WTVM.com and WTVM News Leader 9, Columbus, GA | Protecting Yourself from Identity Theft

Protecting Yourself from Identity Theft

Columbus--"We couldn't understand how in the world something like this could happen," says Columbus resident Sharon Bun.  But it does...everyday.

Bun and her husband are victims of identity theft and they're not alone.

A recent Federal Trade Commission report reveals identity theft is the number one consumer complaint...and of that crime, credit card fraud is the most prevalent.

The same report reveals more than 3,000 complaints from Alabama residents and more than 8,000 from Georgians in 2007.

Experts say identity theft is a crime that often goes un-reported so, the actual number of victims is much higher.

The fact is, thieves are stealing your identity online and on the street.

We decide to put the issue to the test.

Newsleader 9 decided to go into a couple of stores and find out how easy it is to use someone else's credit card.

With permission from the cardholder, we begin at Kohl's.

Our photojournalist Taylor Barnhill uses another person's card...it reads Brittany D. Barber.  Taylor comes back out with a purchase in hand...having easily used a card that didn't belong to her.

"She just asked me to swipe my card, had the little machine where I do it myself so I swiped it and it asked for a secure pin, so I kind of freaked out but I just hit cancel and signed Brittany's name. Never asked to see the card, never asked to see ID, didn't even look twice at me," says Barnhill.

We go in to ask the manager why.

After speaking with the manager briefly, she asks us to turn the camera off.

We were asked to call the corporate office to get their policy on checking identification.

Next, we go to Sears.

And again, Barnhill is able to make a purchase with Brittany's card.

We go inside to speak with the store manager, he also directed us to the corporate office.

Next, we visit Wal-Mart in Phenix City.

This time, of course with permission, we're using another person's credit card.

This card not only has the person's name on it, but a picture.  Plus, a phrase that reads Total Security Protection.

We go in to see just how much protection the cardholder gets.

The answer...none!  Barnhill buys a flat screen tv worth nearly $300.

"I just swiped the card and walked right out and nobody looked twice at it," says Barnhill.

Next we head to one of Columbus' newer stores, Steve & Barry's, because we hear sales associates are vigilant about checking for ID.

And they did.  A shock considering it was the first out of four stores in our test...but even more of shock comes from the manager.

She tells us because of customer complaints, they've been notified by corporate to stop verifying identification.

None of this comes as a surprise to Allison Wall.

She's the Executive Director of Georgia Watch...a consumer watchdog group focused on many issues including identity theft.

"Retailers are in a unique position of wanting to make the sale, especially in a downturn economy, like we've been experiencing right now, but also not wanting to pay for the fraud," says Wall.

Newsleader 9 contacted each of the retailers we visited.  We spoke with representatives from Kohl's numerous times by phone, but have yet to receive a written copy of the company's policy.

Here are the other responses:

Sears

Sears' policy states that cashiers should match the signature on the sales receipt with that on the back of the credit card.  If the card is not signed, a picture id is required.  We take the security of our customers' information very seriously and will review this policy with the associates at the Columbus, Georgia Sears location.

Wal-Mart

Wal-Mart complies with all requirements by credit and debit networks to reduce fraudulent use of cards, and the credit and debit card companies provide Wal-Mart with online approval of transactions and randomly prompt us to check signatures on cards based on risk profiles that they have in place. We work with local officials and card companies to help solve cases where cards may have been fraudulently used at our stores.

Steve & Barry's

Steve & Barry's policy, which follows common industry practice, is to ask shoppers for proof of identification when they are returning or exchanging merchandise, or at the time of purchase if their credit or debit card is not signed.