Chances are, you know someone in your family or at work who has been a victim of identity theft. Beyond the financial costs, identity theft victims can spend hundreds of frustrating hours talking to credit card companies, banks, police and credit bureaus repairing the damage. Factor in that thieves may hold onto information for as long as six months before using it, and that a single stolen identity may be used up to 30 times, the full impact of the crime really begins to take shape. And unfortunately, you are guilty until proven innocent when it comes to identity theft - adding insult to injury.



The fact is you could already be a victim of identity theft and not know it for months.

Here are the top five things you can do now to prevent yourself from becoming a victim of identity theft:

1) Place Fraud Alerts On Your Credit Report

Fraud alerts make it extremely difficult for thieves to open new lines of credit in your name. Fraud alerts have proven 82% effective in stopping unauthorized use of personal information. You can place fraud alerts with all three major credit reporting agencies (Equifax, Experian, TransUnion), but alerts last only 90 days and so must be renewed constantly to remain effective.

2) Order All Three Free Credit Reports

Regardless if you are a victim of identity theft, take advantage of your free annual credit reports. They are available for free at www.annualcreditreport.com .

3) Opt Out Of Unsolicited Credit Card Offers.

Opt out of pre-approved credit card and other loan offers at www.optoutprescreen.com . You may choose to opt out for five-years or choose permanent opt out status. This reduces the possibility of someone getting a pre-approved offer out of your mailbox and opening credit under your name.

4) Shred it and Forget it!

All personal mail should go through a shredder before putting it into the trash. Most identity theft occurs the old fashioned way - by digging through the trash. Using a shredder on all of your personal documents makes it hard for any identity thief to get your information.

5) Let The Experts Protect You.

Do the steps above to eliminate the obvious sources of identity theft, and then back it up with a service that will monitor any activity related to opening lines of credit in your name. Most of these services cost only $10-20 a month and are well worth the peace of mind you will have by knowing your credit and identity are safe.