Beau is on his way to college, excited for classes to start. But first he needs to buy his books. He and his parents decide a credit card is the best way to foot the bill and establish some credit for the future. After surfing online, Beau finds a card with a low APR, and completes the application. Once the credit card arrives, Beau spends $300 on books, and plans to pay it off right away. But when the bill comes, he's devastated to find out it's for $5,000!

More than half a million people, students like Beau included, find themselves victims of  

identity theft

  each year. With one thief's splurge, you can either face years of lost money, or the frustration of working to clean up the mess. Although institutions are going to great lengths to protect you against identity theft, students are still vulnerable. For one thing, most student ID numbers are also their social security number.

In Seattle, WA, a local news show featured a story on college identity theft. The victim, Jenni D., had her life turned upside down when someone stole her social security number from her student ID, and opened 13 credit card accounts, seven checking accounts, nine cell phone accounts, and bought a brand new Chevrolet Suburban. Grand total? $72,000.

The scary part of this scam is that identity theft can happen to anyone. The best protection? Prevention! Here are ten tips, courtesy of Bankrate.com's Dani Arthur, for keeping your name safe and protected.

1. Sure, you rely on ATMs for most of your banking needs, but are you aware whether someone is lurking over your shoulder? Be careful; thieves might stand close enough to see your PIN.

2. Credit card receipts contain full account numbers and expiration dates for thieves to steal. Be safe, and keep track of your documents.

3. Properly dispose of all old credit card bills, and bank and pre-approved credit card statements. All of these documents have personal financial information that can give your identity away. Paper shredders are a great weapon in the fight against identity theft.

4. Protect your social security number, and give it out only when absolutely necessary.

5. Never leave paid bills in the mailbox for the mail carrier, drop them off at the campus post office instead.

6. If you're shopping online, look for the Truste symbol or the Better Business Bureau online seal before buying.

7. Consistently and completely fill in all credit applications using your full name (first, middle, and last). And, make sure every bill that comes to you is addressed the exact same way.

8. Keep track of your credit and bank accounts, so you'll know if a bill's missing, or if unauthorized purchases have been made.

9. If you're moving, immediately contact all of your creditors and update them on your new address.

10. Only use Web sites that offer a privacy policy.

Sound Off! Post Your Comments