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Call centre “Security Questions”?

I had a call from O2 today with regards to a phone upgrade. It went something like this:

“Hello, is that Mr Tim Holman”

“Yes”

“You’re phone’s due for an upgrade and I have some fantastic news for you. We can offer you a lower tariff and get you an iPhone 4! Isn’t that great?”

“Yawn. Erm. OK then.”

“Firstly I’ll have to ask you a few security questions, is that OK?”

“Yes”

“Right, so for security reasons, please could you tell me your first name and last name?”

FAIL…

…and to think this stuff is actually PROMPTED on their screens.