It’s everyone’s digital nightmare. You’re going about your daily routine and someone accesses your personal online information. In just a few clicks, your accounts are drained, your credit card is full of unauthorized purchases, and someone else has committed financial fraud — in your name. Looks like you’re the latest victim of identity theft.
Identity theft is a digital crime in which your personal information is stolen and used without your permission. Once that information is in the hands of criminals, it can be used to steal money, take out loans, take your government benefits, or open accounts in your name — making you responsible for any expenses incurred. Because it occurs online, victims of identity theft typically have no clue their information has been stolen until they receive a bill or statement or credit report that doesn’t add up, and by then, the thief has already spent the money and moved on.
As more of our lives move online, identity theft has become more and more common. A recent study found that in 2021, 47 percent of Americans had experienced identity theft of some kind.
Fortunately, this nightmare can be avoided by taking a few simple steps to protect your identity online.
Use a password manager
It’s easier to use the same password for every single login. But by keeping things easy, you’re making yourself vulnerable to criminals. Use a password manager to keep complex passwords without having to remember every single one. A password manager is an app that stores complicated passwords for every important login site, only you just use one master password while the app remembers all the other ones. If you don’t want to use a password manager, keep your passwords strong by combining uppercase letters, lowercase letters, numbers and symbols — and make sure passwords are different for every account.
Make your profiles private
Criminals can look through public social media feeds and use them to decipher passwords that are based on personal information. Keep Facebook, Instagram and other social feeds private, and avoid posting specific information such as birth dates and middle names. Not only are those often used in passwords, but criminals can also use celebratory posts that mention children’s full names and birthdates to steal their identities, too.
Make sure you’re using an encrypted connection
An encrypted connection ensures that when information is passed from your computer to a server, no one can access it. Fortunately, most important sites you log in to — think financial websites, money-related apps and your email account — are encrypted, but not all. Keep your browsers and software up to date. Note that encrypted websites will normally start with https://, while browsers will indicate via a lock or other symbol in the web bar to indicate that a site is encrypted.
Review your documents regularly — and shred them when you’re finished
Paper bills can pile up on your counter or desk, and when you pay online, it’s easy to look at the total, click pay and move on. But make sure you’re going through your documents — virtual or paper — with a fine-tooth comb. Criminals don’t always drain your account of giant sums of money; sometimes, they take a little bit for a long time and hope you don’t notice. When you’re finished with your paper documents, store them in a secure place or shred them to ensure they don’t fall into the wrong hands.
Avoid giving out personal information or clicking on suspicious links
Unfortunately, we live in an age where diligence is essential, as there are many criminals out there preying on trusting people who are worried about money. Don’t give your financial information to anyone who calls you unsolicited, don’t click on a link that looks fishy, pay attention to email addresses to ensure they are valid, and keep your information private to ensure it doesn’t get into the wrong hands. When in doubt, get a second opinion from a tech-savvy friend or family member.
Check your credit report and credit score often
Do your own background checks. You may not notice your information has been compromised or that your identity has been stolen until your credit score takes a deep dive. Stay on top of yearly credit report checks to have the fullest picture of your past and current financial situation.
Enable two-factor authentication on financial accounts
Keep your financial information extra-secure with two-factor authentication. Two-factor authentication allows you to confirm your identity through an app on your phone or a confirmation text or email. It’s an extra step that helps make sure someone who is not you doesn’t log in to your accounts.
Clear discarded devices
When giving away or donating an old phone, tablet, laptop or computer, make sure your data is completely cleared from the system. According to experts, information on old devices makes up almost half of the identity theft crimes.
Sure, it’s easier to log in and log off without a second thought. But if it’s easy for you, it’s easy for criminals, too. Taking an extra moment to stay secure online is worth the time and energy it takes to keep your money and identity safe from criminals.
