If you find yourself victimized by an identity thief, its imperative that you act quickly. Following these steps as soon as possible will help put you on the road to recovery and resolution.
Step One: Immediately Close ALL Compromised Accounts
Close all accounts that you know or believe have been tampered with and notify the sponsoring institution(s) of the theft. For accounts that you can't close like mortgage, phone, etc. get password protection.
You should also close your existing savings and checking accounts, and move the funds they contained to new accounts. If your bank account has been compromised you will have to get a new account before a bank will return your money. Get password protection in place for over the phone transactions. Plus, get an alert put on your account that will come up any time your account is opened by a bank associates. (If your financial company isn't helping you as much as you'd like, contact the agency that oversees your bank. To find the name of this agency, call your bank or go to the Institution Search section of the National Information Center of the Federal Reserve System at www.ffiec.gov/nic.)
Financial companies will mail Affidavits that must be filled out and signed before you will get your money back.These are the proof of innocence; and they are always time sensitive so don't delay.
Contact Your Creditors Immediately!
Notify credit card companies (including retail stores for which you have credit accounts), the mortgage company, and the issuer of your car note or other loans. Your credit card companies will likely close your existing accounts and issue you new plastic with a different card number. Having recent copies of your credit reports can help locate creditors and account numbers quickly. Click here to get information on obtaining your credit report.
Step Two: Place a Fraud Alert on Your Credit Reports
Contact one of the three major credit reporting bureaus and request that a fraud alert be placed on all your credit accounts. The initial bureau you notify is required to contact the other two, which should then place alerts in their systems.
This signals creditors that you've been victimized by fraud. In theory, it should also block any new accounts from being opened in your name unless someone contacts you first and obtains your express consent. I found this only works with creditors. Your bank account will not be alerted. You will have to keep a watch on your bank accounts. You only have 30 days to report bank account fraud.
There are two types of fraud alerts:
An Initial Alert
This alert lasts about 90 days. It is placed by a credit reporting bureau if you suspect that you have been.or simply are about to be.a victim of identity theft. If your wallet has been stolen or you've been hoodwinked by a phishing scam, for instance, you should instruct at least one of the three major credit reporting bureaus to place an initial alert on all your accounts. Taking this action entitles you to one free credit report from each of the Big Three.
An Extended Alert
This alert stays on your credit report for seven years. It should be placed if you KNOW you've been victimized. To have an extended alert placed on your accounts, you will need to provide an identity theft report (generated by your local police department) to at least one consumer reporting company. Placing an extended fraud alert entitles you to receive two free credit reports from each of the three main consumer reporting companies within 12 months. In addition, those firms must automatically remove your name from marketing lists for prescreened credit offers for five years (unless you opt back in). Citibank took care of me and set up my extended alert. I wasn't a bank member but the alleged theive tried to open a Citibank credit card under my name. They asked if I had time to set it up. It was a blessing since the other alternative would have required a bit of work to request and write letters. It took about 20 minutes over the phone.
In 25 states, you can also get a credit freeze that prevents new lenders and creditors from looking at your personal financial history. A freeze offers more protection than a fraud alert, since responsible lenders are very unlikely to issue credit in your name without a review of your history.
For the specific rules of credit freezes, contact any of the credit reporting bureaus (above).
Step Three: Contact a Law Enforcement Agency
It's unlikely that your local police department will solve the case... or even investigate it. Still, filing a police report may help you regain your good name, and your good credit rating with creditors and credit reporting bureaus. I was contantly asked for the filed police report case number.
You should also contact your state Attorney General's office, which may direct you to other agencies.
Step Four: File your complaint online with the FTC (Federal Trade Comission)
You can file a complaint with the FTC using the online complaint form; or call the FTC's Identity Theft Hotline, toll-free: 1-877-ID-THEFT (438-4338); TTY: 1-866-653-4261; or write:
Identity Theft Clearinghouse
Federal Trade Commission
600 Pennsylvania Avenue, NW
Washington, DC 20580
Be sure to call the Hotline to update your complaint if you have any additional information or problems.
By sharing your identity theft complaint with the FTC, you will provide important information that can help law enforcement officials across the nation track down identity thieves and stop them. The FTC can refer victims' complaints to other government agencies and companies for further action, as well as investigate companies for violations of laws the agency enforces.
Step Five: Respond Quickly to Debt Collectors
If a debt collector contacts you about new accounts opened in your name or unauthorized charges made to existing ones, respond immediately in writing.and keep a copy of your letter. Explain why you don't owe the money in question. Enclose copies of any supporting documents, such as an official identity theft police report or an FTC affidavit (see below).
Also ask the debt collector for the name of the business trying to collect the debt, and the amount allegedly owed. Then contact that business.also in writing.and request copies of the credit applications or any other documents linked to transactions you believe were made by the identity thief. Send these letters by registered mail, and get an acceptance receipt from the post office.
Step Six: Contact the Department of Motor Vehicles
This step, often overlooked, must be taken to guarantee that the identity thief has not applied for a new driver's license in your name. These bogus licenses take two forms: a replacement license that pairs your license number with the thief's picture, or a new license with a new number. Ask that a freeze be placed on your license until you can get a bona fide replacement (to simplify this process, bring along your Social Security card and other identifiers). And if your state is one of the 19 that still allow your Social Security number to double as your license number, ask to have another number substituted. In San Francisco, California, I was told it wouldn't do any good to get a new license number because the old number would still be attached and could be traced to the new one. My option then was to get an alert put on it which I did. Unfortunately this alert did little good because retailers and banks never questioned me; hence never questioning the theft of the validity of a license.
More Information
Your Checks
If your current checks display your first name, order new ones showing only your initials. Or just have your name and don't have your address on the checks. All the banks need are the routing numbers and your bank account number.
To further guard your privacy, keep phone numbers off your checks. If you must list one, make it your work number, not your home phone. Another good move: Get a Post Office Box number and use it (rather than a street address) as your mail-delivery point. Of course, NEVER display on any check your Social Security or driver's license number. To prevent new checks from being stolen from your incoming mail, specify that the delivery be sent not to your home but to your bank (for later pickup there).
Finally, seek out check styles that offer security features, such as a special substrate that stains during check washing attempts.
Get Photos Attached
If you must have credit cards get with Card companies that will put your picture on the card. Certain credit card companies and retail stores that sponsor their own plastic will affixed your photo to your credit card.
Don't Use Maiden names or Birth Date
You welcome trouble into your life when you use your birth date or your mother's maiden name as your clue password or PIN for bank and credit card accounts. Savvy identity thieves are adept at obtaining this information. They simply ferret out birth certificates and other public records online, then use the significant dates they find there to guess passwords until they succeed in cracking your account.
If a company asks for your maiden name or your mother's maiden name, reply that you want to use an alternative password to that. Alternatively, fabricate a maiden name or pick a bogus birthday.one that you can easily remember, of course.
*The above information was gathered from Sid Kirchheimer's book Scam-Proof Your Life.
