Common Signs of Fraud on Your Credit Report

If you’re like many people, the thought of someone stealing your identity is pretty terrifying. Of course, you’ll never be able to notice the fraud on your credit report if you don’t check, so you should request copies of your free credit report from Experian, Equifax and TransUnion once every 12 months, as allowed by law.As you review your credit reports, be thorough to avoid missing a mistake your creditors or the bureaus have made, or signs of fraud.Check Your Personal InformationOnce you receive your reports, make sure the information listed is correct. Here’s a checklist you can use to verify the information on your report:• Do you see any names listed that do not belong to you?• Is the Social Security number listed incorrect?• Do you see an address where you have never lived?• Are there any non-promotional inquiries or credit reviews from lenders that you have not requested?• Do you see any accounts listed on your report that you did not open?If you can answer yes to any of these questions, you may be a victim of fraud. It could also be a mistake from the bureau or a credit, so contact the credit bureau immediately and share your suspicions. You can also request a fraud alert.Reporting FraudIf you suspect you are the victim of identity fraud, contact the bureaus immediately. Each bureau has a toll-free hotline for fraud alerts:• TransUnion: 1-800-680-7289• Equifax: 1-800-525-6285• Experian: 1-888-EXPERIANIt’s a good idea to follow-up your phone call with a letter to each bureau that explains the problem, including specific signs you noticed on your credit report. This step will ensure there is no miscommunication about the fraudulent information on your report.As the FTC explains, fraud alerts are free and require you to provide proof of your identity. This initial fraud alert makes it more difficult for thieves to open accounts in your name, as a business must verify your identity before issuing credit if there’s an alert on your account.The initial alert will stay on your file for a minimum of 90 days, and you can renew it after this time runs out.Not All Signs Indicate Fraud!Remember that not all mistakes on your credit report indicate fraud. It may turn out that an inquiry you don’t recognize was actually authorized, as the company listed may just be a third party service used by the lender. Clerical errors and mistakes are also common, especially if you have a common name, or the numbers have just been transposed in your Social Security number.Don’t assume the worst right away if you find incorrect information on your report, but take any suspicious activity very seriously, as catching fraud early can save you a lot of money and time.