Identity Theft: Don't Become a Victim

Identity theft occurs when someone obtains and uses identifying information, such as social security number, name, or credit card number without permission to commit some type of fraud. The effects of identity theft can be financially and emotionally draining, and it is one of the fastest growing crimes. There are several things that you can do to avoid becoming a victim of identity theft, and there are measures to be taken if you have become a victim. The key is to act quickly and appropriately.

Anyone can become a victim of identity theft. Identity thieves obtain information in a number of ways. The method can be as simple as digging through the trash or stealing a person's wallet or purse, or it can be much more sophisticated. The Federal Trade Commission describes skimming as obtaining credit/debit card information by using a storage device as the card is swiped. Phishing occurs when the thief pretends to be a financial institution, or other company with whom you do business, and deceives you into giving your personal information. An identity thief may do something such as changing your address, by completing a form, so that your billing statements, etc. are diverted. Whatever the method, the results can be devastating.

"Why would someone want to be me?" one might ask. There are several reasons that thieves steal identity; most are centered on money, but some can involve needing your legitimate identity for employment, tax, or possibly less noble purposes. I have spoken with victims, who did not know their identity was used illegally, until several years later, when the IRS requested they pay taxes on the additional income they had earned. Of course they did not earn this income, and the thief had long since moved on to another job. What makes this type of case difficult to solve and prosecute is the fact that, for all intents and purposes, the suspect can only be identified as the victim, since that is whose identity was used.

What can be done to prevent identity theft? Here are a few tips:

- Guard your personal information just like it was as tangible as cash.

- Monitor your credit regularly; you are entitled to one free credit report per year from https://www.annualcreditreport.com/, but you can also pay for other services readily available.

- Never give your personal information to anyone unless you initiate the exchange; oftentimes a website will mimic a legitimate financial institution or service provider (phishing).

- There are various commercial services offered to prevent identity theft also, as well as identity theft insurance.

If you have become a victim of identity theft, act fast to restore your credit and your good name. Start with the local police to get the ball rolling; they will be the starting point and have a wealth of advice and information. Usually the report can be initiated where the victim lives, regardless of where the crime occurred. After you have become a victim, continue to check credit reports, notify credit bureaus that you have become a victim of ID theft, and dispute any unauthorized transactions.

The effects of identity theft can linger, depending upon the scope of the theft, and whether or not the thief sold your information. The faster you act, if you have become a victim, the better the outcome. The bottom line though is this: be aware, stay vigilant, and stay informed on your identity.

Additional sources:
Fighting Back Against Identity Theft, Federal Trade Commission