You are more likely to notice problems and inconsistencies if you check your credit score on a regular basis – at least once a year and preferably three times a year. Make sure you check your credit rating with each individual credit bureau as well. Report anything odd or anything you don’ recognize, like a charge account you didn’t open, immediately.
Sometimes, these errors are caused by mistakes made at the credit bureau, but they could be an indication that someone is using your identity. Mistakes of this type can negatively affect your credit score. Fixing this kind of error will improve your credit score.
If you think you have been the victim of identity theft, take action at once:
1) Contact the three major credit bureaus and ask to speak to the fraud department. Ask that an “alert” be placed on your credit file because you feel you have been the victim of identity theft. This lets anyone know you have been a victim of fraud as soon as they look at your report. You are alerted every time a lender will look at your file. The purpose of this alert is to notify yu that someone may be trying to open an account in your name.
The lender will see that the person applying is not you and they will deny the identity thieves credit. In most cases the will cause the criminals to stop accessing your identity. By asking for an extension of the fraud allert in writing you can get the alert on your file extended from 90 – 180 to several years.
Requesting a freeze be placed on your credit score is allowed in some states. This will keep anyone but yourself and existing creditors from accessing your file. The thieves will be refused access by the lenders and they will now be able to get any more money in your name.
You are entitled to check your credit and get a free copy of your credit report if you have been the victim of identity theft.Taking advantage of this offer is a good idea so that you can check how your credit has been affected. Items that are not yours should be disputed.
2) Be sure to call the FTC at 1-877-438-4338. This is the special hot line that the FTC has set up to help customers deal with fraud and identity theft. You will be able to get up-to-date information about your rights and advice as to what you can do to improve your credit score and keep in safe in the future.
3) The police should be called. Like with any crime you should file a police report about identity theft which may help the police to catch the criminals that are responsible. By contacting the police a paper trail is created that will be proof you were the victim of a crime. Identitiy theft can damage your credit but if you keep a detailed paper trail of the crime and your responses it will be easier for you to repair your credit.
4) Be sure to contact all your creditors and let them know that identitiy thieves are using your information. Be sure to ask for the security department and then explain the predicament you are in. To protect yourself at the very least change passwords and perhaps close accounts as needed.
It is advisable to fill out a fraud affidavit stating that a crime has been committed and make sure that you save a copy for your records. Check with the lenders security department to get advice about what you can do. Recording the steps you took to deal with the crime is a necessity as well as good records of who you spoke with and when you spoke to them.
It is often tricky proving you are a victim of identity theft because the thieves are using your actual information. If you have been a victim you will ultimately not be responsible for charges made in your name that were placed by the thieves.. Be sure to check your credit report regularly.
You will want to avoid paying for charges you did not make but it is frustrating because the lenders still want to be paid. Being persistent and keeping good proof that you have been the victim of a crime will help to clear your credit score. For the time being you may be faced with a lower credit rating than you deserve and you may have to put off larger purchases that will require a loan.
