How to Prevent Identity Theft

Identity theft is a common concern in the United States. As people’s daily lives become increasingly integrated with technology, new avenues for scams and fraud will emerge. This is why it’s important to learn how to prevent identity theft. In 2023, the Federal Trade Commission reported $10 billion was lost in cases of fraud, a 14% increase from 2022. 

Identity theft can result in a costly ordeal for victims, but there are proactive steps and warning signs you can look out for to reduce personal risk. Continue reading to learn more about how to protect yourself from identity theft. 

What is identity theft? 

Identity theft is a crime in which someone steals the personal information of another individual to gain access to private accounts. The resulting crime, identity fraud, is the use of this information to steal money, apply for loans, obtain government benefits or conduct any other illicit financial activity. 

There are different types of identity theft, but the most common is financial identity theft. This involves fraudsters stealing personal information to purchase products or services or apply for credit or loans under the victim’s name. 

Thieves use several methods to steal personal data. Physical items like passports, driver’s licenses, credit cards and cellphones provide an easy way for them to do so. 

In today’s digital world, more sophisticated styles of attack like phishing have become common as well. Online phishing scams through email, text and phone calls, otherwise known as imposter scams, led to $2.7 billion in losses in 2023.  

Warning signs to look out for 

Fraudsters can gain access to your personal information often without you realizing it. It’s important to know the warning signs and how to prevent identity theft. 

Here are some of the identity theft signs that might indicate your personal data has been stolen. 

• You stop receiving bills in the mail. 

• You receive notices from debt collectors about debts that are not yours. 

• Your financial statements contain transactions you did not make. 

• Your checks bounce. 

• You receive medical bills for procedures, prescriptions or services you don’t know about. 

• Your insurance carrier processed medical claims for treatment you didn’t receive. 

• You cannot file your tax return because it has already been filed by someone else. 

• Your information was compromised in a data breach at another company. 

Steps you can take to protect your identity 

Many fraudsters take advantage of people who do not realize their personal data is at risk. These are some of the habits you can adopt to help protect your identity from an unexpected attack: 

Keep personal information secure. Fraudsters can use bite-sized pieces of data to learn a lot about you. Do not share sensitive information with people you do not know or trust. Additionally, avoid joining public Wi-Fi networks without security encryption.  

Keep passwords safe. Hackers are skilled at guessing passwords. Make sure your passwords are long and complex to make them difficult to decipher. Use a different password for each one of your accounts and change your passwords frequently.  

Avoid payment app scams. Zelle, Venmo and CashApp are popular apps that allow users to easily transfer money to others. Unfortunately, fraudsters have used these apps as a new scam opportunity. Report any unexpected requests or claims of overpayment from unfamiliar accounts.  

Prioritize cybersecurity. Invest in a high-quality, up-to-date firewall system to protect your data from security breaches. 

Stay alert. Check financial documents like bank statements frequently to ensure nothing is out of place. Set up alert notifications through your banking app so you’re aware whenever a transaction is made. Catching identity theft signs early is the best way to minimize the damage. 

It’s essential you take the right steps to protect yourself from identity theft. Doing so prevents unnecessary headaches and gets you back to focusing on the things most important to you.   

How to spot and avoid potential scams 

Most cases of imposter scams involve communication via email, text or phone calls to obtain personal information. Here are some key indicators to help you steer clear of falling victim to a scam.  

Look out for unusual addresses and numbers. Double check that you’re receiving communication through official email addresses or numbers. Legitimate texts from banks only come from a four-or-five digit number. Additionally, bank representatives rarely call unless someone has previously reached out for assistance.   

Be skeptical of urgent warnings. Ever received a message like, “Important: your account will expire in 24 hours.” This is a classic example of a scare tactic that scammers use to gain access to personal information. Be wary of any message that garners immediate action.  

Report requests for personal information. If you receive an email or text requesting personal information like social security or account numbers, passwords or PINs, it’s safe to assume the message is a scam. 

Watch out for poor grammar. Stay vigilant of poor grammar or spelling mistakes within email and text messages, as this may indicate a phishing scam.  

Avoid clicking on links or attachments. While it may seem harmless, opening links or attachments from unknown senders can compromise your computer. These links are often equipped with malware to gather personal information from users.  

Do not be afraid to verify any messages with your bank, or official organization, to ensure you’re communicating with a trusted address or number. While screening for phishing scams may require extra diligence, it’s worth the peace of mind.  

What Ameritas does to help 

Ameritas maintains a robust security network to help keep your private data safe. These are some of the things our team of professionals do every day to help protect your account security: 

• Maintains a full-time security team that monitors and updates our systems and network. 

• Associates participate in ongoing education and mandatory training sessions to stay updated on present cybersecurity trends and risks. 

• Strengthens security by encrypting data, monitoring malicious activity and controlling who has access to view and handle your data. 

• Tests our network and systems regularly through risk assessments. 

• Invests in technology like two-factor authentication to contact you and verify access or changes to your account when submitted by an unrecognized device. 

• Protects and verifies your calls to our contact center through security checks to help identify calls that may be fraudulent. 

Ameritas is in the business of fulfilling life. Bringing you valuable information to help you plan well and enjoy life is part of what we do. Visit our About Us page to learn more.