Identity theft - fraud information

Identity Theft Prevention and Solutions

Identity Theft - Credit Card Fraud - Prevention and Solutions

Preventing Identity Theft

Credit Card Forgery

What to do if you are a victim of identity fraud

Identity Theft

This issue alone is reason to order your credit report immediately. Identity theft is an insidious crime, involving a thief who assumes your name to open new accounts, divert your card statements to another address, and run up all sorts of bad debt without you ever knowing about it until collectors come calling. Over time, identity theft could jeopardize your ability to obtain further credit. The best way to catch a thief who is using your name is by getting a copy of your credit report, which will show you if there are accounts listed you know you haven't opened. For example, if a thief has intercepted a pre-approved credit card offer in your name and sent it in with a change of address, your credit report will include the account. Check your credit report frequently! Get a free copy of your credit report right now Free Credit Report

What to do if you are a victim of identity fraud

It is important that you act quickly if you suspect you are a victim of identity fraud. In addition to reporting your identity theft to the following agencies, you may want to start a log of your efforts to protect yourself. This information could prove invaluable later in proving you are not responsible for false debts or even crimes. Suggested items to record:

record (take notes) all conversations with your creditors, the authorities etc.
Send correspondence by certified mail or registered mail.
Keep copies of all letters and documents.
In cases where you may actually collect damages in a lawsuit, you might also want to jot down the amount of time you spent and any money you spent clearing your identity.

Steps to follow:

1. Contact the authorities. Report the crime to all police and sheriff's departments with jurisdiction in your case. Credit card companies and banks may require you to show the report in order to convince them of your innocence, and if they don't believe you, they may hold you responsible for bounced checks, charges made in your name, etc. If you can get it, it is an important piece of documentation.

Give the police/sheriff's department as much documented evidence as possible, and get a copy of your police report. Make sure to take note of your detective's, or the official taking the report or handling your case's direct phone number. It will make it easier for creditors/banks to carry out their own investigation.

Some police departments have been known to refuse to write reports on such crimes. In a report issued by the FTC based on the identity theft hotline it set up (see below), the police took reports in 67% of the cases. If you can't get them to take a report, at least document your call and who you spoke with.

The FTC now has a toll-free number:

Identity Theft Toll-Free Hotline - 877-IDTHEFT (877-438-4338):

In addition, the FTC has come up with an affidavit for the consumer to fill out and send to the following agencies, companies and organizations that accept or endorse the ID Theft Affidavit:.

ACA International
American Bankers Association
Bank of America
Call for Action
Chase Manhattan Bank
Computer Sciences Corporation
Council of Better Business Bureaus
Direct Marketing Association
Equifax
Experian
Federal Reserve Board
First National Bank Omaha
GE Capital
Identity Theft Resource Center
Privacy Rights Clearinghouse
Providian
SBC Service
Sears
Trans Union

2. Pull your credit report!
In most cases, it is difficult to obtain a mortgage or car loan using someone else's identity, typically the thieves go for credit cards. Pull your credit report immediately to make sure no one has opened up new accounts in your name. Be aware, though that new accounts may not show up for quite awhile (6 months or more), so be sure and check frequently for the first year.

If accounts have been opened up in your name, contact the creditors immediately with whom your name has been used fraudulently. Credit card companies have whole departments which handle nothing

3. Put a fraud alert on your credit report.
Immediately call and/or write the the three credit reporting agencies (CRAs) listed below: Report the theft of your credit cards or numbers, and ask to have your account flagged with a fraud alert. Typically, fraud alerts remain on your credit report for 2 years, and will prevent anyone (including yourself) from opening accounts without additional verification.

Equifax
P.O. Box 740250, Atlanta, GA 30374
(800) 525-6285

Experian
(formerly TRW)
P.O. Box 1017, Allen, TX 75013
(888) EXPERIAN
(888) 397-3742
Fax: (800) 301-7196

Trans Union
P.O. Box 6790, Fullerton, CA 92634
(800) 680-7289

If your credit report has already been damaged (inquiries you did not make, accounts you did not open have been placed on your report), you may either place a fraud alert on your report, or dispute the listing. For items you cannot immediately remove, you may want to ask the credit bureaus to change the status of disputed accounts to disputed If you feel a listing is not correct you can either address a letter to the credit bureau or the lender. Many people prefer to use a credit repair kits or services to correct incorrect listings on their credit reports.

4. If your credit cards were stolen, call your creditors!
It's important that you act quickly to prevent as much responsibility for fraudulent charges as possible. Call your creditors on the phone and follow up your call with the facts in writing. Most creditors will issue replacement cards with new account numbers for your own accounts that have been used fraudulently with no trouble, if you act immediately. If fraudulent charges have been made to your accounts, at the very most you will be responsible for no more than $50.

Important Note: Ask that old accounts be processed as "account closed at consumer's request." This is better than "card lost or stolen" because when this statement is reported to credit bureaus, it can be interpreted as blaming you for the loss If you feel a listing is not correct you can either address a letter to the credit bureau or the lender. Many people prefer to use a credit repair kits or services to correct incorrect listings on their credit reports. I suggest you check out credit repair

Finally, carefully monitor your mail and credit card bills for evidence of new fraudulent activity, in case your thief comes back to haunt you.

5. If your checks were stolen, notify your banks!
If you have had checks stolen or bank accounts set up fraudulently, close your accounts immediately. It is also report it to any of the the following check verification companies your bank uses. Don't rely on them to do this.

CheckRite, (800) 766-2748
ChexSystems, (800) 428-9623 (closed checking accounts)
CrossCheck, (800) 552-1900
Equifax, (800) 437-5120
National Processing Co. (NPC), (800) 526-5380
SCAN, (800) 262-7771
TeleCheck, (800) 710-9898

What is ChexSystems?

Most banks use ChexSystems, any negative items reported to ChexSystems will prevent you to open up a checking account almost anywhere else for 5 years. If your bank has reported anything to ChexSystems as a result of your identity fraud, insist that it remove the listing immediately.

6. If your ATM card was stolen, order a new one!
Again, time is of the essence. If your ATM or debit card has been stolen or compromised, report it immediately. When you open new accounts, insist on password-only access. Cancel the card and get another with a new PIN. Do not use your old password. When creating a password, don't use common numbers like the last four digits of your Social Security number or your birth date.

7. Fraudulent change of address.
Notify the local Postal Inspector if you suspect an identity thief has filed a change of your address with the post office or has used the mail to commit credit or bank fraud. (Call the local Postmaster to obtain the phone number, (800)275-8777) Find out where fraudulent credit cards were sent. Notify the local Postmaster for that address to forward all mail in your name to your own address. You may also need to talk with the mail carrier.
(Web: www.usps.gov/websites/depart/inspect)

8. If Social Security Number has been misused
Call the Social Security Administration (SSA) to report fraudulent use of your Social Security number. As a last resort, you might want to try to change your number. Because of the many people trying to escape their bad credit by getting a new SSN, The SSA will only change your number if you fit their fraud victim criteria.

You may also be facing the possibility that someone is using your SSN number for employment to avoid paying taxes. To ensure this is not happening, you may order a copy of your Earnings and Benefits Statement and check it for accuracy.

Web: www.ssa.gov
Phone: (800) 772-1213

9. Notify the Passport Office
If you have a passport, notify the passport office in writing to be on the lookout for anyone ordering a new passport fraudulently.

10. Phone charges made in your name
If your long distance calling card has been stolen or you discover fraudulent charges on your bill, cancel the account and open a new one. Provide a password which must be used any time the account is changed.

11. If your Drivers License Number has been misused
You may need to change your driver's license number if someone is using yours as identification on bad checks. Call the state office of the Department of Motor Vehicles (DMV) to see if another license was issued in your name. Put a fraud alert on your license. Go to your local DMV to request a new number. Also, fill out the DMV's complaint form to begin the fraud investigation process. Send supporting documents with the completed form to the nearest DMV investigation office

Preventing Identity Theft

Cancel unused credit cards (cutting them up is not enough)

Don�t carry your Social Security card, passport or birth certificate with you, except when necessary.

Shred all credit card receipts and solicitations, canceled checks and financial documents before throwing away.

Check your credit card statements and immediately report unauthorized purchases.

Don�t give out your Social Security number, mother�s maiden name, or any account information over the phone, unless you are sure the caller is legitimate.

Order credit reports once a year from one of the credit-reporting agencies: Equifax 800-525-6285; Experian 800-301-7195; Trans Union 800-680-7289.

Get a FREE copy of your credit report and score with your FREE 30-day Experian Triple Advantage trial. You'll also get credit alerts from all national bureaus, info on disputing items on your report, and more. Apply Now!

Have your name removed from lists sold to companies offering pre-approved credit cards by calling one of the credit agencies above.

Never include your Social Security number on personal checks.

Do not allow sales clerks to copy your credit card numbers on to checks for additional information.

Call your credit card company if your card has expired and you have not received a new one.

Carry only a few credit cards with you.

Never write down Personal Identification Numbers (P I N #'s) and passwords: memorize them. Do not use any part of your Social Security number, your name or any easy to guess words or sequences.

Only release your Social Security number when absolutely necessary. If a business requests it for identification, ask to have an alternative number used.

Install a locked mailbox at your residence.

Do not leave paid bills in your mailbox for the mail carrier to pick up.

When you order new checks, do not have them sent to your home mailbox. Pick them up at the bank instead.

Check your credit report frequently! Get a free copy of your credit report right now aboutmycredit.com

Credit Card Forgery

A reader was asked to relate her success in removing information from her credit reports as a result of someone impersonating her by filling out a pre-approved credit application, forging her name and receiving the cards.

This happens all too frequently, if the letters I've received are any indication. Our reader was lucky-- she knew who had impersonated her, opening an account in her name without her knowledge. But it wasn't all luck: she acted promptly on this information. Often your credit is ruined by the impersonator. You'll have a tough time explaining to future creditors that you didn't know anything about the account. You have to prove it. Before we get to her letter, let's go over the steps she took so you can make some mental notes as you read. The steps:

Knew who had impersonated her.
Took him to court.
Was able to prove her case in court.
Sent the court documents to both the creditors who had unknowingly issued the fraudulent cards and to all the credit bureaus.
Was persistent in her efforts.

Here's the letter:

I'll explain a little bit more about what I had to do to straighten out the mess and, hopefully, it may help the next person who finds himself in my predicament.

First of all, I was lucky enough to know who did this to me-- my ex-husband. And I was lucky to have him plead guilty in court so I had court documents to prove it. You would think that would be enough to clear my name. Guess again! The credit card agencies told me it was a "marital dispute" and they didn't care if the NY State Supreme Court found him guilty. They said they have their own rules. That infuriated me. Why should an out-of-state credit company offer credit to someone who resides in another state if they don't follow the rules of that state's court? Then they should only offer credit to residents in their own state!

I sent each credit card company a letter with the court documents attached. I had to send them more than once because, it seems, they lose paperwork easily. I had to keep calling and hounding them day after day. If the person I reached couldn't help me, I'd ask to speak to someone who could (their supervisor). If anyone has never had to call a credit card company, be put on hold, be transferred around to every department and every person there, until FINALLY someone that may possibly be intelligent enough to listen and realize that a supervisor needs to handle it answers-- You're lucky. It's a nightmare. They want their money and they don't care if you're innocent or not. I can't tell you how many hundreds of hours it has taken me. You need to be persistent and make sure that you document every single person you have talked to, the date, and what they are going to do for you. Keep following up. I won't kid you, it is a nightmare.

My ex-husband forged my name to 13 credit card applications. The signature did not look anything like mine. Some of the information on the application was incorrect (my salary). Credit card companies never check the signature (such as requesting a copy of driver's license, etc.). Ironically, in order to request your credit report from Equifax, Trans Union, Experian/, you need to send in copies of your Social Security card, driver's license, and sometimes a utility bill to prove who you are! The credit card companies are content consumers mail back their pre-approved applications. Credit card companies, that mail pre-approved offers never know who completes those applications. Have you ever received your neighbor's mail by mistake? It happens!

Another scary thought I disputed my Equifax report. I sent in a lot of documents to prove my innocence and most of it was personal information; social security number, account numbers, etc..., things you don't want 'lost'. I mailed this information to Equifax and waited to hear from them. I finally called them two months later and asked them my status. They said they never received it. I know the address was correct and printed clearly. It scares me to think about what might have happened to my paperwork. It is also very difficult to contact these credit reporting agencies without getting a recording. It's frustrating because, if you mail them something, they claim they haven't received it. And you can't get in touch with them by telephone. I found that Equifax frequently changes their 1-800 fraud department phone number that is printed on the top of your credit report. They really have you over a barrel and yet your life depends on them having correct information on you. If you mail information, copy the package and send it registered mail, return receipt requested.

Anyway, hope this helped. If you're innocent, you have to stand up for your rights. Be persistent. Eventually, you'll get it cleared. It has taken me almost 2 years but progress has been made. What I have gone through (this is only part of it), has changed my life.

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� BadCreditInfo.com 2007
Updated 07/03/08