Privacy and Security Online

In recent years there has been a marked increase in consumers’ venturing into electronic commerce, which, naturally, raises the issue whether personal information provided over the Internet is secure. Despite advances in self-regulation, many consumers still question the effectiveness of industry efforts to keep their personal information secure. Yet the availability and convenience of this technology continues to attract consumers in droves. So what can we do to protect ourselves? Well, no matter how careful you are when using your credit cards, there is always some element of risk; however, the following tips can help to reduce that risk when shopping online:
First and foremost, if the information is something that you would not feel comfortable disclosing in person, such as a social security number, do not disclose it online. A web site is certainly no more secure than a department store.
Look for privacy statements. A recent study showed that 94% of the top 100 web sites displayed privacy statements. These statements usually describe the web site’s data collection and dissemination policies, as well as other information such as how the business limits its employee access to personal consumer data. Reading these statements will help you to determine if this is a company with whom you want to do business. Also, take note if there is a disclaimer contained within the privacy statement. While disclaimers do not necessarily mean that the site is unsafe, it does indicate that the company does not intend the policy statement to be construed as a contractual obligation. In any event your best bet would be to avoid web sites having no privacy statements.
Consider what security measures the web site uses. Many sites use security devices that alert the consumer prior to entering a secured area. Sites often use industry standard security measures called “SSL” or secure socket layer encryption. Look for a lock or key symbol in the status bar at the bottom of the screen. Another tip is to check the web address. Instead of the usual “http” you might see “https,” which indicates that the server is secure.
Check to see if the site has a privacy “seal of approval” from a well-known organization, such as “TRUSTe”, or other non-profit privacy organization. These seals indicate that the web site has adhered to the organization’s established privacy standards and controls and that an independent agency is monitoring the privacy policies of the site.
If all else fails and your credit card number is stolen, you still have the protection of the federal Consumer Credit Protection law. The law provides that in the event of unauthorized use of a credit card, the cardholder’s liability is limited generally to $50.
– Denise Ciampitti