When you open your credit card statement, it can be shocking, and not just because of how much you spent on clothes last month. On your credit card statement, there may be some transactions that look strange. Sometimes this is just a simple banking mistake, but you should pay attention because your identity could be stolen.
What is stolen identity?
Identity theft is when someone steals information about a person that can be used to find them. It is similar to identity fraud, which is when someone uses that information to get goods or services by lying about who they are. Using that information to make a fake identity is also a form of identity fraud.
Identity theft warning signs
Besides seeing transactions on your credit card or bank statements that you didn't make, other signs of identity theft are:
- Getting bills, invoices, or receipts for goods or services you didn't order
- Being denied a credit card or loan even though you have a good credit score
- Finding out that someone set up a cell phone contract in your name without your knowledge
- Getting letters from debt collectors or solicitors about debts you don't know about
- Your post goes missing
- It looks like someone is messing with your trash bags.
How does someone steal your identity?
There are many ways for people who want to steal your identity to get their hands on your personal information. In some cases, this can happen if your wallet or purse is stolen, if your home is broken into, or if your mail is stolen from your mailbox. Identity thieves try to get your name, address, date of birth, and other personal information. They can use these to make new identities and even start fake businesses.
Other ways your identity can be stolen are:
- Using a change of address form to redirect your mail
- Getting private information by breaking into your computer
- You can get your PIN number by watching how ATMs work or using special machines.
If thieves get their hands on your personal information, it will be easy for them to open bank accounts, get credit cards, loans, passports, driver's licences, and benefits in your name. They probably won't be strict about making payments on time, so it will hurt your credit score.
How to keep from having your identity stolen
There are many things you can do to make it harder for people who want to steal your identity to get their hands on your personal information. First, you should get a copy of your credit file every once in a while. This won't cost much, and it will let you know if anyone has tried to get credit in your name.
Tell your banks and credit card companies when you move, and have your mail sent to a new address. This will make it harder for someone to steal your mail and take your name. At the same time, you should make sure that no one is sending your mail somewhere else without your permission.
Keep private papers in a locked filing cabinet, safe, drawer, or safety deposit box at the bank. If you don't want a receipt, you should shred it right away. If you throw them away, it's easy for thieves to get your credit card number. If you lose or have stolen personal documents like passports, driver's licences, credit cards, debit cards, and so on, you should report it right away.
Last but not least, keep your PIN and passwords safe. The less people know about them, the less likely it is that they will end up in the wrong hands.
