Under the 'Fair and Accurate Credit Transactions Act', starting June 1, 2005 banks, insurance companies, car dealers, or any business that uses personal information must shred or burn the documents when throwing them out.
Lynne Rotunno of Insurance Doctors says her company disposes of their personal documents once a year.
"[We have] our clients addresses, phone numbers, social security numbers, drivers license, all their personal information and we don't want to just dump it out in the trash for anybody to just walk by and just take them," said Lynne Rotunno.
Unfortunately, they do. Identity theft is the fastest growing crime in the country and some identity theft is done the old-fashioned way, going through the garbage.
"People can obtain your social security or credit cards and apply for information under your name through dumpster diving. The safest means of destroying it is through shredding," said Kevin Martin, of KMX Mobile Security Shredding.
Kevin Martin takes his shredding business on the road. He travels to your home or business and shreds on site.
"That provides safety for the customer. The customer can stand here and watch their documents actually being destroyed," said Martin.
If businesses do not shred the personal information, they could be sued, or fined up to $1,000 per violation.
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