Approximately one-third of Americans have been victims of identity theft at least once. Around four billion USD is lost every year due to cybercrime, and it’s just getting worse. In most cases, victims might not even know their personal information has been stolen and then used to open credit card accounts, apartment leases, and more. If your identity were to be stolen, would you know what to do? We have outlined a step-by-step process of what you should do when your personal information is hacked and compromised.
We receive commission on purchases made through links on this page.
My adopted uncle in Key West (we adopted each other) had his identity stolen by his twin brother back in the 1970s. I’ve heard many similar stories over the years. Parents or siblings who put credit cards and loans in their children’s names. Unfortunately, there is plenty of identity theft among families, which is tough both emotionally and financially. Then there are the dark web directories of stolen identities for sale from hacks and ransomware attacks on corporations that hold your email, passwords, and sensitive identity data available for purchase. And even if your data isn’t already in these databases, sometimes all it takes is you clicking a link on a phishing email and being personally hacked. No matter what way your data is compromised, identity theft is a stressful situation, and knowing how to deal with it can make all the difference. The most important thing is to act quickly as soon as you find something awry.
The best way to keep up with what’s going on with your data is to keep a credit bureau account open with notifications when changes are made. Some of these accounts are free, while others have monthly charges. During the period that your identity is in the hands of someone with ill intentions, it’s always best to subscribe to a credit bureau that helps you clean up the aftermath and manage any further challenges. Get signed up as soon as possible. Equifax, Experian, and TransUnion all have similar services to help you with your credit repair process.
What to Do When Your Identity Has Been Stolen: A Step-by-Step Plan (Recommended by Aura)
- Contact your insurance provider first. You might have some protection included in your policy. Give them a call to find out their recommendations, which could help reduce your expenses.
- Freeze your credit; this can be done via any of the credit bureaus. Create an account if you don’t have one, and submit a request to freeze your account. This means you can’t go buy a house, or a car, or get a new card. Nothing can be done on your credit during this period because you need to wait till the fraud is cleaned up or prevented.
- Check your credit report; while in your new account, pull a credit check to look for fraud. Anything that looks wrong needs to be disputed ASAP.
- File an official identity theft report with the authorities.
- Report any crime to law enforcement.
- Notify your bank and credit cards to set up additional authentication measures.
- Change all your passwords – ALL OF THEM; Facebook, Instagram, shopping sites, Amazon, etc. Every single password needs to be changed, and choose two-factor authentication whenever you can.
- Scan your devices for malware and make sure your antivirus software is up to date. Complete any updates on your phone, tablet, and computer. Updates can help wipe out any malware.
We have an affiliate arrangement with Aura; they are great at getting identity theft under control. If you are looking for this service, please use our affiliate link to set up your account, which helps us continue to provide free, helpful content via this site. We also have an affiliate link for Experian; if you need their service, please use our affiliate link.
Credit Consulting and Credit Repair
In Credit Repair Is It Worth It, we highlight how you can fix your own credit after these situations. Having accounts with the credit bureaus and doing some repetitive but necessary tasks can sort your credit out. Some people don’t have time, which can land them in sticky situations with scammers and fraud. In this case, it’s important to have trustworthy companies on hand to assist you with repairing your credit.
One service you can hire to help repair your credit that I’ve researched and typically find trustworthy is CreditRx. They are a credit consulting company with a complete credit improvement approach. They claim to hone in on the client’s end goal, and then customize a plan to help them move toward it. All their credit repair plans are tailored to their client’s scenario. There are some less-than-positive reviews, but this is normal for credit repair companies.
There are so many different things to consider while undergoing this process that it’s best to find out what you can’t do while repairing your credit. This is a time when you can’t buy a house or get any loan; instead, it’s a time of sitting it out and waiting while the company does the work. Do your research before starting this journey because there are a lot of scams in the industry. You can do a lot yourself, but having a company like CreditRx can make it a lot easier. We have an affiliate link with CreditRx, so if you plan to sign up, please use our link.
LifeLock by Norton is another company that can help with credit repair and identity theft. We also have an affiliate link with them. They don’t have a free tier, but their monthly plans aren’t very high. Make sure to check in advance about how to cancel so that you know you will be able to cancel your membership when you no longer need the service. A lot of these subscription-based services have twelve-month contracts and challenging cancellation policies, so make sure you take a good look and feel well-informed before signing up. If you need this service, they do a great job.
The majority of security breaches are due to human error. The most common are phishing schemes during which you receive an email that says “invoice overdue,” “reset your account”, or “we have your payment”, something odd from Amazon or FedEx, eBay, or your bank. The list of scam email options is endless. Always be sure you never open the attachment or click the link because when you do, that’s it. You have been hacked. Before clicking a link, or opening an attachment, look closely at the email sender or the email address. Often they are misspelled or are a lengthy email that isn’t at a legitimate domain. Watch for weird typos and grammatical errors as well, these are always a dead giveaway. If you must check on something that you’re unsure about, always go directly to the site or domain in your browser or your app and login directly there to check for messages within your account.
As for your passwords, I know it’s hard, but you need to have different passwords and change them on occasion. Using a password manager like Google, Keychain, or iPhone’s password manager can help, too. It’s a lot, but you need to be vigilant to protect your information. If you’ve ever been through an identity theft clean-up, you know how worth it extra precautions can be. Stay safe, be informed, and take good care of your personal information; you’re valuable, or they wouldn’t be after it! Be sure to subscribe for more business, sales, and investing posts. I hope you have a lovely day.
