Introduction
Being the victim of credit fraud can have a serious impact on one's life. Credit fraud is when someone obtains credit using your information. When the credit cards or loans go into default, your credit will suffer. Credit fraud is a serious problem that can take a long time to rectify. The best thing is to do all that you can to ensure that you do not become a victim of credit fraud in the first place. Though of course it is something that can and sometimes does happen even to those who are diligent in protecting their information. For that reason, it is important to stay aware of what is happening on your credit report.
Step 1
- If you ever loose your wallet or purse, immediately report the lose or theft of your cards. It is a good idea to write down your account numbers and the expiration date of each of your cards on a piece of paper that is kept in a secure place in your home. Next to this information, write down which card it is and the telephone number from the back. Having all this information enables you to quickly cancel your cards. The faster you take care of this, the less likely that you will become the victim of credit fraud.
Step 2
- Sign your credit card as soon as you get it. Many people fail to do this. They may mistakenly think it is not important. However, by not signing the card yourself, anyone who gets their hands on your car can sign it. This makes the signature on the back of the card, and the signature on the receipt match. Making it even harder to detect credit fraud. Always sign the card as soon as it is in your hands.
Step 3
- Obtain copies of your credit report from all three credit reporting agencies. You are able to get one free credit report per year. You are also entitled to a free report if you have been turned down for credit. Getting these reports and going over them is an important step in helping to ensure that you are not the victim of credit fraud. If you find items on your report that are not yours or that you believe are in error, file a dispute. Within thirty days the credit reporting agency will alert you to their findings. Which will either be that it was an error or it is valid. If you did not authorize or have knowledge of some of the items on your report, yet they come back as valid, you could have be a victim of credit fraud. You should immediately have a fraud alert put on your credit files.
Step 4
- Opt out of receiving pre screened credit offers. You can do so for either five years or permanently by simply making a telephone call. The following telephone number will allow you to opt out for five years. 1-800-567-8688. By opting out of these offers, you reduce the risk of your information getting into the wrong hands, this reduces your risk of credit fraud. Anyone can find one of these offers in your mail box or after you have thrown it away and fill it in. It would then be in your name.
Step 5
- Guard your social security number and credit account numbers. Never let anyone use your credit cards. These are for your use only. Even when you are using your card be careful that no one can see or copy your account number. Once the transaction is complete, put your card back away as soon as possible. Keeping your information secure cuts down on the risk of credit fraud.
Tips
Keep your credit cards in a separate place other than your wallet. This way if your wallet is stolen, your cards are not there. This can help prevent credit fraud by keeping your personal information away from your cards. If they were in the wallet, the thief would have not only your cards, but your personal information as well which they could use to obtain more credit.
Sources and Citations
None
