Take Control of Your Identity: 5 Proven Strategies to Prevent Identity Theft
While all types of fraud pose serious challenges, identity fraud is one of the most powerful and consumers must take extra care to detect and avoid it. People need to educate themselves on protecting their personal information, but many may feel like they don’t know where to start. Five key steps can be taken to combat identity fraud and prevent fraudsters and scammers from obtaining personal information or accessing accounts.
Beware of phishing
Phishing emails are an essential tactic for scammers and have evolved beyond the clunky, poorly written efforts of the past. However, many still contain signs of a scam, such as poor formatting and unofficial email addresses. Phishing emails are designed to convince consumers to click on a malicious link. Consumers should therefore avoid following links they do not recognize. Pay extra attention to an email that calls for immediate action, such as demanding payment to keep your energy going; scammers know that consumers are more likely to make a mistake when there is urgency.
The best way to root out the fakes is to independently verify the information by logging into personal accounts on the company website. Companies often post a warning on their website if they become aware of the scam email. Smishing, which involves phishing via a text message, is not a new threat but has evolved during the COVID-19 pandemic and represents another way consumers need to be hyper-vigilant.
Enable two-factor authentication
Many online accounts offer two-factor authentication, which can help prevent online account takeover. Text messages are the most popular second factor, but these are also vulnerable to takeover. So people should choose an alternative factor if it is available.
Sign up for activity alerts from financial institutions
By signing up for activity alerts with banking or credit card companies, consumers can be alerted to suspicious activity associated with their accounts. People are notified immediately and this can prevent further fraudulent charges or withdrawals. Do not wait too long to report a suspicion of fraud to your bank and inquire about the possibility of closing the account in question.
Set up identity and credit monitoring
Individuals can sign up for an identity and credit monitoring service that alerts them if their information is at risk. Because personal information is traded on the dark web, monitoring services focus on places where data is known to be bought and sold and send alerts if personal data is identified. Credit monitoring services will notify individuals of any changes to their credit profile, such as new trade lines or hard credit inquiries. If individuals suspect fraudulent use of their information, a professional can assess the extent of the fraud and assist with identity restoration.
Follow best practices for password security
There is a lot of advice available on how to create strong, unique passwords for every account. However, because the average person has 70 to 80 accounts, it can be difficult to remember them all, causing many people to reuse passwords. By installing a password manager, you can generate and save passwords for all your accounts on your devices. While using common passwords like “QWERTY” or your pet’s name isn’t secure, it can be a nearly impossible alternative to guess.
The most important thing to remember is that there is no one solution that guarantees complete protection against identity theft. The best thing you can do is stay vigilant and be careful. By utilizing the layers of security discussed above, you can give yourself the highest level of protection against a threat that is sure to become increasingly dangerous in the future.