How to Protect My Identity: 12 Tips to Follow

Growing up, you were taught how to play safely and be aware of your surroundings. As adults, the same concept can also apply to one of the most important parts of your life: personal finances.

It’s likely that the majority of your finances live online, which means there’s an increased amount of personal information available to the public. With this in mind, it’s now more important than ever to make sure you’re completely secure.

But you might be asking yourself, “How do I protect my identity?”. That’s where we can help. Here are twelve tips to help strengthen your security network and build protection against identity theft.

12 Identity protection tips

1. Make strong, unique passwords and keep them updated.

Some websites require you to meet a certain number of non-alphabetical characters and letters, which solidifies a secure password and makes it more difficult for someone to hack into your account.

When you create a password, it’s also important to avoid common or easy-to-guess passwords – for example, try to stay away from birth dates or a mother’s maiden name. It’s also important to change your password every few months and create a unique password for each online account.

2. Be cognizant of what you share.

It can be easy to accidentally share too much personal information on your Facebook or other social media pages, especially if you see your friends also doing so. However, you should always be mindful of what you’re posting on social media and never share your:

• Address
• Phone numbers,
• Social Security numbers

Instead, just keep it to funny pictures of your dog!

3. Secure sensitive personal and financial documents.

Storing personal information on your computer can be quick and easy, and in fact, most people keep their important information online. However, if you decide to store everything online, you’ll need to protect your computer with security and anti-virus software to help protect your information.

If you’re old school and keep most of your documents in a file cabinet, make sure you shred them if you decide to dispose of them and store documents you keep in a safe location. Also, avoid carrying your Social Security card with you in your wallet or purse, as your Social Security number could be accessed if you were to lose the card or have it stolen.

4. Protect your mobile device.

With all the helpful tools and features a mobile device can offer, you can download personal finance apps that track your finances… and can even do your taxes from your phone!

Although these apps are extremely helpful, always double-check that they’re from a reputable company, and be sure to check the ratings and comments to be aware of what the app does, and what information it may access on your mobile device.

You should also secure your device with a strong password and use your phone’s auto-lock feature to protect personal information.

5. Frequently check your credit report.

Do you pay off your credit card on time each month and want to know if you’ve boosted your credit score?

You’re entitled to one free credit report each year, and you should take advantage of the free report in order to catch any errors. If any information has been compromised, set up a fraud alert to put a security freeze on your files and information.

6. Don’t fall for phishing scams.

Sometimes, scam emails can sneak through the junk folder in your email, and seem believable asking for money or for you to confirm confidential information. But don’t be fooled, these scams usually come from a third party claiming to be a trustworthy entity.

It’s important to remember that trustworthy companies like your bank would not ask you to provide personal or sensitive information without first signing into your account behind a secure firewall. Do not open emails claiming to be from the IRS.

The IRS does not request information via email, and be sure to forward emails claiming to be the IRS to phishing@irs.gov.

7. Keep software up to date.

Constant software updates can seem annoying, but they’re essential to protecting yourself from identity theft. By keeping your software up to date, you’re helping protect your devices against the latest cybersecurity threats, updating alert systems to detect suspicious activity on your devices, and also updating actions to protect your data.

Make your resolutions for better identity protection easy by turning on automatic updates and ensuring all your devices are installing the latest security advances against viruses and cyber security threats.

8. Be careful when using public Wi-Fi.

When it comes to learning how to protect yourself from identity theft, it’s important to be aware of and careful when using public Wi-Fi.

Avoid logging into accounts with sensitive information, such as bank accounts, credit cards, or investing accounts, as public devices and Wi-Fi networks may not be encrypted and are more vulnerable to cyberattacks and hackers. 

Stick to reputable websites or use a VPN (virtual privacy network) to connect you to a secure server, encrypt your data, and help conceal your sensitive and private information online. 

9. Use two-factor authentication when possible.

While creating long and complex passwords and passphrases is essential to protecting your information, take security a step further and enable two-factor authentication (2FA). 

Two-factor authentication is a multi-factor authentication that strengthens login security by going beyond a password and requires two forms of identification in order to access resources and data. This helps reduce the risk of cybercrime and prevent unauthorized access to your accounts. 

The second factor can be anything from a code sent to your smartphone via:

• Text message
• Biometrics
• Smartphone authenticator apps
• A trusted device that you’re already signed into

10. Lock your devices.

With how much personal and private data is stored on our devices, it’s important to put as much effort into protecting our devices as our online presence. Don’t forget the basics of locking your screen and devices.

Whether you’re traveling or just running errands, having a passcode offers an extra layer of protection if your device is ever stolen or lost.

11. Stay in the know of current scams.

One of the best ways to protect yourself from identity theft is by staying informed of current scams going on. 

Subscribe to scam alert newsletters, stay connected with local law enforcement, and follow reliable sources like the Federal Trade Commission (FTC) and the FBI’s Internet Crime Complaint Center (IC3), which provide updates on scams and even allow you to report scams. 

The more you learn and know about scams and scammers, the better prepared you’ll be at identifying and avoiding them.

12. Wipe your electronic devices before disposing of them.

If you sell,  recycle, or even throw away your electronic device without wiping your data, it’s incredibly easy for someone to access your personal information, which could lead to identity theft. 

Wiping your electronic devices is a crucial way to protect your sensitive and personal data from falling into the wrong hands. Start by performing a hard factory reset, but use specialized data-wiping software to ensure complete data erasure, especially if you have encrypted files. 

There may be some extra steps when trying to protect your identity, but these precautions and steps can help you protect your personal information.

Common methods used by identity thieves

Criminals have developed several methods to help commit identity theft, including: 

• Physical theft: This might include acts such as dumpster diving, mail theft, or stealing your personal device or phone, to obtain sensitive information.
• Cybercrime and hacking: Malware attacks and data breaches allow thieves to gain access to sensitive information that can be sold for a profit on the dark web. While illegal, skimming devices installed into ATMs and gas stations, skim personal information off your card.
• Social engineering: Phishing and vishing scams often involve tricking victims into giving up their private information through emails, texts, or voice messages by pretending to be employees of banks, credit cards, debt collectors, etc. 

Signs of identity theft: what to watch out for

When it comes to making changes in your life, such as saving for retirement, it’s essential to develop money management tips that help you easily identify signs of identity theft. Keep an eye out for:

• Unusual credit card charges or significant changes to your credit score. 
• Unexpected bills, statements, or receiving calls from debt collectors from care you didn’t receive.
• Bank statements. Not receiving your bank statement or suspicious activity could mean someone has changed your mailing address.
• Unusual activity on your Social Security account, rejection of your tax return, or denials for loan or credit applications.

Keep asking yourself, “How can I protect my identity?” at regular intervals to ensure you’re keeping up with the latest identity protection recommendations and updating your personal practices as the cybercrime landscape evolves.

Learn more about how TurboTax works hard to help protect your identity on our TurboTax Security page.