Brokers 'facing up' to online networking threat

Brokers tapping into the rapidly developing world of Web2.0 have been warned to exercise great care, with experts revealing that online fraud is growing increasingly rampant on social networking sites.

As social networking sites grow in popularity, mortgage brokers are capitalising on this by seizing on new customer interaction opportunities.

However, with increased online interaction, there has also been an increase of potential dangers.

Spokesperson for consumer body, Choice, Christopher Zinn, warned that there had been a swell in social networking site-related fraud.
 
"There's more and more targeting going on. There used to be 'phishing' and now it's called 'spear phishing' because it's more targeted at the individual," he said.

According to Zinn as little as a name, birth date and address details can be used in order for an identity thief to assume someone's role or act under a users' name or company.

Businesses and individuals privy to sensitive financial information, he said, were particularly likely to find themselves being targeted.

In view of this, he said brokers should take particular note of the type of information they list online, elect the highest security settings and consult with their IT department or advisor prior to joining.

Port Homeloans mortgage broker, Liz Wilson, who joined the Facebook and My Referral Network sites, confirmed that prior to listing she had ensured that she received approval from the IT department.

She also said that she as careful not to disclose business details.

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