How to Protect Children from Child Identity Theft

Learn to recognize how thieves can use a child’s information for fraud and identity theft : Internet Scambusters #1,129

Child and infant identity theft occurs when someone uses a child's personal information, such as their Social Security number (SSN), to commit fraud. This includes opening credit accounts, applying for government benefits, or renting properties.

In this week’s issue, you will learn how children’s identity is compromised and how thieves will use children’s personal information to commit crimes.

Let's get started…

Hidden Dangers of Child Identity Theft and How to Protect Your Kids

When a child’s identity has been stolen, thieves can create all kinds of problems for the child, parents, and guardians, who will spend hours correcting the problem. Once a thief has the child’s information, they can open bank accounts, apply for credit cards and loans, rent apartments or homes, secure employment, file fraudulent tax returns, and obtain medical care or government benefits. Thieves are creative in finding ways to abuse a child's identity.

How Does Child Identity Theft Impact the Child?

Identity thieves can be strangers, acquaintances, or even family members with different motives. The motives can range from financial gain to evading the law. The long-term effects this crime has on children are often only discovered once the child is of age to apply for a job or open a bank account so they can deposit their paychecks. The effects of identity theft can be long lasting and severe. They may need help with credit problems when they apply for their first loan or credit card. Sometimes, the child's identity is linked to other illegal activities that are discovered as the parent begins to investigate, leaving the child with a criminal record. This could lead to receiving calls from debt collection agencies about unpaid debts in the child’s name.

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What Methods are Used in Child Identity Theft?

The methods used to steal children’s identities can vary. The culprit can obtain a child’s information from data breaches involving schools, daycares, pediatricians, or other institutions. Parents or caregivers may unknowingly provide their child’s personal details in response to phishing emails or fake websites. Sadly, and in many cases, family members, including parents, siblings, or extended relatives, can also commit these crimes, exploiting the trust and having easy access to the child's details.

5 Warning Signs Your Child Might be a Victim of Identity Theft

The child is receiving bills for items they did not purchase.
Debt collectors are calling about accounts they did not open.
Information shows up on the child’s credit report for accounts that were opened in their name.
You receive denial letters in your child's name when applying for loans.
Your child is receiving credit card offers.

Preventing child identity theft requires vigilance and proactive steps. So, how can parents and guardians help prevent child identity theft? Following are ways you can protect your child:

It is important to keep your child’s Social Security number and birth certificate in a safe place. Avoid giving your child’s Social Security number to just anyone. Be mindful of what information you must share on their behalf.
If you have a savings account in your child's name, regularly monitor it for unusual activity. You might also consider freezing your child’s credit report to prevent unauthorized access.
If your child’s personal information has been compromised, consider using identity theft protection services. Theft protection services can monitor your child’s personal information and ID numbers, including Social Security and passports.
When creating accounts for your children, such as social media, email, and Google, to name just a few, be sure to have secure privacy settings to protect your child and their personal information. Educate the child not to share information with anyone without your knowledge. Oversharing information like birthdays or phone numbers can compromise your child’s identity and safety.
Educate your child to NOT click on any links received in any manner.
When disposing of a computer or cell phone, delete all information on the phone.

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Conclusion

Child and infant identity theft is a serious crime with potentially devastating effects that can take a long time to repair. Protecting your child’s identity is an ongoing responsibility. Knowing and understanding the methods used by identity thieves and taking proactive measures to protect your child’s information can help safeguard their future.

If you suspect your child’s identity has been stolen, here are some resources to help:

Federal Trade Commission (FTC): Offers guidelines and assistance for victims of identity theft.
Credit Reporting Agencies: Contact Equifax, Experian, and TransUnion to check for fraudulent activity and to place a credit freeze.
IdentityTheft.gov: A comprehensive resource for reporting and recovering from identity theft.
Identity Theft Resource Center: Provides support and resources for identity theft victims.
Local Law Enforcement: Report any suspected identity theft to your local police department.

Stay informed, stay vigilant, and take action if needed to protect children's identities. If something appears to be suspicious, check it out! As your child ages, educate them on the importance of internet safety and to not disclose any personal information without a parent's knowledge.

That's it for today - we hope you enjoy your week!