Kids and Identity Theft
While I’m on the AV Press website, here’s this article — alas, probably another volatile link.
At age 7, Zach Friesen’s Social Security number was stolen by a stranger who used it to buy a $40,000 houseboat.
…
Friesen didn’t discover someone stole his number until 10 years later when he applied for a job at age 17.
The rate of identity theft complaints involving people under age 18 has risen sharply, nearly doubling in the last three years. They now account for 5% of total complaints.
This might, by the way, be another good reason to abandon the current income tax system and go to a consumption tax. Kids are being issued social security numbers from birth so they can be claimed as deductions on their parents’ taxes.Â
Children make good targets because they usually have clean credit histories (unless, I suppose, some identity thief is the second to steal some kid’s identity), and chances are a theft won’t be detected for years.
Adults are urged to check their credit reports annually but should only check for their kids’ reports if they suspect their kids’ information is being used fraudulently for credit, said Linda Foley, director of the San Diego-based Identity Theft Resource Center.
Red flags include billing collection notices in a child’s name or anything that indicates business is being done with a child’s information.
“A pre-approved credit offer doesn’t set off a red flag for me because the child is probably on a marketing list,” she said.
Tips for parents
• Do not carry your child’s Social Security number in your wallet, and shred all papers you throw out that have your child’s number on them.
• Resist giving out your child’s Social Security number unless there’s a good reason for it. A doctor’s office is a great place for a child profiler to collect information.
Red flags that may indicate your child’s ID has been stolen
• Bills or credit cards mailed home in the child’s name.
• A notice in the child’s name about a traffic ticket, for taxes owed or a lien on income.
• A notice from the IRS that the child’s name and/or Social Security number is already listed on another tax return.
• A financially troubled person who knows the child’s Social Security number has suddenly “found” a lot of money.
If fraud is suspected, request your child’s credit report from the three major credit-reporting bureaus. Ordering reports unnecessarily confuses the bureaus’ computerized systems, opening a door to thieves because it establishes a credit report.
| More from Karl Lembke
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