College-age students are the most targeted group by credit card companies and one of the hardest hit consumer groups for identity theft according to a Federal Trade Commission report.

The danger of identity theft and the onslaught of credit card offers come at a time when the cohort is beginning to establish their vulnerable credit history – a time when college students should be aware of their credit.

And the best part is it’s free.

As of Sept. 1, 2005, everyone in the United States can access a copy of his or her credit report free of charge. The three major credit bureaus, Experian, Equifax and TransUnion, are required by law to issue a credit report once a year to all consumers that request a copy on the Internet, by phone or by mail.

Most students do not think about checking their credit because they do not think they have any.

Ryan Lillywhite, a senior from Centerville, majoring in financial services, said he thought about checking his credit report once, but gave up after experiencing computer problems.

“I don’t think I have enough credit established to worry about it,” Lillywhite said.

But most young people don’t pay attention until it is too late.

Neil Skousen, an attorney specializing in debt settlement in Orem, said they do not realize there is a problem until they are declined for a car loan or some other type of large purchase. Someone may have stolen their credit before they even started.

The fact that college students are the most targeted consumer group by credit card companies makes it easier for criminals to steal their information and commit identity theft, said Curtis Turnbull, a credit counselor with Budget Masters Guidance Center.

“If somebody knew you were getting a lot of credit card offers, it wouldn’t be hard to get at least one and then get the ball rolling from there,” Turnbull said.

Kent Nelson, chief investigator for the Utah Consumer Protection Division, said students should check their credit reports to identify any issues of identity theft. He said most people do not know there is a problem until they start getting notices from collection agencies. He also said students should check their credit history for errors.

“Credit bureaus do make mistakes,” Nelson said. “It is important to make sure no erroneous negative items show up, bringing your score down.”

Mike Scott, community education specialist of the Utah attorney general’s office, spends most of his time gathering information about fraud and identity theft to better educate people about the problem.

Identity theft in Utah increased from 886 complaints in 2002, to 1,831 complaints in 2004. Utah now ranks 14th in the nation in identity theft, up from 35th in 2001.

“Over two-thirds of all complaints go unreported,” Scott said. “The numbers are not really indicative of the problem because people don’t know who to go to.”

Scott said checking credit reports is the only way to find out if there are fraudulent accounts opened in your name, because a thief committing identity theft with a bank or credit card company needs a social security number, which will automatically show up on the credit report.

Scott gives a two-pronged approach students can take to minimize the risk of fraud and identity theft: minimize themselves as a target and catch it as quickly as possible. Scott said students should shred or destroy credit card offers and bank statements when they come in the mail.

“It is important to check your credit at least once a year,” Scott said. “It really is the only way to know for sure if you’ve been a victim of fraud or identity theft.”

The only Web site authorized to issue free copies of credit reports is annualcreditreport.com, where by disclosing their state, the consumer is directed to a page where they can access a report from each of the three bureaus. Each site varies and may contain different information. It is important to access a credit report copy from each of the three bureaus because the different bureaus can report different information.



Copyright Brigham Young University 4 Nov 2005