Identity theft is when a scammer unlawfully steals your personal information and pretends to be you, typically to commit fraud or other crimes. Some of our important personal details are easy to find, through social media, forums or through the mail delivered to our homes. There are different types of identity theft, so it’s important to #BeFraudSmart and stay one step ahead of scammers. It can impact your finances, credit, medical records, employment and even your reputation.
Types of identity theft
Financial Identity Theft
This is the most common type. Using personal information, scammers log into our bank accounts or take out loans. They use such stolen information to buy expensive things, steal savings or scam others through our accounts.
Medical Identity Theft
Scammers steal personal information to get your medical benefits or claims. This can impact your medical records, adding incorrect information, can make it hard for you to get the care you need.
Criminal Identity Theft
A scammer may use your name instead of their own if they get arrested. This helps them avoid court orders, hide a warrant, or keep their record clean. If this happens, the crimes we didn’t commit can end up on our records.
Tax Identity Theft
Fraudsters file fake tax returns using our identity to steal refunds. This may go unnoticed until we file a tax return.
Child Identity Theft
Scammers use a child’s name to apply for loans, get credit cards, or rent a home. Unfortunately, since most people don’t check their child’s credit, this fraud can go unnoticed for years.
Employment Identity Theft
Scammers use personal information like name, government-issued ID or address to get a job. This can cause serious problems, like tax payments on income we never earned. It can also hurt credit scores if they use the fake job information to take out loans.
Synthetic Identity Theft
Scammers mix real and fake information to create a new identity. They use this new identity to steal money from banks or apply for loans they never intend to repay.
How does identity theft happen?
Identity theft can happen anytime and anywhere. So it’s very important to be careful when and where you share your information. Some of the common places that identity theft can occur are:
- Fake emails or messages: Scammers send emails that look like they’re from someone we know. This type of scam is also called Phishing.
- Unknown downloads: Opening unknown links can install unwanted apps on devices. Allowing scammers to steal our information or spread viruses on our devices.
- Social media: They can search for profiles and steal your identity or any available details to scam others.
- Stolen devices: Fraudsters use information from stolen phones or computers to scam others.
Signs that someone stole your identity
You may not notice right away that your identity is being used unlawfully. But you can always stay a step ahead of scammers and be careful with the information and links you visit. Here are some signs that can help you stay careful:
- Emails or mail about accounts you didn’t open
- Bills or charges for things you never bought
- Calls from debt collectors about loans you didn’t take
- Password reset emails or messages you didn’t request
- A sudden drop in your credit score
Tips to avoid identity theft and stay safe
Along with knowing the signs it’s also important to learn tips to prevent identity theft. These are some of the best identity theft tips to #BeFraudSmart:
- Use strong, unique passwords for each account.
- Turn on two-factor authentication for extra security.
- Check websites before entering personal details.
- Be careful when sharing information on social media.
- Check bank statements and credit reports often.
- Shred important papers before throwing them away.
- Use a VPN when connecting to public Wi-Fi.
What to do when identity theft occurs?
If you think someone has stolen your identity, report it. Taking the right steps quickly can help you overcome the problem. Here’s what to do:
- Change your passwords: Update passwords on all important accounts to prevent further access. Use strong passwords with symbols and a mix of letters.
- Report the theft: Call the bank to freeze your bank account if necessary. Contact credit companies like Equifax to place a fraud alert on those accounts. If someone stole money, report it to the local police.
- Protect your devices: Use trusted antivirus software on phones and computers. Check for viruses or any applications that can steal personal information.
- Freeze your credit: Contact credit bureaus to stop scammers from opening accounts in your name. It will not affect your credit card usage and will stop issuing cards without your approval.
- File an official report: File an identity theft complaint with the official organization. They will help with a plan to overcome this problem. They will also provide documents to fix fraud-related problems with banks or businesses.
Identity theft can happen to anyone, but staying alert empowers you to spot warning signs and #BeFraudSmart.. Keep your personal details safe, think before sharing information, and monitor your accounts regularly. The more aware you are, the harder it is for scammers to take advantage of you. It’s easy to fight fraud when we’re safer and smarter together.
And if you send money with us and suspect fraud, don’t hesitate, report it to us right away.
