Identity Theft — All That You Need To Know
Tax-related identity theft is prevalent and done very quickly. If someone steals your identity, you will be in big trouble, as it can lead to illegal usage. Identity theft is difficult to spot, and it may be the key reason as to why many people can become its victim.
It is always a smart activity to regularly check in your account what events are going on. If any illegal activity or the activity is not performed by you, you can immediately complain against it. You can close the account or file a complaint in the federal-state commission and set an alert option.
Nowadays, Identity theft is very easy for criminals as it can be hacked using your personnel information. So refrain from:
- Giving your Social Security Number to anyone.
- Tossing Credit Application into the trash can.
- Oversharing of the personal number on Social Media.
Criminals know how to steal your identity and use that identity for different wrong purposes. Using your identification, the fraudster can quickly drain your complete account in just seconds, and you can do nothing to stop it. It will be a smart act if you understand the different types of Identity theft that can happen to you.
1. Tax Identity Theft
Many people do not want to file taxes, as it is a very hectic process. However, it’s better to file the taxes yourself, or else if someone else does it, it can be a case of identity theft, which is obviously bad for you and your business. The fraudster uses advanced scams to get your Personal Information. Later, they will deposit tax and claim your tax refunds.
Some common tax scams are done through telephone calls or messages that look like internal revenue services. Keep in mind that the IRS will never ask for your personal information via social media platforms, text, or emails. Sometimes, emails look like they are from the financial institutions or IRS, but it can be a phishing attack.
Someone is trying to get your identity to use. So, be wary of the emails that are posing to come from IRS or financial institutions. The clicks on such emails will lead to install the malware in your system and damage your device ultimately.
If you face any such problems, then directly contact the IRS to file a fraud using form 14039. The IRS will identify, and you will get a pin to future tax returns.
2. Medical Identity Theft
Medical Identity theft will lead to a severe problem if anyone in your home needs a sudden claim. It will directly lead to danger to someone’s health. The thief can use your identity for medical help with your name, and the doctor can update the records if you have an imposter with your medical information. This imposer will lead to updating the wrong data when you go for the treatment to any other doctor. They might give you the improper treatment based on your history of problems mentioned.
So, you have to stay alert always, check your medical expenses seriously, if any bogus bill comes to you, make it a dispute, and halt the billing process immediately. If the law gets credited, you have to face tough times with life insurance premiums and wrong imposter health records.
3. New Account Identity Theft
A thief can create an entirely new account with your documents using various varieties of tactics. They can use your records to create a new bank account and issue any credit or debit card. They can dig out your documents from the trash or social media from anywhere and submit it to create their tickets ready.
These types of theft are prevalent and cannot be spotted easily. So, to stay away from these thefts, you need to stay updated and check your credit report very frequently and always look if anyone has opened an account from your name.
You can make this process easy by signing up the monitoring services provided by the banks. You can also request the free service report of the entire year, quarterly or half-yearly.
4. Child Identity Theft
Many adults are aware of these thefts and check their reports regularly. Fraudsters sometimes use the kid’s social security numbers and other data to create their accounts and apply for government benefits, take loans, and many other things. The child is not aware of these kinds of theft and will run into obstructions at the time they need to apply for a car or school loan.
The thief can steal the information from your school database, so keep your kid’s database very private. That includes all the details, such as an address, birth details, and Social Security Number. Also, ask the school management to keep this information private.
There are few messages that you need to check like:
- The IRS will say your child owns taxes
- You will get bills from an unknown account
- You might be rejected from the government benefits.
You must immediately call the credit bureau and ask for the child’s credit file.
5. Estate Identity Theft
Identity theft is a kind of theft that does not leave you alone, even after your death. Yes, right, this can happen even after your life ends. A thief may use the deceased person’s details for any purpose, such as getting the government’s benefits to drain out the accounts and many more. This type of theft will cause them severe problems for the family members and relatives who are meant to receive the inheritance of their assets.
Below, I am sharing several steps to save yourself from the Estate Theft:
- Register for the Official Death Certificate Copy
- Inform the Credit bureau and financial institutions
- List down outstanding debts
- Close all the accounts of the deceased
This process will help you stay away from Estate Identity theft, and if someone tries to do the same, he will be encountered immediately.
Conclusion
Identity Theft is now widespread as there are many new methods and natural methods to collect anyone’s essential data, and the thief can utilize the same to create anything. So, be smart enough to take care of all your accounts, belongings, and also your loved one’s details.
If you find anything wrong, then quickly report and close the accounts. Immediately file the complaint to the Federal Trade Commission and put up a fraud alert.
