Identity theft is when someone steals your social security number, bank account information, birth certificate or passport number.
College students in particular are more vulnerable to this type of crime. In fact, author Steve Weisman reported college students are five times more likely to have their identities stolen.
One of the reasons students are more vulnerable to identity theft is because we all live next to each other in dorms, where you can easily find a checkbook laying around in someone’s room.
Students also take fewer precautions to prevent identity theft. How many of you have checked your credit report in the last four months?
Identity theft is one of the most difficult crimes to track, which means many cases of identity theft probably go unreported. However, in 2012 the Bureau of Justice reported 16.6 million people were victim of identity theft.
Identity theft is so prevalent because it’s easy for thieves to gain access to your information. Over the past decade, the government and credit card companies have taken some steps to help stop identity theft, but the responsibility of prevention is placed almost solely on the victim.
The effect identity theft has can vary widely. Sometimes the thief will steal credit card information and only make several hundred dollars worth of purchases before your credit card company shuts down your credit card.
However, being a victim of identity theft can drastically affect your life for years and potentially cost you tens of thousands of dollars.
According to the Department of Justice, in one famous case, the criminal used the victim’s information to accumulate over $100,000 in credit card debt and took out a home loan. The criminal also bought handguns, motorcycles and homes before filing bankruptcy in the victim’s name.
The victims spent several years and over $10,000 to fix their credit and reputation. This is an extreme case, but it shows how serious identity theft can be.
When you’re studying for tests, you’ve probably figured out studying for what your teacher wants is more efficient than studying the material.
In the same way, if we look at how thieves steal identities, you can better understand how to prevent it.
One way people steal identities is by simply stealing a wallet or a purse. With the information you carry around in your wallet, such as credit cards and IDs, someone can steal your identity.
Another way is called “fishing.” This is where people go through trash and mailboxes looking for information they can use to start stealing your identity. Thieves also will send you fake emails posing to be your credit card company or Nigerian princes looking for information.
The third method is one you cannot prevent, but should still be aware of. There are cases of inside jobs where employees of credit companies will steal information to either use to steal your identity or to sell your information.
If you suspect that you have been a victim of identity theft than you should take action as soon as possible.
The first thing you should do is call the fraud department of the three major credit bureaus — Equifax, Experian and Transunion. When you call them, say you think you’re a victim of identity theft and they will put a fraud alert on your account.
If you have accounts with any creditor, such as a home loan or credit cards, be sure to call the companies and tell as well. They will help with all the steps to changing account information. Do the same with any bank you use.
Finally, call your local police department and file a report.
Alternatively, you could run your credit into the ground so that no one would want to steal your identity.
Jay is a 20-year-old finance junior from St. Simons Island, Georgia. You can reach him on Twitter @hjcranford.