QUICK ANSWER
Immediately after discovering identity theft, place a fraud alert or credit freeze on your credit reports, review your credit reports and financial accounts for unauthorized activity, report the theft to the FTC, notify affected banks and creditors, dispute fraudulent accounts or charges, secure your online accounts, and continue to monitor your credit. Consult an identity theft recovery lawyer for legal guidance, help filing disputes, and advice on whether to seek compensation.
What to Do Immediately After Identity Theft
The most important thing to do after identity theft is to stop further misuse of your information. Start by placing a fraud alert or a credit freeze on your credit reports.
Then, review your credit reports and financial accounts for unauthorized activity. Report the theft to the FTC and local police, notify your bank and credit card companies, dispute fraudulent charges, secure your online accounts, and continue monitoring your credit. Depending on the circumstances, contacting an ID theft attorney may also be helpful.
Step 1: Place a Fraud Alert or Credit Freeze on Your Credit Reports
Place a fraud alert or credit freeze with the major credit reporting agencies (the credit bureaus). A fraud alert requires creditors to verify your identity before opening new accounts. A credit freeze prevents most new credit accounts from being opened in your name.
Important distinction: To implement a fraud alert, you only need to contact one of the three credit bureaus - Equifax, Experian, or TransUnion. The bureau you contact is required to notify the other two on your behalf. Whereas, to place a credit freeze, you’ll need to contact each credit bureau separately and request a freeze with each one individually.
A credit freeze provides stronger protection by restricting access to your credit report, making it more difficult for identity thieves to open new accounts in your name.
How to contact each agency: Equifax credit freeze, Experian credit freeze, and
Step 2: Review Your Credit Reports for Suspicious Activity
Review all three of your credit reports for unfamiliar accounts, inquiries, addresses, or personal information. Identity thieves often use stolen information to open new accounts or obtain credit. Get free copies of your reports by visiting annualcreditreport.com.
Step 3: Report Identity Theft to the FTC
Report the theft to the Federal Trade Commission (FTC) through IdentityTheft.gov. The FTC will create an Identity Theft Report and provide recovery steps based on your situation.
Step 4: Contact Your Bank and Credit Card Companies
Notify any affected banks, credit card issuers, or lenders immediately. They may freeze accounts, issue new cards, or investigate unauthorized transactions. Be aware that contacting these companies to notify them usually does not count as a formal dispute, so don’t skip the next step.
Step 5: Dispute Fraudulent Charges and Accounts
Dispute fraudulent charges, accounts, or credit report entries in writing as soon as possible. Consider submitting the dispute by certified mail to track the timing and avoid waiving any rights. Include copies of supporting documents and keep receipts and copies of everything.
Step 6: File a Police Report if Necessary
A police report may be helpful if requested by a creditor, financial institution, or credit reporting agency. Reporting the theft to your local police may not seem like a necessary step (depending on the circumstances of the fraud), but it creates an official timeline and record of the crime, which can serve as supporting evidence down the road. Keep a copy of the report for your records.
Step 7: Secure Your Online Accounts and Personal Information
Change passwords for important accounts and enable multi-factor authentication where available. Start with your email account, since it may be used to access other accounts.
Step 8: Monitor Your Credit and Financial Activity Ongoing
Continue monitoring your credit reports, bank accounts, and financial statements. Identity theft can continue to show up in your accounts and credit reports long after the initial incident.
Step 9: Talk to an Identity Theft Recovery Lawyer
Whether you consult a lawyer at the beginning of your experience to get guidance, or you reach out after you’ve begun the dispute and clean-up process, an attorney can help build a personalized recovery plan and seek compensation for harm you’ve suffered.
Common Mistakes to Avoid After Identity Theft
One common mistake is waiting too long to act. The longer identity theft goes unaddressed, the greater the risk of additional fraud.
Other mistakes include failing to review credit reports, ignoring unfamiliar charges, neglecting to secure online accounts, and failing to keep records of disputes and communications. Taking prompt action and maintaining documentation can help limit the damage and simplify the recovery process.
How a Consumer Protection Lawyer Can Help After Identity Theft
A consumer protection lawyer can help when identity theft results in inaccurate credit reporting, fraudulent accounts, debt collection efforts, or financial losses.
An attorney may assist with disputes involving credit reporting agencies, creditors, debt collectors, and other companies that fail to correct identity theft-related errors. Legal help may also be appropriate when your rights under consumer protection laws have been violated.
Frequently Asked Questions
What is the first thing I should do after identity theft?
Place a fraud alert or credit freeze on your credit reports to help prevent additional accounts from being opened in your name.
Should I freeze my credit immediately after identity theft?
Yes. A credit freeze is one of the most effective ways to prevent identity thieves from opening new credit accounts using your information.
Do I need to file a police report for identity theft?
Not always. However, a police report may be useful when requested by creditors, financial institutions, or other organizations involved in resolving the fraud.
How do I report identity theft to the FTC?
You can report identity theft through the FTC’s IdentityTheft.gov website and follow the recovery steps provided.
Can I recover money lost to identity theft?
In some cases, victims can recover losses through financial institutions, fraud protections, disputes, insurance coverage, or lawsuits, depending on the circumstances.
How long does it take to fix identity theft issues?
Recovery timelines vary. Some issues can be resolved in weeks, while more complex cases involving multiple accounts or credit reporting disputes may take several months or longer.
What documents do I need to prove identity theft?
Helpful documents may include FTC reports, police reports, account statements, identity documents, correspondence from creditors, dispute letters, and records showing unauthorized activity.
Should I cancel my credit cards after identity theft?
If a card has been compromised, contact the issuer immediately. The issuer may close the account, issue a replacement card, or recommend other protective measures.
How do I stop identity theft from happening again?
Monitor your credit, secure your accounts with strong passwords and multi-factor authentication, review financial statements regularly, and be cautious about sharing personal information.
When should I contact a lawyer after identity theft?
Consider speaking with a lawyer if fraudulent information remains on your credit reports or you experience significant financial harm related to the theft.