8 Tips to Safeguard Against Identity Theft

Each year, over a million Americans fall prey to identity theft. This crime happens when someone steals your personal or financial information without your consent, possibly using it to make purchases or open accounts under your name.

Portrait of hacker with mask — Image by freepik on Freepik

Luckily, you can take measures or employ identity protection services to help prevent identity theft. Here are 8 ways to better safeguard yourself from identity theft.

Be Careful About Phishing Attempts

In a phishing scam, a cybercriminal seeks personal or financial info to steal your identity. Phishing often appears as emails or SMS. The aim is to get you to click a link or open an attachment.For example, an unexpected text might make you believe a trusted company is asking you to click a link for an account issue. Once you click, you're asked to enter personal details, including a password or account number, on a scammer-controlled site.After submitting your info, the scammer can access your credit card or bank account. They might also sell your info to other fraudsters.If you suspect an email or text with a link or attachment is suspicious, avoid clicking or downloading. Clicking might take you to a fake website asking for details like a password, and downloading could infect your device with malware designed to steal personal information. If you think the message is legitimate, contact the company directly using the information from your account statement.

Social media is excellent for staying connected with others online, but it also presents some risks. Pay attention to what you post, and avoid sharing personal details like your home address, children’s names, pet’s names, or birthdays, as these are often used as passwords. If the social media platform offers two-factor authentication, enable it.

Images can be another tricky area. Never post photos that include private information, such as a picture of your passport or vaccine card. Consider what's in the background of any photos — from your home (showing the house number) to mail with your address. Lastly, you may want to set your account visibility to private on all social media platforms, limiting who can view them. And even if your account is private, you should still follow the above advice.

Secure Your Devices with Passwords

A surprising number of U.S. smartphone owners (16%) say they never use security features like a passcode, fingerprint, or facial recognition to unlock their phones, according to 2023 data from the Pew Research Center. If you're in this group, it might be time to rethink your security.

Not securing your smartphone, tablet, or other devices can jeopardize your personal and financial data, including passwords and banking details.

Review Your Credit Report Regularly

Your credit report is a key tool to catch identity thieves and prevent further issues. You're entitled to a free credit report every year through AnnualCreditReport.com, a Federal Trade Commission (FTC) initiative. You can get a free report from each major credit bureau. Examine your report closely for errors. When monitoring credit, check:

Personal information: Ensure your name, address, phone number, birthdate, Social Security number, and employment details are accurate.
Accounts: Verify that all listed accounts are yours and current. Look for unfamiliar credit cards, utility accounts, phone accounts, or streaming accounts.
Public records: Look for foreclosures, civil suits, liens, or bankruptcies. If you don't recognize these issues in your report, you might be a victim of identity fraud.If you find discrepancies, contact the relevant credit reporting company and the concerned financial institution. Also, visit IdentityTheft.gov to report suspected identity theft and access recovery resources.

Shred Personal Documents

Easily accessible financial documents — whether online or physical — can be used by thieves to impersonate you and access your accounts. Regularly delete unnecessary financial documents from your computer and use a shredder for physical documents to prevent dumpster-diving for identity-related information.

Get Bank Alerts

Many banks or financial institutions send automatic alerts for detected fraud, unusual login attempts, or wire transfer scams — you just need to set them up. Check your banking app or visit your bank in person. These alerts can notify you immediately of any fraudulent transactions.

Use a Digital Wallet

For online or in-store payments, use a digital wallet, an app with secure, digital versions of your credit and debit cards. It can be used for online shopping or at compatible checkout terminals. Transactions are tokenized and encrypted, enhancing security. Additionally, contactless transactions reduce health risks.

Your Social Security number unlocks your personal information. Keep it secure. When asked for your number, find out why it's needed and how it will be safeguarded. Don't carry your card with you. Securely store or shred documents with your Social Security number.