If you are like alot of people, you have probably heard of identity theft. You have gotten mailings from various companies warning you about it and possible steps to take to prevent it. You probably understand the financial ramifications of it. You even understand that it can leave you financially devastated if you do not take certain steps to deal with it correctly and swiftly. But do you recognize the warning signs?
The sad reality is that alot of people do not recognize the possible warning signs of identity theft and fail to react in time to prevent it from becoming a real problem. They simply do not pay attention to those little warnings that something could be very wrong. Here are a few warning signs that you should be aware of.
Your regular bills arrive late or not at all. Usually the postal service is good at keeping the mail moving in a timely manner, but when your bills start showing up two weeks late or not at all, a better question might be: Is someone watching your mailbox?
A Related warning sign (to the above) is unexpected bills. Particularly credit cards, cell phones, etc. A potential thief may watch your mailbox to see when the mail arrives and when you pick it up. He can then steal a credit card application (Or any credit or mail in loan application), fill it out and send it in. When the card arrives, he can then activate it and start using it with you being none the wiser till you get the bills.
Denials of Credit can be especially embarrassing, but when you are rejected without a reason, it is even harder. An especially good idea here is to get and keep yearly copies of your credit report. This can be invaluable to you in detecting and dealing with unauthorized activity that is related to you. This can protect your credit rating which is invaluable when shopping for that first house or buying that next car. In many cases now, it is also a factor in landing a job.
You start getting letters or calls, or both, about items that have been purchased in your name, but not by you. This one is my personal favorite as it related to my own family.
A relative of mine started getting calls regarding a purchase he supposedly made in another city. At first, the calls were mainly notices of overdue payments. After a short while, however, they started getting nasty with threats of legal action and even some name calling.
It didn't take long to realize what had happened. His identity had been compromised. My relative took his dad and they traveled to see the merchant in question regarding this entire incident. It was discovered that the thief did not look like my relative in any way. This visit also stopped the calls. The irony of it all was that the thief knew my relative.
These days a little inattention can land you in a heap of financial trouble. Keep an eye on your bills. Keep track of your financial records. If you get any credit card applications that you have no interest in, make sure they are destroyed. Use a good crosscut paper shredder. A few simple steps can go a long way in protecting yourself from identity theft.
People go into debt for a lot of reasons. Maybe you purchased a new home or car that was above your means, and now you're struggling to pay it off. Perhaps you lost your job, and ran up your credit card bills on necessities. Perhaps you got into debt through gambling. The reasons for being in debt are as unique as the people suffering from debt. The key is in knowing when your debt has simply piled too high, and then being able to make an action plan to reduce or consolidate your debt. Here are ten warning signs that you may be in too much debt:
1. You're living paycheck to paycheck. If your bank account runs dry towards the end of the week, before you get your next paycheck, you're probably in over your head with debt. You should be able to pay your necessary bills, and still have money left over to put into savings.
2. You can't pay every bill each month. If you have to make a decision each month about what bills you can afford to pay (i.e. letting your phone bill run a month behind, so you can keep your electric turned on, or vice versa), then you probably have too much debt. Your bills shouldn't exceed your income in any amount, but especially not if you're being forced to make a choice between necessities.
3. You applied for credit and were denied. This is a more obvious sign that you're in too much debt. If this happens, and you don't know why, order your credit report immediately and find out what's wrong. Remember to fix anything on the report that isn't correct.
4. You regularly overdraft your bank account. If you're cutting checks to pay your bills, and they're bouncing, you're probably in too much debt. The same is true if you write a check for more than you currently have in your account, hoping that a deposit in the next day or two will be processed in time to cover it.
5. Collectors are calling you. This is another of the more obvious signs that you're in too much debt. Although they may seem frightening, ignoring collectors won't make them go away. They'll likely just become even pushier. Your best bet is to answer your phone or call them back, explain your situation, and see what they can do to work with you. Some will be able to lower your interest rates or be able to give you an extension on your payment dates.
6. Your credit cards are maxed out. Credit cards should never be pushed to their limits. You should always keep an adequate amount of money available on them for an emergency, if one comes up. Running them up on material things that you can't afford is a sign that you're in too much debt.
7. You have more than five recurring debts. Having more than three credit cards at any one time can be a sign that you're in too much debt. Couple that with more than two loans or other revolving credit (for a mortgage, car, student loans, or a computer loan), and you're just asking for debt troubles.
8. You use your credit cards for everyday expenses. If you find yourself using your credit cards to buy groceries or other necessities, because you don't have enough cash at the time to purchase them, you're likely in too much debt. Use your credit cards for occasional expenses, not basics like food and utilities.
9. You only make the minimum payments on your debts. Being able to make your minimum payments on all of your debts each month does not mean that you're in control of your debts. Creditors love people that only pay their minimum amounts, because it means they'll make the most interest. The longer it takes you to pay your debts back, the more you have to pay over time.
10. You don't know how much you owe. This is the biggest sign that you're in too much debt. If you've ignored your debt to the point where you don't even know what you owe, you're likely in more debt than you think.
If two or more of the warning signs above apply to you, you're in too much debt. The best thing you can do for yourself is to evaluate your debt, and work on a plan of attack for reducing or consolidating it. The longer you wait, the worse your debt will become, so get started on building a brighter, debt-free future for yourself right now.
Both Ryan Smith & Stephen Ashton are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
Ryan Smith has sinced written about articles on various topics from Valentines Day, Dating and Romance and SEO Articles. Ryan Smith is the author of the hot, new, blog "The 10 Commandments of ID Theft Protection" Learn more at . Ryan Smith's top article generates over 33100 views. to your Favourites.
Stephen Ashton has sinced written about articles on various topics from Hair Care, Credit Cards and Free Credit Report Score. Read more tips and advice about how to clear credit card debt at and find debt consolidation loans at. Stephen Ashton's top article generates over 6600 views. to your Favourites.