5 Subtle Signs Your Identity Might Be Stolen, and How Your Credit Report Can Provide Clues
Identity theft is a pervasive threat, and the methods criminals use are constantly evolving. It’s more important than ever to stay vigilant. According to a Bankrate’s Financial Fraud Survey, a staggering 68% of Americans have experienced financial fraud or scams. This article will help you identify subtle signs of identity theft and steps you can take to protect yourself.
Why Identity Theft Can Be Harder to Notice
Fraud detection technology is becoming increasingly sophisticated, but so are the criminals’ techniques. The use of generative artificial intelligence is making it easier to create fake documents, posing a new challenge in fraud detection.
Michael Bruemmer, vice president of data breach resolution and consumer protection at Experian, notes a concerning trend: synthetic identity theft. This involves criminals combining real and fake personal information to create a fictitious identity. This makes it exceptionally difficult for businesses to identify and even harder for individuals to discover they’ve been targeted.
5 Subtle Signs of Identity Theft
Given the subtlety of modern identity theft techniques, it’s crucial to be vigilant. Some signs are obvious, such as receiving multiple tax returns. Others are less noticeable, requiring proactive monitoring.
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Small Transactions You Don’t Remember Making
It’s easy to overlook small transactions on your debit and credit card statements. Fraudsters often begin with minor charges to test access to your account before making larger ones. If you notice unauthorized charges, contact your financial institution immediately to dispute them and replace your compromised card.
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Strange Things on Your Credit Report
Regularly review your credit report for any unfamiliar accounts or hard inquiries. Watch out for unrecognized addresses and ensure the accuracy of your Social Security number. As Michael Bruemmer experienced, errors can occur, but they can also be signs of fraudulent activity. Dispute any inaccuracies and consider freezing your credit if you suspect fraud.
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Missing or Unexpected Mail
If you typically receive bank or credit card statements in the mail, and they suddenly stop arriving, be suspicious. Someone may be attempting to take over your account. Similarly, if you receive bills for purchases you didn’t make or statements from accounts you never opened, consider it a red flag. Contact the financial institution to address potential fraud.
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Your Credit Card Application is Denied
A credit card application denial may be due to various reasons, including fraud. When a lender rejects your application, they are legally required to send a letter explaining why. Carefully review this letter for any inconsistencies. For example, if your credit score is suspiciously low or if the letter indicates you’ve opened too many cards recently, it might be due to a criminal act. Checking your credit report after a denial is a wise move to spot any unauthorized accounts or inquiries.
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You Receive Password Reminders You Haven’t Requested
Receiving emails stating that you requested a password reminder (when in fact you did not) can be a phishing attempt. Do not click any links in the fraudulent email and instead go directly to the website to change your password. Consider two-factor authentication for added security.
The Bottom Line
Identity thieves are creative and adept at tricking people out of their financial information. Synthetic identity theft makes detection even harder. Stay vigilant, look for subtle signs, and regularly monitor credit and financial transactions. Prevention is always easier than dealing with the consequences of identity theft.
