Identity Theft: Warning Signs, Recovery Steps, and How to Protect Yourself

Identity theft can affect much more than your bank account.

When criminals obtain personal information such as your Social Security number, financial account details, passwords, or other identifying information, they may use it to open accounts, make purchases, file fraudulent tax returns, apply for loans, or commit other types of fraud in your name. 

The good news is that there are steps you can take to reduce your risk and resources available to help if identity theft happens.

What Is Identity Theft?

Identity theft occurs when someone uses your personal or financial information without your permission to commit fraud.

Examples may include:

• Opening credit cards in your name
• Applying for loans using your information
• Taking over existing financial accounts
• Making unauthorized purchases
• Filing fraudulent tax returns
• Using your medical insurance or benefits
• Creating accounts using your identity

Identity theft often begins when sensitive information is exposed through scams, phishing attacks, data breaches, stolen mail, malware, or compromised online accounts.

Warning Signs of Identity Theft

Identity theft is not always immediately obvious.

According to FTC consumer guidance, common warning signs include:

• Charges or withdrawals you don't recognize
• Bills for products or services you didn't purchase
• Debt collection notices for accounts you never opened
• Missing bills or financial statements
• New accounts appearing on your credit report
• Credit applications you didn't submit
• Notifications that your personal information was involved in a data breach

If something doesn't look right, investigate it as soon as possible.

How Criminals Steal Personal Information

Identity thieves may obtain information through a variety of methods.

Common tactics include:

• Phishing emails
• Fraudulent text messages (smishing)
• Fake websites
• Tech support scams
• Fraudulent phone calls
• Data breaches
• Mail theft
• Malware and compromised devices
• Social media scams

Many scams ultimately have the same goal: obtaining enough information to impersonate you.

How to Protect Yourself

No solution can eliminate the risk of identity theft entirely, but several habits can help reduce your exposure.

• Use strong, unique passwords for important accounts.
• Enable multi-factor authentication whenever available.
• Monitor financial accounts regularly.
• Review your credit reports periodically.
• Shred documents containing sensitive information before disposal.
• Be cautious when responding to unexpected calls, texts, and emails.
• Never share verification codes with someone who contacts you unexpectedly.
• Keep devices and software updated.

The FTC also recommends reviewing account statements and credit reports regularly so suspicious activity can be identified quickly. 

What to Do If You Become a Victim of Identity Theft

The Federal Trade Commission recommends acting quickly when identity theft is discovered. Recovery often starts with three important steps:

1. Contact Affected Companies

Call the fraud department for any account where fraud occurred.

Ask the company to:

• Freeze or close the affected account
• Block unauthorized transactions
• Secure the account against further misuse

You should also change passwords, PINs, and login credentials associated with the affected accounts.

2. Place a Fraud Alert and Review Your Credit Reports

A fraud alert helps make it harder for criminals to open new accounts in your name.

Review your credit reports carefully for:

• Unrecognized accounts
• Unauthorized inquiries
• Incorrect personal information
• Suspicious activity

The FTC notes that fraud alerts and credit freezes can be useful tools during recovery.

3. Report Identity Theft

The federal government's official recovery resource is IdentityTheft.gov.

The site provides:

• Identity theft reporting
• Personalized recovery plans
• Step-by-step guidance
• Sample letters and forms
• Assistance tracking recovery progress

Learn more at IdentityTheft.gov. [ftc.gov], [identitytheft.gov], [ftc.gov]

Identity Theft Recovery Resources Available to Pathways Members

Recovering from identity theft can be complicated and time-consuming. Fortunately, several resources are available to help.

Allstate Identity Protection® Identity Restoration Services

Pathways members can access Allstate Identity Protection® Identity Restoration Services through the Credit Score & Report experience in Online Banking and Mobile Banking.

If identity theft is suspected, members can be connected with a dedicated restoration specialist who can help guide them through the recovery process and assist with resolving affected accounts and identity theft issues.

Learn more: Allstate Identity Protection® Identity Restoration Services

Mastercard Identity Theft Protection™

Many eligible Pathways Mastercard® cardholders also have access to Mastercard Identity Theft Protection™.

The service includes identity monitoring, alerts for suspicious activity involving registered information, and access to identity theft resolution resources. Enrollment is required.

Learn more or enroll: Mastercard Identity Theft Protection™

Stay Vigilant

Identity theft can happen to anyone, but recognizing warning signs early and taking quick action can help limit the damage.

Monitor your accounts, be cautious with your personal information, and remember that help is available if identity theft occurs.

If you believe your identity has been compromised, visit IdentityTheft.gov and contact Pathways as soon as possible.