Eight Steps to Take if Your Identity Is Stolen

In 2021, over 2 million instances of identity fraud were reported to authorities. It is more important than ever for users to stay vigilant and secure about protecting their identities. In this article, Alina Bizga of Bitdefender explains eight immediate steps to take if your identity has been stolen.

In 2021 alone, users filed over 2 million fraud reports. With this in mind, it has become crucial for users to stay vigilant and take steps to avoid the loss of sensitive data, severe financial losses, and lengthy legal issues. The surge in data breaches shows that cybercriminals focus on stealing exposed personal information of consumers to conduct identity theft crimes, which inflict billions of dollars in damage each year.

For most cases, identity theft isn’t just costly in financial terms. Each identity theft case is unique and brings a labor-intensive financial and psychological burden for victims and their families. It can take up to six months or more for victims to undo the damages, recoup costs, and repair their identity. If your personally identifiable information is sold on the dark web, the chances of your identity being misused over and over again are extremely high- creating a cycle of stress and uncertainty. Users should not only be equipped with warning signs and preventative measures to avoid being a victim of identity fraud but know what to do in the immediate aftermath of such an attack.

Steps to Take in Case of Stolen Identity

If you’re a victim of a data breach or suspect that your data may be used in fraud, follow these seven steps in order to minimize fallout and ease the process of identity recovery.

1. Check for “leaks”

To avoid being the victim of identity fraud, the FTC recommends that consumers should closely guard their Social Security number, shred charge receipts and copies, and regularly review transaction statements. By developing a baseline of activity, it will be easier to trace where the fraud originated and what assets are now most at risk. 

2. Confirm the type of information exposed in the data breach

In 2020, most stolen identities were used to apply for government documents and benefits. Credit card details and social media profiles were also popular sources of identity theft. Once you’ve discovered that your identity has been compromised, do a thorough check to determine what sorts of sensitive data have been stolen. This will ensure that your recovery process is extensive and exhaustive.

3. Secure any compromised accounts by changing your passwords and enabling two-factor authentication where possible

It is basic cybersecurity hygiene to change your passwords on a regular basis. Whether the organization was a victim of a data breach or not, large organizations are often targeted by cybercriminals, and it’s important that users do their due diligence to protect against those criminals. If your identity has been stolen and you have not yet tracked down the source of said theft, make sure to change your passwords on social profiles, banking accounts, and any ecommerce sites. Differentiate your passwords for each, and make sure it’s not simply a variation of your previous password. 

4. Check your credit report, credit card and health insurance statements for anything suspicious

Many consumers become complacent with closely-monitoring credit reports and transaction statements. When dealing with identity theft, make sure to go through all bank statements, debit transactions, and health insurance claims to ensure you’ve captured the extent of the theft. This makes it easier to appeal and recoup in the future. Identity theft costOpens a new window Americans $56 billion in 2020 alone, and it’s important to take proper precautions to ensure your money doesn’t contribute to that number. 

5. Place a freeze on your credit to prevent fraudsters from opening new accounts in your name

With most modern banks, freezing your cards and accounts is as easy as pressing a button. This prevents the risk of a secondary attack- new account fraud. When new account fraud occurs, criminals will take any available avenue to open a new line of financing in your name- using stolen or fake identities. While it may be the fault of the thief, all liability in these situations will be your responsibility- a timely and stressful situation. This can be challenging, as most victims aren’t aware that these new accounts even exist. Freezing your accounts will not impact your credit score in any way but will protect you until you’ve regained your identity details.

See More: Navigating Enterprise Data Security Journey

6. Avoid fraudulent lines of credit by placing a fraud alert on all your credit cards

Past simply freezing your accounts, it’s critical to take a step further by informing your bank that there has been an incident of fraudulence associated with your credentials. They can connect you with specialists, help comb through transaction data, and offer you new, secure credentials if needed. If you are a customer of multiple financial institutions, contact each one to report fraudulent or suspicious transactions.

7. File a report with the Federal Trade Commission (FTC) and keep paper trails and evidence of fraud 

Of the millions of fraud reports filed on a yearly basis, identity theft often tops the list- not only by way of the FTC but of most law enforcement agencies. Although the FTC does not maintain criminal jurisdiction, the agency can serve as a support system and “clearinghouse for identity theft reports, part of the FTC’s Consumer Sentinel report database.” In order to have the full breadth of knowledge and support in recovering from identity theft, it’s crucial to report the incident to the FTC.

8. Report identity theft crimes to local police

Many local police departments have begun developing online task forces to combat fraud and identity theft. Additionally, if the offender has used your personal information at local businesses, police departments may be able to gain access to surveillance and transactional information that the normal consumer would not. 

Protect Your Identity Better

Identity theft is an arduous, exhausting process to recover from- even though it happens to millions of people each year. While the “good guys” are always improving ways to protect your information, the “bad guys” are constantly getting smarter, too. If you are unfortunate enough to find your identity compromised, you can minimize fallout and expedite recovery by taking the steps listed above. 

At the end of the day, there is no guaranteed way to ensure that your identity will never be stolen. However, if you are prepared with the proper knowledge and response protocols, the recovery process will be less stressful, less costly, and less time-intensive if you are prepared with the proper knowledge and response protocols.

How are you ensuring that your identity is safely protected? Share tips with us on  FacebookOpens a new window , TwitterOpens a new window , and LinkedInOpens a new window .

More On Data Breaches: 

• Data Clean Rooms: A Secret Weapon Against Data Breaches and Data Security Vulnerabilities
• The Importance of Security Control Validation in Breach Damage Minimization
• Political Cost of Data Leaks: Data Security in the Crosshairs

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