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home › economic survival tips › Spending › What Should I Know About Identity Theft and Fraud?

What Should I Know About Identity Theft and Fraud?

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If someone steals your personal information to commit a crime, that is identity theft.

It occurs when someone illegally uses your Social Security number, checking account or credit card numbers, or other personal information to steal from you.

To avoid this nightmare, be sure your financial life is kept secret from others:

  • Keep your Social Security card, bank account numbers, passwords, PIN numbers, and other financial information safe at home. Don’t carry these items with you.

  • Don’t throw away papers that have account numbers or other details on them. After you’ve recorded the information necessary (such as in your checking account register), tear them up or shred them, or use a permanent black marker to cover up the personal information.

  • For records you need to keep — paycheck stubs, tax returns, bank account statements, and credit card statements — store them in a safe place at home.

  • If you mail checks to pay bills, take them to the post office and drop them in an official United States Postal Service mailbox with a hinged lid or slot. Don’t just leave a payment in your mailbox.

Fraud doesn’t always come from strangers, unfortunately. If a family member or friend made unauthorized charges to your credit card or used your cell phone without your permission, you’ll need to talk frankly with them.

Give them a chance to explain what happened and ask them to pay for the charges. If you can’t come to an agreement, explain that you’ll need to contact the creditor and ask for a formal investigation.

There might even be times you need to file an official police report depending on the severity of the charges, whether it’s happened before, and so on. Contact your local police department to ask for guidance on making this decision.

 

 

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