What to Do If You’ve Been a Victim of Identity Theft
Identity theft is somewhat an invasion of the person’s identity, disclosing your cash and sanity to the fraudster. In its broadest sense, it occurs when an unauthorized third party accesses your sensitive data – such as your Social Security number or credit card number – and causes you to lose money and harm your credit report. The consequences may not be minor, and you might spend years struggling to regain your identity and money.
If you have reason to believe or have just been told you are a victim, you must act fast. The best thing you can do when facing such a situation is to act as quickly as possible so that there are limited losses to recover what is yours. The options known make a difference, be it freezing the accounts, reporting the theft, or even seeking legal help. Now that we have a general idea of what this means let’s look at what you can do to protect yourself in such a situation.
Identity Theft Definition
Identity theft is a process of using somebody’s private data, such as a name, Social Security number, or bank account number, to impersonate. This could open you to so much trouble, including seeing your bank account emptied or running up credit card debts in your name. Having considered the nature of identity theft, several types exist. Credit card identity theft is when someone steals your credit card or bank details to make fraudulent purchases. Medical identity theft involves using a person’s health insurance to obtain medical services, while Social Security identity theft involves the use of a social security number to obtain benefits.
But how would you decide that you could be a victim? That can include, for example, a glance at your bank statements, having bills for services you never received, or receiving credit cards you didn’t apply for. You might also find certain activities in your credit report, like accounts you have never shopped with. So, if you see any of those signs, it is wise to act immediately, for example, freeze your credit report or call the police to prevent further consequences. Practicing prevention can go a long way toward protecting your identity.
Immediate Steps to Take When Your Identity Was Stolen
If that is the case and you start fearing that your identity has been stolen, don’t be too worried. First up, verify it. Did they steal the item, or is it missing for another reason? Look at your checking and savings accounts and your credit card statements to see if any fraudulent charges have been made. Any odd thing that goes wrong with your credit report, such as an account or inquiries not made by you. The evidence that should be brought includes pictures demonstrating what went wrong or statements.
That being the case, once you are confident that you were hit, it’s time to tell someone. First, you should go to your bank and the credit card companies you use most frequently. They can assist you in protecting your accounts and perhaps what has been stolen from you. Next, go to your local law enforcement office to make a trip. In as much as identity theft is palpable, you need to file a police report that will be useful when you are disputing charges. Finally, identity theft should always be reported to the Federal Trade Commission (FTC) at IdentityTheft.gov. They will then recommend measures likely to help get you back on track. However, never get overwhelmed or stressed during the preparation, as it is a crucial part of the process.
How to Protect Your Finances?
It is crucial to safeguard your money, and lucky for you, there are some measures that you can easily follow to ensure that your money doesn’t become the prize of con artists.
Put a Freeze on Your Credit
This is a perfect way of preventing anyone from creating a new account in your name. You can just go to the homepages of the credit bureaus, the obvious ones which are Equifax, Experian, and Trans Union. The process is fairly simple, and you’ll only be required to input some of your details, such as your Social Security number and address. When you freeze your credit, equators cannot access your report unless you unfreeze it for them to do so.
Keep a Balance Marked for Your Accounts
Notify your bank and your credit card companies. They tell you when a transaction over a specific amount will happen, which is convenient. Also, do not neglect checking your credit reports frequently to search for strange changes or accounts you do not have. Most of the bureaus offer a free report once each year.
Report for a Refund
You should always call your bank or credit card’s customer service, and they will help you through the process. Most of the time, you will be asked to provide more information about the charge. It will probably save you a lot of worry and expense to keep posted about these things.
Recovering Your Identity
Getting yourself back is never easy, but having a strategy gives you that much-needed boost! Here is a cheat sheet to help you stay on track despite the world’s overwhelming nature.
Create a Recovery Plan
First of all, begin to set down all the recovery plans. They include putting your credit on hold, filing a police report, and reviewing copies of your credit report for suspicious activities. Organize a schedule for these tasks; conduct credit-report checks during the first week and contact creditors the second week. Using a checklist offers a perfect way to make you feel more in order and realize that you have ticked many tasks off the list.
Working with Creditors
After the successful development of a plan, it is now the time to explore and discuss with the creditors regarding any account that one did not open. The next step should be directly contacting them to inform them about the fraud. Most creditors, especially, have always offered to assist their clients in contesting those charges. However, under the Fair Credit Reporting Act, you can ask that the information you dispute be corrected or removed. Do not let anyone undermine those rights – you are regaining control here.
Tips on Preventing Future Identity Theft
Here are several tips on how to avoid future identity theft:
- Protect your identity. Internet passwords should be created with a higher level of security. If possible use two-factor authentication. Protect the disclosure of personal details to one’s friends list in social networks. Keep and destroy private information that is no longer needed, rather than discarding it through a waste basket.
- Consider identity theft protection services. Some of these services vigilantly watch your accounts and personal information for any signs of trouble. They inform you if it recognizes any malicious activities being performed. Most services for stolen identities also involve helping out with identity recovery, in case of theft, to boast of a financial safety net.
- Stay informed and updated. There are many variations in identity theft scams or fraud, so keep abreast of their new forms. Read credible sources for Fraud and security. Join the online forums or groups that deal with how you can protect your identity. The less you know, the easier it becomes for thieves to have their way with you.
Conclusion
Managing identity theft is not a walk in the park, but you must know you are not alone. That’s why you should immediately contact the bank and credit card companies and file a report with the FTC. By monitoring the credit reports, you will be in a position to identify any fraudulent activities early enough.
Still, the process is not always easy and it is always useful to turn for help, for example, to identity theft protection services or even lawyers if the situation requires it. It also might be useful to change one’s passwords and, in general, might want to freeze one’s credit.
More importantly, be gentle on yourself. If you have been a victim of identity theft you will know that it takes a while to get your life back in order and it is perfectly acceptable to feel a little shaken up. As a suggestion, have friendly support system or family and do not hesitate to ask help when there is a need. Of course, knowing all this helps, for you realize that this is not the end of the world and you can recover and start taking preventive measures to avoid it again.