Every year, identity theft affects millions around the globe. Resolving these instances of theft often incurs exorbitant costs and eats into precious personal time. While I’ve managed to circumvent identity theft personally, I have witnessed through a close family member how stressful and aggravated it can be. If you’ve recently discovered fraudulent activity under your name or someone applying for credit as you, you should take several immediate steps.
GET IN TOUCH WITH CREDIT BUREAUS
Accompanied by checking out your credit report for the level of damage, it is also essential to notify all three main credit bureaus. Ask them to place a fraud alert on your credit report to put a halt to any ongoing fraudulent actions. These alerts usually remain for 90 days but can be extended if required.
LOG EVERYTHING
Ensure you maintain comprehensive records from the moment the problem arises until its resolution. As you correspond through phone calls, emails, and letters, make sure you record everything. You should also keep track of the time and any costs incurred during the process of resolving this issue. Debt-related costs can be deducted from your tax returns.
REPORT TO THE POLICE AND FILE PAPERWORK
Reporting the theft at your local police station can help you officially document the incident. Gather any evidence or documentation that supports your case. One important document to ask for is the Identity Theft Victim’s Complaint and Affidavit, beneficial for creditors to investigate your case further.
UPDATE YOUR SECURITY DETAILS AND CLOSE ACCOUNTS
Changing your personal identification numbers (PINs) and banking login details is crucial. In order to ensure safety, it’s best to close all your accounts and order new cards.
CONTACT LENDERS OR DEBT COLLECTORS
Ensure you send copies of letters and emails to lenders and debt collectors to remove negative records from your credit report, helping to resolve the issue effectively. If you’re asked to pay the debt, gather all defense-related documents to dispute it. Don’t sign any document or agree to anything unless it’s in writing.
While this process might be time-consuming, following these steps ensures the problem is properly addressed, allowing you to return to your normal routine.
PREVENTION OF IDENTITY THEFT
Regardless of whether you’ve experienced identity theft or not, everybody is potentially at risk – children included. Here are some useful prevention methods.
Regularly evaluate your credit report, and install spyware protection on your computer to defend your private information. Be careful about what personal information you carry with you. Getting rid of documents? Make sure to shred them first. When shopping online, always use secure sites. For enhanced protection, sign up with an identity protection company.
Such companies offer 24/7 monitoring, internet privacy protection, and immediate alerts in case of fraudulent activity. Membership fees generally range from $10 to $30 per month.
Remember, the effort taken to monitor your credit and protect your identity is worth it. Has your identity ever been compromised?
