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What Consumers Need To Know About Credit Fraud In The 21st Century

1 November 2017 No Comment

There is a good chance that you’ve heard the horror stories of having bad credit. Bad credit is truly just as scary as having a poor criminal history. Once you’ve managed to ruin your credit, it is going to stick with you for the rest of your life. A poor credit score can make it incredibly difficult, if not impossible, to live a fulfilling and satisfying life. You’ll have a terrible time trying to get a loan and you might even face troubles when trying to obtain a good job. Unfortunately, technology and the Internet make it even more likely that you’ll fall prey to a scammer, who is interested in ruining your credit. Within this guide, you will learn more about credit fraud and tips for protecting yourself.

Different Types

First and foremost, you should know that credit fraud is a term that is used to describe various activities. There are several different types of credit fraud and each can negatively impact your credit. The most common is identity theft. This happens when someone uses your personal identification information during the course of a crime. If someone uses your personal information to open a bank account or take out a loan, they’re committing identity theft. Identity assumption is similar, but it is drug out over a longer period of time.

You’ll become a victim of identity assumption, if someone takes your identity and begins living as you. Finally, fraud spree is the last form of credit theft. This happens when you find unapproved charges on your existing accounts.

How Credit Fraud Can Happen

When it comes down to it, there are numerous ways that victims can fall prey to identity thieves. First and foremost, there is a possibility that someone will steal something from your mailbox. If this happens, there is a chance that the stolen letter will continue your bank account information or your social security number. This could immediately put your identity at risk. Fraud can happen in other ways as well. Someone might steal your credit cards or they could snoop through your trash.

There is also the chance that a big website will get hacked. If this happens, the hackers may gain access to your private information. The possibilities are enormous. With that being said, it is absolutely pertinent to keep yourself safe. Stay vigilant and make sure that you always keep an eye on your credit!

How To Discover Fraud

Every consumer is at risk of identity theft and credit fraud. Those who are unaware of these risks are going to be more vulnerable than those who are aware. Every time you turn on the local or mainstream news, you hear about a company or website being hacked. During these hacks, scammers obtain identifying information belonging to thousands or millions of consumers. If you name is among those consumers, you could find yourself a victim of credit fraud.

The key to protecting your best interest is to always be aware of the potential risks. You should also always be on the lookout for any signs related to identity theft and credit fraud.

Getting A Credit Freeze

As soon as you’ve discovered that something fishy is going on, it is absolutely pertinent to take action. One of the best ways to prevent further damage is by getting your credit frozen. A security freeze or credit freeze is a good way to prevent your credit report from being accessed. This will make it a little more difficult for the identity thieves to create new accounts using your name and personal information. This is often the case, because most creditors and banks will need to look at your credit report, before they provide you with a new account.

Just remember that a credit freeze will not prevent you from getting a credit report or prevent you from getting a job. Nevertheless, it can help you avoid getting into deeper and more severe trouble with criminals. Additional precautions that can be taken can be found at https://bettercreditblog.org.

Dispute It

While you’re at it, you’ll also want to dispute any erroneous information on your credit score. Send a letter to the three credit bureaus and let them know that you believe the information is incorrect. There is a good chance that you’ll be able to get the wrong information remove and your credit score improved!

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