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While dealing with problems resulting from identity theft can be time-consuming
and frustrating, most victims can resolve their cases by being assertive,
organized, and knowledgeable about their legal rights. Some laws require
you to notify companies within specific time periods. Don't delay in
contacting any companies to deal with these problems, and ask for supervisors
if you need more help than you're getting.
Bank Accounts and Fraudulent Withdrawals
• Fraudulent Electronic
Withdrawals
• Fraudulent Checks
and Other "Paper" Transactions
• Fraudulent New Accounts
Bankruptcy Fraud
Correcting Fraudulent Information in Credit
Reports
• Consumer Reporting
Company Obligations
• Information
Provider Obligations
Credit Cards
Criminal Violations
Debt Collectors
Driver's License
Investment Fraud
Mail Theft
Passport Fraud
Phone Fraud
Social Security Number Misuse
Student Loans
Tax Fraud
What should I do if I've done everything advised,
and I’m still having problems?
Bank Accounts and Fraudulent Withdrawals
Different laws determine your legal remedies based on the type of bank
fraud you have suffered. For example, state laws protect you against
fraud committed by a thief using paper documents, like stolen or counterfeit
checks. But if the thief used an electronic fund transfer, federal law
applies. Many transactions may seem to be processed electronically but
are still considered "paper" transactions. If you're not sure
what type of transaction the thief used to commit the fraud, ask the
financial institution that processed the transaction.
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Fraudulent Electronic Withdrawals
The Electronic Fund Transfer Act provides consumer protections for transactions
involving an ATM or debit card, or another electronic way to debit or
credit an account. It also limits your liability for unauthorized electronic
fund transfers.
You have 60 days from the date your bank account statement is sent to
you to report in writing any money withdrawn from your account without
your permission. This includes instances when your ATM or debit card
is "skimmed"- that is, when a thief captures your account number
and PIN without your card having been lost or stolen.
If your ATM or debit card is lost or stolen, report it immediately because
the amount you can be held responsible for depends on how quickly you
report the loss.
• If you report the loss or theft within two business days
of discovery, your losses are limited to $50.
• If you report the loss or theft
after two business days, but within 60 days after the unauthorized electronic
fund transfer appears on your statement, you could lose up to $500 of
what the thief withdraws.
• If you wait more than 60 days to
report the loss or theft, you could lose all the money that was taken
from your account after the end of the 60 days.
Note: VISA and MasterCard voluntarily have agreed to
limit consumers' liability for unauthorized use of their debit cards
in most instances to $50 per card, no matter how much time has elapsed
since the discovery of the loss or theft of the card.
The best way to protect yourself in the event of an error or fraudulent
transaction is to call the financial institution and follow up in writing
by certified letter, return receipt requested so you can prove when
the institution received your letter. Keep a copy of the letter you
send for your records.
After receiving your notification about an error on your statement,
the institution generally has 10 business days to investigate. The institution
must tell you the results of its investigation within three business
days after completing it and must correct an error within one business
day after determining that it occurred. If the institution needs more
time, it may take up to 45 days to complete the investigation but only
if the money in dispute is returned to your account and you are notified
promptly of the credit. At the end of the investigation, if no error
has been found, the institution may take the money back if it sends
you a written explanation.
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Fraudulent Checks and Other "Paper" Transactions
In general, if an identity thief steals your checks or counterfeits
checks from your existing bank account, stop payment, close the account,
and ask your bank to notify Chex Systems, Inc. or the check verification
service with which it does business. That way, retailers can be notified
not to accept these checks. While no federal law limits your losses
if someone uses your checks with a forged signature, or uses another
type of "paper" transaction such as a demand draft, state
laws may protect you. Most states hold the bank responsible for losses
from such transactions. At the same time, most states require you to
take reasonable care of your account. For example, you may be held responsible
for the forgery if you fail to notify the bank in a timely manner that
a check was lost or stolen. Contact your state banking or consumer protection
agency for more information.
You can contact major check verification companies directly for the
following services:
To request that they notify retailers
who use their databases not to accept your checks, call:
• TeleCheck at 1-800-710-9898 or
1-800-927-0188
• Certegy, Inc. (previously Equifax
Check Systems) at 1-800-437-5120
To find out if the identity thief
has been passing bad checks in your name, call:
• SCAN: 1-800-262-7771
If your checks are rejected by a merchant, it may be because an identity
thief is using the Magnetic Information Character Recognition (MICR)
code (the numbers at the bottom of checks), your driver's license number,
or another identification number. The merchant who rejects your check
should give you its check verification company contact information so
you can find out what information the thief is using. If you find that
the thief is using your MICR code, ask your bank to close your checking
account, and open a new one. If you discover that the thief is using
your driver's license number or some other identification number, work
with your DMV or other identification issuing agency to get new identification
with new numbers. Once you have taken the appropriate steps, your checks
should be accepted.
Note:
• The check verification company
may or may not remove the information about the MICR code or the driver's
license/identification number from its database because this information
may help prevent the thief from continuing to commit fraud.
• If the checks are being passed
on a new account, contact the bank to close the account. Also contact
Chex Systems, Inc. to review your consumer report to make sure that
no other bank accounts have been opened in your name.
• Dispute any bad checks passed in
your name with merchants so they don't start any collections actions
against you.
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Fraudulent New Accounts
If you have trouble opening a new checking account, it may be because
an identity thief has been opening accounts in your name. Chex Systems,
Inc. produces consumer reports specifically about checking accounts,
and as a consumer reporting company, is subject to the Fair Credit Reporting
Act. You can request a free copy of your consumer report by contacting
Chex Systems, Inc. If you find inaccurate information on your consumer
report, follow the procedures under Correcting Fraudulent Information
in Credit Reports to dispute it. Contact each of the banks where account
inquiries were made, too. This will help ensure that any fraudulently
opened accounts are closed.
Chex Systems, Inc.: 1-800-428-9623; www.chexhelp.com
Fax: 602-659-2197
Chex Systems, Inc.
Attn: Consumer Relations
7805 Hudson Road, Suite 100
Woodbury, MN 55125
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Bankruptcy Fraud
If you believe someone has filed for bankruptcy in your name, write
to the U.S. Trustee in the region where the bankruptcy was filed. A
list of the U.S. Trustee Programs' Regional Offices is available at
www.usdoj.gov/ust, or check the Blue Pages of your phone book under
U.S. Government Bankruptcy Administration.
In your letter, describe the situation and provide proof of your identity.
The U.S. Trustee will make a criminal referral to law enforcement authorities
if you provide appropriate documentation to substantiate your claim.
You also may want to file a complaint with the U.S. Attorney and/or
the FBI in the city where the bankruptcy was filed. The U.S. Trustee
does not provide legal representation, legal advice, or referrals to
lawyers. That means you may need to hire an attorney to help convince
the bankruptcy court that the filing is fraudulent. The U.S. Trustee
does not provide consumers with copies of court documents. You can get
them from the bankruptcy clerk's office for a fee.
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Correcting Fraudulent Information in Credit Reports
The Fair Credit Reporting Act (FCRA) establishes procedures for correcting
fraudulent information on your credit report and requires that your
report be made available only for certain legitimate business needs.
Under the FCRA, both the consumer reporting company and the information
provider (the business that sent the information to the consumer reporting
company), such as a bank or credit card company, are responsible for
correcting fraudulent information in your report. To protect your rights
under the law, contact both the consumer reporting company and the information
provider.
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Consumer Reporting Company Obligations
Consumer reporting companies will block fraudulent information from
appearing on your credit report if you take the following steps: Send
them a copy of an identity theft report and a letter telling them what information is fraudulent. The letter also should
state that the information does not relate to any transaction that you
made or authorized. In addition, provide proof of your identity that
may include your Social Security number, name, address, and other personal
information requested by the consumer reporting company.
The consumer reporting company has four business days to block the fraudulent
information after accepting your identity theft report. It also must
tell the information provider that it has blocked the information. The
consumer reporting company may refuse to block the information or remove
the block if, for example, you have not told the truth about your identity
theft. If the consumer reporting company removes the block or refuses
to place the block, it must let you know.
The blocking process is only one way for identity theft victims to deal
with fraudulent information. There's also the "reinvestigation
process," which was designed to help all consumers dispute errors
or inaccuracies on their credit reports.
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Information Provider Obligations
Information providers stop reporting fraudulent information to the consumer
reporting companies once you send them an identity theft report and
a letter explaining that the information that they're reporting resulted
from identity theft. But you must send your identity theft report and
letter to the address specified by the information provider. Note that
the information provider may continue to report the information if it
later learns that the information does not result from identity theft.
If a consumer reporting company tells an information provider that it
has blocked fraudulent information in your credit report, the information
provider may not continue to report that information to the consumer
reporting company. The information provider also may not hire someone
to collect the debt that relates to the fraudulent account, or sell
that debt to anyone else who would try to collect it.
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Credit Cards
The Fair Credit Billing Act establishes procedures for resolving billing
errors on your credit card accounts, including fraudulent charges on
your accounts. The law also limits your liability for unauthorized credit
card charges to $50 per card. To take advantage of the law's consumer
protections, you must:
• write to the creditor at the address
given for "billing inquiries," NOT the address for sending
your payments. Include your name, address, account number, and a description
of the billing error, including the amount and date of the error. See
Sample
Dispute Letter for Existing Accounts.
• send your letter so that it reaches
the creditor within 60 days after the first bill containing the error
was mailed to you. If an identity thief changed the address on your
account and you didn't receive the bill, your dispute letter still must
reach the creditor within 60 days of when the creditor would have mailed
the bill. This is one reason it's essential to keep track of your billing
statements, and follow up quickly if your bills don't arrive on time.
You should send your letter by certified mail, and request a return
receipt. It becomes your proof of the date the creditor received the
letter. Include copies (NOT originals) of your police report or other
documents that support your position. Keep a copy of your dispute letter.
The creditor must acknowledge your complaint in writing within 30 days
after receiving it, unless the problem has been resolved. The creditor
must resolve the dispute within two billing cycles (but not more than
90 days) after receiving your letter.
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Criminal Violations
Procedures to correct your record within criminal justice databases
can vary from state to state, and even from county to county. Some states
have enacted laws with special procedures for identity theft victims
to follow to clear their names. You should check with the office of
your state Attorney General, but you can use the following information
as a general guide.
If wrongful criminal violations are attributed to your name, contact
the police or sheriff's department that originally arrested the person
using your identity, or the court agency that issued the warrant for
the arrest. File an impersonation report with the police/sheriff's department
or the court, and confirm your identity: Ask the police department to
take a full set of your fingerprints, photograph you, and make copies
of your photo identification documents, like your driver's license,
passport, or travel visa. To establish your innocence, ask the police
to compare the prints and photographs with those of the imposter.
If the arrest warrant is from a state or county other than where you
live, ask your local police department to send the impersonation report
to the police department in the jurisdiction where the arrest warrant,
traffic citation, or criminal conviction originated.
The law enforcement agency should then recall any warrants and issue
a "clearance letter" or "certificate of release"
(if you were arrested/booked). You'll need to keep this document with
you at all times in case you're wrongly arrested again. Ask the law
enforcement agency to file the record of the follow-up investigation
establishing your innocence with the district attorney's (D.A.) office
and/or court where the crime took place. This will result in an amended
complaint. Once your name is recorded in a criminal database, it's unlikely
that it will be completely removed from the official record. Ask that
the "key name" or "primary name" be changed from
your name to the imposter's name (or to "John Doe" if the
imposter's true identity is not known), with your name noted as an alias.
You'll also want to clear your name in the court records. To do so,
you'll need to determine which state law(s) will help you with this
and how. If your state has no formal procedure for clearing your record,
contact the D.A.'s office in the county where the case was originally
prosecuted. Ask the D.A.'s office for the appropriate court records
needed to clear your name. You may need to hire a criminal defense attorney
to help you clear your name. Contact Legal Services in your state or
your local bar association for help in finding an attorney.
Finally, contact your state Department of Motor Vehicles (DMV) to find
out if your driver's license is being used by the identity thief. Ask
that your files be flagged for possible fraud.
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Debt Collectors
The Fair Debt Collection Practices Act prohibits debt collectors from
using unfair or deceptive practices to collect overdue bills that a
creditor has forwarded for collection, even if those bills don't result
from identity theft.
You can stop a debt collector from contacting you in two ways:
• Write a letter to the collection
agency telling them to stop. Once the debt collector receives your letter,
the company may not contact you again with two exceptions: They can
tell you there will be no further contact, and they can tell you that
the debt collector or the creditor intends to take some specific action.
• Send a letter to the collection
agency, within 30 days after you received written notice of the debt,
telling them that you do not owe the money. Include copies of documents
that support your position. Including a copy (NOT original) of your
police report may be useful. In this case, a collector can renew collection
activities only if it sends you proof of the debt.
If you don't have documentation to support your position, be as specific
as possible about why the debt collector is mistaken. The debt collector
is responsible for sending you proof that you're wrong. For example,
if the debt you're disputing originates from a credit card you never
applied for, ask for a copy of the application with the applicant's
signature. Then, you can prove that it's not your signature.
If you tell the debt collector that you are a victim of identity theft
and it is collecting the debt for another company, the debt collector
must tell that company that you may be a victim of identity theft.
While you can stop a debt collector from contacting you, that won't
get rid of the debt itself. It's important to contact the company that
originally opened the account to dispute the debt, otherwise that company
may send it to a different debt collector, report it on your credit
report, or initiate a lawsuit to collect on the debt.
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Driver's License
If you think your name or Social Security number is being used by an
identity thief to get a driver's license or a non-driver's ID card,
contact your state Department of Motor Vehicles (DMV). If your state
DMV uses your Social Security number as your driver's license number,
ask to substitute another number.
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Investment Fraud
The U.S. Securities and Exchange Commission’s (SEC) Office of
Investor Education and Assistance serves investors who complain to the
SEC about investment fraud or the mishandling of their investments by
securities professionals. If you believe that an identity thief has
tampered with your securities investments or a brokerage account, immediately
report it to your broker or account manager and to the SEC.
You can file a complaint with the SEC's Complaint Center at www.sec.gov/complaint.shtml.
Include as much detail as possible. If you don't have Internet access,
write to the SEC at: SEC Office of Investor Education and Assistance,
450 Fifth Street, NW, Washington DC, 20549-0213. For answers to general
questions, call 202-942-7040.
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Mail Theft
The U.S. Postal Inspection Service (USPIS) is the law enforcement arm
of the U.S. Postal Service and investigates cases of identity theft.
The USPIS has primary jurisdiction in all matters infringing on the
integrity of the U.S. mail. If an identity thief has stolen your mail
to get new credit cards, bank or credit card statements, pre-screened
credit offers, or tax information, or has falsified change-of-address
forms or obtained your personal information through a fraud conducted
by mail, report it to your local postal inspector.
You can locate the USPIS district office nearest you by calling your
local post office, checking the Blue Pages of your telephone directory,
or visiting www.usps.gov/websites/depart/inspect.
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Passport Fraud
If you've lost your passport, or believe it was stolen or is being used
fraudulently, contact the United States Department of State (USDS) through
www.travel.state.gov/passport/passport_1738.html,
or call a local USDS field office. Local field offices are listed in
the Blue Pages of your telephone directory.
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Phone Fraud
If an identity thief has established phone service in your name, is
making unauthorized calls that seem to come from and are billed to your
cellular phone, or is using your calling card and PIN, contact your
service provider immediately to cancel the account and/or calling card.
Open new accounts and choose new PINs. If you're having trouble getting
fraudulent phone charges removed from your account or getting an unauthorized
account closed, contact the appropriate agency below.
• For local service, contact your
state Public Utility Commission.
• For cellular phones and long distance,
contact the Federal Communications Commission (FCC) at www.fcc.gov.
The FCC regulates interstate and international communications by radio,
television, wire, satellite, and cable. Call: 1-888-CALL-FCC; TTY: 1-888-TELL-FCC;
or write: Federal Communications Commission, Consumer Information Bureau,
445 12th Street, SW, Room 5A863, Washington, DC 20554. You can file
complaints online at www.fcc.gov,
or e-mail your questions to fccinfo@fcc.gov.
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Social Security Number Misuse
If you have specific information of Social Security number misuse that
involves the buying or selling of Social Security cards, may be related
to terrorist activity, or is designed to obtain Social Security benefits,
contact the Social Security Administration (SSA) Office of the Inspector
General. You may file a complaint online at www.socialsecurity.gov/oig,
call toll-free: 1-800-269-0271, fax: 410-597-0118, or write: SSA Fraud
Hotline, P.O. Box 17768, Baltimore, MD 21235.
You also may call SSA toll-free at 1-800-772-1213 to verify the accuracy
of the earnings reported on your Social Security number, request a copy
of your Social Security Statement, or get a replacement Social Security
number card if yours is lost or stolen. Follow up in writing.
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Student Loans
Contact the school or program that opened the student loan to close
the loan. At the same time, report the fraudulent loan to the U.S. Department
of Education. Call the Inspector General's Hotline toll-free at 1-800-MIS-USED;
visit www.ed.gov/about/offices/list/oig/hotline.html?src=rt;
or write: Office of Inspector General, U.S. Department of Education,
400 Maryland Avenue, SW, Washington, DC 20202-1510.
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Tax Fraud
The Internal Revenue Service (IRS) is responsible for administering
and enforcing tax laws. Identity fraud may occur as it relates directly
to your tax records. Visit www.irs.gov
and type in the IRS key word “Identity Theft” for more information.
If you have an unresolved issue related to identity theft, or you have
suffered or are about to suffer a significant hardship as a result of
the administration of the tax laws, visit the IRS Taxpayer Advocate
Service www.irs.gov/advocate/
or call toll-free: 1-877-777-4778.
If you suspect or know of an individual or company that is not complying
with the tax law, report it to the Internal Revenue Service Criminal
Investigation Informant Hotline by calling toll-free: 1-800-829-0433
or visit www.irs.gov
and type in the IRS key word “Tax Fraud.”
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What should I do if I've done everything advised, and I’m
still having problems?
There are cases where victims do everything right and still spend years
dealing with problems related to identity theft. The good news is that
most victims can get their cases resolved by being vigilant, assertive
and organized. Don't procrastinate on contacting companies to address
the problems. Don't be afraid to go up the chain of command or make
complaints, if necessary. Keep organized files. If you haven't filed
a complaint with the FTC or updated it, you should do so and provide
details of the problems that you are having. You also can call our hotline
(1-877-ID-THEFT) to talk with one of our counselors or, for individual
counseling, contact one of the non-profit victim associations listed
under Resources. If your problems are
stemming from a failure of a party to perform its legal obligations,
you may want to consult an attorney who specializes in such violations.
Contact Legal Services in your state or your local bar association for
help in finding an attorney.
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