Friday, September 27, 2013

Personal finance and money news, analysis and comment | theguardian.com: Identity theft fears as a faulty laptop is resold on eBay

Personal finance and money news, analysis and comment | theguardian.com
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Identity theft fears as a faulty laptop is resold on eBay
Sep 28th 2013, 05:59, by Miles Brignall

When the hard drive died on his new Acer, Glenn Swift took it back to Sainsbury's. But it was shipped to the US – with all his personal details

It is a bizarre story that raises concerns about the security of personal information held on home computers. A London film maker has found that a faulty Acer laptop he returned to Sainsbury's was sold via eBay to an American buyer – who contacted him to let him know he had access to his personal profile on the machine.

Glenn Swift bought the laptop via Sainsbury's website, but within two weeks the hard drive died and he was left with a plain blue screen.

He returned the computer to the supermarket's north London Muswell Hill store, which quickly apologised and replaced it. However, both the webcam and the track pad did not work properly, so Swift took it back once again.

"The Sainsbury's team said the items would be returned to the manufacturer and I thought no more about it," Swift says. "But then, six days later, out the blue, I received an email from a gentleman who informed me he had just purchased a second-hand laptop on eBay.

"It still had my profile on it and he asked for my password to allow him to unlock it. Alarm bells started ringing."

Without giving any passwords, he responded to the email, asking where he'd bought it.

To his amazement, the man revealed he was in the US and that the laptop had been bought through an American-based eBay seller. It was less than a week after Swift had returned the item to Sainsbury's.

"It was then I realised just how much information a Windows 8 profile can access. When you first use it you have to set up a profile," says Swift.

"If you are an existing user your profile is automatically downloaded to the new computer – apps, settings and passwords, Facebook, Twitter, Yahoo!, BlackBerry, Gmail, etc. All your information, accessible in one single place."

Alarmed that his ID details were exposed and he was at risk of fraud, Swift called Sainsbury's. The store reiterated that its policy was to return all laptops to the manufacturer for diagnostics. If they were to be resold they would first be refurbished and wiped clear, he was promised.

Swift contacted the police, who warned him that he was now vulnerable to identity fraud, but said that at this stage it was still a civil matter.

As a result Swift spent the day changing all his passwords in a bid to halt any potential problems.

He says that Sainsbury's has since struggled to explain what happened, nor can it tell him what has been done with the second laptop that he returned.

"Staff at the shop have been rather useless, apart from apologising a lot. The guy in America has stopped responding to me. You may want to warn others in the same boat to think carefully about how they return items," he told Guardian Money.

Independent expert on IT security, Graham Cluley, says Swift is right to be concerned. It is vital, he says, to wipe all data (see his advice below) and the same is true of USB drives and mobile phones. "One of the issues is that with Windows 8 a single password can be used to access multiple settings," he adds.

"Microsoft strongly encourages you to use an online Microsoft account to sign-in. That means if someone else manages to get your password, they cannot gain access to all kinds of settings and documents that you have chosen to sync between devices."

He said such incidents aren't always the fault of the company selling the laptop. It can be that they've trusted a third-party organisation to handle the secure disposal of assets.

When Money contacted Sainsbury's, it suggested that a third-party may be at fault.

A spokesman says: "We would like to apologise to Mr Swift for his experience. As soon as we were aware of his complaint we launched a thorough investigation and a third-party contractor working at one of our sites has now been suspended.

"We have passed the details of our investigation to police and are helping them with their inquiries."

He says its customer services team will be talking to Swift about compensating him.


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