Minimizing identity theft

Identity theft strikes nearly 10 million Americans each year, according to a 2003 study by the Federal Trade Commission. The numbers have climbed even higher as credit card thieves have stooped to even lower depths to steal your personal information. They are sly SOBs and getting craftier all the time.

Yes, that may be a bit of paranoia talking, but this comes from an identity theft victim. Most of us go about living our lives without such worries, thank God, but if you happen to receive a call from your credit card company requesting confirmation of your recent activity, I'd recommend calling them back immediately.

Other potential signs that something may be going on:
- One of your creditors tells you that they received an application for credit with your name and social security number.
- You find your credit card or debit card suspended or restricted when you know you have plenty of available credit or money in the bank.
- Incoming calls or letters advise you have been approved or denied by a creditor to which you never applied. (I hear about a lot of these where I work.)
- You receive credit card, utility or phone bills in your name for which you never applied.
- You haven't seen your credit card statements in some time, and/or you notice that not all of your mail is delivered to you.
- Your credit card statement includes transactions that you don’t remember.
- A collection agency tells you they are calling for a defaulted account established with your identity, but you don't remember opening the account.

The first step I highly recommend here folks is remain calm. I know that may seem a bit impossible to expect. I was taken for more than $15,000 by someone using my identity. I still don't know how they got my information. I may never know, but I suspect they hacked into my computer. Get a very good firewall on your computer.

Immediately after you discover fraudulent activity, you want to contact that creditor and advise them of this. Next, contact any of the three credit bureau agencies and ask that agency to put a fraud alert up on your credit bureau report. I recommend TransUnion (www.transunion.com), 800-680-7289. Call any of the three requesting this action and the other two agencies will pick it up automatically. This is at no cost to you. You may want to contact law enforcement as well.

Once the fraud alert is in place, anytime anyone attempts to open an account in your name and/or SSN, you will be alerted and that application will be put on hold until you approve it. This is a temporary measure that stays in place for 90 days; however, an extended alert can be put into place for seven years. This might be a wise action if you have seen anything unusual.

If you decide to go with the extended alert, the credit bureaus will require you to provide more information: proof of your identity, including your SSN, and a copy of an identity theft report from any law enforcement agency. I contacted law enforcement about the same time they contacted me. (This also involved a stolen car listed at eBay in my name. Don't ask, but rest assured, I'm no thief.)

In any case, you can get more information on the identity theft report at www.consumer.gov/idtheft. I hope you never have to experience this.

Now here's the important part. YOU CAN TAKE MEASURES TO AVOID THIS. These include:
- Never share your personal information with anyone outside of your family or household.
- Don't loan your credit card to anyone.
- Don't share your personal information (name, address, date of birth, SSN) or credit card number or banking info with any who calls you on the know unless you can confirm that person's identity. If it sounds fishy, it probably is.
- Last, but not least, stay on top of your own credit. This is easy and cheap. (IT'S FREE.) Read on.

Everyone in America is now entitled to one free credit report a year from each of the three agencies: TransUnion, Experian and Equifax. You can gather those free of charge at www.annualcreditreport.com. This is the only free, legitimate government-endorsed website created for the purpose of the annual credit bureau report mandate. What I strongly recommend is not to pull all three at once, although you're certainly welcome to do so. I'd suggest starting with one, maybe TransUnion, and then pulling another one 4 months later, followed by the next 4 months after that, and then repeating the process. Yes, it's time consuming, but well worth it.