Trusts, Estates and Succession

I know you keep hearing about online security and soon you will say, if you haven’t already, that I am like a broken record.  But in today’s world, one cannot be too safe or secure. 

Cookies on the internet are tiny files that are transferred to your computer from websites you visit.  This is a way that websites and online services collect and use information about you.  Some websites will have a popup message that the site uses cookies and you can allow or block the cookies from being used. However, each web browser has a different process for enabling cookies. 

When you are connected to the internet via Wi-Fi, there is a vulnerability which exists.  To be more secure, consider installing a virtual private network (VPN) that will work in conjunction with your web browser to encrypt all information as it leaves your computer or mobile device. 

Passwords – how many do you have?  Are they simple or complex?  Would it be likely someone could easily find out your password?  Skip the numeral sequence or repetition, abc’s, your name, the name of a family member, etc.  The best passwords include numbers and letters – both upper and lower case as well as a symbol or two.  Think of a catchy phrase or sentence that you like and recreate it.  For example – “I like to go to the seashore” could be “Ilk2go2cshore!”.  Get creative. 

When you are shopping online, make certain that the website address is secure with “https” being displayed at the beginning of the website address.  If there is only “http”, then the site may be a bogus website designed to look like the site you are attempting to log into.  If the address doesn’t have the “https”, close your browser, reopen and manually type in the website you are attempting to find. 

You enjoy online shopping. Which is better to use?  A credit card or a debit card?  It is safer to use a credit card because if there is a problem with your purchase or the merchant, you can call the credit card issuer and file a dispute.  Your liability is limited to usually $50.00 and most credit card companies will most likely waive that.  Using a debit card does not provide you with the ability to file a dispute. 

If you don’t use social media, you avoid the risks associated with it.  If you do, don’t post a photo where you are looking directly at the camera.  The picture could be used to forge a passport or driver’s license.  Also, don’t post photos showing that you are traveling.  Wait until you get home to post pictures or information about your trip.  Posting while traveling could be a temptation for someone to break into your home. 

Just as you lock the doors to your home or car, take steps to be secure on the internet. 

It is so nice to meet you. 

But, you ask, how did we meet? 
I don’t recall meeting you.  Is my memory fading?

Maybe your memory is fading, but I really don’t care about that.  Let me tell you some ways that I may have met you. 

• Have you entered contests and provided your name, address, age? 
• Do you fill out survey forms that disclose your information, perhaps from a hotel, restaurant, website where you purchased something? 
• Have you completed a warranty card for a new appliance, a car, tires, a computer, mobile phone? 
• Do you toss your mail that has your name, address, perhaps account number or other information without first shredding the same?
• Have you been named in an obituary for a loved one who recently passed? 
• Are you a social media person? 
• Do you live in the United States?

If you answered affirmatively to any of these questions, identity thieves may have gained access to your personal information, AND, the more you share in these areas, the more vulnerable you are.  Even if you trust sites and companies, by providing information to them, your information could be compromised if they experience a data breach.  Posting vacation pictures on social media can invite potential break-ins at your home. 

It may seem like we are broken records – if you know what that phrase means – but PLEASE, PLEASE be cautious with the information you share.  Look for trouble and you won’t find it; don’t look for trouble and it could find you.

Summer is around the corner and whether you are shopping online to get ready for a vacation or relaxing while on vacation and decide to indulge, BE AWARE!  Your financial information, tax information and Social Security number could be at risk. 

Cybercriminals want to turn stolen data into quick cash. They do this by draining financial accounts, charging credit cards, creating new credit accounts or even using stolen identities to file a fraudulent tax return for a refund.

Here are seven steps for taxpayers the IRS has provided, which can be followed to help protect their accounts and their money:

• Avoid unprotected Wi-Fi. Unprotected public Wi-Fi hotspots may allow thieves to view transactions.  Think about hotel rooms, free Wi-Fi in restaurants and other public places.
• Shop at familiar online retailers. Generally, sites using the “s” designation in “https” at the start of the URL are secure. User can also look for the “lock” icon in the browser’s URL bar. That said, some thieves can get a security certificate, so the “s” may not always vouch for the site’s legitimacy. Beware of purchases at unfamiliar sites or clicks on links from pop-up ads.
• Learn to recognize and avoid phishing emails. Thieves send these emails, posing as a trusted source, such a financial institution or the IRS. The criminal’s goal is to entice users to open a link or attachment. The link may take users to a fake website that will steal usernames and passwords. An attachment may download malware that tracks keystrokes.
• Keep a clean machine. This applies to computers, phones and tablets. Taxpayers should use security software to protect against malware that may steal data and viruses that may damage files.
• Use passwords that are strong, long and unique. Experts suggest a minimum of 10 characters but longer is better. People should also avoid using a specific word in the password. They should also use a combination of letters, numbers and special characters.
• Use multi-factor authentication when available. This means users may need a security code, usually sent as a text from a financial institution or email provider to a mobile phone. People use this code in addition to usernames and passwords.
• Encrypt and password-protect sensitive data. If keeping financial records, tax returns or any personally identifiable information on computers, this data should be encrypted and protected by a strong password.

Be a savvy shopper – not only by looking for deals on items you want to purchase but also by keeping your information secure. 

Data thieves don’t take a break.  EVER.  They are always working.  One might say they are workaholics. 
 
The most common way for cybercriminals to steal money, bank account information, passwords, credit cards and Social Security numbers is to simply ask for them. Every day, people fall victim to phishing scams or phone scams that cost them their time and their cash.

Here are a few steps taxpayers can take to protect against phishing and other email scams. When reading emails, people should:

• Be vigilant and skeptical. Never open a link or attachment from an unknown or suspicious source. Even if the email is from a known source, the recipient should approach with caution. Cybercrooks are good at acting like trusted businesses, friends and family. This even includes the IRS.
• Double check the email address. Thieves may have compromised a friend’s email address. They might also be spoofing the address with a slight change in text. For example, using narne@example.com  instead of name@example.com.  Merely changing the “m” to an “r” and “n” can trick people. Look closely.
• Remember that the IRS doesn’t initiate spontaneous contact with taxpayers by email to ask for personal or financial information. This includes asking for information via text messages and social media channels. The IRS does not call taxpayers with aggressive threats of lawsuits or arrests.
• Not click on hyperlinks in suspicious emails. When in doubt, users should not use hyperlinks and go directly to the source’s main web page. They should also remember that no legitimate business or organization will ask for sensitive financial information by email.
• Use security software to protect against malware and viruses found in phishing emails. Some security software can help identity suspicious websites that are used by cybercriminals.
• Use strong passwords to protect online accounts. Experts recommend the use of a passphrase, instead of a password, use a minimum of 10 digits, including letters, numbers and special characters.
• Use multi-factor authentication when offered. Two-factor authentication means that in addition to entering a username and password, the user must enter a security code. This code is usually sent as a text to the user’s mobile phone. Even if a thief manages to steal usernames and passwords, it’s unlikely the crook would also have a victim’s phone.
• Report phishing scams. Taxpayers can forward suspicious emails to phishing@irs.gov.

(a reprint from an IRS notice)

Taxpayers should protect their personal and financial data from criminals who continue to steal large amounts of information. Thieves use the data to file bogus tax returns and commit crimes while impersonating the victim.

All taxpayers should follow these steps to protect themselves and their data.

Keep a secure computer. Taxpayers should:

• Use security software that updates automatically. Essential tools for keeping a secure computer include a firewall, virus and malware protection, and file encryption for sensitive data.
• Treat personal information like cash; don’t leave it lying around.
• Give personal information only over encrypted and trusted websites.
• Use strong passwords and protect them.

Avoid Phishing and Malware. Taxpayers should:

• Not respond to emails, texts or calls that appear to be from the IRS, tax companies and other well-known businesses. Instead, verify contact information about companies or agencies by going directly to their website.
• Be cautious of email attachments. Think twice before opening them.
• Turn off the option to automatically download attachments.
• Download and install software only from known and trusted websites.

Protect personal information. Taxpayers should:

• Not routinely carry a Social Security card or other documents showing a Social Security number.
• Not overshare personal information on social media. This includes information about past addresses, a new car, a new home and children.
• Keep old tax returns and tax records under lock and key.
• Safeguard electronic files by encrypting and properly disposing them.
• Shred tax documents before trashing.

Taxpayers should forward IRS-related scam emails to phishing@irs.gov. They can report IRS impersonation telephone calls at www.tigta.gov.

More Information:

• Identity Protection: Prevention, Detection and Victim Assistance
• Publication 4524, Security Awareness for Taxpayers
• Taxes. Security. Together.