Unfortunately, it’s not unusual for someone to be the victim of identity theft. Last year, 8 million Americans were the ID theft victims, according to Javelin Strategy & Research. The positive is that the number of victims fell from 11 million in 2009, but the out-of-pocket cost per victim jumped from $387 in 2009 to $631 last year.
Thieves use a whole host of tactics to get their hands on your identity, so being aware of some of their schemes can save you time and money, as well as all the headaches that come from clearing your name and credit report.
What kind of tactics do they use?
The methods range from the simple to the complex – from going through your trash to find bills or other documents with your personal information on them, to using a special device to skim your credit or debit card numbers, to phishing – like those emails you get from a “financial institution” asking you to confirm your account information.
What do thieves do with this information?
The thieves might open a credit card in your name and run up hefty charges, or use your existing credit card, but change the address so you never receive the bills. They might open a bank account in your name and write bad checks or take out a loan in your name. They may rent an apartment using your name or use your Social Security number to get a job.
How can I prevent identity theft?
The most important thing is to guard your personal and financial information. Make sure you know and trust the people and companies with which you share information. Shred documents before tossing them. Use complicated passwords when you bank online, and make sure anything you purchase via the Internet is from a reputable company. And make sure to get your free credit report each year to double-check that nothing looks fishy. You can even set real-time credit alerts with one or more of the credit bureaus.
About the Writer
Susan Ladika has been a writer and editor for 25 years. Her freelance work has covered everything from business to travel to science to international issues, and have appeared in such publications as Science, Town & Country, HR Magazine, Developer, The Wall Street Journal-Europe, The San Francisco Chronicle, and many others. She has also done extensive editing as a newspaper and wire service editor holding positions such as the Tampa Tribune Bureau Chief.
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