Are you a victim of identity theft? If so, you are certainly not alone. Over 8 million people fell victim to this crime in 2010. What you do after you realize that your identity has been stolen is very important. Below, you will learn three steps you need to take immediately to minimize your losses and get your personal and financial life back on track.
Step 1 – Cancel Your Credit Cards and Notify Your Bank
Credit cards are a particularly favorite target of identity thieves. Whether your purse is stolen or your credit card information has been hacked online, your personal information can be used to make purchases immediately. Canceling these accounts as soon as you realize there has been unauthorized activity can save you hundreds, if not thousands, of dollars.
You should also notify your bank immediately, as well. The bank will put a hold on your account and only make payments that you approve of. Most also will replace the money that was taken illegally; however, once again, there is usually a limit to the bank’s liability.
Step 2 – Contact the Credit Bureaus
Your credit score is very important and it takes a great deal of work to keep that score high. By contacting the credit bureaus as soon as you can after discovering the theft, you may be able to limit the damage to your credit score and financial reputation. The credit agencies can closely monitor your account for any suspicious activity, such as requests for new credit. The three major credit bureaus are Equifax, Experian, and TransUnion. Contact customer service at each company to file a report as to what has happened.
Step 3 – Contact the Police Department
It is estimated that over 50% of all identity theft is never reported to law enforcement. Unfortunately, this means that the criminals may never be brought in front of a court of law to answer for their crimes. It is important that you file a report with local law enforcement about the specifics of your identity theft case. The credit card company, the bank, and the credit agencies may all need a copy of this report.
A Few Final Thoughts
The above steps are just the beginning of what could be a long, involved process to correct the damage caused by identity theft. It’s important that you keep detailed documentation of all phone calls, written correspondence, and expenses that deal with this crime. It may seem like a never-ending battle, but with diligence and the right help, you can get your life back.