costing individuals as much as $28 billion each year, a survey concluded.

Credit scores are a vital but often overlooked part of people's financial health. The number, also known as a FICO score, determines interest rates on credit cards, and is being used increasingly by insurance companies to set rates and prospective employers in hiring decisions.

``The good news is they know more about what will affect their scores,'' said Stephen Brobeck, executive director of the Washington- based Consumer Federation of America. ``The bad news is they don't know what their score means.''

Taking steps such as paying bills on time and not maxing out credit cards will improve scores, the Consumer Federation and Washington Mutual Inc. said at a news conference in Washington today.

The survey showed improvement from previous years, with 28 percent correctly identifying 700 as the minimum score to qualify for a prime mortgage rate, up from 24 percent last year. Washington Mutual and the consumer group surveyed more than 1,000 Americans in June, with a margin of error of plus or minus 3 percent.

Saving With Scores

People responding to the survey didn't understand that free credit scores are based on payment histories and how they've used credit in the past. Many respondents said factors such as income, age, marital status, and education levels influence credit scores, the consumer federation said. They don't.

Consumers are assigned credit scores on a scale of 300 to 850, with 700 or above considered prime. Below 600 is considered ``subprime,'' with greater lending risk, as the subprime-mortgage crisis demonstrated.

A low credit score means you'll spend more money to borrow. Raising a credit score by 30 points translates into an annual credit- card finance-charge saving of $105, according to Anthony Vuoto, president of Washington Mutual Card Services. If all consumers raised their scores by that margin, the savings would reach $28 billion, he said.

Scores can also be improved by paying off debts, rather than moving balances between accounts. Paying more than the minimum due on credit cards also improves your FICO score. Missing a single payment by more than 30 days may lower your score by 25 to 50 points, Vuoto said.

The importance of the FICO scores has increased amid the subprime-mortgage meltdown and the ensuing credit crunch. With less money available to lend, many companies have tightened standards, cutting off loans for people with lower numbers.

source : http://www.google.com/news?

Monitoring your credit score is one of the most important things you can do

Americans are identified by certain numbers: age, social security number, income, even a street address. Often these are just numbers, and don't reveal much about identity or history. However, one number which identifies all of us and, unfortunately, many people may not know it: is our credit score. A credit score is the measure of credit risk calculated from a credit report using a standardized formula. A higher credit score compared to a lower credit score indicates to lenders that the person with the higher score is less of a risk when deciding to loan money.
Credit scores most likely will be reviewed by a lender when applying for a car loan or mortgage. What might be surprising is that a credit score may also be reviewed when a person applies for car insurance, inquires about a rental property or even applies for a job. Because credit scores are reviewed for so many different purposes, in some instances without your knowledge, it is a good idea to review both it and your credit history, which is used to determine your credit score, periodically.

Monitoring your credit score and credit history from time to time allows you to monitor any changes and, in the event that false information is included in your credit history, have the false information stricken from your record. The Fair Credit Reporting Act requires each of the nationwide consumer reporting companies - Equifax, Experian, and TransUnion - to provide you with a free copy of your credit report, at your request, once every 12 months. To request your report online go to www.annualcreditreport.com or link to that website from the Federal Trade Commission's website, www.ftc.gov.
If, after reviewing your credit history, you believe that someone has obtained credit using your stolen identity or, if you lost your wallet and you think someone may use the information to steal your identity, you may wish to subscribe to a credit monitoring service. This service may provide you access to your credit score, provide you notice when credit is applied for using your personal information and has the ability to "lock" your credit so no one can obtain new credit (including you until you "unlock" your credit).

You may be eligible to receive credit monitoring services for a limited time at no cost. Recently, TransUnion agreed, as a part of a preliminary lawsuit settlement, to offer free credit monitoring to those individuals who had an open credit account or open line of credit from any lender from January 1, 1987, to May 28, 2008. This group includes those individuals who had a credit card, car loan, mortgage, student loan or any other loan. The lawsuit claims that TransUnion violated the Fair Credit Reporting Act by selling lists with consumers' personal and financial information for marketing purposes, a practice which TransUnion has discontinued. For more details about the preliminary settlement, and to select one of the several settlement options listed in Summary Notice, visit www.listclassaction.com or call 1-866-416-3470.

As your credit score affects most financial aspects of your life, knowing what it is and, possibility monitoring it, may help you save money when you buy your home or obtain insurance. You may want to consider taking advantage of the opportunity to receive a free credit report, and for some, free monitoring services.
The advice in this column is general in nature. Consult your attorney for legal guidance to fit your particular situation.

source : http://www.google.com/news?

BBB advises Mississippians to use credit reports wisely

Everyone is aware that bad credit can affect your ability to obtain additional credit.

But not everyone is aware that it can also affect your ability to get or keep a job.

Employers often use a credit report when hiring or evaluating employees for promotion, reassignment or retention.

“Under the Fair Credit Report Act (FCRA), an employer must get permission to look at an individual's credit report,” said Bill Moak, President/CEO of the Better Business Bureau (BBB) of Mississippi.

“Additionally, if bad credit is the basis for an employer failing to hire someone, the employer must show them their credit report.”

The BBB urges all consumers to obtain a credit report annually. The reporting companies - Equifax, Experian, and TransUnion - are required to provide consumers with a free credit report, upon request, once every 12 months.

The three ways to request these reports are:
# Call toll-free 877-322-8228
# Mail to Annual Credit Report Request Service, P O Box 105281 Atlanta, GA 30348-5281.

According to the FCRA, both the reporting company and the information provider are responsible for correcting inaccurate or incomplete information on individual reports.

Therefore, to protect rights, the BBB advises consumers to contact both entities when disputing any information on their reports.

The BBB mission is to promote the highest ethical marketplace relationship between businesses and the public through self-regulation, education and information.

source : http://www.google.com/news?

The score on getting credit scores

Your phone number, Social Security number and PIN for your ATM card are important numbers, but no numbers are more important to know—and have the potential to save you money—than your three-digit credit scores.

A credit report—the once-secret dossier about your credit life—is the basis of your credit scores, three-digit numbers that try to predict whether you'll pay back borrowed money and pay your bills on time.

Details about credit scores are complicated and confusing. After all, scores weren't invented for consumers but for creditors. For details and more great advice, read the books, "You're Nothing but a Number" by John R. Ulzheimer, president of education for Credit.com, and "Your Credit Score" by Liz Pulliam Weston.

We talked to Ulzheimer and Weston about how to get scores and what they mean. Here's what you need to know about getting your scores:

I have a lost laptop horror story for you.

I used to work for Boeing in Wichita. Boeing sold the Wichita division and all of the workers, including me, to another company. We still did the same work, but Boeing was just one customer of several.

Nearly a year after the sale, someone at Boeing lost a laptop that had the names, addresses and Social Security numbers of nearly all of the 12,000 Wichita ex-employees on it. They waited an unknown period of time before telling anyone, then another couple of weeks before they offered to pay for credit reporting subscriptions for us. They offered no compensation for people that had been actual identity-theft victims and they wouldn't pay for identity-theft insurance.

Almost immediately after the laptop went missing, someone used my SSN to apply for credit cards all over the country. The name they used was always close, but not exactly a match to my name/address. They used addresses of those private mail drop places.

Since I'd lived at my house for nearly 20 years at the time, all these bogus addresses made the credit card companies reject the applications, but those rejections showed up on my credit reports and lowered my rating.

The credit bureaus (I had to deal with all three of them separately) couldn't just remove those rejections; they said that the credit card companies that made the requests had to retract them. The bogus addresses also appeared on my credit report as alternate addresses for me, and I had to convince the credit agencies that I'd never lived in Minneapolis or Boca Raton or wherever.

I spent untold frustrating hours on the phone being transferred from one credit card company customer service representative to the next, listening to crappy on-hold music, often being disconnected, and having to tell my story over and over. It took several months to finally get everything cleared up, and I now have a fraud alert on my credit rating so nobody can request a report without my explicit permission.

That's really a double-edged sword. I recently tried to open a new bank account and when the bank found out that there was a fraud alert on my account, they assumed that I was a criminal. I eventually went to a different bank, one that didn't need a credit report to open a checking account. There have also been credit report requests in the last two or three years since the original laptop loss that didn't originate with anything I'd done. They were rejected, but there's someone out there that's still trying.

Like AT&T, Boeing wasn't particularly apologetic. They insisted that the information "probably hadn't been compromised," and they couldn't explain why someone was running around with the social security numbers of a bunch of people that didn't even work for Boeing.

You can read a news story about the Boeing incident here. You can read about similar incidents pretty much every day of the week, or so it seems.

Security guru Bruce Schneier had an interesting post recently that included the contention that identity theft isn't necessarily the financial drain or pain in the ass that worrywarts such as yours truly might fear. He wasn't saying it's a picnic, just not the catastrophe one might imagine ... and it's not worth paying any significant insurance premium to mitigate.

He's probably right, but as with so much surrounding the purchase of insurance, this isn't entirely a decision based on logic alone.

Here's my bottom line: Aside from the really serious worries in life -- health, kids, job security, etc. -- having to go through what Russ Jones went through is way up there on my list of fears. It would drive me absolutely bonkers to have to spend so much time -- time I don't have to spare -- undoing the damage to my financial reputation.

source : http://www.google.com/news?

SEC proposals may diminish credit ratings role: report

NEW YORK (Reuters) - The U.S. Securities and Exchange Commission plans to propose rules that may diminish the importance of credit ratings across various markets, the Wall Street Journal reported on Tuesday.

One proposal, to be unveiled Wednesday, would make it possible for U.S. money-market funds to invest in short-term debt without regard to ratings put on those securities by firms such as Moody's Investors Service and Standard & Poor's, the Journal reported, citing people familiar with the matter.

Currently, SEC rules generally require that money-market funds purchase only short-term debt with high investment-grade ratings, the Journal said.

The SEC also will propose rules that may diminish the importance of credit ratings in determining the amount of capital that investment banks are required to hold, the Journal reported.

The renewed effort is part of a push in the United States and Europe amid the credit crunch that has devastated many banks and investors, the Journal said, adding that rating Moody's Corp's (MCO.N: Quote, Profile, Research, Stock Buzz) Moody's Investors Service, McGraw-Hill Cos' (MHP.N: Quote, Profile, Research, Stock Buzz) Standard & Poor's and Fimalac SA's (LBCP.PA: Quote, Profile, Research, Stock Buzz) Fitch Ratings have been blamed by some for underestimating the risk of default on hundreds of billions of dollars of mortgage debt.

source : http://www.reuters.com/article/newsOne/idUSN2430339620080624

Komputer Klinic: Protect yourself from identity theft

According to the government, 8.3 million Americans fell victim to identity theft in 2005. Estimated losses surpassed $15 billion. Fortunately, you can protect yourself from identity theft.

You've probably seen ads touting identity theft "protection" services. For a monthly fee, your credit report is locked. You receive copies of your credit reports annually. The services also promise to insure you against identity theft.

The monthly fees quickly add up. You can accomplish the same thing for less through the credit reporting agencies. And you don't need to disclose personal data to a third party.

FREE CREDIT REPORTS

Keeping an eye on your credit report is your first step to protecting yourself. Federal law grants you a free credit report each year. Each of the three major credit reporting agencies must provide one.

I recommend staggering your credit report requests. For example, request a report from Experian. Four months later, request one from Equifax. In eight months, request it from TransUnion.

Credit activity should appear on all reports. However, there may be discrepancies between reports from the three bureaus.

Request your free reports at or call (877) 322-8228. Be sure you go to the correct site. Other sites use the word "free" in their names. This business seems to thrive on confusion. For free reports mandated by Congress, you want this site, period.

FREEZING YOUR CREDIT

You can also freeze your credit report. A credit freeze prevents thieves from opening lines of credit.

New creditors can't access your credit report. So they are less likely to issue credit to a thief. That assumes that the creditor consults a reporting agency.

Companies with which you already do business may access your report. It may be accessed for fraud investigation, collection, account review and the like.

Plan carefully if you freeze your credit. You can't apply for new credit with a freeze in place. And limits cannot be increased on your accounts.

Credit freezes can be lifted, either temporarily or permanently. It may take three days or longer to lift a freeze.

A freeze can be lifted temporarily for a particular creditor. You verify your identification and provide a PIN to lift the freeze. Then, you name the creditor. You may need to provide another PIN to the creditor.

Or you can lift a freeze for a set amount of time. This ranges from one to 30 days. This is helpful if you are comparing credit card or mortgage rates.

You must freeze your credit with each of the three major agencies. In most cases, you will pay $10 to freeze your credit. This depends upon your state of residence. Some states limit freezes to seven years.

source : http://www.eastvalleytribune.com/story/119130

Secondary market eyed in carbon underwriting and guarantees

Financial services executives are tentatively looking forward to a secondary market in the ETS sphere focused on underwriting and guarantees.

Overlooked by some in the run up to ETS is the need for insurance over carbon credit pledges. This centres on literally ensuring that the credit pledges retain their value through the lifetime of the credit arrangement.

To access this Carbon News information right now, please accept our 7 DAY FREE TRIAL subscription offer. Simply click the Subscribe button and follow the steps.


We send you a reminder before we charge your card or send an invoice before your FREE trial ends. We'll also remind you before we automatically renew your annual subscription. We will also ask you for updated credit card or invoicing information at this time, if necessary.


RISK FREE: You can stop your subscription at any time for any reason without question! We will refund you for the unused proportion of your subscription.

source : http://www.carbonnews.co.nz/story.asp?storyID=1151

Give this credit monitor strategy a look

A class-action settlement of a multibillion-dollar lawsuit against credit bureau giant TransUnion could result in credit monitoring benefits to as many as 190 million consumers.

But consumer experts caution that those benefits may, in the end, prove to be more useful to some consumers than to others. And could result in as much or more gain for TransUnion.

Even so, there is enough substance to the deal that consumers with access to the Internet should check it out when the settlement Web site, www. listclassaction.com, goes online June 16.

“TransUnion is committed to providing consumers with tools and services that empower them to manage their own credit health,” said Colleen Ryan, a TransUnion spokeswoman. “The services offered through this settlement complement our many consumer empowering initiatives.”

The settlement, which still must be approved by a federal judge, covers any consumer who from Jan. 1, 1987, to May 28, 2008, opened a credit account or a line of credit — and that covers just about everything, from credit cards to car loans to home mortgages to student loans.

As part of the settlement, TransUnion agreed to pay $75 million — which translates to less than 40 cents paid to all the consumers who may be entitled to a share.

The biggest benefit is a free credit and monitoring service that allows consumers unlimited daily access to their credit report and credit score. Consumers can sign up for a six-month plan (a $59.75 value) or a nine-month plan, which includes insurance scores (a $115.50 value).

Monitoring your credit history often is a good way to guard against identity theft and also to keep track of what your creditors are saying about you. Knowing your credit score is a plus because this three-digit numeral is the first thing lenders look at when deciding whether to lend you money and what interest rate to charge.

So, getting free monitoring is nothing to sneeze at. Still, the benefits are in the eye of the beholder.

First of all, these credit monitoring services you see advertised on the Internet and on TV are overhyped.

They really hold merit only for consumers who are in the market for a mortgage or other big loan, who have reason to fear they may be a victim of identity theft or who don’t want to bother monitoring their credit themselves.

Fact is, there are a number of free ways already to monitor your credit from time to time.

First, you have a right to one free credit report each year from each of the big three credit bureaus: TransUnion, Equifax and Experian. In addition, if you lose your wallet or your credit card, you can have a fraud alert posted on your account at each bureau every 90 days.

As a result, you can conceivably have 15 different ways to keep tabs on your credit over the course of a year — for free.

“We don’t think monitoring services are all that great for most consumers,” said Paul Stephens, director of policy and advocacy at the Privacy Rights Clearing House. “There are other ways to monitor your credit without paying. Besides, the monitoring offered here only pertains to TransUnion.”

Even so, Ryan said the deal TransUnion is offering consumers not only is free, but also offers consumers a chance to look at their credit report whenever they want, any time of day. Consumers would be alerted by e-mail of any significant changes in their files, whether it is an account opened in their name or a late payment.

In addition, she said, the service provides a good “hands-on” introduction to many consumers who may not have experience with monitoring their credit report or credit score.

source : http://www.google.com/news?

Here's way to get free credit reports throughout year

Question: I know I am entitled to one free credit report annually, from each of the three credit reporting companies, but I want to receive one every four months throughout the year (one from each reporting company at a time). I wrote to one of them last year and specifically stated I wanted only a report from that company at that time: I received one from each of the three, all within a week of each other! So, I was then unable to check my credit throughout the rest of the year (unless, I guess, if I had paid for such reports).

How can I receive only one credit report at a time? I am a senior citizen, on a fixed income and truly cannot afford to pay to receive reports -- the fact that we are supposed to get one from each company annually is a big plus for folks like me, but the reports don't do much good if they all come at the same time -- I want to be able to keep an eye on my credit status throughout the year.
Answer: You can receive one free credit report per year from each of the three primary credit reporting agencies.

What I do is go to annualcreditreport.com and get one credit report for each of my family members. I do this once every four months (April 15, August 15, December 15) from a different credit reporting agency. When you go to the Web site you can select which agency you would like to receive a report from, and then choose a different one the next time.

By the end of the year you will have received a credit report from each company for free.
news source : http://www.orlandosentinel.com/business/orl-qna0108jun01,0,325254.story

Tougher rules needed on credit-card policies

Federal officials are proposing tougher rules on how credit-card companies handle their relationships with customers — steps that are long overdue.

The recommended changes were drafted by the Federal Reserve, in conjunction with the Office of Thrift Supervision and the National Credit Union Administration. They are expected to become final by the end of the year.

One of the most controversial practices to be banned: Credit card companies sometimes raise rates based on a customer’s poor payment history with another credit card issuer.

Some companies have also jacked up rates because of problems noted in a customer’s credit report. Under the new rules, a company could only penalize a cardholder for his or her payment performance on that card.

Other practices that would be banned include:

• Some card issuers average the balance over two months and use that to compute a cardholder’s rate, instead of using the balance from the most recent payment period.

• Some companies have shortened the time they allow cardholders to make payments before new interest charges are assessed. The rules require companies to allow a 21-day grace period.

• Some customers may have cards with different rates applied to different balances. Some companies apply payments only to the balances with lower rates.

The new rules say payments must go to the higher-rate balance or at least be split among balances.

Industry representatives argue that these changes would make it harder for card issuers to match rates with risks.

But they overstate the problems. Many of these gouging practices didn’t exist until recently, and credit issuers survived quite nicely.

The proposed changes might help improve the industry’s dubious public image. They seem reasonable and fair.

source : http://www.kansascity.com/340/story/636568.html

Freezing credit report helps prevent fraud

By Rosemary Heins, University of Minnesota Extension

Recent federal laws and Minnesota state laws help citizens protect themselves from new account fraud by allowing “freezing.” The laws empower any consumer to freeze their credit report by contacting any of the three major credit reporting agencies and requesting a credit report freeze. This action will deny potential thieves access to the credit history and prevent them from opening new credit cards or loans in the consumer’s name.

Victims of identity theft can have their reports frozen without a charge, but they will need the theft documented by a copy of the police report or case number. People who have not been victims of identity theft can choose to freeze their report for a $5 fee to each of the credit reporting agencies. When an agency receives a freeze request, it must place the freeze within 3 days of the request. In addition, the agency must provide a unique Personal Identification Number to the consumer within ten days.

The PIN can then be used by the consumer to temporarily lift or “thaw” their report for a specific period of time or for a specific creditor. For example, you are car shopping and want to allow a dealership, credit union or bank to look at your credit history to obtain a car loan. Or you may request your information be openly available for a specific period of time, like 30 days, in order to shop at several locations. After this period is over the report will automatically refreeze.

The thawing process is free to those who have been identity theft victims. Those who have not been victims will be charged the $5 fee for thawing.

(Rosemary Heins is a family resource management educator with University of Minnesota Extension.)

source : http://www.google.com/news?

Use the Web to help you get your finances in order

House prices are falling, and the cost of gas and food is on the rise. Specialized software and sites can help you manage these financial changes. And if you use the right resources, it won't cost you a thing.

Create a budget

The first step to taking control is to understand how you spend your money. Start by determining your basic living expenses such as housing, food and transportation.

Then, list other monthly expenses. This may take some work. So pull out your bills and credit card statements. Fortunately, free software can make light work of organizing it all.


SimpleD Budget (Windows) is a small program that helps you track expenses. You enter your monthly expenses and income. After allocating your money to certain categories, you enter payments as you make them.

You'll see when you're approaching the limit for a particular category. You'll also get an idea of how fast you're spending money


Buddi (Mac/Windows) works much the same as SimpleD Budget. However, it can also help you generate various reports. For example, you can see how your net worth has changed over the months.

Another free finance manager is AceMoney Lite (Windows). It has more features than the other two. For example, it can download stock quotes from the Internet..

news source : http://www.usatoday.com/tech/

How to get a credit report?

Have you ever been denied a loan or a credit card, by a bank, on the pretext that you have a 'bad credit history'? If you have, you have a right to ask the bank for the data based on which it took that decision.

As per law, if a bank denies loan or credit card application on the basis of data provided by a credit bureau, it is supposed to give you a copy of those records.

However, before you are handed over the report, you may have to prove that you are the person whose credit report is being sought. So, carry an identity proof and address proof with you.

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Remember, nobody else, not even your kith or kin, would be handed over your report. Nor can you get it without having applied for a loan or a credit card.

The way it works, credit bureaus maintain records of your borrowing history with all the banks you have transacted with. These include details such as your permanent account number, the addresses you have notified banks about, number of credit cards you hold currently or have held in the past, loans you have taken, the period within which you have repaid or whether you have not repaid and for what period you have not repaid.

Presently, the Credit Information Bureau (India) Pvt Ltd (Cibil) maintains such records and provides it to all its 147 members, who in turn keep the database updated. As and when a person applies for a loan or credit card, the member banks would check with the Cibil database.

The system would also throw up details such as the last time any bank checked for your credit records. This indicates the last time you applied for a loan with any bank, as banks are not supposed to check the Cibil database unless they receive a loan or credit card application.

Banks are barred from checking the records for marketing purposes. Moreover, each time they check the database, it costs them money, according to a banking source.

As for the cost to the individual, a random survey by DNA Money found that some banks charge between Rs 50 and Rs 300 for furnishing credit reports.

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Cibil is currently working on a system whereby you can get your credit report against a payment of Rs 100.

If you find any discrepancy in the data maintained by Cibil on you, then inform the bank and take up your case with Cibil. However, note that you would need the credit report as a proof to even take up the case. So keep your copy safe.

news source : http://sify.com/finance/fullstory.php?id=14670641

Bank CEO gives advice on maintaining credit scores

Few people understand the impact a credit score can have on an individual's life, according to Steve Dehnert, CEO of Badger Bank.

“A high score can mean a lower rate for a bank loan while a low credit score can result in more expensive insurance premiums,” Dehnert said. “Not only is it important to understand your credit score, but it is also important to understand how to improve your credit score and reap the advantages of good credit.”

Dehnert said creditors have been using credit scoring systems for some time to determine if people are a good credit risk. Today, many businesses including insurance companies, phone companies and employers use a person's credit score to determine if a product, service or employment offer should be provided, he added.

Credit scoring systems are complex and vary among creditors and businesses, Dehnert said. Essentially, information collected from an individual's credit report is put through a statistical program that compares that specific information against consumers with similar profiles, he added. The program identifies all characteristics that relate to risk and generates a number which represents a credit score.

The higher a credit score, the less of a risk a person is considered to be, Dehnert said. The scores generally range from 300 to 850. A score of 620 or higher should mean that a person is eligible for very good rates, he added.

Anyone can obtain their credit score from any one of the three national consumer reporting companies. The companies are allowed to charge a reasonable fee, typically around $8, for the score, Dehnert said.

“Since your score is comprised of information from your credit report, you need to ensure that your credit report is accurate,” Dehnert said.

To obtain a free annual credit report, visit the or call toll-free 1-877-322-8228.

“You should consider staggering the request for your free report from each of the three agencies over a 12-month period,” Dehnert said.

To help maintain a high credit score or to increase a low one, Dehnert suggests the following tips:

news source : http://www.wdtimes.com/articles/2008/05/15/news/news3.txt

Credit reports to be accessible to the blind

The nation's major credit reporting companies will make on-line credit reports accessible to blind people's audio software under an agreement announced Wednesday.

The program, scheduled to take effect by the end of the year, was negotiated by the American Council of the Blind, its California affiliate and the three largest credit reporting agencies, Equifax, Experian and TransUnion.

The companies now make credit reports available on a single Web site, Under the agreement, at a blind customer's request, his or her credit report will carry a code that will enable the customer's computer to read the report aloud.

Other provisions require the reports to be available in large print or in Braille.

Lucy Greco, a specialist in assistive technology for the disabled, was one of three blind individuals taking part in the case, along with the advocacy organizations. She said the agreement would allow her to examine her credit report without sharing the information with others.

"I'm so fed up in my life with having to get someone to read things to me," Greco said, noting that such dependence also makes the blind vulnerable to fraud. "Now I can go online, get my credit report and read it ... and I can do it independently, and other people can do the same thing."

Melanie Brunson, executive director of the American Council of the Blind, said the agreement "will help people with visual impairments fight identity theft by independently monitoring and reviewing their credit reports."

In a separate case, a federal judge in San Francisco ruled Wednesday that the Social Security Administration must accommodate the needs of blind recipients of benefits when announcing decisions that affect them.

Under the Social Security Act, the agency sends certified letters, makes follow-up phone calls, or takes other steps to communicate decisions to those who are receiving benefits solely because of their blindness, but does not accommodate visually impaired people who get Social Security because of their age or other reasons.

U.S. District Judge William Alsup ruled that the agency is also covered by an anti-discrimination law that requires the federal government to provide access to disabled people in all federally funded programs, including audio recordings, Braille and other aids for the blind.

Alsup gave the Social Security Administration the option of adopting regulations on visual aids or allowing the changes to be determined in further proceedings in a suit filed by the American Council of the Blind and eight individuals.

news source : http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2008/04/23/BU7U10APAC.DTL

LendingTree sues mortgage firms over security breach

LendingTree on Monday told customers that their sensitive information was leaked in a security breach and that it has sued three lending companies as a result.

Several former employees of LendingTree are believed to have taken company passwords and given them to a handful of lenders who then accessed LendingTree customer data files, the company said.

The data includes customer names, Social Security numbers, addresses, e-mail addresses, telephone numbers, and income and employment information, but not credit card information, LendingTree said in an e-mail to customers and on a frequently-asked-questions page on its Web site.

The outside lenders are believed to have accessed LendingTree customer loan request forms between October 2006 and early 2008. The lenders then tried to market loans to the customers, LendingTree says.

LendingTree's internal security uncovered the security breach and the company quickly reported it to authorities and made several security system changes. A LendingTree spokeswoman declined to say exactly when the breach occurred, when it was discovered, or how many customers were affected.

"We have no reason to believe any identity theft or fraudulent financial activity resulted from this situation," the FAQ says. "You still might want to get a free credit report and file a fraud alert with the credit bureaus. When you get your credit report, look for any accounts you didn't open and/or inquiries from creditors that you didn't initiate."

The e-mail to customers also advises that they have the right to obtain a police report and may also request a security freeze on their credit report file.

As a result of the breach, LendingTree has sued three California lenders: Newport Lending Group and Sage Credit Company, both of Irvine, and Home Loan Consultants of Newport Beach. None of the firms immediately returned calls seeking comment.

LendingTree could also face lawsuits from its customers, as well as sanctions from the U.S. Federal Trade Commission, particularly given the potential for identity theft, according to Brian Cleary, vice president of marketing at Aveksa, an enterprise security governance software company.

"Organizations have an obligation to protect sensitive customer information like this," Cleary said. More than half of the data breaches these days are due to insiders leaking the information, he added.

news source : http://www.news.com/8301-10784_3-9926007-7.html?tag=nefd.top

Strategies: Spring-clean your finances

You've filed your taxes, right? Or at least you've filed for an extension and somehow came up with the money to pay the government. Now, while the memory is still fresh of how painful — and time-consuming — it was to get your financial information and cash together, let's talk about how you can avoid these problems next year and sleep better all year round.

Few things in business are more stressful than not being able to pay your bills. Let's be clear, even if you're profitable, you can be in financial trouble due to poor money management. My first client as a management consultant was a floral company that was profitable. Nevertheless, the company had terrible credit and often couldn't pay bills. Eventually the partners threw in the towel.

On the other hand, you can fail to make a profit — especially if yours is a growing business — and still have good credit, excellent relations with vendors and meet your financial obligations. It's all about how you manage your money, not just how much money you have.

So let's spring-clean your financial systems. A few simple steps and you'll be on your way to an excellent credit rating, a great relationship with a bank, and a good night's sleep:

•Pay bills on time every month. Notice I did not say, "Pay your bills in full every month." I know that's not necessarily realistic. I juggled credit card payments for many years when I started my business. But every month, every creditor got paid at least the minimum amount — on time. To make sure this happens, set up systems such as automatic bill payments, particularly for key accounts.

•Send out your invoices on time every month. The last thing on many entrepreneurs' "To Do" list is to send out bills to clients or customers. But when you bill clients late, it encourages them to pay you late. Improve your cash flow by sending out your invoices immediately when someone incurs a debt, and certainly no less frequently than monthly.

•Take your banker to lunch. Yes, I know, the banker should be taking you to lunch — let him pick up the check. It's important to have a good relationship with a business banker who can learn about your industry and business and understand your ups and downs. Don't have a banker? Time to get one. Establish a line of credit to access money if times get tough or opportunities arise.

•Get a free credit report. Your credit history is crucial. Most small businesses — and all new businesses — get credit based on the owner's credit-worthiness. Lenders check credit scores whether you're applying for a line of credit, loan, credit card, mortgage, equipment loan, even a lease.

You're entitled to one free credit report per year from each of the three major credit-reporting agencies. But there's only one place to get free reports, regardless of all the commercials you hear — www.AnnualCreditReport.com. At least once a year, check your credit reports so you can clear up any inaccuracies and keep your credit clean.

•Go after overdue accounts, especially big ones. If you've provided goods or services, you deserve to be paid. You can't afford to be in the lending business. Every month, spend time collecting any overdue bills.

•Limit the amount of credit you give to large corporations. Recent news reports indicate that there's likely to be a rash of big business bankruptcies. Having gone through a major partner's bankruptcy last year, I know how incredibly disrupting — potentially disastrous — a big company's bankruptcy can be. Never allow yourself to be in a position where a big corporation's debt to you can put you under.

•Get a simple accounting software program. A computerized bookkeeping program may seem like a bit more work when you're entering data in, but when you want to get information out (like at tax time), it's a must. The other day, with a few keystrokes, we charted our academic sales by month for the last few years, so we can forecast when we're likely to have shortages.

Believe me, a few simple steps now to get your money management systems in order can make next April a whole lot more pleasant.

news source : http://www.usatoday.com/money/

Consumers gain credit report protection

South Carolina became the 40th state to offer consumers some protection for their financial information this week when Gov. Mark Sanford signed an identity theft bill into law.

“We may be one of the last, but we have one of the best laws anywhere,” said state Rep. Kristopher R. Crawford, R-Florence. “We’re going to be as well or better protected as anyone in the U.S.”

Nineteen people become victims of identity theft every minute in the United States, according to Consumers Union.

The state’s new law allows consumers to place a freeze on their credit reports at no cost, and to remove or temporarily lift it as needed, so potential thieves don’t have access to that data.

“We are one of only two states where citizens don’t have to pay to freeze their credit reports — us and Indiana — and that is the heart of the deal because people need to be able to do it,” Crawford said.

Consumers can begin freezing their credit reports Jan. 1.


The law is a good step forward, especially for vulnerable senior citizens on fixed incomes who frequently fall prey to identity thieves, said Teresa Arnold, legislative director for AARP South Carolina, which fought for the legislation.

“People now have their own tool, and it’s a very strong tool,” she said. “And they don’t have to pay for it.”

Some states require fees as high as $10 for each of the three credit reporting agencies to freeze consumers’ reports and similar fees to remove those freezes, she said.

Among other provisions, the law also gives consumers the power to have inaccurate information removed from their credit reports, and to be notified when their security has been breached. It also provides protection for Social Security numbers by regulating how they can be posted or communicated.

Crawford, a member of the House Judiciary Committee, said the law also empowers consumers to take legal action in state court against companies that fail to remove erroneous information from their credit reports.

Up to now, federal court has been the only recourse, he said, and that’s not a possibility for many people.

Sen. Dave Thomas of Greenville, sponsor of the original bill, said passage of this law is just the beginning. Legislators will look at other possible protections in the coming months, he said.

news source : http://greenvilleonline.com/apps/pbcs.dll/article?AID=/20080404/NEWS01/80404004/1001/NEWS01

No Fail-Safe Identity Protection

Plenty of products promise to help consumers avoid identity theft, but none of them is foolproof.

If a product claims to prevent identity theft, don't believe it, says Linda Foley, founder of the Identity Theft Resource Center in San Diego, Calif. "You can't protect a person from identity theft. It's impossible. All we can do is minimize our risk."

And, while these products can reduce your likelihood of becoming a victim, many employ methods that consumers can use on their own, for free.

Fraud Alerts

Many products offer to place fraud alerts on consumers' credit reports, so when a retailer or creditor checks your report in response to a request for a new credit card or financing for that plasma television, the fraud alert tells them to double-check that the person seeking credit is you. Ideally, the creditor delays extending credit until reaching you.

But alerts "are not the silver bullet that people are looking for," says Guillaume Deybach, chief executive of Europ Assistance USA, a Washington, D.C.-based firm offering travel aid and identity-theft assistance.

Drawback: Alerts focus only on thieves opening new credit lines in your name, not the use of existing accounts. Also, some retailers don't check credit reports before extending credit and those that do don't always try to reach you -- they may just ask the thief some easy-to-answer questions. Still, alerts increase the chance you'll be contacted if someone applies for credit in your name.

Consumers can call or go online to each of the three credit-reporting agencies (Experian, Equifax and TransUnion) to place a fraud alert for free. You can do it yourself by phone, says Paul Stephens, director of policy and advocacy for the San Diego-based Privacy Rights Clearinghouse.

Generally, fraud alerts expire after 90 days. If you don't want to bother remembering to renew alerts, several companies, such as LifeLock, sell the service of placing alerts for you, for about $10 a month, or bundled into pricier packages that include other services.

Credit Freeze

Alternatively, you can use a credit freeze to lock up your report at each of the three bureaus, preventing new credit being extended in your name. This won't affect access to current credit lines, but will delay your access to new credit (it takes about three days to lift a freeze). Freezes aren't advised for people in precarious financial positions who might need to borrow money in a hurry, but a credit freeze is a powerful way to stop thieves.

Drawback: Freezes don't stop thieves from tapping existing credit or bank accounts, nor do they address other identity theft, such as when a thief provides your name as his identity when pulled over for a traffic violation.

Consumers can freeze their reports by calling each of the three agencies. It generally costs $10 to place a freeze ($30 to freeze all three major reports) and $10 to lift each freeze; these costs are sometimes waived. For more details, visit financialprivacynow.org. Or, you can pay for a product that includes a credit freeze, such as offered by TrustedID and others.

news source : http://online.wsj.com/article/SB120682574890374707.html?mod=googlenews_wsj

Lose debt first, protect credit later

I enrolled in a debt-management plan in August 2003 and have finally finished paying off all my credit cards. I would like to find out if having used the agency will hurt my credit score.

As a single mom, I have worked hard to clear my debts and put myself in a better financial situation, but I need to bolster my assets (buying a home, increasing retirement savings, building a college fund for my little one) to increase my net worth.

I don't have any other outstanding debts or loans, but will that work against me now? Given my situation, is there a best way to begin? -- Colleen

Dear Colleen,

Congratulations on successfully paying off your credit-card debt! From your letter, it sounds like you have set some great financial goals for yourself. That is a good motivator to keep you out of problem debt again.

Some of my readers may be wondering why you didn't consider the potential damage to your credit before going on the debt-management plan, known as a DMP. My answer is that it really didn't matter because the essential goal was to pay off the debts that were plaguing you and your family.

Your credit rightly took second or even third place in importance. Had you avoided the debt-management plan simply to protect your credit, it would have been like telling the doctor you can't lose weight because you are afraid your clothes won't fit anymore. Or, that you can't stop smoking because you might gain weight.

Trust me, you were right: Lose the debt first, take care of the credit second.

I am often asked about how a DMP will affect a credit score. The answer is threefold. First, the fact that your accounts were part of a debt-management plan is not included when calculating your credit score.

Second, any negative information that occurred on those accounts before or while you were on the program is included in factoring your score. So if you were 60 to 90 days late on your accounts when you began the debt-management plan, it will negatively affect your score. Also, missing any payments while on the program will also lower your score.

Third, how an account is reported depends on the policies and systems capability for each individual creditor. For example, a given creditor may accept a reduced payment with lower interest and no fees under a DMP, but may report the original payment amount as due to the credit bureau. This will cause a negative to appear on your credit report.

This inconsistency can be caused by inflexible internal management policies or systems that cannot easily be reprogrammed to accept lower rates and payments.

The only way to know for sure to see where you stand is to get a copy of your three credit reports. I recommend you go to AnnualCreditReport.com and request your free annual credit report from all three major credit bureaus. I would also pay to receive your credit score. It's cheaper to get your score with the free report and it will help you understand how all the information on the report adds up.

Each bureau also has some good credit tips on its own Web site, as do the FICO people at myFICO. Review your credit reports carefully and make sure everything is correct. If not, dispute any inaccurate information with the bureau that reported it.

You are correct in believing that having no outstanding debts or loans will not help with your goal of purchasing a home. Without any open accounts, it will be difficult to improve your score.

My suggestion is to begin opening credit accounts during this year, before you purchase a home. Your goal should be to have different types of accounts -- an installment loan (such as a furniture loan), a passbook loan and some revolving accounts, such as a credit card.

Pay on time and as agreed and you will build a positive credit history that will move you toward your goal of homeownership.

news source : http://www.scrippsnews.com/node/31745

What does your credit score say?

PARKERSBURG — A credit score can tell a potential lender if a borrower is a good risk for a loan.

A score is calculated based on credit history and how well they are handling their credit, said Pam Dowler, executive director of Consumer Credit Counseling of the Mid-Ohio Valley.

‘‘The higher the score, the better interest rates and premiums on insurance rates people can get,’’ Dowler said.

A credit score is a three-digit number based on a borrower’s bill-paying history, debt profile and statistical information about other borrowers that lenders use to determine the likelihood of certain credit behaviors, including whether someone will pay on time, according to ConsumersUnion.org, a non-profit publisher of consumer reports.

Dowler said a credit score runs between 300 and 850.

A credit report, which includes the score, has a person’s name, address, social security number and possibly their workplace as well as any public record the person might have had generated, including whether they have ever declared bankruptcy, being sued or so on, she said.

Criminal records are not included on a credit report and bad checks are not included unless they had been turned over to a collection agency.

A credit report can detail any credit a person has had over the last 10 years. Dowler said if someone has spent the last 10 years paying off credit card debt and finished paying it off today, that information would be available for the next 10 years. A credit score is calculated by using mathematical models that analyze credit worthiness, according to ConsumersUniom.org.

‘‘The models consider the amount and types of debt one owes and then analyze and compare someone’s repayment history with thousands of other consumers to arrive at a credit score,’’ they said.

People with high credit scores have traditionally have an excellent payment record, no court judgments against them, not many inquiries on them and the length of time they have held many of their accounts, Dowler said.

A low score can include someone who has trouble making their payments, have had collection agencies try to collect back and late payments, have had court judgments against them where they had to pay a specified amount to someone and have had a large number of inquiries from lenders checking their credit score, she said adding someone doing a check of their own credit report is not counted as an inquiry.

Dowler said a credit report can also show how much credit someone has available. Even if someone has little or no debt, but has three credit cards with a $5,000 limit for each, someone could determine that person has a potential for $15,000 of debt and that can affect their credit score.

‘‘We advise people to only have one credit card,’’ she said. ‘‘The more debt someone has, credit card companies can up their interest rate and lower their credit amount.’’

Dowler said the highest credit score she has seen for someone is 813.

They advise people check their credit score annually due to the potential of identity theft and to make sure mistakes have not been made.

‘‘People need to know where they stand,’’ Dowler said.

Credit reports are available through a number of different sources at a variety of fees and costs.

Reports can be gotten through the Consumer Credit Counseling Office for a fee and Dowler said they have counselors who can go over it people.

The three major consumer credit reporting agencies are Equifax, Experian and TransUnion. People can also go through AnnualCreditReport.com which allows someone to request a free credit report once every 12 months from each of the three nationwide consumer credit reporting companies.

Lenders can pull a credit report after customers sign the proper releases as well as credit card companies. A potential employer or an insurance company can pull a credit report.

‘‘It can be used for a variety of different things,’’ Dowler said.

Increasingly, credit scores are being used for purposes other than determining whether someone will default on a loan or make late payments, according to ConsumersUnion.org.

‘‘For example, some insurers are using low credit scores as indicators to identify individuals they believe are more likely to make claims against their insurance policies,’’ they said. ‘‘These insurance companies maintain that there is a correlation between poor credit and filing multiple insurance claims.
news source : http://www.newsandsentinel.com/page/content.detail/id/503680.html

ID theft protection starts in wallet

EDGEWATER -- Two out of the 17 people who attended an identity theft seminar had their identities stolen, but more potential crime targets were in the room.

A quick survey on Tuesday by victim advocate Theresa Ronnebaum revealed five vulnerable people with a Social Security card in their wallet. Another susceptible person didn't own a shredder.

With Florida ranking fifth in the nation for identity theft crime, Ronnebaum stopped by Edgewater's Community Center to hold a free, two-hour seminar about simple ways to protect yourself.

Educating the public would not only prevent further crime, but it also might help her deal with the flood of requests for help at her Orlando post with the Office of Statewide Prosecution.

"If I'm educating you today, these are less victim calls I have to deal with (later)," said Ronnebaum, the state's only identity theft victim advocate.

Still reeling from Social Security number and credit card theft, one participant who wished to remain anonymous, said even young people should be required to learn how to safeguard themselves from ID theft.

"As you get older, you realize its inevitable," said the 50-year-old ID theft victim with two master's degrees.

GET INFORMED

To learn whether you've been a target, start off by checking your credit report every year to learn if there is any suspicious activity under your name.

Ronnebaum warns, however, there is only one legitimate, free, credit reporting source that is federally funded for the public to use. Visit www.annualcreditreport.com.

"There is a statute of limitations in regards to prosecuting the case, that's why it's important for you all to pull your credit report every year," she said. "If you don't pull your credit, sometimes you don't even know you're a victim."

Victims should place fraud alerts on all accounts with the three main credit reporting agencies, she said. They should also file a complaint with the Federal Trade Commission.

Crime victims are encouraged to file reports with their local law enforcement agency. The police, by state law, should record a report, she said, and may choose to investigate the case. It will be up to the state attorney's office to decide to prosecute.

PREVENTION

Be careful about the contents of your wallet and purse.

Keep track of what's in your wallet by making photocopies of credit cards, Ronnebaum said.

"Copy not only the fronts, but the backs of your credit cards because that will give you your 1-800 numbers (for cancellations)," Ronnebaum said.

Resident Norma Perkins made copies of her cards a few years ago, but said she would update her list to refer to phone numbers in case her wallet gets stolen.

"I have a great amount of awareness of being cautious," she said.

One of the easiest ways to prevent identity theft is to leave your checkbook and Social Security cards at home, Ronnebaum said. She suggests writing letters encouraging companies that print your Social Security number on cards, such as health insurance agencies, to use a different identification number.

With thieves digging into personal trash and even at businesses, all documents should be destroyed with a shredder. Ronnebaum recommends a cross shredder because some thieves, who may be high on drugs, have nothing else better to do than piece your information together.

"When you don't use a cross shredder, they're just lines. It's like a puzzle," she said.

It's important to safeguard everything, even mailboxes. It's easy to become a target as soon as the mailbox's red flag is raised to indicate mail needs to be picked up.

"You're basically telling the bad guys, 'Hey, here's the mail. It's got my account number, my checking account number, my routing number and a bill,' " she said.

news source : http://www.news-journalonline.com/NewsJournalOnline/News/Neighbors/DailyJournal/evlDJ02031508.htm

SLT’s 2007 Annual Report - Letter

I would like to offer a few comments on the SLT Annual Report which struck me as unique and refreshing:

1.The 3-page quick read is an innovative and practical departure from conventional reporting of corporates. It encapsulates the salient features of the Report for the busy yet discerning reader.

2.The messages of the Chairman and CEO are exceptional. They succinctly review performance, plans and prospects. A very well coordinated effort without any overlap between the two. The chairman’s message is focused on putting the last decade since privatization into context. In addition the Chairman’s message puts the entire Annual Report into context. The CEO’s message spells out the strategy of SLT in a very clear and easily understandable manner without the use of jargon. These two statements are a must read and should be regarded as a model for modern Annual Reports.

3.The preamble to the Management Report gives in 4-pages and in a tabular format at that, an excellent summary of SLT’s current position; what most readers would be unable to or at best take forever to comprehend and deduce from most annual reports.

4.I am afraid the operations review however is far too esoteric for the greater majority of the targeted readers and too lengthy at 18-pages especially compared to the Financial Review of only 6-pages the average stakeholder would I am sure be uninterested in the abstruse details of technology and infrastructures involved. Much of this Review is an exercise in futility, I am afraid.

5.The Financial Review lucidly expounds the operational results which is music in stakeholder’s ears and carries a wealth and useful information in particular on Risk Management - the name of the game is today’s volatile economic environment locally and internationally.

6.Investor Relations Review is a commendable new feature in Corporate Reporting, which comprehensively deals with an aspect hitherto treated perfunctorily in Annual Reports.

7.The Sustainability Report vividly captures the corporate ethos or culture of SLT.

8.Although Corporate Governance is still a relatively new concept in Sri Lanka, its practice at SLT is well documented in the Report.

9.The look and feel of the Report is classy and has a sense of understated elegance. There is no attempt to force a modern, hip type of image as one would expect. Instead modernity comes out almost in a paradoxical manner through the clever avoidance of clichéd imagery and the use of a sophisticated style of illustrations.

I was particularly motivated to write this critique in the context of an unsavoury trend of sheer volume and bulk in Annual Reports that I have seen emerging. This may be due to companies slavishly following conventions or flavours of the day largely motivated by awards. It would have been preferable if the majority of potential readers of most Annual Reports of blue-chip corporates were spared the tedium of wading through a plethora of technical and financial information much of which is unlikely to be of interest or comprehensible to them. SLT must be commended for bucking the trend.

news source : http://www.sundaytimes.lk/080309/FinancialTimes/ft334.html

ADR Report-ADRs fall, led lower by banks on credit concerns

NEW YORK, March 6 (Reuters) - U.S.-listed shares of overseas companies fell on Thursday as credit market concerns and a U.S. report showing mortgage foreclosures reached a record high hit financial sector shares.

The Bank of New York's index of leading American Depositary Receipts (ADRs) fell 1.3 percent while the 30-share Dow Jones industrial average .DJI declined 0.9 percent.

The Mortgage Bankers Association said the rate of failing loans swelled, led by a growing wave of subprime borrowers unable to make payments. A record 0.83 percent of U.S. loans entered the foreclosure process in the final three months of 2007. For details, see [ID:nN06468141].

India's HDFC Bank Ltd (HDB.N: Quote, Profile, Research) fell 5.6 percent to $99.78. Brazil's Banco Bradesco (BBD.N: Quote, Profile, Research) dropped 3.6 percent to $31.57, a day after Spanish bank BBVA (BBVA.MC: Quote, Profile, Research) sold its 5.01 percent stake in the company.

Also, British bank Barclays Plc (BCS.N: Quote, Profile, Research) fell 3.2 percent to $34.36, while Swiss bank UBS AG (UBS.N: Quote, Profile, Research) -- the world's largest wealth manager -- sank 4.2 percent to $29.55 on write-down fears. [ID:nL06593044]

In Latin America, the major benchmarks were also rattled by news that U.S. "jumbo" mortgage lender Thornburg Mortgage Inc (TMA.N: Quote, Profile, Research) said it received a letter from JPMorgan Chase notifying it of a default after it failed to meet a margin call. [ID:nN06395667].

Receipts with the Bank of New York's index of leading Latin American ADRs .BKLA dropped 2 percent. Mexico's IPC index .MXX was down 0.8 percent.

news source : http://www.reuters.com/article/

Asian Stocks Drop on Growth, Credit Loss Concerns; Toyota Falls

March 3 (Bloomberg) -- Asian stocks dropped the most in almost two weeks, almost erasing last month's gains, on deepening concerns credit losses at financial companies will increase and the U.S. economy is headed for a recession.

Commonwealth Bank of Australia retreated to the lowest in more than two years in Sydney, while Mitsubishi UFJ Financial Group Inc. fell in Tokyo after UBS AG said industry losses in credit markets may reach $600 billion. Toyota Motor Corp., the world's second-largest automaker, dropped after a gauge of U.S. business activity fell to the lowest level since 2001 and the yen strengthened against the dollar.

``The U.S. economy is contracting, there's no doubt about it,'' said Tom Murphy, who helps manage the equivalent of about $1 billion at Deutsche Bank AG in Sydney. ``Weakness in stocks is and will continue to extend beyond the financials over the next few months.''

The MSCI Asia Pacific Index lost 2.7 percent to 143.64 as of 1 p.m. in Tokyo, set for its biggest decline since Feb. 20. Financial stocks were the biggest drag. The benchmark almost erased February's 2.8 percent gain, which came amid speculation a bailout of U.S. bond insurers will limit credit losses.

Japan's Nikkei 225 Stock Average slipped 3.8 percent to 13,080.82, the largest slump since Feb. 6. The gauge has tumbled 15 percent this year. Australia's S&P/ASX 200 Index fell 2.9 percent today, led by BHP Billiton Ltd., after metal prices retreated.

Bank Stocks Drop

U.S. stocks plunged on Feb. 29, capping the market's fourth monthly drop, after the National Association of Purchasing Management-Chicago said its business barometer contracted as production and employment weakened. The Standard & Poor's 500 Index declined 2.7 percent, the most since Feb. 5.

Commonwealth Bank, Australia's biggest mortgage provider, dropped 5.1 percent to A$39.99, poised for its lowest close since Nov. 7, 2005. Mitsubishi UFJ, Japan's largest publicly traded bank, declined 3.8 percent to 910 yen. HSBC Holdings Plc, Europe's No. 1 bank by market value, slipped 1.7 percent to HK$118.70 in Hong Kong.

A measure of financial shares on MSCI's Asian index has dropped 13 percent so far this year, the largest decline among the regional benchmark's 10 industry groups, amid signs of increased writedowns to cover losses on investments tied to the U.S. mortgage industry. The broader index has fallen 9.2 percent this year.

``We have to recognize the risk that the economy will suffer more damage than what consensus suggests,'' Geraud Charpin, head of European credit strategy at UBS in London, wrote in a Feb. 29 report. Financial institutions have so far disclosed more than $181 billion of writedowns and credit losses.

Yen Strength

Takefuji Corp., Japan's No. 3 consumer lender by market value, slumped 5.1 percent to 2,530 yen after saying it may cut its full-year earnings forecast because of losses on derivatives transactions arranged by Merrill Lynch & Co.

Toyota declined 4 percent to 5,520 yen, leading declines among Asian exporters. Nintendo Co., the maker of the Wii game console, slumped 4.5 percent to 51,000 won. Samsung Electronics Co., Asia's biggest maker of chips, mobile phones and flat panels, retreated 1.1 percent to 556,000 won.

U.S. reports this week may show the unemployment rate probably rose in February as hiring slowed in the largest market for Asian goods and manufacturing may have contracted, according to economist estimates.

Japanese exporters also fell on concern the dollar's decline to a three-year low against the yen will erode the value of U.S. revenue. The dollar fell to 102.93 yen, the lowest since Jan. 28, 2005. It was recently at 103.08 yen.

`Anxious'

A one yen increase in the value of the Japanese currency against the dollar cuts Toyota's annual operating profit by 35 billion yen ($340 million).

``Investors are anxious about the U.S. economic contraction and that's feeding into the weaker dollar and stronger yen, which is pulling the market down here,'' said Junichi Misawa, who oversees $655 million at STB Asset Management Co. in Tokyo. ``There's a lot of economic data coming out this week and if it is as bad as economists are predicting we're likely to see markets correct further.''

BHP, the world's largest mining company, fell 2.7 percent to A$38.52. Rio Tinto Group, the world's No. 3, dropped 3.7 percent to A$132, set for its biggest decline since Jan. 29. A measure of six metals on the London Metal Exchange, including copper and nickel, dropped 0.9 percent on Feb. 29, halting a three-day, 6.4 percent advance.

Also in Australia, Zinifex Ltd. surged 8.5 percent to A$12.07, the biggest advance on MSCI's Asian index. The company agreed to merge with Oxiana Ltd., the fourth-largest Australian metals producer by market value, to form a A$12 billion ($11.2 billion) company.

Oxiana slipped 2.8 percent to A$3.86.

news source : http://www.bloomberg.com/

Exports Probably Kept U.S. Economy Expanding in Fourth Quarter

Feb. 28 (Bloomberg) -- The U.S. economy in the fourth quarter slowed less than previously projected as exports grew, economists said before revised government figures today.

Growth advanced at an annual pace of 0.8 percent from October through December compared with the 0.6 percent estimated last month, according to the median forecast of 74 economists surveyed by Bloomberg News. The rate of expansion would still be the second weakest in five years.

Payrolls and consumer confidence have dropped and the housing slump has intensified so far in 2008, raising the odds that the world's biggest economy will tip into a recession. Federal Reserve Chairman Ben S. Bernanke yesterday signaled he's ready to reduce interest rates again to sustain the expansion.

Last quarter ``leaves us without much momentum,'' said Ryan Reed, an economist at National City Corp. in Cleveland. ``Consumer spending was lackluster and it looks like it's deteriorating further.'

The Commerce Department report on gross domestic product is due at 8:30 a.m. in Washington. Economists' forecasts ranged from gains of 0.5 percent to 1.3 percent.

A separate report today is forecast to show the number of Americans filing first-time claims for jobless benefits rose to 350,000 last week, from 349,000 a week earlier, according to the survey median.

The trade gap narrowed in December more than the government estimated in its advance GDP report last month. For all of last year, the deficit shrank for the first time since 2001, helped by record exports.

Drop in Demand

Today's revisions may show the rest of the economy would have contracted without the boost from trade, according to a forecast by economists at Credit Suisse Holdings in New York. Reductions to prior estimates for construction and for consumer, business and government spending signal a 0.2 percent drop in demand excluding trade, they said.

``One could argue that the domestic recession began'' last quarter, Neal Soss, chief economist at Credit Suisse, said in a Feb. 21 note to clients. ``But there would be no debating that the rest of the world kept U.S. GDP growth above water at the end of last year.''

Consumer confidence fell this month to the lowest level since the start of the Iraq war as the job market deteriorated, according to a report this week from the Conference Board, a New York-based research group. Americans' expectations for the next six months dropped to the lowest level since January 1991.

Spending Slows

The decline may threaten consumer spending, which accounts for more than two-thirds of the economy, and further hurt growth. A report tomorrow is projected to show that spending in January rose just 0.2 percent, matching the previous month's gain as the smallest in six months.

Lowe's Cos., the world's second-largest home-improvement retailer, said this week that fourth-quarter profit fell and several ``challenging'' quarters remain as the worst housing slump in more than 25 years deepened.

``It will still be a tough housing market through the balance of 2008,'' Lowe's Chief Executive Officer Robert Niblock said in a Feb. 25 interview. ``It'll probably be into 2009 before you're seeing a recovery.''

The Fed ``will act in a timely manner as needed to support growth and to provide adequate insurance against downside risks,'' Bernanke said in testimony to the House Financial Services Committee in Washington. Policy makers are scheduled to next vote on interest rates on March 18.

The U.S. central bank and the government are trying to head off a recession. President George W. Bush, on Feb. 13, signed a $168 billion stimulus package, including tax rebates to more than 130 million households.

news source : http://www.bloomberg.com/apps/news?pid=20601087&sid=aoONIFXK3ZF4&refer=home

Utah's Consumer Fraud Ranking Dropped in '07

A recent federal report dethroned Utah as the nation's capital of consumer fraud. The state dropped from being the 2006 leader to No. 11 in consumer fraud per capita.

Colorado took the crown, with nearly 240 complaints per 100,000 people, for a total of 11,364 complaints. Utah had 193.2 complaints per 100,000 people, for a total of 5,110 complaints. Consumer fraud cost Utahns an estimated $8.08 million in 2007.

Nationally, reports of consumer fraud increased 20 percent in 2007. Identity theft was the most commonly reported form of consumer fraud.

Dr. Warner Woodworth, professor of organizational leadership and strategy, has researched consumer fraud in Utah.

The state may be controlling consumer fraud more effectively, or other states may just be getting worse, he said.

Utah's fraud crisis may not be the root of the problem, Woodworth said. He said Utahns may be more susceptible to fraud for two reasons: they tend to bemore trusting of their friends and neighbors, and they are naïve of the trouble.

He said his research has shown that the real cause of fraud in Utah is not negligence.

"In my analysis, it's all greed," he said.

Scammers convince victims they are eligible to receive a great prize or a great deal, Woodworth said. The greed comes when people convince themselves that they deserve such a deal and even see it as a blessing.

Woodworth said that many fraud problems could be attributed to weak laws and a lack of financial discipline.

"I have students with 20 credit cards," he said.

Technology has now made it much easier for people to participate in fraudulent activities.

"It will continue to be a big problem in Utah because of greed and in our country because of technology," Woodworth said.

Credit card fraud made up 24 percent of identity theft complaints in the FTC's report. Victims do not usually discover fraudulent charges until receiving their credit reports.

"It is a very costly and difficult process to try to get your identity back," said Dr. Mark Zimbelman, associate professor of accounting.

Although consumer fraud is very common, steps can be taken to prevent it.

"Never give out any credit or personal information to anyone that contacted you by e-mail or phone," Zimbelman said. "You should contact them."

Consumers may not be able to prevent fraud, but both Zimbelman and Woodworth suggest consumers monitor their credit reports.

A free credit report can be ordered by visiting www.annualcreditreport.com, calling 1-877-322-8228 or completing the annual credit report request form and mailing it to: Annual Credit Report Request Service, P.O. Box 105281, Atlanta, GA 30348-5281.

Fraud can be reported at www.ftc.gov or 1-877-FTC-HELP. The FTC gathers evidence and alerts law enforcement throughout the United States and Canada. Reporting fraud can prevent others from becoming victims and help to put an end to fraud.

news source : http://newsnet.byu.edu/story.cfm/67548

Get Your Free Credit Report -- Without the Hassle

We all have the legal right to see our credit-score reports for free, but getting them can be complicated.

Teresa Yakes learned the hard way just how complicated it is to get one of those reports. When she was struggling in May to avoid bankruptcy and working with a debt consolidation company, her lawyer told her to get her free credit-score report online. Yakes went to what seemed to her like the obvious place: freecreditreport.com. (Its Web page even features a smiling blond woman holding a giant orange card that says FREE CREDIT SCORE & REPORT.)

Weeks later, Yakes discovered that the site now expected her to pay a fee every month. "I thought, 'screw that,'" Yakes says. "It's supposed to be freecreditreport.com."

To be sure, freecreditreport.com's home page says in a box underneath the blond woman that if you order your free report at the site, you'll also begin a subscription to Triple Advantage Credit Monitoring. That not only gives you those promised "free" reports, but also checks them daily at a fee of $14.95 per month if you don't cancel your membership within a 30-day trial period.

"We do put that information in to make sure the consumer understands," says Kelly Poffenberger, a spokesman for the Dublin credit-reporting agency Experian Group, which owns freecreditreport.com.

Whether they understand what they're getting or not, many consumers are choosing to pay to see their credit scores these days, and agencies are earning gobs of money by selling services that take the concept of monitoring to new heights.

Experian, for example, raked in $450 million in revenue during full-year 2007 from products such as Triple Advantage Credit Monitoring, compared with $100 million five years ago. Meanwhile the company's rival, Equifax(EFX - Cramer's Take - Stockpickr), made $150 million in 2007, compared with $40 million five years ago, according to Michael Meltz, an analyst at Bear Stearns. "It's a big business," Meltz says.

It's happening even though the Fair and Accurate Credit Transactions Act of 2003 requires the agencies to notify consumers of their right to see their credit files for free. Despite that mandate, only 22% of nearly 5,000 people surveyed between March and June 2006 had gotten free credit reports around six months after they became available nationwide, according to the Federal Trade Commission's 2006 Identity Theft Survey Report, which was released in November.

So, how do you get the free kind of credit report? You can go to AnnualCreditReport.com, call 877-322-8228 or fill out the Annual Credit Report Request Form and mail it to: Annual Credit Report Request Service, P.O. Box 105281, Atlanta, GA 30348-5281. These are the only official channels to make a request for a free annual credit report.

You can order copies of your reports at once from all three agencies -- Experian, Equifax, and Chicago-based TransUnion -- if you want to keep an eye out for changes in your file or as a protection against the risk of someone using your personal information to obtain credit. You can also order one free report from a different agency every four months.

Consumer advocates say that doing these basics alone is the most sensible way to watch your credit score.

"We don't feel necessarily that it's worth it," to pay extra for credit monitoring services, says Linda Foley, founder of the San Diego nonprofit Identity Theft Resource Center. She points out that even daily monitoring services can't make up for the time lag between when someone has taken out credit in your name and when the issuers report that to agencies.

And other billers, such as utilities or hospitals, might not say anything to the credit-reporting agencies all the way until an unpaid bill in your name goes into collections, Foley adds. Instead of paying the agencies for a false sense of security, Foley recommends setting up your own, free credit monitoring service by ordering one report at a time every four months.

If you're looking to do this, consumer advocates warn to steer clear of the numerous sites that might seem to exist in order to offer free reports but then invite you to buy other related services. A 2007 Consumer Reports WebWatch analysis of 24 such Web sites found that nine were owned by or closely connected to TransUnion; eight were owned by or otherwise closely connected to Experian. The list includes TransUnion's TrueCredit.com and Experian's ConsumerInfo.com, among others; you can find the other 22 named here.

"If you go to TrueCredit itself, we tell you [on the home page] there's a free trial, but it's never promoting the product or the services as free," says Steve Katz, a spokesman at TransUnion. "It clearly lays out the cost."

Officials from all three agencies say consumers should find out about their credit scores by using the more full-fledged monitoring services available for sale.

"We have a lot of demand from consumers who want to take a much greater step than just getting their free report and taking a look once a year," says Chris Atwood, vice president of Equifax Personal Solutions. "Some consumers feel they want the ultimate in protection, regardless."



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Sonja Ryst has previously worked as a staff reporter at BusinessWeek.com and Dow Jones Newswires. She's also freelanced for publications including The Wall Street Journal. She graduated from Stanford University with honors.

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