Social Security fraud is a serious problem in the United States. According to a 2014 report by the Identity Theft Resource Center, more than 11.5 million consumer records were compromised in 2013 due to breaches in banking, business, education, government and healthcare security. Of the records exposed, nearly half revealed Social Security Numbers as well.
Despite the inherent risk, many consumers feel compelled to fork over their personal identifier when someone asks. I recently encountered such an event while speaking to a popular home security company. During the initial call, the customer service representative collected my family name, address and desired level of protection. Near the end of the conversation, the rep said, “Okay ma’am, now I’ll just need your Social Security Number.” When faced with similar circumstances, ask the following questions:
In my case, the representative claimed to need a Social Security Number for ID verification and a preliminary credit check.When I refused to provide it, he was able to verify my identity and credit range using an address and birthdate. This begs a few questions:
Asking these questions is the best way to avoid identity theft and protect your credit file. Read on for some answers.
As you just learned, many businesses may want your SSN, but needing it is another story. According to the Social Security Administration, you must provide your SSN to (the):
Yes. You are not legally required to provide your SSN to businesses or other entities, however, their policies may impact whether they choose to work with you. For example, suppose you recently moved and are setting up utility services. The local gas company requires ID verification to open a new account, usually a Social Security Number. While you can refuse to provide it, they can also refuse to provide service.
Social Security Numbers aren’t the only form of identity verification. Schools, utility companies and healthcare providers are among the many businesses that ask for SSN verification, but that doesn’t mean you should comply. If you feel uncomfortable providing an SSN, consider using your:
The bottom line: Identity theft victimizes millions of Americans each year, and SSN exposure poses an additional level of risk. Minimize yours by practicing caution.
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