Financial fraud survey shows students at risk

Students are putting themselves needlessly at risk of financial fraud, according to a survey by financial information provider Moneyfacts in conjunction with the University of East Anglia.

More than 70 per cent insufficiently destroy used card receipts and old bank statements, almost half allow other people to use their card/PIN number, and almost a third use the same PIN Number for all their bank cards.

More than 800 students at the University of East Anglia took part in the online survey, conducted by Moneyfacts, in conjunction with the Norwich Business School at the University of East Anglia in May 2006. The information will be used by the university to educate its students further in good financial practice.

Key findings of the survey include:

• 29 per cent use the same PIN number for all bank cards
• 27 per cent keep a record of their PIN numbers (in a mobile phone or PC; in code in a wallet or purse; or ‘in a safe place’)
• 46 per cent allow other people to use their bank card (friends, family members, ‘people I trust’, or in an emergency)
• 62 per cent have been given someone else’s card and PIN to use
• 73 per cent insufficiently destroy used card receipts and old bank statements before throwing them away
• 74 per cent insufficiently destroy direct mail offers for accounts, loans and credit cards
• 34 per cent know a fellow student who has experienced financial fraud
• 10 per cent have personally experienced either identity theft, stolen credit cards/PINs or unauthorised withdrawals from their account.

“With finances already tight for students, this is alarming evidence that they are putting themselves needlessly at risk of financial fraud,” said Ben Williams, finance officer of the Union of UEA Students.

“We look forward to exploring ways that we can use these findings to help raise awareness amongst the student community so that students can better protect themselves in the future.”

Despite the worrying findings, there were also encouraging signs that students can be security-conscious when it comes to financial services. For example: