Protect Your Identity from Theft

Identity theft is one of the fastest growing crimes in America, accounting for more than 40 percent of consumer fraud complaints. According to consumer groups, about 500,000 people are victims of identity theft every year.

Identity theft occurs when thieves use someone else’s personal information such as name, address, social security number, banking information, credit card numbers or birth date to apply for credit.

Illegally obtained personal information is used to make charges on already existing accounts or to open new accounts in someone else’s name. Often, a “change of address” form is submitted so the statements will not go to the victim’s address. This enables the thief to use the cards longer without the victim having any knowledge of what’s happening. Unfortunately, many victims do not realize what has occurred until they apply for credit, try to refinance a loan or apply for a job. At that point the victim finds out that they have been rejected because of their credit report.

Although the victim is only liable for $50 of the credit charges for a stolen credit card, the other costs to that individual can be enormous. It can be difficult to be approved for future loans, credit cards, jobs, apartments or even a competitive car insurance rate. According to the Federal Trade Commission, identity theft costs the average victim more than $1,000 to reestablish a good credit rating.

Tips to Help You Avoid Identity Theft

• Do not carry extra credit cards and personal information in your wallet or purse. Most identity thefts begin with a stolen wallet or purse.

• Shred personal papers, receipts and mail offers for credit and services. Thieves rummage through garbage to find banking, insurance and credit card information.

• Keep items containing personal information in a safe place. Make sure charge receipts, copies of credit applications, insurance forms, bank checks and statements are not easily accessible to visitors and household employees.

• Find out how personal identifying information will be used before sharing it with others.
  

• Give your Social Security number only when absolutely necessary. Ask to use other types of identification when possible.

• Check credit card and bank statements immediately upon receipt. Pay attention to your billing cycles. Follow up with creditors if statements do not arrive on time.

• Do not discuss personal information while on the phone. When you are talking on a pay phone, your conversation may easily be overheard. Some cordless and cell phone conversations may be overheard by persons using scanning devices.

• Do not allow salespeople to write your account number or Social Security number on checks.
  

• Mail all bills at a post office or postal mailbox. Never put bills in your home mailbox unless you intend to watch to make sure it is picked up by the mail carrier.

• Memorize your passwords and PINs. Do not carry card numbers, account information or PINs in your purse or wallet.