Studies have shown that 1 in 20 adults will be a victim of identity theft at some time in their lives.1 While it’s a scary thought, don’t let fear keep you from taking action. Just as you lock your doors and invest in alarm systems to guard your possessions, you can take steps to protect yourself from identity theft.
What is identity theft? What is identity fraud?
The terms are often used interchangeably. Technically, identity theft occurs when someone steals your personal or financial information, while identity fraud takes place when someone uses that information to commit a crime.
Do you know how to prevent identity theft?
You need to fight against identity theft on multiple fronts:
Safeguard your hard-copy information.
- Lock your mailbox, or have your mail sent to a post office box.
- Shred documents containing sensitive information before disposing of them.
- Keep your Social Security card in a secure place, not in your wallet.
Protect yourself against online threats.
- Ensure all your devices have up-to-date anti-virus and anti-malware protection.
- When you’re on a website, make sure the URL begins with https. (The “s” stands for secure.)
- Avoid public Wi-Fi, but if you use it, be sure to use a VPN (virtual private network) to encrypt your connection.
- Avoid saving your credit card information on your device.
Use passwords wisely.
- Don’t write down your passwords or PINs.
- Use a password management system to create and store a unique password for every account.
- Set up two-step verification to confirm your identity when you log in.
- Use biometric authentication (fingerprint or facial recognition).
- Make sure your home Wi-Fi has a strong password.
- Get an Identity Protection PIN from the IRS to prevent someone else from filing a tax return using your Social Security number or Individual Taxpayer Identification Number.
Watch out for scammers fishing for information.
- Phishing (email) – Don’t click on unfamiliar links or download attachments you are not expecting. Watch out for scam emails.
- Vishing (phone) – If a phone number isn’t in your contact list, let that call go to voicemail. Never provide personal information over the phone, regardless of the caller’s story.
- Smishing (text) – Don’t click on any unfamiliar links or download unexpected attachments. Don’t respond to texts from numbers you don’t recognize.
Monitor your credit card account and other accounts.
- Contact the three major credit reporting agencies— Equifax, Experian, and TransUnion—and request a credit freeze to prevent scammers from opening accounts in your name. You can unfreeze them when you need to open a new account.
- Check your credit report every year. You can get a free copy of your credit report every 12 months from each credit reporting company at AnnualCreditReport.com.
- Check your credit card bills and other bills every month.
- Check your online bank account every day.
What should you know about identity theft protection?
You can purchase a wide variety of services to help safeguard your personal information and reduce the consequences if it is stolen.
Monitoring: Various options include monitoring the internet, dark web, social media, public records, credit scores, and credit card activity.
Alerts: A range of alert possibilities warn you of suspicious activities, such as new accounts opened in your name, changes to your credit report, loans applied for in your name, high-risk transactions, data breaches, and activity using a child’s Social Security number.
Fraud Resolution and Identity Restoration: A number of plans provide professional help to resolve fraud issues and restore your identity.
Insurance: Different policies offer financial reimbursement for expenses related to restoring your identity—such as legal fees and the cost of new documents.
What should you do if you are the victim of identity theft or identity fraud?
Be sure to file a report with your local police department. Also, make a report to the federal government. Go to IdentityTheft.gov—the government’s one-stop resource for identity theft victims. Based on the information you provide, you can receive a personal recovery plan. If you create an account, you’ll get help with each recovery step, including pre-filled forms and letters you can use.
Stay informed about identity theft!
Although identity theft is an increasingly widespread threat, you can empower yourself with knowledge and tools. Stay up to date on the latest types of identity theft and the most sophisticated scams by paying attention to news reports. In addition, check out the articles about identity theft available on Coast Central Credit Union’s Fraud & Scam Resources page. Your security is our top priority!
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