To help prevent cyber fraud, a vital starting point is to freeze your credit at the three major credit agencies:
- Equifax
- Your Identity > Freeze
- Experian
- Tools > Security Freeze
- TransUnion
- Credit Freeze > Freeze
- Ensure that you are logging on to the Service Center to manage your credit freeze.
If you have children, you should also freeze their credit at these sites, whether their information was stolen or not. You should see links to information on how to freeze a child's credit, as well as info for assisting adults who cannot do this for themselves.
Below are additional steps you can take to reduce—but not eliminate—problems related to your Social Security number.
1. Visit Annualcreditreport.com to view your information held by the three major credit reporting bureaus. Ensure that it is accurate and that no new credit accounts exist that you did not create. On these reports, you will see what's called a "soft" credit check from organizations looking to sell you financial products or loans or if an organization is doing a background check on you. A soft credit check can be done without your knowledge, but it doesn't affect your credit rating.
2. We've determined there are two more organizations where you must freeze your credit. They are Chexsystems and Clarity Services Inc., an organization owned by Experian. Chexsytems and Clarity Services also provide soft credit checks.
3. Another site where you can lock down your identity is NCTUE - the National Consumer Telecom & Utilities Exchange. NCTUE is the data exchange that compiles telecommunications and utility payment data on millions of consumers. It's the central place where telco, pay TV, security, internet, and utility companies exchange their customer account data for broader, deeper access to consumer payment history.
Follow the instructions to place a freeze, and you will receive a PDF letter with a PIN to manage your account. Store it safely and securely so you can make new utility arrangements (like buying a new cell phone) in the future.
4. Next, if you discover that your SSN has been stolen, visit identitytheft.gov, a site of the U.S. Federal Trade Commission. When you click on a few relevant options, the site will provide you with steps to establish a Recovery Plan. The plan includes the advice above, plus a tip to file your taxes early.
5. Next, visit the Internal Revenue Service's identity theft portal. Victims of identity theft should use IRS Form 14039 Identity Theft Affidavit when they have experienced tax-related identity theft, or their return is rejected by the IRS as a duplicate. Other taxpayers with compromised SSNs should apply for an Identity Protection Pin number. The IP PIN is used only on Forms 1040, 1040-NR, 1040-PR, 1040-SR, and 1040-SS and can be used on electronic or paper filings. The IP PIN means your tax return is unique and valid to you so that bad actors may not file a false return in your name.
6. The Social Security Administration will not issue you a new number if you cannot prove someone else is using your number. You should review your Social Security earnings records, which you can do online at ssa.gov or at a local Social Security office. Unless you can prove someone else is benefiting from your SSN, there is no other remedy available from the Social Security Administration.
7. File a complaint with the FBI's Internet Crime Complaint Center (also known as IC3). The IC3 website urges visitors to file a complaint even if they are unsure whether their situation qualifies as a cybercrime.
No one has a method to completely stop identity theft. But taking these measures makes your information harder to steal and encourages thieves to move on to targets with fewer protections.
The Woodmont Team
October 24, 2024
This document contains general information only and is not intended to be relied upon as a forecast, research, investment advice, or a recommendation, offer, or solicitation to buy or sell any securities or to adopt any investment strategy. The information does not take into account any reader’s financial circumstances or risk tolerance. An assessment should be made as to whether the information is appropriate for you with regard to your objectives, financial situation, present and future needs.
The opinions expressed are of the date of publication and may change as subsequent conditions vary. The information and opinions contained in this material are derived from proprietary and non-proprietary sources deemed by Woodmont to be reliable, are not necessarily all inclusive and are not guaranteed as to accuracy. There is no guarantee that any forecasts made will come to fruition. Any investments named within this material may not necessarily be held in any accounts managed by Woodmont. Reliance upon information in this material is at the sole discretion of the reader. Past performance is no guarantee of future results.