In today’s digital age, protecting your identity has never been more crucial. With data breaches becoming increasingly common, it is important to take proactive measures to safeguard your personal information. One effective way to do this is by freezing your credit. As we navigate through 2024, the year has already seen a significant number of data breaches, with more than 1 billion personal records compromised. One of the most recent high-profile breaches involves National Public Data, a background check company that allegedly exposed 2.9 billion records in a lawsuit. While the company claims the actual number is much lower, around 1.3 million, the breach still poses a significant threat to individuals’ privacy and security.
The Impact of Data Breaches
Michael Bruemmer, head of global data breach resolution at Experian, a consumer credit reporting company, emphasizes the severity of the National Public Data breach. He warns that the breach may be larger than reported, based on data analyzed by Experian. Unfortunately, National Public Data has not responded to requests for comment from CNBC, leaving many concerned about the extent of the breach’s impact.
This breach is part of a concerning trend, with other notable companies such as Change Healthcare, AT&T, and Ticketmaster also experiencing significant breaches in recent times. When data is stolen, it often ends up on the dark web, a hidden part of the internet where hackers sell and trade sensitive information. Unlike credit files that can be disputed and updated, once data is on the dark web, it cannot be retrieved or deleted.
The Importance of Freezing Your Credit
To protect yourself from the potential fallout of a data breach, experts recommend freezing your credit as a crucial step. James E. Lee, Chief Operating Officer at the Identity Theft Resource Center, stresses that freezing your credit is the most important action to take when faced with a data breach notification. This simple process can be completed in just minutes and offers a powerful layer of protection against identity theft.
A credit freeze restricts access to your credit report, preventing unauthorized parties from opening new accounts in your name. This applies to both legitimate applications you make and fraudulent attempts by identity thieves. Notably, freezing your credit is free of charge and remains in place until you choose to lift it temporarily or permanently. When you need to apply for new credit, such as a credit card or auto loan, you can unfreeze your report to facilitate the process.
Bruemmer recommends freezing your credit if you suspect you may have been affected by a breach or simply want to maintain good identity hygiene. To freeze your credit effectively, you must initiate the process at all three major credit reporting agencies: Equifax, Experian, and TransUnion. While you can request a freeze via phone or mail, online submission is typically the quickest method. Monitoring your free credit report regularly for any unusual activity is also advisable to detect and address any errors promptly.
Protecting Children’s Records
In the wake of the National Public Data breach, children’s information may have been compromised as well. Bruemmer highlights the importance of monitoring children’s records for signs of potential identity theft, such as receiving unsolicited credit card offers or notices from bill collectors. While most children do not have existing credit files, parents can request a free credit report annually to verify this. If a credit file does exist for a child, freezing it can prevent unauthorized activity and safeguard their identity.
Enhanced Security Measures
In addition to freezing your credit, there are several other steps you can take to enhance the security of your personal data. Changing passwords regularly and using unique codes for each website can help prevent unauthorized access to your accounts. Employing an online password manager can streamline this process by generating complex passwords and storing them securely.
Two-factor authentication and encryption are additional security measures that add an extra layer of protection by requiring multiple methods of verifying your identity when logging into accounts. Removing personal information from social media platforms that could be exploited by identity thieves is also essential for safeguarding your privacy. Setting up alerts on your accounts to receive notifications of any suspicious activity can help you stay informed and respond promptly to potential threats.
Monitoring for Dark Web Exposure
To stay ahead of potential risks, consider investing in services that alert you if your information appears on the dark web or monitor the creation of a credit file for minors. These proactive measures can help you detect and address identity theft issues before they escalate. By staying vigilant and taking proactive steps to secure your personal information, you can reduce the risk of falling victim to identity theft and data breaches.
Conclusion
In conclusion, protecting your identity in the digital age requires a proactive approach to security. Freezing your credit is a simple yet effective way to safeguard your personal information and minimize the risk of identity theft. By following expert recommendations, such as monitoring your credit reports, enhancing password security, and staying informed about potential threats, you can fortify your defenses against cyberattacks and data breaches. Remember, taking proactive steps to protect your identity today can save you from potential headaches and financial losses in the future.