Recently I visited the state motor vehicle office. When I reached the clerk’s window, I was asked to speak my address, name, age, and Social Security number aloud—right there in a crowded room.
If someone nearby had been paying attention, they could have recorded my information and caused serious harm. I requested to write my details on paper and show them instead. Although the clerk seemed reluctant, he accepted and returned the paper to me so I could shred it. My husband, who went at a different time, was handed a form to fill out and was not asked to speak his details aloud, so I’m not sure why I wasn’t given the same option initially.
If I hadn’t been cautious, this could have led to identity theft. Small mistakes—or situations beyond your control—can put you at risk for becoming a victim.
Identity theft affects more than 16 million people every year, and that number continues to grow.
I have personally experienced identity theft, and I know it’s a major hassle. Even when you protect your information carefully, you can still fall victim. If it happens to you, there are steps you can take to limit the damage, restore your credit, remove fraudulent charges, and regain control of your life. Acting quickly is important.
Keep a detailed record of every action you take
Before covering the primary steps to stop further identity theft, be sure to document everything you do. A well-organized record will help when dealing with creditors, credit bureaus, or legal counsel, and it protects you if documents are misplaced.
The FTC recommends:
- Log the date, the names, and phone numbers of everyone you contact about the identity theft;
- Send letters by certified mail and keep the return receipts;
- Keep all originals of any documentation related to the incident.
Check your credit reports
If you suspect your identity has been stolen, review your credit reports to spot errors or fraudulent accounts. Continue checking your reports regularly—several times during the first year after the incident, and at least annually thereafter—to ensure nothing new appears.
Contact the company where the fraud occurred
Often you can address the problem directly with the company where the theft happened. Close affected accounts, dispute fraudulent charges, and request replacements (for example, a new credit card number if your card data was compromised).
Under the Fair Credit Billing Act, your liability for unauthorized credit card charges is limited to $50, and many companies waive that entirely. For unauthorized electronic bank transactions under the Electronic Fund Transfer Act, reporting the fraud within two days limits your liability to $50; reporting between three and 60 days can increase liability to $500. Waiting more than 60 days may leave you responsible for all charges. The key is to report fraudulent activity immediately.
Notify the credit reporting agencies
Contact the major credit bureaus—Equifax, TransUnion, and Experian—and request a fraud alert on your credit file so lenders are warned before extending credit in your name. Initial fraud alerts typically last 90 days and can be renewed.
Consider placing a credit freeze
A credit freeze prevents new creditors from accessing your credit report without your permission, stopping most new accounts from being opened in your name. If you freeze your credit, remember you must lift the freeze before you apply for credit yourself, so plan ahead if you expect to request new credit.
Dispute inaccurate items on your credit report
If your credit report contains incorrect or fraudulent entries, dispute them with the credit bureaus and the companies that listed the accounts. Provide evidence of the theft and keep copies of everything you send. Persist until the errors are removed, as clearing your credit is essential to rebuilding your financial standing.
File a report with the Federal Trade Commission
File an identity theft report with the FTC so there is an official record of the incident. The FTC can provide up-to-date guidance on next steps and documentation to support your disputes and recovery.
Report the crime to local law enforcement
Filing a police report may not always lead to an arrest, but it creates a formal record that can be useful when disputing charges, filing reports with creditors, or working with the FTC. In some cases, law enforcement may recover materials or encounter suspects carrying stolen information, which can help resolve your case.
Have you ever been a victim of identity theft? What happened?