LifeLock fined $12 million over lack of life-locking ability

“Identity theft prevention service LifeLock is not as pristine
as its reputation claims after all. The company agreed to pay out
$12 million to settle charges with the Federal Trade Commission and
35 states, which had said that LifeLock’s identity-theft-prevention
claims were false and that the company actually made its own
customer data available and unsecured from theft. As it turns out,
there is no way to fully guarantee that identity theft won’t
happen, no matter what someone puts on the side of a truck.

“LifeLock has made a name for itself as the go-to service if you
never want to have any part of your identity stolen, ever. The
company claims to proactively protect your information against
fraud, alert you to any kind of shady activity, and reduce credit
card offers for $10-15 per month. Those who have seen LifeLock’s
trucks driving around their cities know that the company used to
slap its CEO Todd Davis’ social security number on the side of the
vehicle along with a number of claims guaranteeing that its
customers won’t fall victim. (As an aside, Davis’ identity
allegedly ended up getting stolen in 2007.)”

Complete Story