What You Should Know About Identity Theft

As a six-time victim of identity theft, I built this list of terms and resources to help you protect your finances and privacy:

1. Credit Reports – Get your FREE credit report from ALL THREE of the major credit reporting agencies – Equifax, Experian, and TransUnion via Annual Credit Report. Set up an annual reminder for these reports, and also spread them out rather than getting them all at the same time each year. I was surprised to learn that the three agencies had different information about my credit when my identity was stolen. Also consider a report from ChexSystems, which reports on checking/savings accounts in your name.

2. Fraud Alert, Credit Freeze or Credit Lock – Choose a credit freeze. A credit freeze is free, backed by Federal law, and prevents access to your credit report. It is extremely useful for preventing new lines of credit from being opened in your name. If you don't need to open new credit lines for purchases such as a home, car, or credit cards, a freeze is a solid security choice. You can remove a credit freeze the same day, but you'll need the assigned PIN to unfreeze your account. DON'T EVER LOSE THAT PIN.

There are debates about the security vs convenience of freezing your credit.

If you choose convenience, you may prefer a credit lock. A credit lock may have associated fees, is a business service, and also prevents access to your credit report. The only reason I would consider a credit lock is if you frequently need access to your credit report or new lines of credit. However, a credit freeze makes more sense for the same service, and it's free.

A fraud alert requires agencies to notify you before opening a new line of credit. A signature might be an additional step, but is not always required. IMO it is the weakest form of security, meant for anyone prioritizing convenience above all else.

3. Secure your Social Security account – Yes, there's an online window to your Social Security account. Best you log in and secure it before someone else does. https://www.ssa.gov/ You can also use E-Verify to lock your SS from online access.
https://www.e-verify.gov/employees/employee-self-services/mye-verify/self-lock

4. Secure your IRS account – Tax fraud, i.e., someone filing a return as you to get a refund, has been on the rise for several years. Do what you can to secure your IRS account. You can also access your filed returns at https://www.irs.gov/individuals/get-transcript

NOTE – the referenced US government websites use either Login.gov or ID.me as the login provider. Login.gov is managed by the U.S. General Services Administration (GSA). ID.me is a private contractor. I recommend registering for both services so that, when you're presented with either secure login, you'll be set.

5. Credit Monitoring – Consider using free services such as Credit Karma, Credit Sesame, WalletHub, and Experian. Each has its benefits; for example, Credit Karma includes reports from Equifax and TransUnion, and Credit Sesame includes identity theft insurance. Check with your bank or credit card provider as they may offer monitoring. Credit Wise by Capital One is an example.

6. Credit Protection – Rampant ID theft created an industry; corporations quickly tried to profit, and ultimately dropped “credit protection services” under the weight of its own hubris. Today, the term refers to a combination of services like credit monitoring, credit insurance, debt consolidation, etc. I would consider any banner that advertises “credit protection” as marketing jargon, not an actual product.

NOTE – in the past I endorsed LifeLock, but that was before their security & financial woes, and their subsequent acquisition by Symantec. I disavowed the product immediately after that, and I don't recommend LifeLock today, regardless of new branding.

7. Identity Theft Insurance – Check with your insurance agent, or your bank, they may offer identity theft insurance. You can also use third parties who bundle this with other services such as VPNs, anti-virus, etc. The service helps you pay many of the legal fees associated with identity theft, and in some cases, lost wages. It is not much money, but every bit helps.

8. Get a VoIP number – In the digital age where everyone seems to put EVERYTHING online, there has been a swing towards privacy. Consider a VoIP (voice over IP) number for securing accounts instead of your cell phone, especially if you use text/voice two-factor authentication. Many services today compete with Google Voice, as listed on PCMag. Best, you can freely give out a “burner” number and keep your cell phone between you and your inner circle.

9. Secure your cell phone account – while not foolproof, adding a PIN to your cellular provider account is helpful in thwarting attempts to access it by identity thieves. In some cases, you can turn off online access to accounts, which, while inconvenient, means potential threats must be carried out in person at a retail location.

10. Use a password manager – If this article were not titled Identity Theft, I would have made this item #1. You should absolutely use one. It's so important it's part of Apple ecosystem with Passwords. My go-to 3rd-party option is still 1Password because it's available on Mac, Windows, iOS, and Android. I no longer recommend LastPass due to their security breach issues.

But what happens if you still become a victim of identity theft? Here are some things nobody told me:

1. File a Police Report – The moment you are aware of the ID theft, file a police report. This creates an official record of the event, which will help when you talk to the bank or credit card agency to remove charges.

2. Freeze Your Credit – See definition/links above. You'll want to mitigate further damage and prevent someone from opening credit cards, bank accounts, or other financial products in your name.

3. ICE Your Credit – CNN posted an article about Emergency Contacts several years ago. The article focused on an “in case of emergency” or ICE Initiative. The basic idea was making emergency contact info readily available on your cell phone, and a free safety website also provided laminated wallet emergency contact cards. In the era of smartphones, Apple & Android make dedicated emergency contact screens available for the same purpose.

However, I still carry a laminated info card with the phone numbers for all the accounts I would need to contact if my identity is stolen. The benefit of the laminated card? It's waterproof, doesn't need batteries, and anyone can use it if I'm incapacitated.

4. Don't Blame The Internet – Despite what most people think, email & phishing scams are not the only sources of identity theft. They're not even the largest sources. When I moved to Dallas, it was the number one city in the country for ID Theft. Some examples of how IDs were stolen include mailbox theft, credit card skimming (using a device to record your credit card number), ATM decoys, and, best of all, companies that don't properly secure or destroy personal records. In terms of ID Theft, Liz Pulliam Weston wrote an article suggesting we could learn something from Europeans.

If you're not concerned about identity theft, you should be. Here's a thought: the most damaging part of identity theft isn't the financial impact; it's someone using your identity to commit a crime. Criminal Identity Theft does not go away overnight and can follow you for years. Victims of Criminal ID Theft find themselves in constant struggle to prove their innocence. I couldn't find the original article, but I read years ago about a woman who had three official court documents from her state, and she still occasionally ended up in jail for warrants that weren't hers. (Apparently, Judges do not work on weekends.)

OK, if you're a first-time reader, you can see I tend to ramble quite a bit. I hope the information proves useful, and you never find yourself in a position where $75k is spent on your company's corporate account in your name.

I don't normally ask, but please share this post if you found the information useful. Thank you.

===== RELEASE NOTES =====

2026-10-06 – Removed outdated information, cleaned up the article.

2017-09-11 – Added new items to consider since the Equifax data breach.

2013-11-01 – Many banks have discontinued their special ID Theft programs in favor of account alerts. Check with your bank for the monitoring programs they offer.

2010-04-13 – I referenced LifeLock in this post, and you should be aware that they have been part of class action lawsuits more than once since 2008. As I mentioned in my post, you can do many of the services they offer yourself. Bottom line: in this digital age, you have to be ever vigilant with your personal information.