Technology tools to keep you safe on the internet

In light of regular news of consumer data theft, some people remain hesitant to use the internet for banking, investing, and other financial transactions. Writing checks, stamping envelopes, and receiving statements in the mail seems safer. Perhaps surprisingly, experts agree that today, your personal information is much more vulnerable to theft if it’s on paper and traveling through the postal system to your mailbox.

By setting up online accounts instead, you’ll save time, money, trees, and better keep track of your financial life. Whether you decide to go online or not, the reality is that your information is already on the internet. Protecting it as effectively as possible is paramount.

At Bristlecone, we implement the best online practices to protect our clients' assets and privacy. We thought we would share the tools we use in our professional and personal lives.

Password managers

Everyone should be using a password manager on both desktops and mobile devices in today's day and age. Programs like LastPass and 1Password help you create unique, complex, and randomly generated passwords for each of your online accounts. They are then stored in a single encrypted location accessible with a master password (ask us how to create one that is secure and easy to remember). This helps reduce the risks from using the same password for multiple sites or writing passwords down in a notebook that could be lost or stolen. Password managers also serve as excellent estate planning tools. Many have built-in features to allow a trusted contact (such as your spouse or child) to access the password database in an emergency or after you're gone.

Multifactor authentication (MFA)

MFA is a system that requires more than one method to verify your identity. When you sign into the account for the first time on a new device or application (like a web browser), you first enter your username and password. Then, you need a second "factor" to prove who you are. It is usually done by having a randomly generated code sent via a mobile app (such as Google Authenticator), email, or text message. You should have this feature enabled on all your financial, email, social media, and personal accounts when available. Although not foolproof, it will significantly reduce the chances of someone gaining unauthorized access to your online information, even if a password has been compromised.

Credit Monitoring

While there are plenty of useful paid credit monitoring services on the market, many are overpriced. If you decide to purchase one, shop around. Thankfully there are free tools available, such as Credit Karma or Credit Sesame, that will provide free credit scores and information from your credit reports. While it's always a good idea to check your actual reports for free once a year via the government-authorized annualcreditreport.com, free credit monitoring tools are a convenient way to check more frequently. They also will alert you if a new account has been opened in your name, or an inquiry has been made on one of your credit reports (a useful tool to stop fraud before it becomes a bigger problem). 

Credit Freeze

Also known as a security freeze, this free tool lets you restrict access to your credit report with all 3 credit agencies (Experian, Equifax, and Transunion), making it more difficult for identity thieves to open new accounts in your name. That's because most creditors need to see your credit report before they approve a new account. If they can't see your report, they may not extend the credit. After receiving your freeze request, each credit bureau will provide you with a unique PIN or password. You will need it if you need to lift the freeze to apply for a credit card, a loan, or to rent an apartment.

Social Security and IRS online accounts

Finally, we recommend setting up an online account with both the Social Security Administration and the Internal Revenue Service. Checking these at least twice a year will allow you to catch potential mistakes and suspicious activity. Identity thieves may claim your tax refund or file for benefits in your name, for instance.

Even using all these tools, you may still fall victim to cyber fraud or identity theft. However, it will make things much harder for criminals, will typically alert you to suspicious activity earlier, and allow you to limit the impact.