CBS New York Investigates: Is U.S. Postal Service doing all it can to stop change-of-address fraud?
NEW YORK -- The U.S. Postal Service vowed to check customers' IDs to help prevent a massive spike in fraud from identity thieves changing people's addresses.
But when CBS New York put its postal plan to the test, we found that a loophole still existed.
Investigative reporter Tim McNicholas has been digging into the issue for months.
It's a big problem because identity thieves are changing peoples' addresses to intercept sensitive mail, including bank statements, checks, and more. McNicholas wanted to make sure the USPS is really doing all it can to stop that fraud.
With undercover cameras rolling, McNicholas walked into three Manhattan post offices with one question.
"What do I need to do to change my address on file?"
It's an issue CBS New York started investigating in mid-May.
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When someone changed Laurette Olson's Scarsdale address -- unbeknownst to her -- to an address in California, she says she stopped getting mail and started getting notices of past-due bills, and even an alert that someone was trying to open a credit card in her name.
The USPS inspector general found in 2018 only some post offices were checking IDs, and between 2020 and 2021, online change of address fraud jumped 167%.
"I know about three bills, but I don't know what else was sent there, and I don't know what they have in the kind of personal information," Olson said.
Then the Postal Service told CBS New York that, effective May 31, USPS retail clerks would be checking customer IDs. So, in mid-June, McNicholas handed over requests at those Manhattan post offices to forward his mail to the address of his girlfriend in Washington, D.C.
"There are forms right on the middle of the counter," the clerk said.
"Okay, so I just fill that out and give it back to you?" McNicholas asked.
"Yeah," the clerk said.
No one asked for an ID, and one clerk said McNicholas could simply drop the form in the mail.
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In August, McNicholas did drop one of the forms in the mail -- the last of the five he submitted throughout the summer. A few days later, his financial records and other sensitive mail started showing up at the address in D.C., hundreds of miles from where he lives. But no one, at any point, checked an ID to verify his identity.
"They told us they were taking all these steps to actually clamp down on this problem, this fraudulent change-of-address problem they have, but clearly the message is not getting out across the organization," New Jersey Rep. Josh Gottheimer said.
In a statement, USPS said "because of recent enhancements" it stopped all but one of McNicholas' requests and sent notifications to him about the attempts it stopped.
McNicholas didn't get a notification for every attempt, but he did get mail about some of the attempts, including a letter in July saying further verification was required and "If you did not submit this request, no further action is required."
McNicholas never did submit further verification, but the address change went through.
"Several people told me this has happened to them, didn't get any letter whatsoever. They never got any follow-up," Gottheimer said.
The congressman said he's considering introducing legislation to ensure USPS checks IDs. The Postal Service said its recent changes have significantly reduced fraud.
As for McNicholas' request that did get through, the Postal Service said it has taken measures that will ensure it won't happen again.
To make sure this doesn't happen to you, if your mail stops coming, or if you get a letter like the one McNicholas got, further action you can take is to contact USPS if you didn't change your address.
