| Today it seems good credit can buy you almost | | | | the environment by saving paper! |
| anything, including an overwhelming amount of debt! | | | | 7. Request a "Security Freeze" - A "security freeze" |
| Protecting your personal identity and using credit wisely | | | | means your credit file cannot be shared with potential |
| is essential to keeping your finances balanced. It is also | | | | creditors and no one can open any form of credit in |
| a good start to eliminating your debt altogether and | | | | your name. Your financial institution may have noticed |
| building wealth. | | | | suspicious activity on a credit card, and has "frozen" |
| Credit and charge card fraud costs cardholders and | | | | your credit as a precaution. Today, 35 states allow |
| issuers billions of dollars each year. While theft is the | | | | credit freezes, and 8 even allow them for victims of |
| most obvious form of fraud, it can occur in other | | | | identify theft. |
| ways. For example, someone may use your card | | | | A credit freeze doesn't mean you won't be able to get |
| number without your knowledge. It's not always | | | | credit for yourself. You can lift the freeze when |
| possible to prevent credit card fraud from happening, it | | | | necessary using a personal identification number. If |
| can be one of the most stressful positions you can | | | | your credit files are frozen, even someone who has |
| find yourself in today. Good news! There are steps | | | | your name, birthday and Social Security number should |
| you can take to make it more difficult for the crooks | | | | not be able to get credit in your name. In exchange for |
| and protect yourself! | | | | this added security, it will take slightly longer to get your |
| 10 Ways to Guard Against Credit Card Fraud | | | | own new credit approvals. |
| 1. Sign Your Card - as soon as you receive a new | | | | 8. Request a "Fraud Alert" - is one step down from a |
| card, sign the back. Or better yet, write "check ID" in | | | | credit freeze. Residents of any state can ask the |
| the signature line and it reminds the retailer to ask for | | | | three major credit reporting agencies to place a fraud |
| ID whenever anyone, including you, uses the card. This | | | | alert on their credit reports, which is supposed to alert |
| way to use the card requires a photo ID. They should | | | | you and ask your permission when someone applies |
| always ask anyway, though they may get too busy or | | | | for credit in your name. Creditors, however, aren't |
| forget. | | | | required to abide by or even check the alert. |
| 2. Keep a Record - Always have a record of your | | | | Using credit freezes or fraud alerts are a matter of |
| credit card account numbers, expiration dates, and the | | | | personal choice, but keep them in mind as an option if |
| phone number to contact the company. An easy way | | | | you would like to protect your private information and |
| is to empty your wallet onto a copy machine, make | | | | guard against credit theft. |
| one copy of the front of your cards, licenses etc., turn | | | | 9. Change Your Address? Notify Credit Card |
| them over and copy the back. Remember this is your | | | | Companies in Advance - If you're moving, notify all |
| personal information - keep your copy in a secure | | | | your creditors in advance. Then your mail with personal |
| place like a locked drawer or safety deposit box. Then | | | | information won't continue to arrive after you've gone! |
| if your wallet or cards are ever lost or stolen you'll | | | | 10. Don't Give Your Account Number over the Phone - |
| know exactly what is missing and how to contact the | | | | The only exception is when YOU call a company you |
| company immediately. | | | | know is reputable, only then you can give them your |
| 3. Keep an Eye on Your Card - Always watch the | | | | account information so they can verify they're talking |
| clerk closely during any card transaction and get it | | | | to the account owner. No reputable company will |
| back as quickly as possible. Destroy any carbons that | | | | CALL you and ask for your private information over |
| may have been made for receipts. Most retailers no | | | | the phone, if they do - don't give it! If you have |
| longer list the entire account number on a receipt. | | | | questions about a company, check it out with your |
| However it's your responsibility to check the receipt. If | | | | local consumer protection office or the Better Business |
| you need to save it for some reason so you can't | | | | Bureau. |
| destroy it, black out all but a few account numbers so | | | | Credit Card Protection/Theft Insurance - Not cost |
| if the receipt gets into the wrong hands it can't hurt | | | | effective. |
| you. | | | | Many private companies and banks now offer credit |
| 4. Open Bills Promptly - Review your bill and bank | | | | protection services and issue stern warnings about |
| statements as soon as they come. Often you can | | | | how vulnerable you are. However, it is not a good |
| also review your current transactions and balance | | | | investment as Federal law limits your liability to $50, |
| online. This way you can catch any suspicious activity | | | | and even that amount is rarely required. You're |
| on your account and deal with it immediately. Using | | | | supposed to report the theft as soon as possible, |
| paperless statements can help cut down on vital | | | | hopefully at least within 24 hours. |
| account numbers in your trash. However, you still must | | | | Unfortunately, Credit Card fraud is out there! If in doubt, |
| routinely check your online bills for accuracy and | | | | visit Financial Health 4 Life's Credit Improvement |
| contact the company regarding any charges you're | | | | section of the website to be sure you're doing |
| unsure about. | | | | everything you can to improve and protect your credit. |
| 5. Report Any Questionable Charges Immediately - If | | | | Remember to do your homework - make sure your |
| you find a charge you're not sure of, even if you think | | | | sources of information and training are qualified with a |
| you may have made it, call the card issuer and ask for | | | | proven record of good service. |
| more details about the transaction. The credit card | | | | Reporting Losses & Fraud |
| company is as interested as you are in avoiding credit | | | | If you lose your credit or debit cards or you realize |
| card fraud and should be very cooperative. | | | | they've been stolen, immediately call the issuers(s). |
| 6. Shred Your Statements or Go "Paperless" - for the | | | | Many companies have toll-free numbers and 24-hour |
| price of an inexpensive shredder you can protect your | | | | service to deal with such emergencies. By law, once |
| private information from anyone going through your | | | | you report the loss or theft, you have no further |
| trash! It's a good investment. Online or "paperless" | | | | responsibility for unauthorized charges. In any event, |
| statements are also a great way to avoid having your | | | | your maximum liability under federal law is $50 per |
| personal information laying around... it's also great for | | | | card. |