Prevent fraud by learning more about identity theft.

What's Below:

How can my identity be stolen?
What can I do to protect my identity from theft?
What are the chances my identity will be stolen and what can the thief do with my personal information?
What should I do if I discover that my identity has been stolen?
Will I be held responsible if a thief uses my identity to commit a crime?
Are there any laws that specifically prohibit identity theft?

How can my identity be stolen?

Someone could steal your identity very easily by:

• stealing your wallet
• filling out a change of address form for you and collecting your mail
• snatching your unshredded pre-approved credit slips from the trash
• ordering unauthorized credit reports on you by posing as a potential employer or landlord
• looking over your shoulder at phones and ATMs to gather PIN numbers (sometimes with binoculars or listening devices)
• using phony telemarketing schemes to con you into giving your personal data
• illegally tapping a computer at a business to which you have provided information or by which you have been granted credit (this is often done by dishonest or disgruntled employees), or
• gathering sensitive information and using it as a way to extract revenge (this is usually done by a former friend, lover, roommate, or co-worker -- and it's more common than most people realize).

Perhaps the most frightening (and most thorough) way for a thief to steal someone's identity is by purchasing it at one of the identity search companies that have sprouted on the Internet. For as little as $49.99, these companies will sell you someone's Social Security number (the heart of identity theft), their mother's maiden name (the second most valuable piece of information), their home and employment address, their previous addresses, their credit history, and more.

What can I do to protect my identity from theft?

Minimizing the disaster of identity theft depends primarily on your vigilance in guarding your privacy. You've got to guard your personal information diligently. Here are some tips for keeping your private information secure:

• Never carry your Social Security card in your wallet.
• Don't have your Social Security number or your driver's license number pre-printed on your checks.
• Use your initials (instead of your first name) and last name on your checks. If some one takes your checks, they will not know if you sign your checks with just your initials or your full name, but your bank will know.
• If you have a P.O. Box or work address, put that address on your checks instead of your home address. Put your work phone number on your checks instead of your home phone number.
• When writing a check to a credit card account, do not put the complete account number on the "For" line -- just use the last four numbers.
• Install a locking mailbox or a mail slot that goes directly into your house. Send your mail, especially payments, directly from the post office (don't put it in the mailbox for the postal carrier to pick up).
• Order your credit report every year. Promptly respond to any inaccurate information.
• Change your passwords and PIN numbers regularly. Don't use obvious codes such as birthdays, or the name of your spouse, child, or pet. Memorize passwords and PIN numbers and shred any piece of paper on which they are written.
• Diligently review credit card statements, phone, and utility bills. Call if you don't recognize a charge or phone call.
• Always take your credit card receipts, and never throw them away in public.
• Tear up or shred any offers of pre-approved credit cards you don't intend to use and beware of offers from companies you don't recognize. It's easy to create an official-looking and completely phony credit application offering you pre-approved credit if you provide your Social Security number, mother's maiden name (for supposed security reasons), and a signature.
• Don't give personal information over the phone unless absolutely necessary, and don't ever give it unless you initiated the phone call. If someone calls who says they are calling from your bank or credit company, ask for a number to call them back -- and then make sure it's really an official number.
• Beware of anyone asking for your Social Security number. If they refuse to complete a transaction without it, consider taking your business elsewhere.
• Pick up your new checks from the bank instead of having them sent to your home.
• Don't put personal information on a computer home page or personal computer profile.
• If you find your personal information posted somewhere on the Internet, demand that it be removed.