Steps to Take in Case of Possible Exposure to Identity Theft

The Federal Trade Commission, or FTC, is the federal agency charged with protecting consumers from fraud and identity theft. If you are the victim of identity theft, filing a complaint with the FTC can be an important part of protecting your credit score. But if you're not sure if your identity has been stolen, vigilance is crucial to detecting any fraudulent transactions before the consequences become too severe.

Monitor Your Info

According to the FTC, if you think your personal data may have been exposed to identity theft, the thing to do in the immediate aftermath is to keep a close check on critical information. This information includes financial or billing statements, bank statements and your credit report. If you have online accounts, check them frequently for any transactions you didn't authorize. Also be aware of credit cards you didn't apply for or bank accounts you didn't open. Some credit cards offer a credit monitoring service that will alert you to any changes on your credit report.

Consider Fraud Alert

A fraud alert puts a notification on your credit report that prevents any lender from opening a new credit line in your name without following additional policies and procedures to confirm your identity. A fraud alert lasts only 90 days and is a good step to take if your wallet has been stolen or if you gave out sensitive information as part of an online phishing scam. A fraud alert will not prevent use of credit lines already open.

Notify or Close Accounts

If you discover you have been a victim of identity theft, immediately close any account that has been affected unless there is a fraud dispute policy. If so, request the appropriate form and immediately dispute the fraudulent transaction. Notify any other institutions with which you have accounts and ask if they have any fraud protection and fraud dispute policies.

Protect Your Credit

Many states allow a consumer to issue a credit freeze that restricts access to a credit report. This will prevent opening of new credit lines for a longer period than a fraud alert, but will not inhibit the use of existing credit. If you are the victim of identity theft, file a complaint with the FTC and provide a copy to the local law enforcement in the community where the theft occurred. Provide a copy of the police report to the credit reporting agencies to prevent the disputed transactions from appearing on your credit report.