LivSimpl

5 simple ways to protect your identity

Few things can complicate your life faster, and endure longer, than having your identity stolen. Not only can you be out any initial money that may be taken from your accounts, but your credit can be ruined making it impossible to make big future purchases you’d been saving for such as a car or home.

I’ve been doing a little research and there is an enormous amount of information out there on this subject. This is in no way a comprehensive list but hopefully it will get you started on the right foot and thinking about other ways you can take proactive measures to protect your identity. Of course, if you have other suggestions I’d love to hear them.

1. Don’t carry your Social Security card in your wallet. If you lose your wallet or someone takes it, not only do they have a lot of what they need to create an identity around you, you DON’T have it anymore making it more difficult to replace your stolen items.

2. Health care companies don’t need to use your SSN as your account number. Call your insurance company and request a new one. This is important considering how much mail they send to you after a trip to the doctor – such mail can become an easy target for identity thieves.

It should also be noted that many of the companies that ask for a Social Security Number to open an account don’t really need it. From a TIME article on the subject:

Requests to provide our Social Security numbers have become so common that many people just assume they have no choice but to hand it over. That’s actually not true, but having that knowledge is only half the battle. The real challenge is convincing the people who automatically request such information that you really don’t have to give it to them.

It’s a fairy quick article and worth the read.

3. Be smart about discarding old credit cards. When you throw away an old credit/debit card, cut it up into several pieces. But don’t just dump the pieces in the trash can. It’s too easy to fit the pieces together to get your credit card number which can be useful to identity thieves even after it’s expired.

A simple way to ensure your credit card info isn’t pieced back together is to discard it at different times in different locations.

For example, put half of the pieces in your lunch bag so you can throw them away when you get to work. Put the other half in that huge serving dish you only use once a year. Next time you make potato salad you can simply toss the other half of your card.

4. Request a credit report at least twice a year. You can contact these agencies directly and it is important to do so because someone may have opened a credit card in your name and there would be no way for you to know about it otherwise. If you think your identity has been stolen, you may consider contacting them more frequently.

5. Know your credit card company’s policy regarding unauthorized use of your card. A little digging can reveal a lot about your credit card company’s attitude regarding what happens when your card and/or identity is stolen. Become familiar with the steps you need to take should your identity be stolen as well as what you’re liable for.

I’d also suggest doing a little competitive research and see what other companies offer to make sure you’re not getting the short end of the stick. This information should be very easy to find as everyone is trying to promote their products and services as secure. Also, don’t forget to review online policies as well.

For more reading visit the FTC’s website. And as I mentioned before, if you have any other suggestions on how to protect your identity, please feel free to e-mail me at LivSimpl at the gmail.

Thanks for reading!

LivSimpl

Social Security Card image courtesy of here.

Friday, January 18th, 2008 at 11:57 am and is filed under Finances. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.