According to identity theft statistics I found from the Bureau of Justice, over 16 million people were victims of identity theft just in the year of 2012.
Identity theft is becoming such a common occurrence in recent years and it is something far too many people have personal experience with.
No one wants to deal with identity theft. Identity theft can lead to headaches, a drop in your credit score, loss of money, and more. While some situations can be fixed in just a day, some identity theft situations can linger on for years and years.
Even I have been the victim of identity theft numerous times, mainly due to someone stealing my personal information when I was just a child.
Nothing has happened recently though, even though I have multiple accounts, many credit cards (all used for rewards points), and more, and I believe a lot of that has to do with the fact that I always make sure to be very careful with my personal information.
Below are my tips on how to protect yourself from identity theft.
1. Don’t give out information unless you’re sure it’s needed.
There are many scammers out there just hoping to find someone who will fall for one of their tricks.
One trick is asking for personal information either on the phone or through an email. The scammer might claim that they are your bank, the IRS, etc., and that they need your credit card number, your bank account number, your social security number and so on. Sadly, many people fall for this.
If someone calls you, you should call the correct company back and make sure that it’s actually them who is asking for your information. In many cases, it turns out that the original person you talked to actually was a scammer.
If you receive an email and you are unsure if it’s actually from the company, you should do the same and contact them yourself before you give them any information. Scammers these days will make the email look very authentic, and they can even change what their email is so that it looks exactly like the actual company’s email address.
2. Always be careful with what internet connection you use.
I travel a decent amount, but I am always careful with how I access the internet. I never access anything from public wifi that is personal, such as bank accounts, credit card accounts, PayPal, and so on. This is because wifi that you get from a cafe, a hotel, and so on is never completely safe.
You never know who else is on the same wifi as you. For example, they may be stealing your information by logging every key that you type.
This can sometimes make traveling hard but I am usually able to make it work because I can still access everything that is very personal with my phone’s internet (not wifi).
Here are my tips for when you’re traveling but need to access the internet:
- Never connect to a wifi connection you don’t trust. Free wifi can be tempting, but many hackers nowadays are luring people in with unprotected wifi signals and then stealing all of their information.
- Make sure the wifi you are connecting to is a real one. Hackers are now creating wifi names that look very similar to the real thing in order to fool users.
- Have strong anti-virus computer software and make sure the firewall is up.
- Wait to access financial accounts until you are at home.
- Change your password if you believe your account has been compromised (once you are able to securely access the internet).
Related: Phone Scams: The Best Tips To Avoid Becoming A Victim
3. Keep your social security card and number safe.
I know way too many people who keep their social security card in their wallet and/or purse. I’ve even seen numerous people who place their social security cards in the slot where their license goes, so it’s in view of everyone whenever they take out their wallet at a store.
This is a HUGE mistake.
You simply need to remember your social security number and keep your social security card at home. You most likely don’t even need your actual card that often, so remembering your number should be enough when you need it.
4. Shred documents that contain your personal information.
Before you throw out papers that contain any personal information, you should shred them. This includes credit card statements, bank statements, bills, and so on.
If it’s a piece of paper that includes information that a person could possibly piece together and steal your information, you should shred it as good as you can.
Some identity thieves are known to piece together shredded papers, so you want to make sure that the pieces are very small. I usually even go as far as to darken out any numbers that could be used before I shred anything.
5. Check your credit reports.
You should review your credit report at least once a year. You can receive up to three each year for free though – one from each credit bureau. It’s free and I highly recommend doing this!
Checking your credit report can help you see if there are any mistakes, if someone has stolen your identity and more. Many people don’t find out about mistakes and theft until after they check out their credit report, sometimes not until years down the line. It’s much better to find out sooner so that you can fix any mistakes and repair any damage that was made to your credit score.
6. Trust your gut.
If you are about to give your information to someone or if you are about to pay with a debit/credit card and something feels wrong with the situation, then stop and do your research. Whatever you are doing can probably wait or you can just pay with cash.
It’s always best to be safe with your information than to worry about what may happen.
Have you ever been a victim of identity theft? How do you protect yourself from identity theft?
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Heather says
I was in the military, so my social would be on documents in my mail ALL the time and I’d be really careless with that information. Until someone filed taxes with my information and it took me over a year to get my federal tax return! It was a huge pain in the butt. Now I’m meticulous about protecting my information, checking my accounts regularly etc. You can never been too safe with this kind of stuff.
Michelle Schroeder-Gardner says
You can never be too safe!
Mario says
Yeah, I shudder to think now of my own time in the military and all the times I saw dozens or even hundreds of duffel bags stacked up with everyone’s social security number spray-painted across the lot of them. Shocking how long that’s taken to remedy for a group that can already ill afford the distraction
Michelle Schroeder-Gardner says
That is scary and sad!
Holly@ClubThrifty says
I still know people who carry around their SS card! Craziness! I monitor my credit on Credit Karma to make sure nothing is being opened in my name. Also, I get a free credit report a few times a year. Other than that, I shred all our extra papers and keep everything put away.
Michelle Schroeder-Gardner says
Good job Holly!
Amy @ DebtGal says
I’ve been lucky, thusfar, but my husband has had a few issues with identity theft. A couple of times his credit card number has been used fraudulently, and a few years ago, someone filed federal taxes with his SSN. The IRS was actually great about dealing with it, but it’s had repercussions over the years. One year the IRS claimed I didn’t file any taxes the year someone used my husband’s SSN, and just a couple of months ago, our state claimed there were mistakes on our return from that year. We had all the documentation we needed to respond, but it was a bit of a pain each time.
Michelle Schroeder-Gardner says
Yes, it can be a major pain each time.
Kaylin says
Since I do a lot of my shopping online, I am careful to never store my credit card number for purchases. I think we would be surprised to know how easy it could be to hack into the systems for online businesses. If I want to be extra careful, my credit card company can generate virtual account numbers that are only valid to be used once, and then the purchase still links to my account.
Michelle Schroeder-Gardner says
Yes, always important!
Natalie @ Financegirl says
I think one of the best ways to protect against identity theft is to freeze your credit reports. They’re easy to unfreeze, you just have to remember they’re frozen when you’re thinking about using your credit again.
Michelle Schroeder-Gardner says
Yes, another great idea Natalie!
Jane says
Unfortunately, all medicare cards use social security numbers.
Michelle Schroeder-Gardner says
That really stinks. I remember when my driver’s license used to have my SSN on it.
Holli says
This is a great article! I’ve added alerts to my bank account but need to check my credit score and set up alerts there too. Thank you!
Michelle Schroeder-Gardner says
Welcome! 🙂
Financial Conversation says
I monitor my credit via Credit Sesame a couple times each month and I try to be very careful about what information I access on unsecured Wi-Fi. I don’t want to have my identity stolen, it sounds like a nightmare!
Michelle Schroeder-Gardner says
Yes, it is a nightmare!
Shannon @ GrowingSlower says
Great tips! I just had someone try to hit me with a phone scam yesterday. They were asking for my personal info so they could give me ‘important information about my student loan payment’. It was easy to catch though since we paid them off just over a year ago! The free credit reports are really nice. For people who have kids, it’s also important to check their credit reports every year. Since they don’t normally use credit, it could be many years before they discover an identity theft situation if you’re not looking out for them.
Michelle Schroeder-Gardner says
Ugh. SO annoying! Sadly, so many people fall for it.
Shannon @ GrowingSlower says
I was wondering if there was a way to report it, but I just ended up hanging up.
Michelle Schroeder-Gardner says
I’m not sure if there is a way to report it. I’ll have to look into that.
Michelle Schroeder-Gardner says
WHAT?! That is insane that they still approved him.
Kim @ YourFinanceProfessor says
I am careful, but I also know that I could do better. I’ve never had a problem with identity theft but have a friend and a student who were victims. Their tales are heartbreaking and horrific. My student was so impacted by the event that she is doing a research project related to identity theft for her honors degree. One of the things we are looking at is how college students are particularly high risk for identity theft and yet have so little information about it. Thinking about what could happen to you should be scary enough to make you take action.
Michelle Schroeder-Gardner says
Yes, just thinking about it can be enough motivation.
Brittney @ Life On A Discount says
Great tips! We use Credit Karma to generally monitor our reports to catch potentially suspicious activity, but we also run a free report (through each major company) 3 times a year. We have been fortunate (knock on wood) to not have any major issues. My credit card number was once stolen and used at a post office in California, but that’s it. Being mindful of where you give information and how much is definitely the first step to protecting your identity. But monitoring your reports can definitely help you catch the situation early.
Michelle Schroeder-Gardner says
Great job Brittney!
Kimsea Sok says
Thanks for sharing…!
Sure, the above was really interesting tips. You know..? Last 2 years, I was scammer and my credit information was stolen.
I recommend I got a call from my bank service to discuss about my decline balance of my bank account. You know..? I lost around $800 because my card information was stolen.
The most you said right is that nobody will be safe on internet thus every time you use the bank or card information you have to make sure that you completely safe.
You know..? Here, in Cambodia. The most of people are using eligible Microsoft window thus they lack of update their security flow of computer OS.
It’a a most vulnerable of stolen..
Thanks for sharing..
Michelle Schroeder-Gardner says
Thanks Kimsea!
Portia says
Public offices like the DMV make me nervous as well. Anytime I am asked to give my social security number (signing up for credit cards or checking a retirement account), I ask “Is this really necessary?” Usually they provide a valid explanation for me, but I still feel paranoid about it.