Tid Bit Tuesday: Identity Theft

How does identity theft occur?

Thieves use many methods, both low and high-tech, to obtain your information. They can steal your wallet, purse, or mail, or rummage through trash for personal data and discarded bills. Another method is calling your credit card company and pretending to be you, and then changing the mailing address so you may not immediately realize the problem. Thieves can look online and find a multitude of sites, such as the state’s public records site that carry birth and death dates, Social Security numbers, and the like. Also, they can buy your information from “inside sources,” such as a store where you filled out an application. "Personal" information continues to be and become more-and-more publicly accessible.

What happens in Identity Theft?

Everything, including all bills, is charged under your name. Fortunately, federal laws and acts have been passed to limit the losses that result from identity theft. For most ATM cards, the amount you may be held responsible is based on how quickly you report the loss. Your credit rating may not be permanently affected, but the "clean up" process can be long and tedious. Taking a few precautions to safeguard your information can dramatically lessen your chances of becoming a victim.

How can you reduce the risk of identity theft?

You can minimize your risk by taking the utmost care in managing your personal information.

1. Keep items with personal information in a safe place.
2. Tear or cross-shred items that contain this information, especially if it is a pre-approved credit application.
3. Before you reveal any personally identifying information, find out how it will be used and whether it will be shared with others.
4. Do not give out personal information on the phone, through the mail, or over the Internet unless you know whom you’re dealing with.
5. Pay attention to your billing cycles and follow up with creditors if your bills don’t arrive on time. Also, guard your mail from theft. Deposit outgoing mail in a collection box or at the post office.
6. Promptly remove mail after it has been delivered.
7. · Put passwords on your credit card, bank, and phone accounts. Avoid using easily available information like your mother’s maiden name, your birth date, the last four digits of your Social Security Number (SSN) or your phone number, or a series of consecutive digits.
8. · Find out who has access to your personal information at work and verify that it is kept in a safe place.
9. · Minimize the identification and the number of cards that you carry. Give your SSN only when absolutely necessary. Ask why someone needs it and how will it be used. Ask if other types of identification can be used instead. To be even safer, don’t carry your SSN card.
10. · Order a copy of your credit report annually from each of the three major credit reporting agencies: Equifax, Experian, and TransUnion.

If you think that you are a victim of identity theft, you should:

1. Contact the fraud departments of each of the three major credit bureaus and ask for a credit report. Tell them that you are a victim of identity theft, and request that a “fraud alert” be placed in your file. Request that the credit bureau notify those who have received your credit report in the last six months in order to alert them to disputed and erroneous information.

2. Contact the creditors for any accounts that have been tampered with or opened fraudulently. Also contact your credit card issuer and your bank.

3. File a Police report where the identity theft took place. Obtain a Police report number, then the report, if a bank, credit bureau, or anyone else needs proof of the crime.