ID & Credit Theft: Preventing the Nightmare

According to a survey of identity theft issues conducted by Javelin Research in 2006, there were an estimated 8.6 million Americans were victims of identity theft.  In today's world, identity theft can wreak havoc upon your credit history and finances that will affect everything from getting a loan, being able to rent that apartment uptown, or the dream job that you've always wanted.  Here are some simple, but often overlooked, ways that you can help protect your identity!

1. Shred all pre-approved loan and credit offers that you receive.
2. Invest in a mailbox with a lock.
3. Cut up all expired/invalid identification cards. Don't discard the pieces in the same garbage bag.
4. Conduct all phone business at home - cell phones/on the go and public phones are great ways for people to eavesdrop and gain access to personal information.
5. Insist on presenting your photo identification anywhere that you present your check or credit card.
6. Pay with cash or money order as often as possible. This eliminates other people handling your cards.
7. Never use any part of your social security number as a user ID or password.
8. Never use PIN numbers that consist of birthdays, anniversaries, etc.
9. Use a "prepaid" card credit card, such as the Green Dot to make online purchases.
10. Do not give personal information online, by mail, or over the phone.
11. Notify all of your financial institutions immediately if you see unauthorized charges on your financial   statements. Never be afraid to ask questions about the specifics!  Also, notify all three major credit reporting agencies as well as your local police department. Notify all involved creditors as well.
12. If you have a service that you a pre-paying for with cash, decline if they insist upon having your social security number or other private information. If you are paying for services/items in advance with cash, there is no logical reason for them to have this information or run a credit check.
13. And finally, don't allow anyone out of your sight with your ID, social security, credit card, or other personal information in their hands.  If you believe that someone has taken note of your information while presenting your ID for a non-business related purpose, notify their supervisor right away.

After working in collections and dealing with ID theft cases on a regular basis, these are simple mistakes that I have learned to avoid. I hope that they can help prevent you from becoming a victim, and instead becoming a more wise consumer!