Avoiding Identity Theft

To reduce or minimize your risk of becoming a victim of identity theft or fraud there are some basic steps you can take.

Tips from the Department of Justice -

Be stingy about giving your personal information to others unless you have a reason to trust them, regardless of where you are:

At Home
1. Start by adopting a "need to know" approach to your personal data. Your credit card might need you mother's maiden name so that it can verify your identity when you call. A person who calls and says there from your bank or credit card company, however, doesn't need to know that information if it's already on file; the only purpose of such a call is to acquire information for that person's personal benefit. Also, the more information that you print on your checks - the more personal data you are routinely handing out to people who may not need that information.

2. If someone cals you on the phone and offers you a chance to receive a major credit card, prize, or other personal valuable item, but asks for personal data such as your Social Security number, credit card number, or mother's maiden name - ask them to send you a written application.

3. If they refuse to send the application form, tell them you're not interested and hang up!

4. If they will send it, review the application carefully when you receive it and make sure it's going to a financial institution that's well known and reputable. The Better Business Bureau can give you information on businesses that have been subject of complaints.

On Travel
1. If you're taveling, have your mail be held at your local post office, or ask someone you trust to collect and hold while you're gone.

2. If you have to telephone someone while traveling, and need to pass on personal financial information, don't do it at an open telephone booth where passerby can listen in on what you're saying; use a telephone booth where you can close the door or wait until you're at a less public location to call.

Check your financial information regularly, and look for what should be there and what shouldn't:

What should be there.
1. If you have bank or credit cards accounts, you should be receiving monthly statements that list transactions for the most recent month or reporting period

2. If you're not receiving monthly statements for the accounts you know you have, call the financial institution or credit card company immediately and ask about it.

3. If you're told that your statements are being mailed to another address that you haven't authorized, tell the financial institution immediately that you did not authorize the change of address and that someone may be improperly using your accounts. in that situation, you should also ask for copies of all statements and debit or charge transaction that have occurred since the last statement you received.

What shouldn't be there.
1. If someone has gotten your financial data and amde unauthorized debits or charges against your financial accounts, checking your monthly statements carefully may be the quickest way for you to find out. Too many of us give those statements or the enclosed checks only a quick glance and don't review them closely to make sure there are no unauthorized withdrawals or charges.

2. If someone has managed to get access to your mail or other personal data, and aopened any credit cards in your name or taken any funds from your bank account, caontact your financial institution or credit card company immediately to report those transactions and request further action.

Ask periodically for a copy of your credit report.
Your credit report should list all bank and financial accounts under your name, and will provide other indications of whether someone has wrongfully opened or used any accounts in your name.

Maintain careful records of your banking and financial accounts.
Even though financial institutions are required to maintain copies of your checks, debit transactions, and similar transactions for five years, you should retain your monthly statements and checks for at least one year, if not more.

Even if you take all of these steps, however, it's still possible that you can become a victim of identity theft. Records containing your personal data - credit card receipts or car rental agreements, for example may be found by or shared with someone who decides to use your data for fraudulent purposes.

I hope you enjoy this information and find it useful, I know I did. Don't forget that consistency is key as well. Don't just start maintaining your records and throughly review your records one month and the next you slack off. It's important to be dilligent and consciously protect yourself, your identity, and your money. In case your interested in a free credit report please read my pervious blog called Suit Results in Free Credit Servicing and sign up to receive your free report and servicing.