Identity theft happens when someone steals your personal information – like Social Security number, bank information, or credit information – and uses it to commit fraud. As technology becomes more savvy, it seems like hackers and thieves have also become more savvy. Identity theft can have devastating effects on your credit, your bank balance, and your reputation. Unfortunately, identity theft during Covid has seen a TREMENDOUS spike.
Identity theft spike during Covid
The Federal Trade Commission (FTC) put out scary statistics this month! In 2020, there were nearly 1.4 million reports of identity theft! This is about twice the number as 2019! “Of the identity theft reports received in 2020, 406,375 came from people who said their information was misused to apply for a government document or benefit, such as unemployment insurance. That represents a tremendous increase from 2019, when the number was 23,213.” That’s over 17 times as many!
What to do if identity theft happens to you
Contact companies
Call the company’s fraud department. Tell them someone stole your identity and ask them to either freeze or close your account. Ask them to send you written confirmation (so you can use this letter later on if need be). The written confirmation should at least state that the account isn’t yours, you aren’t responsible for it, and that it was removed from your credit report. Write down the date/time you called and who you spoke with. Then go online and change your login info for that company. Do this for every company where you suspect identity theft.
Place a fraud alert / credit freeze
To place a fraud alert is free for you. You just contact one of the three credit bureaus. That one will contact the other two. To place a credit freeze, you must contact each bureau.
Experian
TransUnion
Equifax
equifax.com/personal/credit-report-services
Fraud alerts last for one year. Credit freezes last until you lift or remove it. After you place a fraud alert, you will get a letter from each bureau to confirm the alert.
Another type of fraud alert would be an extended fraud alert. This lasts for seven years (as opposed to the one year for a regular fraud alert) and is it available if someone stole your identity. To get an extended fraud alert, you contact one bureau and that bureau will contact the other two (similar to a regular fraud alert).
Get your credit reports
Get your credit reports from annualcreditreport.com. During non-Covid times, you can get one free credit report per bureau per year. Currently, you can get a free credit report weekly through April 2022. Equifax also has this on their website: “In connection with various settlements, Equifax is making at least six additional free Equifax credit reports each year available online to U.S. consumers on annualcreditreport.com until December 31, 2026. These reports are included in the free weekly Equifax credit reports currently offered on annualcreditreport.com through April 2021.” (Yes, their website states “April 2021”; however, free weekly credit reports will be available through April 2022.) When you get your credit report, go through it. Check for errors or unauthorized transactions.
Report the identity theft
Go to identitytheft.gov to report identity theft. The website is very user-friendly and has easy-to-follow directions. Create an account there. Not only will the site create your identity theft report (for your files and also if you need to send it to lenders), but also it will create your recovery plan. You can update your plan, track your progress, and pre-fill forms and letters.
File a police report
If you know the suspect or have information about the suspect, you may want to file a police report with your local department. Once you get your identity theft report, take that to your local police department along with any other documentation you may have. When the police report is generated, ask for a copy of it.
Replace government IDs and documents
To replace Social Security card: ssa.gov/ssnumber
Replace driver’s license: Find nearest office at usa.gov/motor-vehicle-services
Replace passport: Call the State Department at 1-877-487-2778
Final Thoughts
Having your identity stolen can be extremely stressful. At best, it’s a major inconvenience. Unfortunately, identity theft during Covid has been way too prevalent! Take a deep breath (or multiple!). This can be fixed but will take time. It is very important to keep records of EVERYTHING that you do. Keep track of all your documentation and all your phone calls. Going forward, sign up for some kind of identity theft protection if you do not have it already. Some are free, some you pay for. Breathe. You can do this!
The FTC has interactive dashboards that let you view complaints by age, state, and other criteria. If you’re interested, check it out.
If you need help taking back control over your money instead of having your money control you, please check us out and schedule your free consultation to see if we are a good fit to work together. Don’t let money stress and anxiety keep you from sleeping well at night!
