Curious... what is the best defense to this? Seems the normal advice is always just to do your part to hide your information, but these days it can get hacked or leaked even if you are diligent. I spent some time researching LifeLock and wasn't impressed enough with their services to sign up. Maybe I should?
I have a multi-pronged approach to this but it is fairly simple and I loose no sleep over this:
- purchase "credit-freezes" at all three credit bureaus. I think it was $10/each when I did this. At this point, no credit reports can be pulled until the freeze is lifted by you. (note: law enforcement and several others will still have access so "no reports" is a bit qualified)
- understand the liability/protections that you have under Federal Law for different types of accounts (Bank, credit card etc) such as this. Be sure to fulfill your obligations in the event of a breach to limit your liability.
Occasionally I will get a phone call and/or email from CC processor seeking if I made a suspicious charge. I have never been stuck with any fraudulent bills.
One other trick that I use is that I have a CC with barclays. They offer separate card numbers for other authorized users on the account. I then have only one number that I register with any online accounts. That way if a card that I use (with a separate number) in the Doctors Office, Restaurant, Gas Station etc is compromised, it will not effect the one that I have registered at all the online stores etc.
Also, since medical offices are a place where major ID theft takes place (think low wages plus access to info), I generally avoid giving a SS number whenever possible. If required I will write it on a post-it separate from the hardcopy paper and ask them to destroy the post-it after the info is entered into the computer for security sake.
You may also want to e-file your Federal/State tax returns early each year. If you use your SS # then nobody will be able to use it to file a fraudulent return using your info after you have filed. The first return accepted blocks future attempts for that tax year. AARP TaxAide volunteers will prepare/file your tax return for free each year in almost all cases and are trained on this.
-gauss