How to Prevent Identity Theft: A Practical 2026 Checklist

More than 1.1 million identity theft reports were submitted through the Federal Trade Commission's IdentityTheft.gov site in 2024, according to the FTC's Consumer Sentinel Network data. Identity theft can damage your credit history and may also affect employment or insurance-related records, depending on how the fraud occurs and how quickly it's caught. The good news is that a handful of concrete habits can meaningfully lower your risk.

The most effective ways to prevent identity theft are to freeze your credit with all three nationwide bureaus, turn on multi-factor authentication for your email and financial accounts, use a password manager with unique passwords, check your credit reports regularly, and stay alert to the warning signs of scams designed to get you to hand over personal information. This guide walks through each step, how to recognize scams that can lead to identity theft, how to spot it early, what to do if you think it's already happened to you, and how GOV+ can fit the process.

What Is Identity Theft?

Identity theft happens when someone gets access to your personal information, such as your Social Security number, bank account details, or insurance ID, and uses it to commit fraud. Depending on what information is exposed, that can mean opening new credit accounts, filing a fraudulent tax return, draining an existing account, or using your insurance to obtain medical services.

Identity thieves get this information in a number of ways: data breaches at companies that store your information, phishing emails and texts, stolen mail or documents, unsecured Wi-Fi networks, and scams that persuade victims to hand over details directly. Understanding how thieves typically operate is the first step toward protecting yourself.

Best Ways to Prevent Identity Theft

No single step will fully protect you, but together, these habits make it significantly harder for someone to steal and use your personal information, and they can limit the damage even if a thief does get hold of some of your data. 

Freeze Your Credit

A credit freeze restricts access to your credit report, which the FTC describes as one of the most effective ways to stop an identity thief from opening new accounts in your name. Under federal law, placing and lifting a freeze is free at each of the three nationwide credit bureaus: Equifax, Experian, and TransUnion. Because lenders may pull your credit from any of the three, you generally need to freeze (and later lift) it separately at each bureau. According to the FTC, a freeze does not affect your credit score or your ability to use existing credit accounts.

Turn On Multi-Factor Authentication

Multi-factor authentication (MFA) requires a second form of verification, such as a one-time code, in addition to your password. Security agencies including the Cybersecurity and Infrastructure Security Agency (CISA) recommend enabling MFA wherever it's offered, particularly for:

• Your primary email account, since it's often the recovery method for other accounts
• Banking and investment accounts
• Shopping and payment apps that store card information

App-based or hardware-key MFA offers stronger protection than SMS text codes, which CISA and other federal guidance note are more vulnerable to interception and SIM-swap attacks, though SMS-based MFA is still better than no MFA at all.

Use a Password Manager and Unique Passwords

Reusing the same password across multiple sites means a single data breach can expose several of your accounts. A password manager generates and stores a unique password for each account, so you only need to remember one master password. 

The National Institute of Standards and Technology's current digital identity guidelines (SP 800-63B) recommend against requiring routine password changes on a fixed schedule, and instead advise changing a password mainly when there's evidence it may have been compromised. For most consumers, that means a unique, sufficiently long password per account, managed with a password manager, is generally considered more effective than frequent password rotation.

Review Your Credit Reports Regularly

You can get free copies of your credit report from each of the three nationwide bureaus through AnnualCreditReport.com, the centralized service authorized under federal law. Reviewing your reports periodically, rather than only after something goes wrong, makes it more likely you'll notice accounts or inquiries you don't recognize before the damage grows.

Set Up Account Alerts

Many banks and credit card issuers offer free alerts you can turn on for things like:

• Charges over a certain amount
• Login attempts from unrecognized devices
• Changes to your mailing address or contact information

Availability and specific alert options vary by institution, so check what your bank or card issuer offers. Alerts like these can flag suspicious activity faster than waiting for a monthly statement.

Protect Your Phone Number and Account Recovery Methods

Because many accounts use your phone number for password recovery or two-factor codes, a phone number can become a target for SIM-swap fraud, where someone tricks your carrier into moving your number to a device they control. In late 2023, the Federal Communications Commission adopted rules requiring wireless carriers to use secure authentication methods before processing SIM changes or number ports. As an added precaution, check whether your carrier offers an account PIN or additional security feature you can set yourself, and make sure any recovery email or phone number on your important accounts is one you control and check regularly.

Be Careful on Public Wi-Fi

Public networks at coffee shops, airports, and hotels are generally less secure than a trusted home or cellular connection. Avoid logging into banking or other sensitive accounts on public Wi-Fi when possible, and consider using a virtual private network (VPN) for added protection if you need to access sensitive accounts while away from a trusted network.

Shred and Secure Sensitive Documents

Shred bank statements, receipts, expired cards, and pre-approved credit offers before throwing them out, and keep documents like your Social Security card, birth certificate, and passport in a secure location at home. Share your Social Security number only when it's genuinely required.

Collect Your Mail and Watch for Card Skimmers

Pick up mail promptly and use the U.S. Postal Service's Hold Mail service when you're away, since stolen mail is a known source of personal information for identity thieves. At ATMs and gas pumps, check for signs of tampering that could indicate a card skimmer, and cover the keypad when entering your PIN.

Protect Your Tax and Health Insurance Information

The IRS offers a free Identity Protection PIN (IP PIN), a six-digit number known only to you and the IRS, that helps prevent someone else from filing a tax return using your Social Security number. The IRS encourages all eligible taxpayers, not just prior victims, to enroll. Treat your health insurance card and tax documents with the same caution as financial documents, since a stolen Social Security number or insurance ID can, in some cases, be used to receive medical services or benefits in your name.

How to Recognize Scams That Can Lead to Identity Theft

Scammers don't always steal your information directly. Often, they try to trick you into giving it up voluntarily. Tactics that federal agencies including the FTC and IRS have warned about in recent years include:

• Smishing: text messages that appear to be from your bank, a delivery service, or a government agency, with a link asking you to "verify" your account
• Social media scams: fake giveaways, impersonated customer-service accounts, and posts pushing bad tax or financial advice
• Tech-support scams: unsolicited calls or pop-ups claiming your computer is infected and asking for remote access or payment
• QR code scams: malicious QR codes that lead to fake login pages
• Fake delivery and benefit messages: texts or emails claiming a package or benefit payment is on hold, pending a fee or personal details

Warning signs that a message or call may be a scam include:

• Contact from someone you don't know, out of the blue
• A request for payment by gift card, wire transfer, or cryptocurrency
• A request for your personal information, passwords, or remote computer access
• Pressure to act immediately or keep the conversation secret
• An offer that sounds too good to be true, like an unclaimed prize or inheritance

If you're asked to share personal information online or by phone, verify independently. Look up the organization's official number yourself rather than using one provided in the message.

How to Spot Identity Theft Early

Even people who take precautions can still become identity theft victims. Catching it early can limit the damage. Watch for:

• Bank or credit card charges you don't recognize, even small ones
• New accounts or credit inquiries on your credit report that you didn't authorize
• Loan application denials or debt collection calls for accounts you never opened
• Bills or statements that stop arriving, which can sometimes indicate someone changed your mailing address
• A notice from the IRS about a tax return you didn't file

Checking your accounts and credit reports on a regular basis, rather than only after a problem surfaces on its own, is one of the more reliable ways to catch identity theft early.

Extra Protection for Children, Seniors, and Online Accounts

Children: According to the FTC, children under 18 generally don't have a credit report, which can let identity theft go unnoticed for years. If your child is under 16, federal law lets a parent, legal guardian, or child welfare representative request a free credit freeze on their behalf; minors who are 16 or 17 may request one themselves. The FTC recommends contacting each of the three credit bureaus directly for instructions, since the process differs from freezing an adult's credit.

Seniors: FTC data has repeatedly shown that older adults are disproportionately targeted by phone and tech-support scams. Talking through common scam tactics with older family members, and helping them set up account alerts, can add an extra layer of protection.

Online accounts: Periodically review the recovery settings, connected devices, and third-party app permissions on your most important accounts, and remove access you no longer recognize or need.

What to Do If You Suspect Identity Theft

1. Report it at IdentityTheft.gov. The FTC's site walks you through reporting the theft and building a personalized recovery plan based on what happened.
2. Contact affected institutions. Call your bank, credit card issuer, or any other company where fraud occurred, and ask them to flag the account and dispute unauthorized charges.
3. Place or confirm a credit freeze. If you haven't already frozen your credit with Equifax, Experian, and TransUnion, do it now.
4. Consider a fraud alert. An initial fraud alert lasts one year and asks lenders to verify your identity before opening new credit in your name; if you've confirmed identity theft, you may be eligible for an extended fraud alert lasting seven years.
5. Consider filing a report with local law enforcement, particularly if you have specific details about the theft, such as a stolen wallet or a known suspect.

Protect Your Identity with GOV+

GOV+ is designed to help you stay ahead of identity theft instead of only reacting to it after the damage is done.

If you want ongoing protection for your personal information, here's how GOV+ can help:

• GOV+ monitors your Social Security number, IDs, address, and other personal records for signs of exposure or misuse.
• Real-time alerts flag suspicious activity on your personal information so you can look into it right away.
• If your identity is compromised, GOV+ connects you with recovery assistance from live experts to help you through the process.

Ready to get started? Sign up for GOV+.

FAQ

What is the fastest way to reduce my risk of identity theft? 

Freezing your credit with all three bureaus and turning on multi-factor authentication for your email and financial accounts are two of the higher-impact steps you can take relatively quickly.

Does a credit freeze hurt my credit score? 

No. According to the FTC, a credit freeze doesn't affect your credit score. It restricts new lenders from viewing your report, which is what helps prevent new-account fraud.

Should I still change my passwords on a regular schedule? 

Current NIST guidance recommends against mandatory periodic password changes and instead favors long, unique passwords managed with a password manager, with changes made mainly when there's reason to believe a password has been compromised.

What should I do first if I think my identity was stolen? 

Start at IdentityTheft.gov to file a report and get a personalized recovery plan, then contact the affected banks or companies directly.

Can children be victims of identity theft? 

Yes. Because children generally don't have a credit report, fraud using a child's Social Security number can go undetected for years, which is why the FTC recommends checking for one and freezing it if needed.

References

• Report Identity Theft - IdentityTheft.gov, Federal Trade Commission
• New FTC Data Show a Big Jump in Reported Losses to Fraud to $12.5 Billion in 2024 - Federal Trade Commission
• Identity Theft - USA.gov
• Credit Freezes and Fraud Alerts - Federal Trade Commission Consumer Advice
• How To Protect Your Child From Identity Theft - Federal Trade Commission Consumer Advice
• Get an Identity Protection PIN (IP PIN) - Internal Revenue Service
• FCC Adopts Rules to Protect Consumers' Cell Phone Accounts from SIM Swapping - Federal Communications Commission
• AnnualCreditReport.com - centralized service authorized under federal law
• NIST Special Publication 800-63B (Digital Identity Guidelines, Revision 4) - National Institute of Standards and Technology