Recovering from
identity theft
Over the last several years, as the Internet has grown
more and more popular, the floodgates have opened for online criminals. One of
the more common forms of Internet crime is identity theft, wherein criminals
obtain a person’s personal information, such as their credit history and social
security number, and essentially steal a person’s identity. Oftentimes,
identity theft leaves its victim’s life in disarray.
For such victims, the road to recovery can be a long one.
If you think you are a victim of identity theft, remember the act fast and put
the wheels in motion as quickly as possible.
• Obtain your credit report. Some credit agencies might
try and charge you for your credit report. However, under the terms of the Fair
Credit Reporting Act, you are entitled to a free credit report if you feel
you’ve been a victim of identity theft. Experian, Equifax and TransUnion are the three major credit agencies, and a
report can be ordered online from any of them.
• Getting the credit report as quickly as possible is the
paramount, as you’ll be able to determine how much damage has been done as well
as stop any future damage. Credit reports list all current accounts and current
as well as previous addresses. If there are any accounts or addresses you don’t
recognize, that’s a telltale sign of identity theft. Another is past credit
inquiries you didn’t request. That could indicate a criminal is looking into
your background to determine if your identity is worth stealing.
• File a fraud alert report. This is more a preventative
measure than anything else. A fraud alert report will help you avoid further
identity theft if you’ve already been victimized. If you haven’t been
victimized, it can also be a good way to avoid identity theft.
• A fraud alert report is essentially a red flag with
credit bureaus. While it has no bearing on your ability to apply for or receive
additional credit, it safeguards you from anyone applying with your identity.
If you’ve filed a police report, you’re entitled to a 7-year fraud alert, according
to the Identity Theft Resource Center. Essentially, the alert adds a step to
the credit approval process. Rather than just approve you, a fraud alert report
mandates that you be contacted notifying you of any credit applications in your
name. Without such notification and contact, no credit application in your name
can go forward.
• Be vigilant and read your bills and statements
thoroughly. One of the worst things anyone can do is be lax with their
financials. Go over bank and credit card statements the moment you get them and
make sure all purchases and charges are legitimate. Typically, you have 60 days
to dispute charges. After that, you’ll likely have little recourse, regardless
of whether or not your identity is stolen.
If you can prove the account is fraudulent, you can have
the account removed from your credit report and not be held responsible for
collections or other inquiries.
• Talk to the right people. As the ITRC
notes, who you talk to can make all the difference. Simply calling your
credit card company likely won’t do much good. You don’t want to talk to
customer service representatives, who won’t be able to help you. Instead, ask
to speak to the company’s fraud investigator. If there is no such position,
speak the company’s legal department.
It’s also important to speak with someone at the Social
Security Administration if benefit fraud or theft of benefit checks has
occurred. This is often the case with elderly victims of identity theft, so if
you know anyone who relies on social security and has been victimized by
identity theft, contact the SSA as soon as possible.
Of course, contacting the police is
an important step as well. A record of the report can help you down the road
should you ever prove identity theft took place.