Identity Theft
Identity Theft and Your Credit Report: How to Fix It
If someone opened accounts in your name, federal law gives you powerful tools to clean up your credit report. Here's how to use them.
Finding an account you never opened on your credit report is alarming. The good news is that the law treats identity theft differently from ordinary disputes, and gives you a faster path to getting fraudulent information blocked.
Signs of identity theft on your credit report
- Credit cards, loans or phone accounts you didn't open
- Hard inquiries from lenders you never applied with
- Collection accounts for debts you don't recognize
- Addresses, names or employers that aren't yours
- Balances or charges that don't match your records
Check all three reports. Fraud often shows up on one bureau before the others.
Step 1: Place a fraud alert or credit freeze
A fraud alert tells lenders to verify your identity before opening new credit. It's free, lasts one year, and you only need to contact one bureau, which notifies the other two. Identity theft victims can get an extended fraud alert that lasts seven years.
A credit freeze goes further. It blocks access to your credit report for new accounts until you lift it. Freezes are free, don't affect your score, and you must place one with each bureau separately.
Step 2: Report it at IdentityTheft.gov
Go to IdentityTheft.gov, the FTC's official site, to create an Identity Theft Report and a personalized recovery plan. This report is key to the steps that follow. You can also file a report with your local police department.
Step 3: Block fraudulent information
Under Section 605B of the Fair Credit Reporting Act, when you send a credit bureau your Identity Theft Report, proof of identity, and a list of the information that resulted from the theft, the bureau must block that information within four business days (with limited exceptions). This is typically faster and stronger than a standard dispute.
Step 4: Contact the companies involved
Call the fraud department of each company where an account was opened or misused. Ask them to close the account, remove the charges, and send you a letter confirming you're not responsible. Collectors must stop reporting debts once you notify them that the debt resulted from identity theft and provide your report.
Step 5: Follow up
- Pull your reports again after 30 to 60 days to confirm the items are gone.
- Watch for new inquiries or accounts.
- Keep copies of every letter, report and confirmation.
- Change passwords and turn on two-factor authentication for financial accounts.
Only for real identity theft
Identity theft reports are legal documents. Filing a false report to remove accounts you actually opened is illegal. For accounts that are yours but reported inaccurately, use the regular dispute process.
Not every unknown account is fraud
Sometimes accounts belonging to a relative or someone with a similar name end up on your report. This is called a mixed file. It's handled through a standard dispute. Showing your correct Social Security number, date of birth and address history usually resolves it.
Need help cleaning up your reports?
Sorting out fraudulent accounts across three bureaus takes time. At 90 Day Credit Experts, we help clients identify which items don't belong and prepare the documentation. Start with a free credit assessment. You may also want to review hard inquiries you don't recognize.
Not sure which items on your reports are worth disputing? Our team will go over all three reports with you for free.
Get a Free Credit AssessmentFrequently asked questions
What is the difference between a fraud alert and a credit freeze?
A fraud alert asks lenders to verify your identity before opening credit. A credit freeze blocks access to your report for new accounts until you lift it. Both are free.
Does a credit freeze hurt my credit score?
No. A credit freeze does not affect your credit score or your existing accounts.
How fast must bureaus block identity theft information?
When you provide an Identity Theft Report and the required information, the bureau must block the fraudulent information within four business days, with limited exceptions.
Where do I report identity theft?
Report it to the FTC at IdentityTheft.gov, which creates an official Identity Theft Report and recovery plan.