Group Warns Consumers Not to Take the Bait in
Phishing Scams

New Web Site, PSA Campaign to Educate Public about Growing Form of ID Theft

New Tips for Consumers at Fraud.org                New Brochure (PDF)

Release Date: August 18, 2004
Contact: 202-835-3323, media@nclnet.org

Washington, DC—Identity thieves are using a new scheme dubbed “phishing” to trick people into providing their Social Security numbers, financial account numbers, passwords, PIN numbers, and other personal information, and anyone with a telephone or email can be a victim, warns the National Consumers League (NCL), the nation’s oldest consumer advocacy organization. Based on complaints reported to NCL’s National Fraud Information Center/Internet Fraud Watch database since last December, when the phishing category was added, this method of ID theft is now the fourth most common Internet scam. Through a partnership with the STAR® Debit and ATM Network,  NCL has launched public service advertisements about phishing and a new Web site, www.phishinginfo.org, which describes how phishing works, how people can protect themselves, and where to go for help if they’ve been “hooked” by a phishing scam.

The Scam

The most common form of phishing is by email. Pretending to be from legitimate companies, financial institutions, or government agencies, the senders ask recipients to “confirm” their personal information. “They often use scare tactics — there is a problem with your last payment, or your account is about to be closed — to prompt people to respond immediately with the requested information,” said Susan Grant, director of NCL’s National Fraud Information Center/Internet Fraud Watch program. Typically, the emails contain links to phony Web sites that look just like the real ones. “When you enter your personal information on the bogus Web site, you place it into the hands of identity thieves,” Grant said.

Phishing can also happen by telephone. “Many consumers enjoy the convenient access of banking and shopping by phone or Web.  But it’s important for consumers to know that if someone contacts them out of the blue, whether it’s by phone or email, and asks for their personal information, it’s not likely to be the organization with whom they do business,” cautioned Ronald V. Congemi, president, First Data Debit Services/Star Systems. Phishing attempts may be random or they may target specific people. For example, some phishers, posing as potential employers, contact people who have listed themselves on job search Web sites and ask for their personal information.

Tips for Consumers

• Be suspicious if someone contacts you unexpectedly and asks for your personal information. Legitimate companies and agencies don’t operate that way.
• Don’t click on links in emails that ask you to provide personal information. To check whether an email or call is really from the company or agency, call it directly or go to its Web site (use a search engine to find it).
• Job seekers should also verify the person’s identity before providing personal information to someone claiming to be a prospective employer.
• If you have provided account numbers, PINs, or passwords to a phisher, notify the companies with which you have those accounts immediately.

The new www.phishinginfo.org Web site offers more detailed information and links to additional resources for advice and assistance.   

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The National Consumers League, founded in 1899, is America's pioneer consumer organization. Our mission is to identify, protect, represent, and advance the economic and social interests of consumers and workers. NCL is a private, nonprofit membership organization. For more information, visit www.nclnet.org.

Fraud.org • LifeSmarts • StopChildLabor.org • SOSRx • Fields Of Hope • Phishinginfo.org