Identity theft: How to report and prevent it from happening?
Have you ever been a victim of identity theft? Even if you have not experienced the consequences of falling prey to identity fraud, you should take necessary actions in order to prevent it from happening. Identity theft refers to a situation when someone else uses your identity to do some dishonest act.
How to report identity theft and fraud?
It is quite important to act prompt when you come to know that your identity is stolen. Here are some steps that you need to follow.
1. Notify the authorities: Report the crime to the police with sufficient evidence. You can also report it to the Federal Trade Commission, which is a government agency that protects consumers. You can report the crime by simply filling out their online form.
2. Contact your financial institution: You should close the account and immediately report it to the financial institution that is associated with your account, which has been fraudulently used. Make sure you keep a log of all your calls, with whom you’ve talked, which department along with the date and time.
3. Contact the credit bureaus: You should report the theft to the major credit bureaus, namely, Experian, Equifax and TransUnion. Make sure you inform at least one credit bureau as early as you can; it will report it to the other 2 bureaus and you’ll receive a mail confirming that all of them have placed a theft alert.
4. Report it to other financial institutions: It is quite important to make other financial institutions aware of the theft. This is because they can also place a theft alert on your accounts in order to monitor any abnormal activity.
Apart from taking the above steps, change the passwords of all your accounts as early as you can.
Punishment for committing an identity theft
Penalty for committing an identity theft lasts for about 2 years for the specific charge; but, the penalties may increase by 5 years when the imposter commits an identity theft with the intention of committing a terrorist act.
How to prevent an identity theft from happening
Make sure you always follow these steps to prevent you from being a victim of identity theft.
1. Make sure to check the company’s reliability before you start any transaction with them.
2. Do not speak loudly over phone while giving out any personal information in public.
3. As soon as you get a new credit card, sign it with permanent ink.
4. Be careful of shoulder surfing when you type your personal information in ATM.
5. Try to choose passwords that are difficult to predict. 6. Do not write any personal information except your address and name on your checks.
It is recommended that you monitor your credit reports at regular intervals to check whether or not there is any abnormality. You should immediately take necessary steps if you feel that you’ve been a victim of identity theft.