The Early Show

Stolen Identity

By CBSNews.com staff CBSNews.com staff

June 25, 1999 / 2:09 PM EDT / CBS

The information age has spawned a new crime. It's called "identity theft," and it's the fastest-growing crime in America. Armed with your name and social security number, an impostor can open bank and charge accounts--and destroy your credit!

An estimated 400,000 Americans will be victims of identity theft this year. In fact, even CBS News MarketWatch Correspondent Stacey Tisdale was a victim. Here's what happened to her.

In 1994, my purse--with all my ID, checks, and my credit cards--was stolen. I immediately cancelled my credit cards, but the following week, I got calls about bounced checks, so I had to close my checking account. The bounced checks didn't stop, so I called my bank. They said that I, "Stacey Tisdale," had come in and re-opened my account!
The impostor either changed the picture on my driver's license, or got a new license using my other ID.
I spent two years dealing with angry stores. They treated me like a criminal, instead of a crime victim.
During that time, my credit report was so damaged no one would take a check from me, and I couldn't get credit cards.
Since then, I've learned what I should have done after my purse was stolen.

Learn more from CBS MarketWatch about The Invasion Of The ID Snatchers.

Identity experts say the first and most important step is to contact all three major credit bureaus. They are: Experian, Equifax, and Trans-union.
If anyone tries to open an account in your name, the bank calls one of these bureaus to verify credit information. Ask each bureau to flag your account for potential fraud, and to call you personally to verify all applications for credit.

Ask for a new copy of your credit report every three or four months, whether or not you have reason to fear you've actually been defrauded.

At the first sign that someone is trying to steal your identity, here's what you should do.

Report the crime to the police immediately. Get a copy of the police report so you can verify the crime to your credit card companies, your bank, and your insurance company.
Call all of your credit card issuers and get new cards issued with different account numbers.
Close your checking and savings accounts and re-open them with different account numbers.
If a thief has your ATM or debit card, ask for a replacement card with a new account number and password.
Stop payment on all stolen checks.
You might need to change your driver's license number if an impostor is using yours to pass bad checks.
Call your sate department of motor vehicles to put a fraud alert on your license, and to get a new number.
Call the Social Security Administration to report fraudulent use of your social security number. Ask them about changing your number.

Finally, consult an attorney if creditors or credit bureaus aren't cooperating with you. Call your local bar association to find an attorney who specializes in consumer law.