Preventing Identity Theft And Credit Card Fraud: How To Protect
Your Credit Information
According to a recent poll by Experian, one in five Americans
has reported they have experienced some form of identity theft.
If it happens to you, and your identity is stolen, you might be
in for a lengthy hassle that could cost you your credit rating
and leave a permanent blight on your financial records.
How Credit Card Theft Starts
Thieves start by targeting your personal information: Social
security numbers, bank statements, tax reports, credit card
debit information and passwords, or even your checkbook. Don't
leave this valuable information lying around at your office, or
in your car. Be aware that you are leaving a door open for
anyone to get access to your bank account or credit card
information. Question anyone who asks for your credit
information, including employers; find out what their privacy
policy is and get a copy of it. Shred all documents no matter
how insignificant they may seem to you. In addition, don't ever
lend your credit card to ANYONE, including family members,
unless you are willing to take on their debt personally. Many
family arguments have ended up in court with bitter feelings
from one time casual credit card or debit card lending that got
out of hand. When you apply for a credit card, be certain that
their online application is secured, and the privacy notice is
posted.
Spotting Signs of Identity Theft
* If you've frequently been missing your credit card bill, or
your mail keeps getting "lost" contact the post office
immediately. If you live in an apartment complex , find out from
your superintendent or manager if you can change your mailbox
key. A missing bill could mean that an identity theft has
occurred and the billing address has been changed.
* If you're suddenly getting credit cards (not just a credit
card offer) from companies that you didn't apply. Call these
companies and find out if you are the account holder; if not
verbally cancel the account and follow up with a written letter.
* If you're being denied credit, or your credit card terms are
suddenly being changed to higher interest terms, for no obvious
reason.
* You're suddenly getting phone calls and letters from creditors
about purchases you did not make.
How to Protect Your Credit Information
The best protection is constant awareness of the use of your
credit information. Choose your passwords carefully. Avoid using
any easily available information, such as your mother's maiden
name, your birth date, the last four digits of your SS#, or your
phone number. If you must use this type of identifier in opening
an account, request a password change immediately after opening
the account before it slips your mind. Secure your credit
information at all times, even around your house--if you're
having work done on your home, or if you're having a big party,
or your roommate brings home guests. Don't give out any
information unless you know exactly how it will be used and by
whom. The Best Defense for Your Credit Security:
Stay vigilant. Review your credit card statements every month,
and question any suspected purchases by contacting your credit
card issuer directly. If you suspect an unauthorized purchase,
send a letter to your credit card issuer detailing the item in
question and any reference numbers. The credit card issuer is
required to investigate your claim and report back to you, in
writing, of their findings. You can also request a free annual
monitoring report from each of the major consumer reporting
agencies: Experian, Equifax and TransUnion. A recent amendment
to the Fair Credit Reporting Act requires that these credit
reporting companies provide these reports to you at your
request, every 12 months.
It's your credit. Protect it!
Copyright 2005 Ed Vegliante.