Introduction

How Identity Theft Occurs

Minimize Your Risk

Choosing to Share Personal Information or Not

Credit Bureaus

Departments of Motor Vehicles

Direct Marketers

If You're a Victim

Your First Three Steps

Your Next Steps

Where There's Help

Federal Clearinghouse for Consumer Complaints

Federal Laws

State Laws

Resolving Credit Problems

Credit Reports

Credit Cards

Debt Collectors

ATM Cards, Debit Cards and Electronic Fund Transfers

Resources

Federal Government

State and Local Governments

Credit Bureaus

INTRODUCTION

In the course of a busy day, you may write a check at the grocery store, charge tickets to a ball game, rent a car, mail your tax returns, call home on your cell phone, order new checks or apply for a credit card. Chances are you don't give these everyday transactions a second thought. But someone else may.

The 1990's spawned a new variety of crooks called identity thieves. Their stock in trade are your everyday transactions. Each transaction requires you to share personal information: your bank and credit card account numbers; your income; your Social Security number (SSN); and your name, address and phone numbers. An identity thief co-opts some piece of your personal information and appropriates it without your knowledge to commit fraud or theft. An all-too-common example is when an identity thief uses your personal information to open a credit card account in your name.

Can you completely prevent identity theft from occurring? Probably not, especially if someone is determined to commit the crime. But you can minimize your risk by managing your personal information wisely, cautiously and with heightened sensitivity.

The Congress of the United States asked the Federal Trade Commission to provide information to consumers about identity theft and to take complaints from those whose identities have been stolen. If you've been a victim of identity theft, you can call the FTC's Identity Theft Hotline toll- free at 1-877-IDTHEFT (438-4338). The FTC puts your information into a secure consumer fraud database and may, in appropriate instances, share it with other law enforcement agencies.

The FTC, working in conjunction with other government agencies, has produced this booklet to help you guard against and recover from identity theft. Despite your best efforts to manage the flow of your personal information or to keep it to yourself, skilled identity thieves may use a variety of methods low- and hi-tech to gain access to your data. Here are some of the ways imposters can get your personal information and take over your identity.

HOW IDENTITY THEFT OCCURS

Despite your best efforts to manage the flow of your personal information or to keep it to yourself, skilled identity thieves may use a variety of methods — low- and hi-tech — to gain access to your data. Here are some of the ways imposters can get your personal information and take over your identity.

MINIMIZE YOUR RISK

While you probably can't prevent identity theft entirely, you can minimize your risk. By managing your personal information wisely, cautiously and with an awareness of the issue, you can help guard against identity theft:

Your credit report contains information on where you work and live, the credit accounts that have been opened in your name, how you pay your bills and whether you've been sued, arrested or filed for bankruptcy. Checking your report on a regular basis can help you catch mistakes and fraud before they wreak havoc on your personal finances. See "Credit Reports" on page 13 for details about removing fraudulent and inaccurate information from your credit report.

CREDIT BUREAUS

Equifax — www.equifax.com
To order your report, call: 800-685-1111 or write:
P.O. Box 740241, Atlanta, GA 30374-0241
To report fraud, call: 800-525-6285 and write:
P.O. Box 740241, Atlanta, GA 30374-0241

Experian — www.experian.com
To order your report, call: 888-EXPERIAN (397-3742) or write:
P.O. Box 949, Allen TX 75013-0949
To report fraud, call: 888-EXPERIAN (397-3742) and write:
P.O. Box 949, Allen TX 75013- 0949

Trans Union — www.tuc.com
To order your report, call: 800-916-8800 or write:
760 Sproul Road, P.O. Box 390, Springfield, PA 19064-0390
To report fraud, call: 800-680-7289 and write:
Fraud Victim Assistance Division, P.O. Box 6790, Fullerton, CA 92634

CHOOSING TO SHARE YOUR PERSONAL INFORMATION  — OR NOT

What happens to the personal information you provide to companies, marketers and government agencies? They may use your information just to process your order. They may use it to create a profile about you and then let you know about products, services or promotions. Or they may share your information with others. More organizations are offering consumers choices about how their personal information is used. For example, many let you "opt out" of having your information shared with others or used for promotional purposes.

You can learn more about the choices you have to protect your personal information from credit bureaus, state Departments of Motor Vehicles and direct marketers.

Credit Bureaus

Pre-Screened Credit Offers
If you receive pre-screened credit card offers in the mail (namely, those based upon your credit data), but don't tear them up after you decide you don't want to accept the offer, identity thieves may retrieve the offers for their own use without your knowledge.

To opt out of receiving pre-screened credit card offers, call: 1-888-5-OPTOUT (1-888-567- 8688). The three major credit bureaus use the same toll-free number to let consumers choose not to receive pre-screened credit offers.

Marketing Lists
Of the three major credit bureaus, only Experian offers consumers the opportunity to have their names removed from lists that are used for marketing and promotional purposes. To have your name removed from Experian's marketing lists, call 1-800-407-1088.

Departments of Motor Vehicles

Take a look at your driver's license. All the personal information on it — and more — is on file with your state Department of Motor Vehicles (DMV). A state DMV may distribute your personal information for law enforcement, driver safety or insurance underwriting purposes, but you may have the right to choose not to have the DMV distribute your personal information for other purposes, including for direct marketing.

Not every DMV distributes personal information for direct marketing or other purposes. You may be able to opt out if your state DMV distributes personal information for these purposes. Contact your state DMV for more information.

Direct Marketers

The Direct Marketing Association's (DMA) Mail, E-mail and Telephone Preference Services allow consumers to opt out of direct mail marketing, e-mail marketing and/or telemarketing solicitations from many national companies. Because your name will not be on their lists, it also means that these companies can't rent or sell your name to other companies.

To remove your name from many national direct mail lists, write:

DMA Mail Preference Service
P.O. Box 9008
Farmingdale, NY 11735-9008

To remove your e-mail address from many national direct e-mail lists, visit www.e-mps.org 

To avoid unwanted phone calls from many national marketers, send your name, address, and telephone number to:

DMA Telephone Preference Service
P.O. Box 9014
Farmingdale, NY 11735-9014

For more information, visit www.the-dma.org

IF YOU'RE A VICTIM

Sometimes an identity thief can strike even if you've been very careful about keeping your personal information to yourself. If you suspect that your personal information has been hijacked and misappropriated to commit fraud or theft, take action immediately, and keep a record of your conversations and correspondence. You may want to use the attached form [PDF only]. Exactly which steps you should take to protect yourself depends on your circumstances and how your identity has been misused. However, three basic actions are appropriate in almost every case.

Your First Three Steps

First, contact the fraud departments of each of the three major credit bureaus.

Tell them that you're an identity theft victim. Request that a "fraud alert" be placed in your file, as well as a victim's statement asking that creditors call you before opening any new accounts or changing your existing accounts. This can help prevent an identity thief from opening additional accounts in your name.

At the same time, ask the credit bureaus for copies of your credit reports. Credit bureaus must give you a free copy of your report if your report is inaccurate because of fraud. Review your reports carefully to make sure no additional fraudulent accounts have been opened in your name or unauthorized changes made to your existing accounts. Also, check the section of your report that lists "inquiries." Where "inquiries" appear from the company(ies) that opened the fraudulent account(s), request that these "inquiries" be removed from your report. (See "Credit Reports" for more information.) In a few months, order new copies of your reports to verify your corrections and changes, and to make sure no new fraudulent activity has occurred.

Second, contact the creditors for any accounts that have been tampered with or opened fraudulently.

Creditors can include credit card companies, phone companies and other utilities, and banks and other lenders. Ask to speak with someone in the security or fraud department of each creditor, and follow up with a letter. It's particularly important to notify credit card companies in writing because that's the consumer protection procedure the law (Fair Credit Billing Act) spells out for resolving errors on credit card billing statements. Immediately close accounts that have been tampered with and open new ones with new Personal Identification Numbers (PINs) and passwords. Here again, avoid using easily available information like your mother's maiden name, your birth date, the last four digits of your SSN or your phone number, or a series of consecutive numbers.

Third, file a report with your local police or the police in the community where the identity theft took place.

Get a copy of the police report in case the bank, credit card company or others need proof of the crime. Even if the police can't catch the identity thief in your case, having a copy of the police report can help you when dealing with creditors.

Your Next Steps

Although there's no question that identity thieves can wreak havoc on your personal finances, there are some things you can do to take control of the situation. For example:

In addition, if your checks have been stolen or misused, stop payment. Also contact the major check verification companies to request that they notify retailers using their databases not to accept these checks, or ask your bank to notify the check verification service with which it does business. Three of the check verification companies that accept reports of check fraud directly from consumers are:

Telecheck: 1-800-710-9898
International Check Services: 1-800-631-9656
Equifax: 1-800-437-5120

If your ATM card has been lost, stolen or otherwise compromised, cancel the card as soon as you can and get another with a new PIN.

If you are having trouble getting fraudulent phone charges removed from your account, contact your state Public Utility Commission for local service providers or the Federal Communications Commission for long-distance service providers and cellular providers at 1-888-CALL-FCC.

Your letter should describe the situation and provide proof of your identity. The U.S. Trustee, if appropriate, will make a referral to criminal law enforcement authorities if you provide appropriate documentation to substantiate your claim. You also may want to file a complaint with the U.S. Attorney and/or the FBI in the city where the bankruptcy was filed.

WHERE THERE'S HELP...

The FTC collects complaints about identity theft from consumers who have been victimized. Although the FTC does not have the authority to bring criminal cases, the Commission can help victims of identity theft by providing information to assist them in resolving the financial and other problems that can result from this crime. The FTC also refers victim complaints to other appropriate government agencies and private organizations for further action.

If you've been a victim of identity theft, file a complaint with the FTC by contacting the FTC's Identity Theft Hotline by telephone: toll-free 1-877-IDTHEFT (438-4338); TDD: 202-326-2502; by mail: Identity Theft Clearinghouse, Federal Trade Commission, 600 Pennsylvania Avenue, NW, Washington, DC 20580; or online: https://www.ftc.gov/ftc/idtheftform.htm.

Other agencies and organizations also are working to combat identity theft. If specific institutions and companies are not being responsive to your questions and complaints, you also may want to contact the government agencies with jurisdiction over those companies. They are listed in the Resources section of this booklet.

In most instances, a conviction for identity theft carries a maximum penalty of 15 years imprisonment, a fine and forfeiture of any personal property used or intended to be used to commit the crime. The Act also directs the U.S. Sentencing Commission to review and amend the federal sentencing guidelines to provide appropriate penalties for those persons convicted of identity theft.

Schemes to commit identity theft or fraud also may involve violations of other statutes, such as credit card fraud; computer fraud; mail fraud; wire fraud; financial institution fraud; or Social Security fraud. Each of these federal offenses is a felony and carries substantial penalties — in some cases, as high as 30 years in prison, fines and criminal forfeiture.

State Laws

Many states have passed laws related to identity theft; others may be considering such legislation. Where specific identity theft laws do not exist, the practices may be prohibited under other laws. Contact your State Attorney General's office or local consumer protection agency to find out whether your state has laws related to identity theft, or visit www.consumer.gov/idtheft

State laws that had been enacted at the time of this booklet's publication are listed below.

RESOLVING CREDIT PROBLEMS

Resolving credit problems resulting from identity theft can be time-consuming and frustrating. The good news is that there are federal laws that establish procedures for correcting credit report errors and billing errors, and for stopping debt collectors from contacting you about debts you don't owe.

Here is a brief summary of your rights, and what to do to clear up credit problems that result from identity theft.

Credit Reports

The Fair Credit Reporting Act (FCRA) establishes procedures for correcting mistakes on your credit record and requires that your record be made available only for certain legitimate business needs.

Under the FCRA, both the credit bureau and the organization that provided the information to the credit bureau (the "information provider"), such as a bank or credit card company, are responsible for correcting inaccurate or incomplete information in your report. To protect your rights under the law, contact both the credit bureau and the information provider.

First, call the credit bureau and follow up in writing. Tell them what information you believe is inaccurate. Include copies (NOT originals) of documents that support your position. In addition to providing your complete name and address, your letter should clearly identify each item in your report that you dispute, give the facts and explain why you dispute the information, and request deletion or correction. You may want to enclose a copy of your report with circles around the items in question. Your letter may look something like the sample below. Send your letter by certified mail, and request a return receipt so you can document what the credit bureau received and when. Keep copies of your dispute letter and enclosures.

Credit bureaus must investigate the items in question — usually within 30 days — unless they consider your dispute frivolous. They also must forward all relevant data you provide about the dispute to the information provider. After the information provider receives notice of a dispute from the credit bureau, it must investigate, review all relevant information provided by the credit bureau and report the results to the credit bureau. If the information provider finds the disputed information to be inaccurate, it must notify all nationwide credit bureaus so they can correct this information in your file. Note that:

When the investigation is complete, the credit bureau must give you the written results and a free copy of your report if the dispute results in a change. If an item is changed or removed, the credit bureau cannot put the disputed information back in your file unless the information provider verifies its accuracy and completeness, and the credit bureau gives you a written notice that includes the name, address and phone number of the information provider.

If you request, the credit bureau must send notices of corrections to anyone who received your report in the past six months. Job applicants can have a corrected copy of their report sent to anyone who received a copy during the past two years for employment purposes. If an investigation does not resolve your dispute, ask the credit bureau to include your statement of the dispute in your file and in future reports.

Second, in addition to writing to the credit bureau, tell the creditor or other information provider in writing that you dispute an item. Again, include copies (NOT originals) of documents that support your position. Many information providers specify an address for disputes. If the information provider then reports the item to any credit bureau, it must include a notice of your dispute. In addition, if you are correct — that is, if the disputed information is not accurate — the information provider may not use it again. For more information, consult How to Dispute Credit Report Errors and Fair Credit Reporting, two brochures available from the FTC or at www.consumer.gov/idtheft

Credit Cards

The Fair Credit Billing Act establishes procedures for resolving billing errors on your credit card accounts. It also limits your liability for unauthorized credit card charges in most cases to $50 per card.

The Act's settlement procedures apply to disputes about "billing errors." This includes fraudulent charges on your accounts.

To take advantage of the law's consumer protections, you must:

Send your letter by certified mail, and request a return receipt. This will be your proof of the date the creditor received the letter. Include copies (NOT originals) of sales slips or other documents that support your position. Keep a copy of your dispute letter.

The creditor must acknowledge your complaint in writing within 30 days after receiving it, unless the problem has been resolved. The creditor must resolve the dispute within two billing cycles (but not more than 90 days) after receiving your letter.

For more information, see Fair Credit Billing and Avoiding Credit and Charge Card Fraud, two brochures available from the FTC or at www.consumer.gov/idtheft

Debt Collectors

The Fair Debt Collection Practices Act prohibits debt collectors from using unfair or deceptive practices to collect overdue bills that a creditor has forwarded for collection.

You can stop a debt collector from contacting you by writing a letter to the collection agency telling them to stop. Once the debt collector receives your letter, the company may not contact you again — with two exceptions: they can tell you there will be no further contact and they can tell you that the debt collector or the creditor intends to take some specific action.

A collector also may not contact you if, within 30 days after you receive the written notice, you send the collection agency a letter stating you do not owe the money. Although such a letter should stop the debt collector's calls, it will not necessarily get rid of the debt itself, which may still turn up on your credit report. In addition, a collector can renew collection activities if you are sent proof of the debt. So, along with your letter stating you don't owe the money, include copies of documents that support your position. If you're a victim of identity theft, including a copy (NOT original) of the police report you filed may be particularly useful.

For more information, consult Fair Debt Collection, a brochure available from the FTC or at www.consumer.gov/idtheft

ATM Cards, Debit Cards and Electronic Fund Transfers

The Electronic Fund Transfer Act provides consumer protections for transactions involving an ATM or debit card or other electronic way to debit or credit an account. It also limits your liability for unauthorized electronic fund transfers.

It's important to report lost or stolen ATM and debit cards immediately because the amount you can be held responsible for depends on how quickly you report the loss.

The best way to protect yourself in the event of an error or fraudulent transaction is to call the financial institution and follow up in writing — by certified letter, return receipt requested — so you can prove when the institution received your letter. Keep a copy of the letter you send for your records.

Note: VISA and MasterCard voluntarily have agreed to limit consumers' liability for unauthorized use of their debit cards in most instances to $50 per card, no matter how much time has elapsed since the discovery of the loss or theft of the card.

For more information, consult Electronic Banking and Credit and ATM Cards: What to Do If They're Lost or Stolen, two brochures available from the FTC or at www.consumer.gov/idtheft

RESOURCES

Federal Government

Federal Trade Commission (FTC) — www.ftc.gov
The FTC is the federal clearinghouse for complaints by victims of identity theft. Although the FTC does not have the authority to bring criminal cases, the Commission helps victims of identity theft by providing them with information to help resolve the financial and other problems that can result from identity theft. The FTC also may refer victim complaints to other appropriate government agencies and private organizations for action.

If you've been a victim of identity theft, file a complaint with the FTC by contacting the FTC's Identity Theft Hotline by telephone: toll-free 1-877-IDTHEFT (438-4338); TDD: 202-326-2502; by mail: Identity Theft Clearinghouse, Federal Trade Commission, 600 Pennsylvania Avenue, NW, Washington, DC 20580; or online: www.consumer.gov/idtheft

FTC publications:

Banking Agencies

If you're having trouble getting your financial institution to help you resolve your banking-related identity theft problems including problems with bank-issued credit cards contact the agency with the appropriate jurisdiction. If you're not sure which agency has jurisdiction over your institution, call your bank or visit www.ffiec.gov/nic/default.htm 

Office of Thrift Supervision (OTS) — www.ots.treas.gov
The OTS is the primary regulator of all federal and many state-chartered thrift institutions, which include savings banks and savings and loan institutions.

Call: 202-906-6000; or write: Office of Thrift Supervision, 1700 G Street, NW, Washington, DC 20552.

Department of Justice (DOJ) — www.usdoj.gov
The DOJ and its U.S. Attorneys prosecute federal identity theft cases. Information on identity theft is available at www.usdoj.gov/criminal/fraud/idtheft.html  

Federal Bureau of Investigation (FBI) — www.fbi.gov
The FBI is one of the federal criminal law enforcement agencies that investigates cases of identity theft. Local field offices are listed in the Blue Pages of your telephone directory.

FBI publications:

Federal Communications Commission (FCC) — www.fcc.gov
The FCC regulates interstate and international communications by radio, television, wire, satellite and cable. The FCC's Consumer Information Bureau is the consumer's one-stop source for information, forms, applications and current issues before the FCC.

Call: 1-888-CALL-FCC; TTY: 1-888-TELL-FCC; or write: Federal Communications Commission, Consumer Information Bureau, 445 12th Street, SW, Room 5A863, Washington, DC 20554. You can file complaints via the online complaint form at www.fcc.gov, or e-mail questions to fccinfo@fcc.gov. 

Internal Revenue Service (IRS) — www.treas.gov/irs/ci
The IRS is responsible for administering and enforcing the internal revenue laws. If you believe someone has assumed your identity to file federal Income Tax Returns, or to commit other tax fraud, call toll-free: 1-800-829-0433.

Social Security Administration (SSA) — www.ssa.gov
SSA may assign you a new SSN at your request if you continue to experience problems even after trying to resolve the problems resulting from identity theft. SSA field office employees work closely with victims of identity theft and third parties to collect the evidence needed to assign a new SSN in these cases.

SSA Office of the Inspector General (SSA/OIG)
The SSA/OIG is one of the federal law enforcement agencies that investigates cases of identity theft.

Direct allegations that an SSN has been stolen or misused to the SSA Fraud Hotline. Call: 1-800- 269-0271; fax: 410-597-0018; write: SSA Fraud Hotline, P.O. Box 17768, Baltimore, MD 21235; or e-mail: oig.hotline@ssa.gov

SSA publications:

U.S. Postal Inspection Service (USPIS) — www.usps.gov/websites/depart/inspect
The USPIS is one of the federal law enforcement agencies that investigates cases of identity theft. USPIS is the law enforcement arm of the U.S. Postal Service. USPIS has primary jurisdiction in all matters infringing on the integrity of the U.S. mail. You can locate the USPIS district office nearest you by calling your local post office or checking the list at the web site above.

U.S. Securities and Exchange Commission (SEC) — www.sec.gov
The SEC's Office of Investor Education and Assistance serves investors who complain to the SEC about investment fraud or the mishandling of their investments by securities professionals. If you've experienced identity theft in connection with a securities transaction, write: SEC, 450 Fifth Street, NW, Washington, DC, 20549-0213. You also may call 202-942-7040 or send an e-mail to help@sec.gov.

U. S. Trustee (UST) — www.usdoj.gov/ust
If you believe someone has filed for bankruptcy using your name, write to the U.S. Trustee in the region where the bankruptcy was filed. A list of the U.S. Trustee's Regional Offices is available on the UST web site, or check the Blue Pages of your phone book under U.S. Government Bankruptcy Administration. Your letter should describe the situation and provide proof of your identity. The U.S. Trustee, if appropriate, will make a criminal referral to criminal law enforcement authorities if you provide appropriate documentation to substantiate your claim. You also may want to file a complaint with the U.S. Attorney and/or the FBI in the city where the bankruptcy was filed.

The U.S. Trustee does not provide legal representation, legal advice or referrals to lawyers. That means you may need to hire an attorney to help convince the bankruptcy court that the filing is fraudulent. The U.S. Trustee does not provide consumers with copies of court documents. Those documents are available from the bankruptcy clerk's office for a fee.

State and Local Governments

Many states and local governments have passed laws related to identity theft; others may be considering such legislation. Where specific identity theft laws do not exist, the practices may be prohibited under other laws. Contact your State Attorney General's office (for a list of state offices, visit www.naag.org) or local consumer protection agency to find out whether your state has laws related to identity theft, or visit www.consumer.gov/idtheft/

Credit Bureaus

Equifax — www.equifax.com
To order your report, call: 1-800-685-1111
or write: P.O. Box 740241, Atlanta, GA 30374-0241
To report fraud, call: 1-800-525-6285
and write: P.O. Box 740241, Atlanta, GA 30374-0241

Experian — www.experian.com
To order your report, call: 1-888-EXPERIAN (397-3742)
or write: P.O. Box 949, Allen TX 75013- 0949
To report fraud, call: 1-888-EXPERIAN (397-3742)
and write: P.O. Box 949, Allen TX 75013-0949

Trans Union — www.tuc.com
To order your report, call: 800-916-8800
or write: 760 Sproul Road, P.O. Box 390, Springfield, PA 19064-0390.
To report fraud, call: 1-800-680-7289
and write: Fraud Victim Assistance Division, P.O. Box 6790, Fullerton, CA 92634