Identity Theft and Your Credit: What You Need to Know
Identity theft doesn’t just compromise your personal information; it can also harm your credit score and financial future. Here’s how identity theft impacts your credit and what you can do about it.
How Identity Theft Affects Your Credit
Unauthorized Accounts
Fraudsters may open credit cards or loans in your name.
Maxed-Out Credit Limits
Thieves can rack up charges, increasing your credit utilization.
Missed Payments
Fraudulent accounts may lead to missed payments that damage your credit score.
How to Monitor and Protect Your Credit
Check Your Credit Reports
Review your credit report regularly through annualcreditreport.com for unfamiliar accounts or inquiries.
Set Up Credit Monitoring
Use tools that notify you of changes to your credit report. Maine Family Federal Credit Union members can use SavvyMoney to stay on top of credit report changes.
Place a Fraud Alert or Freeze
A fraud alert warns creditors to verify your identity, while a freeze prevents new accounts from being opened.
Steps to Recover
If you discover fraudulent activity, immediately dispute errors with the credit bureaus and contact the affected creditors to report the fraud.
Equifax
Equifax.com/personal/credit-report-services
800-685-1111
Experian
Experian.com/help
888-EXPERIAN (888-397-3742)
TransUnion