Expert Offers Strategies to Safeguard Finances from Cyber Threats

Last year, losses due to cybercrime approached nearly $21 billion, a surge that led Kurt Knutsson to alert the public about the rising sophistication of AI scams. He appeared on a weekend show to discuss FBI statistics, pointing out that just investment fraud resulted in losses of $8.65 billion for victims. To address these issues, Knutsson is hosting a complimentary live session aimed at educating families on how to protect their finances and secure their accounts.

Identity theft can start subtly, often without immediately visible signs like a drained bank account or a maxed-out credit card. You might first notice it through an odd letter in the mail, a strange inquiry on your credit report, or a password reset you didn’t initiate.

These small indicators can easily be dismissed, but catching them early can provide crucial time to secure your money, credit, and accounts. An unusual message doesn’t mean someone has outright stolen your identity, so staying calm and verifying is key. Look closely at other accounts and anything else that seems amiss.

Here are nine signs of identity theft you shouldn’t overlook:

1) You receive a data breach notice

If a company finds that customer information was compromised, they might inform you through a breach notice. This could come from banks, retailers, healthcare providers, or schools.

It’s important to read these notices closely. Understand what information might have been compromised, when the incident took place, and whether the company offers measures like credit monitoring. Keep the notice for your records.

While a breach notice suggests potential exposure, it doesn’t confirm identity theft. Still, it’s a solid reason to review your accounts and tighten your security measures.

2) Unfamiliar credit inquiries

Regularly check your credit reports for any hard inquiries that seem out of place. A hard inquiry typically occurs when a lender checks your credit in response to a credit application.

Watch out for new accounts or loans you didn’t apply for, unfamiliar addresses, and collections. Thieves often use stolen information to apply for credit before you even recognize there’s an issue.

Always check with all three major credit bureaus. Relying on just one report might leave some details overlooked.

3) Unexpected bills or collection calls

If you receive a bill for a service, account, or subscription you didn’t initiate, that’s a clear red flag. Collection calls about debts that aren’t yours are also serious warnings.

Don’t brush off this correspondence as a mistake; instead, request details from the organization, dispute the bill, and keep records of your communications.

4) Unfamiliar activity on financial accounts

Take a regular look at your bank and credit card statements. Scan for odd withdrawals, unfamiliar payees, unexpected transfers, or anything else that doesn’t look right.

Sometimes, scammers initiate small transactions to test whether an account is active or aim to take over entirely.

5) Inconsistent government notices

Pay attention to any unexpected communications from entities like the IRS or Social Security. An unfamiliar tax return or unsolicited benefits are warning signs to heed.

6) Your phone unexpectedly stops working

A sudden loss of service could indicate a SIM swap, where someone redirects your number to gain access to your accounts. If you experience this, contact your provider from another phone and verify recent changes.

7) Unrequested password reset alerts

If you receive a password reset email or sign-in alert that you didn’t initiate, it may indicate someone is trying to access your account.

8) Personal details in convincing scams

Increased calls or messages that use your correct information should raise concern. This suggests your personal data may be circulating among scammers.

9) Unauthorized changes to your identity information

An unexpected address or email change on your accounts can signify an attempted identity takeover. Review your security settings carefully and promptly contact the relevant organization.

Steps to Take if You Notice These Signs

If you find any suspicious activity, take a deep breath and verify. Isolated alerts could be harmless, or perhaps the result of family members’ actions.

Contact the Affected Organization

Use verified contact information to ask them to secure your account and investigate.

Consider Freezing Your Credit

This makes it more challenging for someone to open new credit in your name.

Think About Setting Up a Fraud Alert

This helps ensure lenders take extra steps to verify your identity.

Secure Your Email and Phone

Clarify your recovery settings, strengthen your passwords, and consider additional protections with your wireless carrier.

Review All Important Accounts

Check every account, especially banking and credit accounts, for any suspicious activity.

Document Everything

Maintain records of any communications and alerts related to possible identity theft.

Report Identity Theft if Necessary

If it is confirmed that someone has used your identity, report it to the appropriate authorities.

Utilizing identity theft monitoring services can offer another layer of protection by alerting you to possible misuse of your information. These services are most effective when combined with solid security practices.

Staying vigilant, regularly reviewing your accounts, and acting quickly when something appears off can save a lot of trouble in the future.

Have you ever noticed warning signs of identity theft? Share your experience with us.