How to protect your credit, avoid identity theft, and what to do if your data has been breached
As consumers we are constantly hearing about a company being hacked; this results in millions of people having their confidential information shared. This increases your risk of identity theft, fraud, unauthorized accounts/debts in your name, and severe damage to your credit. Since most lending is based on your credit score and report you can suffer serious damage when you apply for any type of credit. This damage can last for many years, even a decade.
Here are some best practices to help you minimize risk:
*Purchase a shredding machine for your home and shred everything that has any personal information on it. This includes “credit offers” and solicitations for any kind of lending. Personally I shred everything except the envelope for all mail I receive!
*Limit the amount of online websites you visit when looking to obtain any credit. Some companies advertise they will “shop the best deal for you” and request your personal social security number, date of birth, etc. What they really do is take your information and sell it to other companies; as a consumer you have no idea that your data could now be in the hands of dozens of companies you don’t know. Even companies that sound reputable or advertise a lot don’t tell you that they are really acting as a front for others and once your information is shared you can’t undo it. Provide your social security number over the phone ONLY if absolutely necessary and if you have initiated the credit request.
*There are very few times you need to share your social security number; think twice before ever sharing it. Most businesses, including doctor’s offices, have no legitimate need for your SSN.
*The IRS will NEVER call you and ask for your social security number. Do not give out any of your information over the phone-just hang up!
*Check your credit report at least once a year; visit www.myfico.com, www.ftc.gov or www.cfbp.gov for additional information on getting a free credit report. Once you have verified you are dealing with a reputable credit agency then it is ok to provide your information.
*Work with local lenders and businesses if you can. Companies that are located here in Brevard can help you much more than any 800# or online website. Internet companies that you have shared your information with can instantly disappear or steal your identity. Many websites look legitimate but if they do not have a local presence then find someone else. Any important decision and sharing of your information is best served by a local company that you can speak to face to face. In most cases you will get the same (or better) deal with a local company anyway!
Please contact us if you have any questions about credit and how it affects your ability to finance a home. Our local, expert team can assist you every step of the way.