August 2010

Lost Your Wallet?
Don't Lose Your Mind, Just Follow These Ten Steps

Lost Wallet

Nothing can ruin a summer vacation faster than having your wallet or purse stolen. Yet, that can also happen at your hometown mall. Try to stay calm and remember you will need to act fast to limit your liability on credit cards and debit cards as well as protect against identity theft.

  1. Be prepared before it happens. Make a copy of the front and back of everything in your wallet and file it away where you can find it if your wallet is stolen or you are too upset to remember what was in it.
  2. File a theft report right away with the local police department. A copy of the report will help prove you are not liable for fraudulent charges and will assist you in restoring your good name if your identity is stolen.
  3. Cancel your debit card by calling the number listed on your bank statements. Federal law determines your liability based on how quickly you report the theft or loss. If you report it before it is used, you cannot be held responsible for any unauthorized transfers. You will be responsible for $50 of unauthorized use if you report it within two business days yet if you wait until after two days you can be liable for up to $500.
  4. Cancel your credit cards. Under federal law, the most you will owe for unauthorized charges is $50 per card and there is no charge if you report the loss before the card can be used. Don't forget your gasoline cards, as many now offer cash advance options, and even one tank of gas can cost a lot.
  5. Notify the fraud departments of three nationwide consumer credit reporting agencies (Equifax, Experian and TransUnion). Ask them to issue an initial fraud alert which stays on your credit report for at least 90 days. During that time potential creditors must take extra precautions to verify your identity before issuing credit in your name. You will have to give the agencies proof of your identity such as your social security number before you can place the alert or have it removed.
  6. Contact your state's department of motor vehicles to report your missing driver's license and arrange for a new one.
  7. Carrying your Social Security card in your wallet is not recommended. If you do and it is stolen, you only need to contact Social Security to apply for a replacement card if you don't know your Social Security number or if you need to show your card to a new employer. Social Security does not take reports of lost or stolen Social Security cards or numbers. If you need a card, you can replace it for free since you may obtain three free replacement cards in a year and up to 10 during your lifetime.
  8. The information on your driver's license and car insurance card can lead thieves right to your home and car. Change the locks if your keys were also stolen.
  9. Arrange to get new cards with new account numbers so there will be no confusion over your future purchases. Change your PIN numbers and passwords for added protection.
  10.  Realize that the mess won't be cleaned up quickly. It is important to monitor your credit card statements and bank statements for unauthorized activity or signs that your identity has been stolen.