Dormant credit accounts may be more susceptible to fraud
Updated: Saturday, August 3 2013, 02:51 PM CDT
If you think those credit cards you're no longer using are off limits to con artists, you're wrong.
Your dormant accounts might be the most susceptible to fraud.
Shattered glass and partially completed construction is all you can see at this abandoned strip mall. What happened?
Work came to a halt after contractors on this job were arrested for their role in a credit scam case that cost consumers more than half a million dollars.
It all started with one bad credit card company employee.
(Mona Hernandez, US Postal Inspector): "She knew that these were dormant accounts which the businesses had lost track of so she would go in manipulate the account."
She would create new credit cards based on these dormant accounts and ask accomplices to use the cards.
(Mona Hernandez, US Postal Inspector): "Multiple contractors were arrested in this case, many of them were recruited as the runners to purchase equipment that was used for the purposes of building materials."
The contractors would buy construction equipment and either sell it or use it on their projects.
In all, there were 50 victims. Postal inspectors caught the mastermind behind the scheme.
(Mona Hernandez, US Postal Inspector): "She ended up confessing to compromising 30-40 dormant accounts."
Some advice from postal inspectors to consumers.
(Mona Hernandez, US Postal Inspector): "This is something that can affect anyone not just businesses… if they have accounts that are dormant or unused they have to get those closed."
Postal inspectors also recommend checking your credit report, which may indicate any unused or dormant accounts in your name.