His advice comes in the wake of the increasing amount of identity theft incidents, with Patel explaining that criminals typically used an ID document with a changed photo to open bank accounts.
“They then use that ID number to buy on credit and take out loans without, of course, ever repaying them,” he said.
“It’s easy to throw away documents containing bank account details or other personal data, not realising the implications of this action, and the long-term costs could be great.”
He added, however, that there were simple ways to be protected against fraud and identify theft, with the first way being to carefully dispose of expired ID documents so they can’t be reused.
Another tip he offered was to immediately sign a new bank card once you receive it and to link it to your cell phone, so that you are able to get any notifications on transactions that go through.
“Report any fraud on your accounts to your bank immediately, so they can stop access to your cards and keep a list of all your card numbers separate from your cards, in case your wallet or purse is stolen,” he said. .
Patel concluded by urging consumers to act as soon as they suspect that their financial information has been compromised and to not delay.
“While anyone can fall prey to fraud or loss, being vigilant can minimise the damage; if you suspect foul play, act immediately – it’s better to overreact than suffer the consequences of being a victim of fraud,” he said.
Three steps consumers must take in the face of their financial information being compromised:
- Contact the fraud prevention division of the major credit bureau and ask them to place a fraud alert in your file, as well as a request that creditors call you before opening or changing accounts.
- Contact your creditors for information on accounts that may have been tampered with. Ask to speak with someone in the security or fraud department and follow up with a letter.
- File a report at your local police station or the station in the community where the identity theft took place.
