Our recent commentary on financial fraud shed some light on what is becoming a bigger and bigger problem:

With more than 468,000 reported incidents of financial fraud in 2006 and another 246,000 reported incidents of identity theft in the United States, according to Consumer Sentinel, an online complaint database, Americans need to redouble their efforts to protect their finances and financial reputations.

One way that some Americans think that they will protect their finances is by not "going online." Their theory is that creating a username and password opens the door to all sorts of trouble. Now, if you are the type of person that leaves your username and password on a Post-It note pasted on your computer monitor then, yes, this might be a serious concern. However, most of your financial information is already online.

Don't believe me? Pay attention to the teller the next time you are making a deposit at your local bank. They are logged into a computer, accessing your account by entering your account number, and transferring funds over the Internet. Creating a username and password simply allows you to have access to similar tools.

Here are two tips for entering the world of online finances:

• Practice self-surveillance after going online. Monitor your financial accounts on a daily or weekly basis. Look at charges and make sure you know what they are. Many online accounts allow you to setup email or phone alerts if a suspicious charge is posted. In fact, by going online you will be doing a better job of protecting yourself from financial fraud than if you had made the decision not to.
• Make sure to create a unique username and password for each and every one of your financial accounts and change them at least every six months. While it might be easier to have a single username and password, the modest cost of creating and recording several different combinations pales in comparison to the large benefit of keeping your identity secure.