Protecting Yourself From Identity Theft

Many people who are careful about paying bills on time and having minimal debts are astonished each year to find that they have low credit scores.  In many cases, this happens as a result of identity theft.  Identity theft is a kind of crime in which people take your personal information and steal that info to pose as you in order to get access to your accounts or identity.

For example, anyone with your PIN numbers can remove small amounts of money from your bank account each month or someone can use your name and personal information to buy credit cards in your name and use those credit cards with no intention of paying back the money.  You are stuck with the big debts and the poor credit score.

To prevent identity theft, always see your account statements carefully each month.  Report any suspicious activity or any charges you do not recognize at once.  Also check your credit report regularly and immediately investigate any new credit accounts you do not recognize – this is the best way of detecting and acting on identity theft.

If you have been the victim of identity theft, report to the police at once and buy a police statement.  Send copies of this to your bank and credit bureaus.  Better yet, get the credit bureaus to attach the report to your credit report, if you can.  Close all your accounts and reopen new ones.  You should not have to pay for someone else’s illegal activity.

You must be aware of the threats at all times and be careful about how you use your credit cards, both online and in local retail stores. Identity theft has become a major problem and one that should not be ignored.

Related posts:

1. How Credit Reports Work
2. Only Get Credit That You Will Use
3. How to Dispute Credit Report Errors