Top Suggestions to Avoid Identity Theft

Identity theft has become one of the most common ways of robbing someone. With all the conveniences of the internet, credit cards, and ATMs, this type of fraud has grown exponentially and unfortunately it is still rather difficult to prevent and fix. However it is possible to at least maximize your chances of avoiding it. First, we have to recognize and understand the most common methods of identity theft, some of which include :

- Using a credit card fraudulently
- Copying down customer credit cards for personal future use
- Opening a credit card under another's name
- Passing bad checks
- Opening bank accounts in another's name
- Obtaining loans using another's name
- Working under another's identity
- Opening cell phone or utility acounts with another's name
- Using technology to copy your ATM card and watching you punch in the PIN

In the unfortunate case that you do become a victim of identity theft, we provide some steps you can take to prevent further damage to your credit. If you have not been a victim of identity theft, here are just some top, leading suggestions on how to keep that clean, theft-free streak going :

Review your credit report at least once a year. Nowadays with the federal government supporting you receiving and reviewing your free credit report every year, there is no reason why you shouldn't. By reviewing your credit report you are able to monitor what is going on with your credit in a way no one else can. Only you can recognize all your charges and credit cards so that you can catch fishy activity on your credit report faster, even the minimal $5 charges. With that you can prevent any damage from being done in the short-term and long-term perspectives of your credit.

Shred and destroy unwanted documents that may contain personal information. This is one fo the easiest and most common ways identity thieves find your information. Whether they find it outside digging through your trash or they find an unshredded document in the local landfill, pages with personal information left whole is a huge no-no. Make sure to put that shredder or pair of scissors to good use!

Don't leave mail in your mailbox overnight or over weekends unless your mailbox is only accessible to you. If you own a home and your mailbox is accessible to the public, remember that it is always better to be safe than sorry. If you know you are leaving on vacation for an extended period of time, have the post office hold your mail for the time being or have a friend or relative pick it up on the way home from work. If you opt from the prior, you can pick up your mail and have delivery restart upon your return from vacation. Even if you plan on being gone for just the weekend have your trusted neighbor pick up your mail to ensure that someone you don't know won't pick it up.

Report lost or stolen cedit cards immediately. This is Identity Theft 101. You most likely already have this rule etched somewhere in your mind, but if you ever do lose a credit card, ATM card, or anything of the sort with your personal information and looming credit availability, report them stolen immediately. Not only can this prevent fraudulent charges it could aid in locating the individual who stole your credit card in the first place.

Beware of mail or phone solicitations that may ask you for your personal information. This has become an increasingly popular and tricky method of obtaining your personal information. Oftentimes identity thieves will act as customer service representatives from credit cards you currently own. They ask you for personal information to either verify your account or to open a new credit card. They usually already have the basic information (e.g. credit card number, expiration date, social security number, etc.) and only need one additional piece of verification in order to complete their task. Remember, the information they ask for could be anything from your mother's maiden name to your birthdate. Only give this information if you initiated the call.

Make sure every charge on your credit card statements are familiar to you. This monthly tradition of looking over your statements cannot be overstressed. By checking your bill to verify all charges, you will catch any unfamiliar or unrecognizable charges. Knowing you are being victimized is the first step to further preventing additional harm.

If you do become the unfortunate victim of identity theft, act immediately to prevent further damage to your credit. Here are some steps you can start with :

Step 1: Alert the fraud departments of at least one credit bureau
Contact at least one credit bureau and place a "fraud alert" on your credit. This "alert" will remain on your credit report for 90 days. It is used to warn creditors when approving other lines of credit under your name and when authenticating the applicant's identity. For the time being it will make it difficult if not impossible for you to obtain new credit but it seems a small price to pay for what you have already gone through. Once you have placed a "fraud alert" on your credit report you are entitled to receive a free copy of your credit report. Once you receive that, make sure to review your report carefully to make sure that you have caught and not missed any other fraudulent accounts.

You are more than welcome to contact all three credit bureaus separately, however you can better use your time elsewhere. Once any credit bureau is contacted regarding a "fraud alert" they are required to contact the other two bureaus to place the same alert on their reports. In the case you do not want to rely on the bureaus to fulfill their responsibility, you can without a doubt call each bureau on your own and place the alerts manually. You can call :

EQUIFAX at 1-800-525-6285 or visit them online
EXPERIAN at 1-888-EXPERIAN (397-3742) or visit them online
TRANSUNION at 1-800-680-7289 or visit them online

Step 2: File an identity theft report with your local police department
Make sure to get a copy of the report you filed with the police department for your own records.

Step 3: Contact each creditor who opened the fraudulent account to notify them of the theft
Call the security or fraud department of each credit company to let them know you were not the person who opened the credit card or authorized the line of credit. In most cases they will automatically close the account and in the case they reissue or open another account for you, make sure to have passwords placed on them. If charges have already been made on those accounts, begin the process of disputing the information.

Step 4: Close the fraudulent accounts
In the case the credit card companies did not automatically close the fraudulent accounts, close them yourself.

These are just the first steps to preventing further damage from happening on your credit report due to identity theft. However it is always better to be safe than sorry. Take the suggestions mentioned aboved and let's all hope that we never become victims of identity theft.