What to Do If Your Identity Is Stolen

Quick Answer: If your identity is stolen, freeze your credit at all three bureaus immediately, file a report at IdentityTheft.gov, and contact your bank’s fraud department – then work through each fraudulent account systematically.

The FTC received more than 1.1 million identity theft reports in 2024 – a 9.5% increase over the prior year. If you’re reading this because it happened to you, you’re not alone, and you’re not out of options.

Identity theft recovery isn’t quick, but it is manageable when you work through the right steps in the right order. The damage a thief can do compounds fast – fraudulent accounts get aged, credit scores drop, and disputing old activity becomes harder. Speed matters more in the first 48 hours than at any other point in the process.

This guide covers exactly what to do, in order, whether someone opened credit cards in your name, stole your Social Security number, drained a bank account, or filed a fraudulent tax return under your identity.

Key Takeaways

• If your identity is stolen, freeze your credit at all three bureaus, file an FTC Identity Theft Report at IdentityTheft.gov, and dispute fraudulent accounts directly with each creditor.
• The FTC logged 1,135,270 identity theft reports in 2024 – a 9.5% increase over 2023 – with credit card fraud accounting for the largest share of cases.
• A credit freeze is free, does not affect your credit score, and blocks new accounts from being opened until you lift it – stronger protection than a fraud alert alone, per the Consumer Financial Protection Bureau.
• Fraudulent accounts blocked within four business days of filing an FTC Identity Theft Report are protected under federal law, per the FTC’s recovery steps guide.
• For high-stakes situations involving large asset exposure, ongoing fraud, or complex identity compromise, Batten Black provides structured advisory support across digital, financial, and physical security.

Step 1: Freeze Your Credit – All Three Bureaus

A credit freeze is the single most effective thing you can do immediately. It prevents any lender from accessing your credit report to open new accounts – which stops thieves from taking out loans, credit cards, or lines of credit in your name.

Credit freezes are free under federal law, don’t affect your credit score, and stay in place until you lift them. You must contact all three bureaus separately:

• Equifax: equifax.com/personal/credit-report-services or 1-800-685-1111
• Experian: experian.com/freeze or 1-888-397-3742
• TransUnion: transunion.com/credit-freeze or 1-888-909-8872

Online freezes take effect within minutes. You’ll receive a PIN or password to lift the freeze when you apply for credit legitimately. Keep that PIN somewhere secure.

Fraud Alert vs. Credit Freeze – Which One Do You Need?

A fraud alert requires lenders to verify your identity before issuing new credit. An initial alert lasts one year and only requires you to contact one bureau – that bureau notifies the other two. An extended fraud alert lasts seven years and requires a police report.

A credit freeze is stronger. It doesn’t just flag your account – it locks it entirely. The CFPB explains that when a freeze is in place, nobody can open a new credit account in your name, regardless of what documentation they present. If your identity has been actively stolen, place both a fraud alert and a credit freeze. They work together and don’t conflict.

Step 2: File an FTC Identity Theft Report

Go to IdentityTheft.gov – the federal government’s official identity theft reporting and recovery portal. The process takes 15-20 minutes and produces two things:

1. An FTC Identity Theft Report, which is a legal document proving someone stole your identity
2. A personalized recovery plan with pre-filled dispute letters tailored to your specific situation

That report triggers federal protections, including the right to have fraudulent accounts blocked from your credit file within four business days. Creditors and credit bureaus are legally required to respond to dispute letters accompanied by an FTC Identity Theft Report.

You’ll need your full legal name, current address, Social Security number, and date of birth. Create an account so you can track your recovery progress and return to update your plan as needed.

Should You Also File a Police Report?

For most cases, the FTC report is sufficient. File a police report as well if:

• A thief used your identity in a criminal matter (criminal identity theft)
• You need an extended fraud alert (requires a police report)
• A creditor specifically requires one before removing a fraudulent account
• You’re dealing with large-scale financial fraud that may involve law enforcement

Bring your FTC Identity Theft Report when filing the police report, along with any documentation of the fraud. Request a copy of the police report number – you’ll reference it in future disputes.

Step 3: Contact Your Financial Institutions

Call the fraud departments at every bank, credit union, and credit card issuer where fraudulent activity occurred. Don’t use numbers from emails or text messages – look up the number directly on the back of your card or the institution’s official website.

When you call:

• Explain the situation clearly: Someone stole your identity and used your information fraudulently.
• Request immediate account freezing or closure on compromised accounts.
• Ask to change all login credentials, passwords, and PINs on any account you keep open.
• Document everything: Note the date, time, name of the representative, and any case or reference number given.

For debit card fraud, timing is critical. Under the Electronic Fund Transfer Act, liability is capped at $50 if you report within two business days, increases to $500 if you report within 60 days, and can become unlimited after 60 days. Report immediately.

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Step 4: Review Your Credit Reports for Fraudulent Accounts

Pull your full credit reports from all three bureaus at AnnualCreditReport.com – the only federally authorized source for free reports. You’re entitled to free weekly reports from all three bureaus.

Work through each report systematically and flag:

• Accounts you don’t recognize
• Inquiries you didn’t authorize
• Addresses where you’ve never lived
• Employers you haven’t worked for
• Accurate-looking accounts with unusual activity

For each fraudulent account you find, note the creditor name, account number, and date opened. You’ll use this information to dispute accounts directly with both the creditor and the credit bureau.

How to Dispute Fraudulent Accounts

With the creditor: Send a written dispute letter (IdentityTheft.gov provides pre-filled versions) with your FTC Identity Theft Report attached. Request written confirmation that the account has been closed and removed from collections.

With the credit bureau: File a dispute online at Equifax, Experian, and TransUnion. Under the Fair Credit Reporting Act, credit bureaus must investigate disputes within 30 days and must block fraudulent information within four business days of receiving your FTC Identity Theft Report.

Keep copies of every letter sent and received. A paper trail is your protection if disputes are contested later.

Step 5: Address Specific Types of Identity Theft

Recovery steps vary depending on what was stolen and how it was used.

Stolen Social Security Number

If your SSN was used to open accounts, file a fraudulent tax return, or claim benefits, take these steps beyond the standard process:

• IRS Identity Protection PIN: Apply at the IRS IP PIN page for a six-digit PIN that prevents anyone else from filing a return under your Social Security number. Once enrolled, you need the PIN to file your own taxes each year.
• IRS Form 14039 (Identity Theft Affidavit): If a fraudulent return has already been filed, visit the IRS Identity Theft Central hub to submit the affidavit and flag your account for enhanced monitoring.
• Social Security Administration: Report SSN misuse and place a block on electronic access to your SSA account at SSA’s fraud reporting page.
• E-Verify Self Lock: Register at everify.uscis.gov to lock your SSN from being used in E-Verify employment checks – preventing someone from getting a job in your name.

Stolen Bank Account Information

If someone accessed your checking or savings account directly:

• Close the compromised account and open a new one
• Review recent transactions with your bank for unauthorized activity
• Ask your bank about their zero-liability fraud policies
• Request that your account be flagged for monitoring

Fraudulent Accounts Opened in Your Name

Beyond disputing with credit bureaus, contact each creditor in writing. The CFPB explains that creditors receiving your FTC Identity Theft Report are required to stop collection activity on fraudulent accounts while they investigate. Keep documentation that you requested each account be closed.

Tax Identity Theft

If someone filed a tax return using your SSN before you did, the IRS will send a notice (typically Letter 4883C or 5071C). Respond immediately through the method specified in the letter. Complete and submit IRS Form 14039 to flag your account for future protection. The IRS encourages all taxpayers to proactively enroll in the IP PIN program before any theft occurs.

Step 6: Secure Your Accounts and Devices

Once you’ve contained the immediate damage, close the vulnerabilities that allowed the theft in the first place.

• Change passwords on all financial, email, and key accounts – use a password manager to generate unique credentials for each
• Enable two-factor authentication (2FA) everywhere possible, especially banking, email, and any account linked to financial information
• Check your email for unauthorized access – look at login history and remove any unfamiliar connected apps or devices
• Review social media privacy settings – limit what personal information is publicly visible
• Update security questions on any account that uses them – avoid answers that could be guessed from your public profiles

If your physical documents were stolen (wallet, passport, driver’s license):

• Driver’s license: Contact your state’s DMV to report the theft and request a replacement
• Passport: Report to the U.S. Department of State at travel.state.gov and request cancellation
• Medicare card: Call 1-800-MEDICARE to report misuse and request a new card

Identity Theft Recovery Checklist

Work through these items systematically. Check off each as you complete it.

Immediate (First 24-48 Hours):

• [ ] Freeze credit at Equifax, Experian, and TransUnion
• [ ] Place a fraud alert with one bureau (it notifies the other two)
• [ ] File FTC Identity Theft Report at IdentityTheft.gov
• [ ] Contact bank and credit card fraud departments
• [ ] Change passwords on banking, email, and compromised accounts
• [ ] Enable two-factor authentication on key accounts

Within the First Week:

• [ ] Pull full credit reports from AnnualCreditReport.com
• [ ] File police report if needed
• [ ] Dispute fraudulent accounts with each creditor and credit bureau
• [ ] Apply for IRS IP PIN if SSN was compromised
• [ ] Report stolen government IDs to the appropriate agency

Ongoing:

• [ ] Monitor credit reports weekly for new fraudulent activity
• [ ] Track all dispute correspondence with dates and case numbers
• [ ] Follow up on open disputes after 30 days if no response
• [ ] Review financial account statements monthly

Can Identity Theft Ruin Your Credit?

It can damage it significantly – and temporarily. Fraudulent accounts, missed payments on accounts you never opened, and hard inquiries from unauthorized credit applications all pull your score down. According to the ITRC’s 2024 Consumer & Business Impact Report, nearly 47% of victims who contacted the ITRC during the reporting period had been victimized more than once – underscoring why ongoing monitoring matters after initial recovery.

The good news: credit damage from verified identity theft is fully reversible. Once fraudulent accounts are blocked and removed through the dispute process, your credit history is restored to its pre-theft state. The Fair Credit Reporting Act gives you the right to have verified fraudulent information removed from your report – it doesn’t just get marked as disputed and left in place.

Recovery timelines vary. Simple cases with one or two fraudulent accounts can be resolved in 30-90 days. Cases involving multiple accounts, criminal identity theft, or medical fraud can take 6-12 months. Documenting every step shortens that timeline significantly.

Feature Comparison: Fraud Alert vs. Credit Freeze vs. Identity Monitoring

Both a fraud alert and credit freeze address prevention of new accounts. Identity monitoring services add proactive surveillance – alerting you to new credit inquiries, dark web exposure of your information, and suspicious activity before you discover it yourself. The FBI’s 2024 Internet Crime Report recorded $16.6 billion in internet crime losses, a 33% jump from 2023 – making ongoing monitoring increasingly worthwhile rather than optional.

When to Consider Professional Support

Most identity theft cases can be resolved by working through the steps above. But some situations call for structured, ongoing support:

• Your identity has been compromised multiple times
• Fraud involves large financial accounts or investment assets
• You’re a public figure, executive, or high-net-worth individual with elevated exposure
• Criminal identity theft has resulted in legal complications
• You’re dealing with synthetic identity fraud across multiple institutions
• You don’t have the time or bandwidth to manage a complex recovery across multiple agencies

Batten Black provides private security advisory services for individuals who need coordinated protection across digital identity, financial accounts, physical security, and travel risk. Their advisors assess exposure holistically – evaluating digital footprints, credit vulnerability, document integrity, and account safeguards – then build a structured protection plan tailored to your specific risk profile.

If the standard recovery process feels insufficient for your situation, Batten Black offers the kind of ongoing, dedicated oversight that consumer-grade monitoring services aren’t built to provide.

Choosing the Right Path Forward

Identity theft is recoverable – but only if you act systematically. The steps are clear: freeze your credit, file your FTC report, dispute fraudulent accounts with documentation, and secure what was compromised. Most people who work through the process fully restore their credit and financial standing.

What separates clean recoveries from prolonged ones is documentation and follow-through. Every call logged. Every letter sent with proof of receipt. Every case number saved. The paper trail you build in the first weeks of recovery is the same trail that protects you if a dispute gets pushed back.

If you’re navigating an unusually complex situation – multiple accounts, large assets at risk, or ongoing exposure you can’t fully assess on your own – Batten Black offers structured advisory support built for exactly that kind of case.

Dealing with identity theft and not sure where to start? Batten Black provides dedicated advisory support for individuals navigating complex identity compromise – from digital security and credit exposure to financial account safeguards and ongoing risk governance.

Frequently Asked Questions

How Do You Know If Your Identity Has Been Stolen?

Warning signs include unfamiliar accounts or inquiries on your credit report, bills for services you didn’t use, IRS notices about a duplicate tax filing, unexpected denial of credit, and collection calls for debts you don’t recognize. Pull your free credit reports at AnnualCreditReport.com regularly – early detection limits the damage significantly.

Should You Freeze Your Credit After Identity Theft?

Yes. A credit freeze is the strongest tool available to prevent new fraudulent accounts. It’s free, doesn’t affect your credit score, and can be lifted temporarily when you legitimately apply for credit. The FTC recommends placing freezes at all three bureaus – Equifax, Experian, and TransUnion – because lenders use different bureaus and a freeze at one doesn’t cover the others.

Who Do You Call When Your Identity Is Stolen?

Start with the fraud departments at your bank and credit card issuers, then contact all three credit bureaus to place a freeze and fraud alert. File an official report at IdentityTheft.gov (Federal Trade Commission). If criminal identity theft is involved or a police report is required, file one locally. The FTC report generates a personalized recovery plan with specific contacts and pre-filled letters.

How Do You Prove Identity Theft to a Creditor?

An FTC Identity Theft Report from IdentityTheft.gov is the primary document. File the report, download it, and attach it to written dispute letters sent to each creditor. Per the Fair Credit Reporting Act, creditors are legally required to investigate and stop collection activity on accounts accompanied by this report.

Can Identity Theft Affect Your Ability to Buy a House?

Yes, temporarily. Fraudulent accounts lower your credit score and can add collections or late payments to your report – all of which affect mortgage approval and interest rates. Once fraudulent accounts are formally removed through the dispute process under the FCRA, your credit history is restored. Straightforward cases typically resolve in 30-90 days; complex cases can take 6-12 months.

Is There a Time Limit for Disputing Identity Theft on Your Credit Report?

There’s no hard expiration date, but acting quickly matters. The CFPB confirms that credit bureaus must investigate disputes within 30 days of receipt. The FTC recommends starting the process as soon as you discover the fraud – the longer fraudulent accounts age, the more complex removal becomes.

Sources Used for This Article

• “New FTC Data Show a Big Jump in Reported Losses to Fraud to $12.5 Billion in 2024,” 2025, Federal Trade Commission, https://www.ftc.gov/news-events/news/press-releases/2025/03/new-ftc-data-show-big-jump-reported-losses-fraud-125-billion-2024
• “Identity Theft Recovery Steps,” 2025, Federal Trade Commission / IdentityTheft.gov, https://www.identitytheft.gov/Steps
• “Credit Freezes and Fraud Alerts,” 2025, Federal Trade Commission Consumer Advice, https://consumer.ftc.gov/articles/credit-freezes-and-fraud-alerts
• “Fair Credit Reporting Act,” 2023, Federal Trade Commission, https://www.ftc.gov/legal-library/browse/statutes/fair-credit-reporting-act
• “What Do I Do If I’ve Been a Victim of Identity Theft?,” 2025, Consumer Financial Protection Bureau, https://www.consumerfinance.gov/ask-cfpb/what-do-i-do-if-i-think-i-have-been-a-victim-of-identity-theft-en-31/
• “What Is a Credit Freeze or Security Freeze on My Credit Report?,” 2025, Consumer Financial Protection Bureau, https://www.consumerfinance.gov/ask-cfpb/what-is-a-credit-freeze-or-security-freeze-on-my-credit-report-en-1341/
• “How Long Does It Take to Repair an Error on a Credit Report?,” 2025, Consumer Financial Protection Bureau, https://www.consumerfinance.gov/ask-cfpb/how-long-does-it-take-to-repair-an-error-on-a-credit-report-en-1339/
• “Fraud Prevention and Reporting,” 2025, Social Security Administration, https://www.ssa.gov/fraud/
• “Identity Theft Central,” 2025, Internal Revenue Service, https://www.irs.gov/identity-theft-central
• “Get an Identity Protection PIN (IP PIN),” 2025, Internal Revenue Service, https://www.irs.gov/identity-theft-fraud-scams/get-an-identity-protection-pin
• “IRS Encourages All Taxpayers to Sign Up for an IP PIN for the 2025 Tax Season,” 2024, Internal Revenue Service, https://www.irs.gov/newsroom/irs-encourages-all-taxpayers-to-sign-up-for-an-ip-pin-for-the-2025-tax-season
• “Electronic Funds Transfer Act,” Cornell Law School Legal Information Institute, https://www.law.cornell.edu/wex/electronic_funds_transfer_act
• “FBI Releases Annual Internet Crime Report,” 2025, Federal Bureau of Investigation, https://www.fbi.gov/news/press-releases/fbi-releases-annual-internet-crime-report
• “Facts + Statistics: Identity Theft and Cybercrime,” 2025, Insurance Information Institute, https://www.iii.org/fact-statistic/facts-statistics-identity-theft-and-cybercrime
• “2024 Consumer & Business Impact Report,” 2024, Identity Theft Resource Center, https://www.idtheftcenter.org/post/2024-consumer-business-impact-report-cyber-habit-changes/