Social Media and Identity Theft

The Information Age has bestowed numerous wonders upon us. We have encyclopedic knowledge just a fingertip away. We can video chat with our friends and family from the remotest locations. We can communicate with thousands of people across the world through dozens of social channels.

Yet these amazing gifts don't come entirely without a price. If you're not careful, what you reveal online can compromise your personal and financial security.

The Facts About Social Media and Identity Theft

It seems hard to believe that modern social media is only around a decade old. In that short time, social platforms have become a nearly indispensable tool for consuming media, searching for a job, or maintaining relationships with friends, family, and colleagues.

Yet this deep integration with our lives presents certain challenges. Social media platforms aren't providing their products as a service to humanity. These are profit-seeking companies that harvest your data as part of their business model. Rather than paying a fee to use most of these products, you provide something just as valuable -- personal information.

In the proper hands, the uses for that information may be fairly benign. A social media network may merely want to better understand your preferences, in order to offer more relevant content. In the wrong hands, however, the constant exhaust cloud of data we leave in our wake can do serious damage.

How to Avoid Becoming a Social Media Target

There are a few common sense strategies you can employ to avoid becoming a target of social media identity thieves. First, it's critical that you exercise discretion in terms of what you reveal. Don't post information that is of obvious value to a criminal, such as your Social Security number or bank information. Don't post your vacation itinerary. Avoid leaking any information that could help thieves guess your password.

It's also a good idea to review your privacy settings across all of your social networks. If your default setting is public, you're potentially serving up a gold mine of identifying details to people with nefarious intentions. It's a smart idea to limit any personal information to people inside your network, or perhaps one step removed (a friend of a friend, for example). This information includes your full name, date of birth, city of residence, work history, etc.

The Power of a Strong Password

Even someone who practices total discretion online can still be undermined by a hacked password. That's why it's important to employ very strong protection. Consider the following steps to secure access to your accounts:

• Change your password regularly
• Use at least eight letters with one digit
• Use random uppercase letters
• Never use a password that's easy to crack based on public information about you
• Use two-step verification whenever possible, such as adding a phone number
• Balancing "social" with "safe"

Navigating modern social media requires a balancing act. The platforms are built upon a foundation of personal disclosure. Yet disclose too much and you expose yourself to serious financial threats.

By following the steps above, you can enjoy all of the benefits of social media -- without worrying about the risk.