2. Identity theft in children
Criminals take a child’s identity and apply for credit under the child’s name. It is often not detected until the victim applies for student loans or other forms of credit.
Investigate if your youngster is receiving credit card offers or phone calls regarding late payments or debt collecting. You can place a credit freeze on your child’s account to avoid this.
3. Theft of a false identity
Synthetic identity theft occurs when criminals employ a patchwork of identification details to create a synthetic consumer, combining a Social Security number — frequently one of a small child or one made up — that is not yet in the credit bureaus’ database with a name and address. They then seek loans and credit cards, often making payments for years as their credit limits increase. Then there’s a “bust out,” in which the crooks’ cards are maxed out, and they vanish.
If you try to freeze your child’s credit and discover that their Social Security number is already in use, this is a red flag. Often, it is not detected until the youngster applies for student loans. It is not always prevented since thieves can make up and use a Social Security number before it is assigned.
4. Taxpayer identity theft
Fraudsters may use your Social Security number to make a tax return and take your tax refund or credit.
You may be unable to e-file because someone else has already filed under that Social Security number, you may receive an IRS notice or letter referencing some activity you were unaware of, or IRS records may suggest you worked for an employer you did not work for. Filing early can help you beat crooks to the punch, and some jurisdictions offer six-digit identity protection PINs (after rigorous verification) for added security.
5. Medical identity theft
Using someone else’s identity to obtain health care services is considered medical identity theft. It’s especially problematic since it can lead to medical histories getting mixed up, giving doctors and hospitals incorrect information as they make healthcare decisions.
Warning signs: Claims or payments on your insurance explanation of benefits that you do not recognize may indicate that someone is abusing your healthcare coverage. If you’ve been a victim, you’ll need to notify your insurance company as well as your health care team to ensure that the information in your health care records is genuinely yours.
6. Account takeover
Criminals utilize personal information to access your financial accounts, then change passwords or addresses so that you no longer have access.
An email, letter, or text from your financial institution alludes to an action (such as a password or email change) or transaction you do not recognize.
