Social Media Networking Can Be Costly

Many consumers using social media networks are unaware of the potential danger lurking within. Social media networking has grown in popularity in recent years with consumers and businesses alike logging on to share information with others. Facebook, Twitter, MySpace and Linkedin are just a few of the networks popular with people today. Connecting millions of people every day, these networks make it possible to share thoughts, opinions, daily activities and just about any bit of information a person is willing to publish. What many people don’t realize when publishing personal data is the potential damage this information can have on your personal finances. Here we look at three ways social media can cost you.

• Debt collectors- The great thing about social media networks is the ability to connect with people throughout the world. You can catch up with childhood friends or find long lost relatives. This technology can backfire for individuals who are in debt however as debt collectors can also search for delinquent account holders through social media as well. While no one is suggesting a person hide from debt collectors, you certainly don’t want a collection agency viewing your day-to-day activities via a social media network. The Fair Debt Collection Practices Act prevents debt collectors from sharing your financial situation with a third party, but that doesn’t mean all agencies play by the rules.
• Hackers and scams- Criminal looking for an easy mark need to look no further than social media sites. The number of users who accept virtual strangers as “friends” is astounding despite the increased awareness of identity theft. Consider this- many people publish their full name, email address, date of birth and other personal information which opens the door to identity theft. Scams are rampant in social media networks where many users let their guard down in the company of friends.
• Career opportunities- Whether you are currently employed or seeking employment understand that employers can and do search for information about employees on the Internet. Consider the consequences should your boss or potential employer view public information that would have been better left private. If you are harvesting your crops on Farmville when you should be working, your employer might not appreciate your dedication to your plants. Having a bad day and need to vent about your job or worse your boss…think twice before tweeting about it. Inappropriate pictures or documenting less than savory behavior for the world to see can cost you your job and future employment opportunities.

Social media networks can be a great way for people to stay connected. Businesses use social media networking to advertise and connect with consumers. The benefits are clear despite the negative consequences that have come to light. You don’t have to stop networking in order to protect your finances but you will have to take a second look at the information you provide about yourself. The best way to prevent having the wrong person view your profile is simply adjusting your privacy settings to friends only. This of course only works if you accept only friends you actually know, but it is a first step. Avoid publishing personal information that can be used in identity theft. A little caution and discretion can go a long way when using social media networks. Last but not least please remember some things are better left private.