ME&MEE

As we celebrate the first day of Spring, the dread chill of approaching tax filing time grows stonger.   Me & Me offers some tips to help you avoid some of the information security dangers that lurk during this time of year.

 Be Smart, Be Safe

• If you plan on filing electronically, visit the IRS site for a list of credible online tax filing service providers. http://www.irs.gov/
• Make sure your antivirus software is up-to-date. Phishing emails can contain software that may harm your computer or track your activities online without your knowledge.
• Check the security of websites you use to process electronic payments for direct deposit refunds. Certain indicators show that the site is secure, such as a lock icon on the browser’s status bar or URL that begins with “https:” - the “s” stands for “secure”.
• Use atypical passwords when registering to download tax forms from employers. For example, avoid using your birthday or mother’s maiden name.
• Password protect your personal information on electronic filing sites.
  Make sure to disable peer-to-peer file-sharing programs.
• Try to avoid emailing personal or financial information. If you must email tax documents, encrypt them first.
• Make sure not to save passwords in web browsers when logging in to bank accounts or other sources that store personal information.
• Avoid storing bank account numbers or Social Security numbers on your computer.

Arm Yourself

• The IRS does not email taxpayers.  If you receive an email that appears to be from the IRS, do not respond, as it is likely a scam. 
• The IRS also does not call taxpayers out of the blue. To safeguard your identity, avoid providing your personal information to callers claiming to represent the IRS.

Store Securely

• Permanently delete unsecured documents containing personal information used to prepare tax returns and shred paper documents.
• If photocopying financial documents, make sure the photocopier doesn’t store images in its memory.
• Opt to have any tax refund electronically deposited into a bank account rather than having a refund check sit in your mailbox.

Be Your Own Postman

• Avoid leaving tax documents in your mailbox for pick-up. Instead, mail them from a U.S. Post Office. Also, don’t keep documents in your car or sitting on your desk for any length of time. 
  Send your documents ‘Certified Mail, Return Receipt’ to guarantee they arrived and were signed for.
• If you owe money to the IRS, consider filing and paying online instead of sending a check with your social security number written on it.

US News and World Report takes a look at medical identity theft in its latest issue.  Medical IDT still a small fraction of reported identity thefts, but then again 250,000 cases of fraud should’t be qualified as tiny.  Again, the problem is finding out how and when your med ID has been compromised.  With your information spread out through several providers or facilities, it can be difficult to know if you are at risk.  If you live in California, the trend-setter for identity theft consumer rights, your health provider legally has to notify you.  Many states don’t have laws requiring consumer notification for compromise of medical records.  Also creating complications in tracking down fraud, privacy legistlation that protects others from seeing our medical information can make it difficult from accessing our own personal records.

But the cost isn’t just borne on the victims or the health insurance companies paying out fraudulent claims.  Like fraud from traditional identity theft, the cost for fraudulent purchases of goods & services often gets reverted back to the merchant, or hospital in this case, to swallow the costs.  In the end though, we all pay through higher insurance premiums and healthcare costs.