You know what they say about preventing something bad from happening: an ounce of prevention is worth a pound of cure. This is doubly true for matters regarding identity theft: if you can spot the early signs of identity theft before it escalates to full blown credit fraud and criminal acts being committed in your name, then you’re immensely better off than you would be if you discover the events after the fact and are left to pick up the pieces of your shattered, ruined, and otherwise despoiled identity. So without further ado, let’s dive into the principles of detecting identity fraud by taking a look at some of the most common signs that something fishy is going on.

Missing Statements – If you hold any number of credit cards or bank accounts, you have no doubt grown used to receiving your account statements in the mail (unless you’ve signed up for paperless statements, but that’s a topic for another article) on a regular basis; typically monthly. One of the first red flags you should keep an eye out for is if you mysteriously stop receiving your regular account or billing statements in the mail. When these important documents are missing, it indicates that someone may be redirecting your mail or outright stealing it from your mailbox. If it’s been some time since you’ve received your last statement, give your bank or card issuer a phone call to verify that the statements are still being mailed out as well as verifying that they are being mailed to the correct address.

Suspicious Charges – Anyone serious about preventing identity fraud would do well to engage in a regular “audit” or review of the above-mentioned billing and account statements. The purpose of this review is to screen out any unusual, aberrant, or otherwise peculiar charges that have been made to your account. If you don’t recognize one or more of the charges on your statement, again, contact your bank or financial institution to inquire further into the matter and take necessary action if needed.

Unfamiliar Accounts – Along with not receiving statements, another red flag is if you start receiving statements regarding accounts which you don’t remember opening. Often fraudsters use your mailing address for the billing address in order to get around anti-fraud measures instituted by creditors and merchants. One of the most common kinds of accounts opened by fraudsters are credit cards, thus you should remain doubly alert for suspicious statements coming from card issuers.

Phone Calls from Creditors – If you are delinquent on one or more of your accounts, it is common to receive phone calls from collection agencies regarding those overdue payments; on the other hand, if you’re getting calls from creditors about accounts that you’ve never opened, then you need to act fast, for someone has almost certainly pilfered your credit for their own use. In cases like these it is important to gather as much information as possible regarding the accounts, preferably in hard copy format, as this will serve as much needed documentation for repairing your credit.

In the next part of our series, we’ll take a look at the specifics of what to do if you discover that you have been the victim of identity theft and where you can turn for help.

Related posts:

1. Identity Theft Part I: Tricks of the Trade
2. Identity Theft III: The Aftermath
3. 6 Simple Ways to Prevent Identity Theft
4. Protecting yourself from credit card fraud
5. Credit Card Theft: How to Avoid the Next Albert Gonzalez