Financial well-being June 14, 2015 By
Imagine finding out that someone has stolen your child's identity and used it to get a job, buy a car, open credit cards, fund utilities, or even acquire a mortgage? Child identity theft is more common than you think. In fact, kids are more susceptible than their parents to being targeted by scammers. Fortunately there are ways we can help protect our kids.
Why are children targeted?
Children are being targeted because of their clean credit history. It is widely publicized that within the three major credit bureaus—Experian, Equifax, and TransUnion—there is no verification for date of birth. This means children have credit they have never used before, and criminals know credit card lenders are more likely to give a card to someone with no credit history than with a bad credit history.
What is needed to steal an identity?
Oftentimes, all an imposter needs to steal your child's identity is their full name, date of birth, and Social Security number.
What can you do to protect your child?
- Watch for warning signs that your child’s credit history has already been compromised. A few of these signs include an influx of credit card or loan offers addressed to your child, collection calls or bills addressed to your child, or an IRS notice stating your child didn't pay income taxes.
- Monitor your child's credit report with all three major credit bureaus for fraud or errors. Keep in mind that your child may not even have a credit report, which is a good thing. No credit file means your child’s Social Security number hasn't been used to get credit.
- Don't share your child's Social Security number. When asked for it on school or medical forms, ask if optional information can be substituted or if you can just submit the last four digits.
- Do not store your child's information digitally, and shred any documents with your child's information on it.
While we all hope our child’s identity will never be stolen, a bit of preparation could go a long way in helping to prevent it from happening. Ultimately you are your child’s best defense against identity thieves, so remember to stay vigilant and keep an eye on how their personal information may or may not be being used.
