Get control of your identity – or someone else will
It is difficult to imagine the amount of time and mental energy it takes to restore a stolen or compromised identity…until it happens to you! We’ve all heard the bad news… declining stocks, job losses, frozen credit markets, and mortgage foreclosures. With the economy in this state, there’s never been a more important time for everyone to get control over their finances, their credit and their very identity.
When inaccurate or fraudulent data finds its way into your credit reports, you may pay a high price for that contaminated data. When it comes to buying an automobile, financing a home or obtaining credit, it’s all about three little numbers – our credit score.
Our credit scores are directly linked to the price of a car or home we can afford. These all-powerful numbers affect both the affordability of insurance premiums as well as our interest rates and ultimately, often become the deciding factor in whether or not we can drive the car we want or purchase the home that seems a perfect for our family.
Odds are pretty good we could be paying a steep price for someone else’s errors or crime, as results of several studies point out that;
- one in four credit reports have errors,
- data breaches are at an all time high, and
- an identity theft occurs every 3 seconds
Identity theft (or inaccurate credit reporting) is often exacerbated by the fact that consumers typically don’t review their credit reports. Oftentimes consumers are complacent or have a false belief… “It won’t happen to me”. That false belief and complacency can get people into deep trouble.
In 2008, “reported” data breaches increased a whopping 47% over 2007, making it easy to see that we really have very little control over our information. Data breaches will continue to occur and thieves will continue to find ingenious methods to hijack, and then sell our personal information.
The truth of the matter is, in a bad economy, scam artists will work overtime and identity theft will spike. January is both Financial Awareness Month and a great time to act on your new year’s resolutions. Aside from getting your finances in order, consider initiating a plan of action should this be the year your identity is stolen or compromised. Remember, the best way to prevent an identity theft - is to plan for one! If you don’t get control over your finances and identity – someone else surely will.
Aside from asking yourself “What’s in your wallet?” ask yourself “Would you know who to call – or what to do… if it suddenly went missing?
