The Top 6 Things You Should Do If Your Identity Has Been Stolen!

What to do if your identity has been stolen! How safe is your identity?

How safe is your identity? Over 12 million people had their identity stolen last year, to a tune of $26 billion. Unfortunately, identify theft isn’t going away any time soon. No matter who you are, your identity is at risk.

Preventing identity theft is always the best course of action, but equally important is knowing what to do if your identity is ever stolen. The longer thieves have control of your identity, the more damage they can do. Here are the top six actions you should take as soon you discover (or even suspect) your identity has been stolen.

1. Contact Your Creditors

This includes accounts you know are compromised and others which might seem fine. This will usually include institutions such as banks, credit card companies, loan issuers, utility companies and similar.

Each organization handles identity theft differently. Hopefully, you won' be responsible for any fraudulent charges, but that's not your main concern right now. You want to alert these institutions that fraud has occurred. This is one of the best ways to prevent additional fraud.

2. Contact the Police

The crime of identity theft is under-reported. People either aren't sure what law enforcement agency to notify or they simply think there's nothing law enforcement can do. You want to contact your local police department. While tracking down the thieves is often a difficult process, you at least want to make a police report. This report can help you deal with other agencies and organizations.

3. Call the Feds

By "Feds" we mean the Federal Trade Commission. While the FTC doesn't resolve individual issues, by reporting your case they're able to detect larger patterns of identity theft across the country. This can help combat identity theft for everyone.

Also, the FTC website has an Identity Theft Victim's Complaint and Affidavit which you'll want to fill out. The information in this form helps creditors investigate your claim, and can help you avoid any financial responsibility for fraudulent charges.

4. Call the Big Three

You'll need a current copy of your report from each of the three credit agencies. By law, you're allowed one free report from each agency each year. If you've already requested your free report that year, you'll probably want to buy one. Once your identity has been compromised, you need current information on your credit. A credit report can help you find new accounts opened in your name, defaults you didn't cause and other instances of fraud.

5. Put Alerts on Your Credit

Once you've talked to the credit agencies, they'll likely put an alert on your credit. You'll need to provide identification, including possibly a social security number. There are four types of alerts:

Initial Alert

This alert lasts for 90 days. The alert prevents additional cards on any of your existing accounts, any increase in your credit limit or any new credit. When you place an alert with an agency, you get a free credit report.

Note that an initial alert can delay your ability to get new credit. Still, it's a great safeguard. If you even think your identity has been compromised, you should probably request an Initial Alert.

Extended Alert

You'll want an Extended Alert when you know your identity has been stolen. In order to file an Extended Alert, you'll need to send each credit agency a copy of an identity theft report. This is an official report from federal, state or local law enforcement.

The Extended Alert lasts for seven years. Also, you get two free copies of your credit report from each bureau for one year after you file the alert. For the next five years each bureau must also exclude you from offers of credit or insurance you didn't request.

Active Duty Alert

Similar to the other alerts, only with a few adjustments geared towards active duty military. The alert remains in place for one year. There's no free credit report with this alert but the exclusion from prescreened offers lasts for two years.

6. Keep Detailed Records

Recovering from identity theft can be a long, complicated process. One of the best things to do is keep detailed and accurate records. You want to note the names and dates of everyone you talk to. Information can start to pile up quickly, so you want to make sure you have an organized system in place.

Record keeping has another use, too. Your records can help protect you in the event of any potential problems related to civil or criminal lawsuits.

Identity theft is an all-too-common problem. While you want to take every precaution in order to protect yourself, you also want a plan of action in case your identity is ever stolen. With these eight tips, you can prevent many identity theft problems and hopefully keep your identity safe.