IDENTIFY INCORRECT INFORMATION

identifying unauthorized and fraudulent accounts or inquiries on your credit report is a critical step in detecting identity theft or credit fraud. Here’s how you can review your credit report for suspicious activity and what to do if you find something that looks wrong.

1. Understanding Your Credit Report

Your credit report includes several sections, each providing valuable information about your credit history. Here's a breakdown of the key sections where you should focus your attention to spot fraudulent activity:

• Personal Information: Your name, address, Social Security number, and date of birth.

• Credit Accounts: Current and past credit accounts (credit cards, loans, mortgages), including the status (open, closed, active, paid, etc.).

• Credit Inquiries: A list of organizations that have requested your credit report (soft inquiries and hard inquiries).

• Public Records: Bankruptcy, tax liens, judgments, and other legal matters.

• Collection Accounts: Accounts that have been sent to collections due to non-payment.

2. Spotting Unauthorized Accounts

To spot unauthorized accounts, pay close attention to the following:

Check for Accounts You Don’t Recognize:

• Review all credit accounts listed on your report. If you see any accounts or credit cards that you don’t recognize, those could be fraudulent. Pay particular attention to:

  • New accounts opened in your name that you didn’t authorize.

  • Old accounts that you believe have been closed but are still listed as open.

  • Credit accounts that have incorrect information, like an incorrect mailing address or phone number, which may suggest they were opened with fraudulent details.

Look for Signs of Unauthorized Activity:

• Unfamiliar accounts: An account that you didn’t apply for, especially if it has a high credit limit or unusual activity.

• Missed payments: If you see late or missed payments on accounts you didn’t open, it's a strong indication of fraud.

3. Spotting Unauthorized Inquiries

Credit inquiries show up on your report whenever someone checks your credit. There are two types of inquiries:

• Soft Inquiries: These occur when a company checks your credit for marketing purposes or when you check your own credit. They do not affect your credit score.

• Hard Inquiries: These happen when a lender or creditor checks your credit report as part of their decision-making process for a loan, credit card, or other credit. Hard inquiries can slightly lower your credit score.

Check for Hard Inquiries You Don’t Recognize:

• Unfamiliar hard inquiries: If you see hard inquiries from companies or institutions you’ve never dealt with, or that you didn’t authorize, this is a major red flag. Fraudsters may open accounts or apply for loans using your identity, resulting in unauthorized hard inquiries.

What to Do if You Find Unauthorized Inquiries:

• If you notice any hard inquiries from companies or lenders that you did not apply to, it could indicate fraud. Dispute these inquiries with the credit bureaus.

4. Look for Other Red Flags of Fraud

• Addresses You Don’t Recognize: Sometimes, fraudsters use a different address when applying for credit. Check the address listed on your accounts to ensure it’s accurate.

• Account Status: If an account you know you’ve closed (like a credit card or loan) still shows as open and active, that could indicate it was reactivated fraudulently.

• New Collection Accounts: If you see collections listed for accounts you did not open or owe, it could mean someone has been using your information for fraudulent purposes.