Identity theft ::
How to prevent identity theft ... or handle it afterward
Bad guys can take your money, run up a cell phone bill or ruin your credit by stealing your name, address, Social Security number, driver's license number, checks or banking and credit card numbers. They can get this information the old-fashioned way, by stealing a purse or wallet - or they can take it from your trash, your mail, from businesses you use or from insecure Internet sites.
Here are some ways to avoid becoming a victim:
Don't give out your Social Security number unless it's absolutely necessary - and keep your Social Security card locked up in a safe place.
Carry only the ID and credit cards you need.
Never write your account information on the outside of an envelope or on a postcard.
Cut up old and expired credit cards, and close all inactive credit or bank accounts.
For your ATM card, choose a PIN number that's different from your address, phone number, middle name, Social Security numbers, birth date or other easily uncovered information. And don't put it on a slip of paper in your wallet!
Never give personal information over the phone unless you made the call.
The same goes for the Internet, unless you're certain that it's a secure site. Don't give away personal information in e-mails, blogs or online chat groups.
Ignore those creepy "phishing" e-mails that look like they're from your bank or another business, asking you for personal or financial information.
Cut down on the number of unsolicited credit card applications you receive by calling (888) 5OPT-OUT and asking that your name be removed from the marketing lists sold by the major credit card companies for two years -- or permanently.
Get your free annual credit report to make sure nothing's amiss.
Mail your bills in a postal box - don't leave them in your home mailbox, especially not overnight.
Shred unwanted personal documents before tossing them in the trash.
Keep track of when bills will arrive and report any late or missing statements. Check your bank statement regularly.
Ask your bank about its privacy policies. Do they provide your account numbers to third parties, and if so, under what circumstances?
If you've been scammed, here's what to do:
File a police report immediately. Obtain copies to give to creditors and financial institutions.
Call your bank and credit card companies to close any accounts that have been opened or accessed by identity thieves. (Note: This is easier if you plan ahead and keep a record of all your account numbers, expiration dates and phone numbers of the card issuers and store it in a safe place.)
Report the theft to the three major credit reporting bureaus: Equifax, Experian and TransUnion, and ask them to put a "fraud alert" in your file. Periodically check your credit reports to make sure no unauthorized changes have been made.
Check with your local post office to see whether an unauthorized change-of-address form has been filed in your name.
File a complaint with the Federal Trade Commission (www.ftc.gov), which maintains a database of identity theft cases to assist law enforcement.
Keep a detailed log of all these conversations.
What's your liability:
If you report the loss of a credit card before it's been used, the issuer can't hold you responsible for any unauthorized charges.
If a thief uses it before you report it lost, your liability is limited to $50 per card. This is true even if the thief uses your credit card at an ATM machine to get cash.
ATM and debit cards do not offer the same protections: If you report an ATM or debit card missing before it is used without your permission, your bank can't hold you responsible. If you report it lost or stolen within two business days of discovering the loss or theft, your liability is limited to $50. But if you report it lost or stolen after two business days but before 60 days after a statement showing an unauthorized withdrawal, you can be liable for up to $500. And if you wait more than 60 days, you may be out of luck entirely.
For more identity theft resources, check out the Better Business Bureau.
Sources: Better Business Bureau of Chicago and Northern Illinois, Illinois Attorney General Lisa Madigan, Federal Trade Commission
