|
Effective legislation
Numerous states have passed identity-theft and security-breach notification laws that highlight the need to stop identifying a person by his or her Social Security number and issue other means of identification.
In California, college ID cards no longer contain the Social Security number of students. Instead they use a less-invasive number that proves identity. The same law goes for medical records and Medicare cards. It is illegal to have your Social Security number listed on your Medicare card. The law also requires companies to notify consumers if their personal information has been breached.
Twenty-one states have security-breach laws, and some of those states also prohibit the use of Social Security numbers for identification purposes.
"Your SSN is unique to you, so unique that it gives complete access to everything known about you, which is pretty dangerous," says attorney Chris Hoofnagle, senior counsel to the Electronic Privacy Information Center.
Hoofnagle and a fellow center member testified before Congress calling for a ban on Social Security numbers used as identifiers and asked that companies develop methods of identifying consumers that are not based on publicly available data or data easily bought from brokers. Any passwords chosen could be easily changed by the consumer if warranted.
Edmund Mierzwinski, National Association of State Public Interest Research Groups consumer program director, says that despite state laws protecting private information, Congress is trying to pass federal laws that would reduce using Social Security numbers for identification.
Mierzwinski says, "The Social Security number protections are not what they seem. The government established the use of Social Security numbers to regulate Medicare, Social Security benefits and taxes, but the government allows others to use the numbers without regulating how they are used."
Mierzwinski points to credit bureaus as the main offenders of Social Security number abuse.
"Credit bureaus are strictly regulated when they sell credit reports but are not strictly regulated when they sell your information, or header information, which includes your name, address, mother's maiden name and your Social Security. That information is sold on an unregulated basis.
"Government and business do not want consumers to have control over their financial DNA, but they also don't want to be held responsible if there is a security breach. The industry strategy is to establish weak breach laws that take away state laws," he says.
Mierzwinski and other consumer advocates want to see laws that benefit the consumer, not big business. "We would like to see an amendment that states neither businesses nor government can deny someone service if they choose not to give their Social Security number."
Hillebrand agrees. "You can't close down your Social Security number the way you can close down your bank account or credit card. There must be some kind of accountability and protection that gives consumers peace of mind."
The legacy of Social Security numbers
While consumers are looking for state and federal laws that would ensure that private information stays private, almost half of Americans carry their Social Security cards in a wallet or purse, according to the American Express ID Theft Quiz.
According to the Consumers Union, it takes consumers an average of 300 to 500 hours to fix their credit. So, consumers should take steps to safeguard their private information. Here are some recommendations from the Social Security Administration:
-- Keep your Social Security card at home. Don't carry it with you unless absolutely necessary.
-- Don't carry your passport, birth certificate or other valuable personal documents unless absolutely necessary.
-- Keep your personal and financial documents, including the ones mentioned above, in a safe place. You might use a fireproof box at home or a safety-deposit box at your bank.
-- Make sure your Social Security number isn't used as your employee or student identification number and that it isn't printed on any other identification, such as your driver's license.
-- Don't put your Social Security number on your checks.
-- Avoid using your Social Security number, date of birth or other identifying numbers as your passwords online.
-- Don't give out your number to people or companies you don't know. Before you give out your personal information, ask why it is needed and how it will be used.
Experts also suggest you take the following steps to lessen your chances of becoming a victim:
-- Cancel any credit cards you don't use.
-- Don't share your SSN when it isn't necessary. (For purchases and business transactions other than banking, trading stock or buying property, it isn't necessary.)
-- Remove your name from mailing lists. By calling (888) 5OPT-OUT, you can get your name off the marketing lists of the three primary credit bureaus. (This will, in turn, decrease the number of pre-approved credit offers you receive.)
-- Request a copy of your Social Security Personal Earnings and Benefit Estimate Statement at least every three years to make sure the information in your file is correct. (You can do this online through the SSA Web site.)
-- Be aware of what's on your credit report. Pull your credit report once or twice a year to be sure it's correct. You can get one report from each of the three major credit bureaus eacy year for free.
-- If your bank uses your SSN as a personal identification number, or PIN, or as the identifier for banking by phone, write or call to request a different number. If you use the last four digits of your Social Security number as your PIN for your ATM, automated teller machine, change it to something less predicable (not your birth date!).
-- If your state's department of motor vehicles uses SSNs as driver's license numbers, ask for an alternate number. Most will cooperate.
|