HOW IDENTITY THEFT AFFECTS CREDIT REPORTS

Identity theft can affect your credit report 

Identity theft can impact your credit report in several ways and can be devastating to your credit.  Identity theft can result in fraudulent accounts that you did not open, and that do not belong to you, appearing on your credit report.  Identity theft can also result in fraudulent charges that you did not authorize, or incur, appearing on your credit report.   Regardless of the type of identity theft involved, the end result is the same on your credit report: inaccurate information about your personal credit history, credit accounts, and account balances is being reported.  

Types Of Identity Theft:

• Fraudulent Accounts: an identity thief can obtain your personal information such as social security number, date of birth, and address(es) and use this information to open one or more fraudulent accounts.
  
• Fraudulent Charges: an identity thief can obtain your account or banking information and use this information to purchase goods or services or to send money from one of your accounts.  This type of fraud is sometimes referred to as account takeover.

What To Do About Identity Theft:
If you are an identity theft victim, there are several things you can do to protect yourself and your credit report such as:

1. Notifying the credit reporting agencies about the identity theft and fraud.  The credit agencies can place a credit freeze on your credit reports to prevent further misuse of your personal information.  The credit freeze restricts access to your credit reports. When you wish to apply for credit, you will be able to request that the freeze be lifted by contacting the credit reporting agency.
2. Make a police report.  You should report the identity theft to your local police department and obtain a report number.
3. Obtain an Identity Theft Affidavit and Identity Theft Report from the FTC.  An Identity Theft Report detailing the identity theft will be necessary to effectively dispute fraudulent items on your credit report. 
4.   Consider a credit monitoring service.  A credit monitoring service can help alert you to any unusual activity or requests regarding your personal credit information or credit accounts. 
5. Notify banks or other financial institutions of the identity theft and fraud.  It is imperative to notify all banks, credit card companies, or financial institutions where the fraud occurred so that these accounts can be flagged for fraud and shut down. 
6. Dispute identity theft credit report errors.  If there are fraudulent accounts or fraudulent charges being reported on your credit report due to identity theft, you should dispute these credit report errors.  Under the Fair Credit Reporting Act, the dispute process requires that you contact the credit reporting agencies to dispute credit report errors.  You can dispute information on your credit report in writing or online, but we recommend that you submit your dispute in writing and with as much detail as possible.  Be sure to include copies of all supporting documentation, including any police reports, your Identity Theft Affidavit and Identity Theft Report.  Be sure to send your dispute with tracking or other delivery confirmation. The credit reporting agencies will usually forward your dispute all furnishers of account information for disputed accounts/information on your credit report.  If the credit reporting agencies fail to correct your credit report within 30 days of your dispute, you are able to file a lawsuit in court against the credit reporting agencies and furnishers. 

We have helped countless consumers recover damages under the FCRA for inaccurate credit reporting. Our attorneys are accomplished litigators and published authors in consumer protection litigation.  If you are the victim of identity theft and your credit report has been affected, please contact us for a free phone or Zoom consultation by using the contact form below.