"Remember that a name and Social Security number could belong to anyone," cautions one credit security expert.

"I once arrested one person who had in his possession 144 different IDs and credit card numbers. He also had applications for other credit cards using other peoples' names and a mail drop. That kind of thing wouldn't happen if the credit grantors did more checking."

How can you control the application process?

He suggests that you have the letters P, S, and E printed on the back of your application form.

P = Photo. The clerk has looked at the person to see if he or she matches the picture on the identification.

S = Signature. The clerk has checked to make sure the signature on the ID matches the one on the credit form.

E = Expiration. The clerk has checked to make sure the ID is valid and has not expired.

"Have your clerk initial each letter to show that each item was checked," he suggests.

For more of his suggestions on telephone transactions and check cashing, read the full story, "Controlling the Credit Application Process."