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6 Ways to Reduce Your Risk of Identity Theft

Last Updated: September 17, 2024
4 min read

Key Points:

  1. If you think thieves have stolen your personal data, immediately report it to your financial institution.

  2. Be mindful of where and how you share personal data and check the privacy settings on your online accounts.

  3. Use credit card alerts and identity theft protection to monitor your personal information.

These days, taking steps to prevent identity theft is necessary. Identity fraud is more common now because sensitive personal information is readily available online to identity thieves. And, unfortunately, your credit score could take a hit if you don’t have protection.

Here are a few simple steps to reduce your risk of identity theft.

1. Don’t wait to find out if you’ve been affected by a data breach

If you suspect thieves have compromised your sensitive information, it’s important to act quickly. Contact your financial institution and credit card issuers to report potential identity fraud. If they can verify the fraudulent behavior, they’ll determine the next steps. This can include reissuing a card with a new credit card account number and establishing a new PIN code, passwords, and security codes.

2. Take advantage of credit monitoring

When you're concerned about a personal data breach, using credit monitoring can help offer added protection. Credit monitoring programs can alert you of new activity associated with your data (like someone trying to open a new account or debit card in your name).

If you suspect your data has been breached, contact the three major credit bureaus and request a fraud alert or a credit freeze. This can stop someone from trying to commit financial identity theft by accessing your credit report or other information.

3. Stay abreast of your credit report

With a freeze, new creditors can’t access your credit report. Checking your credit report is typically one condition of opening a new account. A freeze won’t negatively impact your credit score or prevent you from accessing your credit report, but securing new loans or credit lines may take longer. You’ll need to contact the credit bureau, credit reporting agency, lender, or finance company to request that the freeze be temporarily removed to apply for new credit.

4. Make the most of available credit card alerts

Wouldn’t it be nice to have a personal assistant to help monitor your credit card activity as an added protection? Many credit card issuers offer email and text alerts as a form of consumer protection to make managing your credit easier.

Transaction alerts are a good example: If you rarely make purchases over $500, you can set up an alert to notify you of any charge exceeding that amount. When you receive the alert, you can confirm whether the transaction is one you made or an indicator of identity theft. This way, you take a proactive step against fraud charges.

Did you know?

With Discover Card’s Online Privacy Protection, we’ll help you regularly remove your personal info from select people-search websites that could sell your data. It’s free, activate with the Discover app.1 Learn about the benefits Discover credit cards offer compared to other industry-leading cards.

5. Be mindful of how much information you give up

When your account privacy settings aren't secure, your information can easily be found on social media or the Dark Web. Your personally identifiable information like maiden names, birthdays, ZIP codes, and even the financial institutions you use can open you to risk.

Protect the info you share. Don't give out your Social Security number, bank information, or other personal info too easily.

Be careful with your data at retailers and restaurants. If a credit card processing system is temporarily “down,” for example, don’t allow a staff member to write your credit card information on a piece of paper for later processing.

Some common scams include receiving a call from someone who claims to be calling from your financial institution, credit card company, employer’s human resource department, or even the IRS or social security administration. The scammer will ask for personal data, but don’t give them any information. Instead, ask the caller to give you a number you can research to verify their identity. If you can’t verify the data, the caller could be an identity thief, and it’s a good idea to file a police report with law enforcement. Then, you protect yourself and can help prevent thieves from committing further fraud on others.

6. Invest in identity protection

Discover cardmembers have yet another option for helping protect their identities, credit file, and personal information. Cardmembers can subscribe to Discover Identity Theft Protection. This comprehensive service includes: 3 Bureau Credit Alerts–when key changes2 are reported to your credit file; Dark Web Alerts–when we find your SSN or any other info you provide on any one of thousands of Dark Web sites we monitor for illegally sharing personal data;2 and more. In the case of ID theft, you can access up to $1MM Identity Theft Insurance–for legal expenses, reimbursement of stolen funds, lost wages, and more covered expenses.2

Your digital DNA is everywhere, so it’s wise to use identity theft prevention practices before you become a victim. Take advantage of the various available alerts and programs and apply some common sense in handling your personal information. By doing this, you can enjoy greater peace of mind the next time the media announces a breach of customer data.

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  1. Online Privacy Protection: Online Privacy Protection is offered by Discover Bank at no cost and only available in the mobile app. About every 90 days we will scan at least 10 people-search sites for your online personal information and help you submit opt-out requests. Types of personal information found on these sites will vary.

  2. Identity Theft Protection: Key changes include: New accounts, credit inquiries, address changes, potentially negative information such as delinquencies, and public records. Identity Theft Insurance underwritten by insurance company subsidiaries or affiliates of American International Group, Inc. The description herein is a summary and intended for informational purposes only and does not include all terms, conditions, and exclusions of the policies described. Please refer to the actual policies for terms, conditions, and exclusions of coverage. Coverage may not be available in all jurisdictions. Review the Summary of Benefits: NY Onlyopens modal dialog or All Other Statesopens modal dialog. This product can only be agreed upon, purchased and delivered online. It is optional and voluntary. Full Terms and Conditionsopens modal dialog
  • Legal Disclaimer: This site is for educational purposes and is not a substitute for professional advice. The material on this site is not intended to provide legal, investment, or financial advice and does not indicate the availability of any Discover product or service. It does not guarantee that Discover offers or endorses a product or service. For specific advice about your unique circumstances, you may wish to consult a qualified professional.