{"id":479,"date":"2015-08-09T14:54:26","date_gmt":"2015-08-09T19:54:26","guid":{"rendered":"https:\/\/taxprocenter.proconnect.intuit.com\/?p=479"},"modified":"2017-10-17T13:10:20","modified_gmt":"2017-10-17T18:10:20","slug":"your-personal-id-has-been-stolen-what-do-you-do-now","status":"publish","type":"post","link":"https:\/\/accountants.intuit.com\/taxprocenter\/practice-management\/your-personal-id-has-been-stolen-what-do-you-do-now\/","title":{"rendered":"Your Personal ID Has Been Stolen: What Do You Do Now?"},"content":{"rendered":"

No matter how many precautions you take, your time may come when you least expect it: You will be the victim of identity theft. After the initial shock, panic and anger, you must quickly regroup, calm down and figure out how to resolve the problem before it persists.<\/span><\/p>\n

Yet, the fact is that most people, including accounting professionals and tax pros, don\u2019t know what to do first, let alone take precautions to make sure your ID is secure for the future. Unlike some crime, there is a specific, orderly protocol to follow post-identity theft. It is important that accountants know the process, not only for their own well-being, but to also pass along to their clients.<\/span><\/p>\n

Here are the steps to take:<\/span><\/p>\n

Call the Credit Bureau Fraud Department<\/b><\/p>\n

The first thing to do is to report the crime to one of the three credit bureaus, so that they can put an alert on your file. Not only does this tell businesses to be wary next time you apply for credit, but it also dictates that any creditor, prior to granting new credit, must call you at a number of your choosing.<\/span><\/p>\n

Have the bureaus place a victim statement on your reports. This is an explanation from you, saying something like: \u201cMy identifying information has been used to commit fraud. Please give me a call (give your phone number) to verify all applications.\u201d<\/span><\/p>\n

While these actions make it more challenging for you to get credit, that is the point! The hassle placed on you should be placed twofold on the thief, making it close to impossible for this to happen again.<\/span><\/p>\n

One benefit in the process is that one phone call to one of the three credit bureaus takes care of other two. By law, one bureau must report the fraud alert to the other two. The initial alert exists for 90 days, or you can get an extended alert for seven years. The extension is definitely something to consider, but remember that it will be harder for you to get credit. If your situation was minor and easily cleared up, it might be best not to be handicapped for seven years.<\/span><\/p>\n

Here is the contact information for the three credit fraud departments:<\/span><\/p>\n

Equifax<\/b><\/a> 800-525-6285 P.O. Box 105069 Atlanta, GA 30398<\/span><\/p>\n

Experian<\/b><\/a> 888-397-3742 P.O. Box 9532 Allen, TX 75013<\/span><\/p>\n

TransUnion<\/b><\/a> 800-680-7289 Fraud Victim Assistance Department P.O. Box 6790 Fullerton, CA 92834<\/span><\/p>\n

After notifying the bureaus, you will get a complimentary copy of each credit report, and are allowed two free reports within a year if you request an extended fraud alert. After they arrive, thoroughly check them, make sure you\u2019re aware of all the fraud that has occurred and correct any mistakes, if applicable.<\/span><\/p>\n

Shut Down All Compromised Accounts and Documents<\/b><\/p>\n

Doing this will fix your credit and get you back to normal. Immediately pull the plug on your accounts the thief may have been misusing and any new accounts he or she opened in your name. Include credit card companies and service providers, such as your phone company, Internet provide and utilities. When reopening your accounts, make sure that you have a new account number, protected with a new password. You can ask the creditor to classify your old account in two ways in order to protect your reputation: mark it \u201cclosed at the customer\u2019s request,\u201d or \u201ccard lost or stolen.\u201d Go with the former, as the latter can make you seem careless, even though it wasn\u2019t your fault.<\/span><\/p>\n

One comforting thing about misuse of your credit card is that the maximum you will be charged under federal law is $50 per card, and if a thief steals your credit card number but not your card, you owe nothing. <\/span>However, you must report it right away<\/span><\/i>. Waiting between three and 60 business days can net a fine of up to $500. Also, if you report the loss before the card is actually used by a criminal, then you aren\u2019t responsible for any unauthorized charges. Some banks and card companies offer zero liability, even if the thief has already hit up the Vegas strip with your card, so be wary of that.<\/span><\/p>\n

Closing your accounts isn\u2019t difficult, but erasing the changes you didn\u2019t make is the challenge. Ask to speak to the fraud department of the bank, retailer or credit card company, and find out which forms you need to fill out to dispute fraudulent charges and accounts.<\/span><\/p>\n

File a Police Report<\/b><\/p>\n

Contrary to what you might think, filing a police report is not necessarily to catch a thief, as few are caught or even pursued by police. Rather, a police report is designed to do the following:<\/span><\/p>\n