Have you ever heard the saying “One man’s trash is another man’s treasure”? Well, that rings true especially when it comes to fraud. Criminals will literally go through trash looking for the treasure they need to steal your identity. This is called Dumpster Diving and it is way more common than anyone realizes. Basically, dumpster diving refers to searching through discarded materials looking for items of value. While it can be as harmless as someone looking for items to recycle, it is also a common practice of fraudsters to gain personal and sensitive information. Dumpster diving is a low tech but highly effective tool for committing financial and identity related crimes. In many places, once trash is left in a public area for collection it is no longer protected by privacy laws. That means it isn’t technically illegal to take items from the trash. However, when those items are used to commit fraud, identity theft, or any other crimes it is most definitely illegal and can result in severe penalties for the fraudster. While we may not be able to keep people from going through our trash, we can limit our exposure to identity theft from dumpster diving.
One of the biggest ways dumpster diving relates to fraud is through the recovery of personal or corporate information that has just been thrown away. Businesses are particularly vulnerable when they fail to implement proper data disposal practices. Corporate dumpsters may contain all sorts of information which can be used for anything from identity theft to corporate espionage. It is dangerous for an employee to throw personal trash in a company dumpster. Here are some examples of items that are useful to fraudsters:
🗑️Bills
🗑️Bank Statements
🗑️Credit Card Offers
🗑️Medical records
🗑️Internal business documents
What do all of those items have in common? They contain personal information such as name, address, phone number, SSN or TIN, and account numbers. When these items are just thrown away instead of being shredded, they become an easy target and pose a major threat. Criminals can piece together any of that information in order to impersonate someone, open fraudulent accounts, or gain unauthorized access to existing accounts. You should never place any of the above items in the trash whether it is at home or work. The best way to dispose of documents that contain sensitive information is….SHRED, SHRED, SHRED.
The persistence of dumpster diving as a fraud tactic highlights a critical weakness in information security: human behavior. You can have the most sophisticated cybersecurity, encryption, and firewalls, however none of that is going to help in the fight against dumpster diving related fraud. Preventing that sort of fraud requires a combination of awareness and practical safeguards. Individuals should shred any documents containing sensitive information, never throw those items away in either personal or company trash. Businesses should have procedures in place for proper trash disposal as well as using shred services and training employees on data security. Making sure there are locks on dumpsters and restricted access to them also helps keep corporate trash secure. In the ever growing digital age, dumpster diving serves as a reminder that not all vulnerabilities are high-tech. Sometimes, just going through the trash can give valuable information to scammers. By properly disposing of sensitive documents both at home and work, you can do your part in the fight against dumpster diving fraud.
Thanks and have a great weekend!
Tara Montgomery
Exchange Bank of Alabama
Fraud Specialist
(256) 691-0328
