Credit Report Identity Theft

How To Avoid Losing Money Through Credit Report Identity Theft

Credit report identity theft is becoming more and more of an issue each year as more people go through the hassle of having their personal information stolen. So how can a person avoid losing a great deal of money from an occurrence of credit report identity theft? There are several steps that a person can take to keep their identity safe from credit report identity theft and decrease the risk of illegal actions being done using their personal information.

Experiencing the effects of credit report identity theft can be very scary and frustrating for the victims of the theft. There is no way to tell how the criminals that have opened credit accounts using your information may damage your credit report and your credit score. Victims of credit report identity theft also routinely get harassing telephone calls from credit card companies and collection agents trying to recoup money on an account that was opened in the person's name. Some people that were victims of credit report identity theft have found that it has taken more than a year to go through all of the steps that are needed to fix the mess that the thieves created.

What Steps Can Be Taken?

The first step in ensuring that a person is not a victim of credit report identity theft is to make sure that they take the time to review their credit report on a regular basis. The first indication that a person has become a victim of credit report identity theft is a credit account that you were not aware of has been opened and maxed out quickly. In many cases, the thieves will use a person’s information for a short time period to obtain all the cash they can within that short time period. This greatly reduces the risk that the thief will be caught while using the personal information or the credit accounts that they have opened.

While reviewing the report for credit report identity theft, if the person finds open account that they do not remember opening, it is important that they know where to report identity theft. The person should notify the company that issued the credit card account and the three major credit bureau of the potential credit report identity theft as quickly as possible to reduce the risk of suffering massive losses. In most cases, the thief that has stolen your personal information has already stopped using the account by the time the victim finds out about it, but if the account is still being used, it is important for the account is closed as quickly as possible. The longer the credit card account is allowed to stay open, the more damage it could cause to your credit history.