In the wake of the recent massive data breach at Equifax, many people are wondering what they should do to reduce the likelihood of becoming a victim of identity theft.  Since there have been numerous large-scale data breaches over the past several years, your personal data may already be in the possession of someone for whom it was never intended. Unfortunately, you may not know it for months or years to come, if ever.  Here are some things to consider:

1. Understand that identity theft cannot be completely prevented and doing nothing is not an option if you want to avoid the headache of repairing the damage once someone successfully steals your identity.  Resolve to be proactive, not just reactive.  No one can replace your ability to monitor and protect your own credit as well as you can.
    
2. Be methodical and deliberate in your approach.  Do not panic and rush helter-skelter trying to identify if and when your data may have been compromised.  Just take a deep breath, proceed as if it has already happened, and develop a plan to minimize the risks and understand that this will be a life-long process in which you must remain vigilant.
    
3. Many credit cards offer some form of credit monitoring, and most allow you to view your credit score online without negatively impacting your score. If a sudden change in your score occurs you may need to investigate. They can even text or email you every time a charge has been made to your account.
    
4. You are entitled to one free copy of your credit report every 12 months from each of the three nationwide credit reporting companies, available online at www.annualcreditreport.com. This is a good way to make sure you recognize any legitimate outstanding loans and credit cards as well as any that could be fraudulent.
    
5. Although not a preventative measure, consider utilizing a credit monitoring service such as Life Lock, Experian or Identity Guard, at least for a short period of time while you develop a comfort level with your own monitoring capabilities. Some of these companies will help you recover from a credit identity crisis if your credit is stolen.  Also note that some plans will only monitor one credit bureau so you may want to find one that will monitor the big three simultaneously.
    
6. Finally, the “Big Three” credit bureaus, Equifax, Experian and TransUnion, will freeze your credit reports upon request.  There is a cost involved, and if you need to apply for credit (for a mortgage, credit card, home equity loan, etc.) you will need to have them un-freeze your account, which can take time.  This should prevent someone from obtaining credit in your name while your account is frozen.

Since there is no going back to the days before the Internet, computers and credit cards, it pays to remember the old adage – “An ounce of prevention is worth a pound of cure.”  Carry on and stay safe.

The Team at Wealthview Capital, LLC