Q.        What is phishing?
 
A.            “Phishing” is most typically an e-mail scam involving fraudsters who pretend to be a legitimate business such as a financial institution, credit card company, online service provider, or retailer, etc. Hiding behind the anonymity of e-mail, they send out “official-looking” e-mails to trick you into divulging your account numbers, passwords, Social Security numbers, and other sensitive data.
 
In most cases, the e-mail claims there is an account problem or warns of a possible account fraud threat. Either way—the whole idea is to convince you there is an immediate need to update your financial or personal information.
 
It’s important to know, many financial institutions use e-mail to communicate with customers and direct them to their Web sites where the customers may be asked to enter personal information as part of registering for a service, such as online banking, or accessing account information.  However, if the e-mail is unsolicited, that is, if you yourself did not initiate an action with the sender (open an account or request a new service) it’s a good idea to go directly to the organization’s Web site by entering the Web site’s address (URL) rather than linking to it from an e-mail. 
 
Phishing scams are among the fastest growing forms of fraud on the Internet.  According to the Anti-Phishing Working Group, phishing scams grew 178% from March of 2004 to April of 2004. 
 

17. What are Visa, the Better Business Bureau, Call For Action and the FTC doing about phishing scams?

 
· Visa, the Better Business Bureau and Call For Action are educating consumers to “Cut the Line on Phishing Scams.” The educational campaign helps consumers identity phishing scams, offers tips on how to protect themselves, and encourages them to report suspicious e-mails to the company being victimized.  Comprehensive phishing resources are available on the Internet at www.visa.com/phishing, www.bbb.org/phishing, www.callforaction.org and www.consumer.gov/idtheft.
 
The BBB system will inform consumers by issuing media alerts through local BBBs in the U.S. and Canada, publishing articles in business newsletters and on local Bureau Web sites, speaking to community and business organizations about phishing and other Internet scams, and encouraging BBBOnLine participating merchants and other BBB members to link from their Web sites to anti-phishing resources on the bbb.org site.
  
In addition to the phishing resources available online, Visa USA will continue outreach to consumers by offering a free brochure to consumers and working with its issuing banks to provide cardholder statement inserts. To receive the brochure call 1-800-VISA-411.
 
Q.        How big a problem is phishing? 
 
A.            Phishing scams are among the fastest growing forms of fraud on the Internet.  According to the Anti-Phishing Working Group, phishing scams grew 178 percent from March of 2004 to April of 2004. Another study, conducted by the research firm Gartner Inc., revealed that more than 970,000 Americans have been defrauded by phishing.  Building greater consumer awareness will be the key to combating the problem.
 
Q.        How will your “Cut the Line on Phishing Scams” program actually combat the problem?
 
A.        The key to combating phishing scams is knowing how to recognize them.  Visa, the Better Business Bureau, Call For Action and the FTC can make a big difference in protecting consumers and businesses from becoming victims simply by educating them on how these e-mail scams work and how to protect themselves.  This anti-phishing effort adds another layer of cardholder security to Visa’s state-of-the-art technologies that verify personal information, prevent fraud, and detect it at its earliest stages.
 
Q.        What are some of the consumer tips Visa, the BBB, and Call For Action are recommending to consumers in order to help protect them from phishing scams?
 
A.        To avoid getting lured into a phishing scam:
 
·        Treat unsolicited e-mail requests for financial information or other personal data with suspicion. Do not reply to the unsolicited e-mail or respond by clicking on a link within the unsolicited e-mail message.
·        Contact the actual business that supposedly sent the e-mail to verify if it is genuine. Visit a secure Web site or call a phone number that you know to be legitimate.
·        Only enter personal information on a secure Web site that you know to be legitimate. Do not provide personal information within an e-mail message. Visa or your card issuer would never ask you to send Social Security numbers, account numbers, passwords, or PINs within an e-mail message. When entering personal data at a Web site, look for a “locked padlock” in the browser or “https” at the beginning of the Web site address to make sure the site is secure.
·        Be cautious. Check your monthly statements to verify all transactions. Notify your bank immediately of any erroneous or suspicious transactions.
·        Forward any suspicious e-mails claiming to be from Visa or your Visa card issuer to phishing@visa.com.       
·        For more information on e-mail and Web security tips go to: www.bbb.org/phishing, www.visa.com/phishing, or www.consumer.gov/idtheft.