Corporate Identity Theft

Author: Andy Mitchel | Filed under: Types of Identity Theft | Tags: corporate identity theft | No Comments »

Large corporations and small businesses are targeted by corporate identity theft in the same manner an individual is. A Business will sometimes will not find out that they are an identity theft victim until they apply for loans, grants, or credit, and discover they have poor credit. While the perception from some is that individuals are the only victims, corporate identity theft is becoming more prevalent. Credit profiles being stolen from companies by thieves is a very common type of corporate identity theft. Thieves can use these credit profiles to obtain credit for another company that may or may not exist, or simply use the company’s name to make charges.

A credit history is used by every business to gain credit with vendors. A company having a good credit history is very important, just as a person’s credit score is when applying for loans. Without a good credit standing, a company will not be able to get the credit they need to rent space or purchase new equipment.

Corporate Identity Theft Prevention

Proper website security and maintenance is of utmost importance when it comes to identity theft prevention. A company’s website should be monitored by the IT staff on a regular basis, and the home page should list an e-mail address for users to contact if they notice any unusual activity. For instance, on several occasions someone hacked a company website and posted pornographic material throughout. Because of this heinous act, the image and reputation of the company was damaged. Also, keep an eye out for sites that use similar domain names or simply purchase them before others can use them.

Losing track of paper documents has often lead to corporate identity theft. To avoid this being a problem, shred any documents that you want to get rid of and file any documents that are to be maintained.

A secure place should be used to store all company data. A filing cabinet can store personal information, and a flash drive can contain all electronic data instead of placing on the office computer.

Virus protection software should be updated regularly to maintain computer network security in addition to periodically changing passwords, and strengthening spyware, adware, and firewalls. A policy should be in place addressing internet use. Employees browsing the internet and visiting sites with adware or spyware may be putting the company’s integrity in jeopardy.

Although corporate identity theft was not a common occurrence in the past, their occurrences are continually increasing and can result in a business’s credit being destroyed. Regardless of how big or small a business is, all should be aware of corporate identity theft and take the necessary precautions in order to prevent it from happening. All it takes is for a thief to get their hands on confidential information in order to change the company’s director and address, as well as appoint new directors. Securing critical company data and taking action is important in order to fight against corporate identity theft.