Malware Identity Theft

Can Identity theft affect your credit score?. Most certainly it can. Identity theft can be a frightening thought and carries more problems than most of us realise. It can affect your buying power and your status in so many ways. Until the problem is corrected you will probably find that mortgages, loans, credit and even insurance is completely out of bounds for you.

Affecting your credit score is one of the most upsetting and common problems with identity theft. You may have thrown away an old credit card statement and a receipt with your signature on it without even thinking about it. Months later when you try to take out a loan could be the first time that you are aware of a problem. You could find that someone who got hold of the receipt and statement have been having a wild time at your expense.

Let’s say the first thing they did was apply for a store credit card and be given one with a 1000 pound upper limit to spend. Goods for 1000 pound are purchased and maybe even a couple of payments are made initially. This added to your previous good name could enable them to get more credit cards, take holidays, give gifts, dine out or hire cars all in your name. Until the identity theft comes to light who’s to know?. These days credit is given out so easily that it would not take long for the theft to snowball. Thousands of pounds and dollars can be quickly stolen all sullying your good name and credit score.

Nowadays it’s best to be cautious and dispose of receipts, signed papers or received mail carefully and wisely. Try not to let passports and credit cards out of your sight unnecessarily. If you pay in the restaurant by credit card and it is taken out of your sight who’s to say it has not been cloned. If you move address make sure that all your mail is redirected until everyone is aware of your new address. If you are unlucky enough to be the victim of identity theft you will have a long job correcting things and reaffirming you are a good credit risk.

Whether having been the victim of this scam alone affects your credit score I’m not sure. However it is quite possible it would as you would probably be classed as a bad risk after having suffered identity theft. Sadly thieves often seem to prosper whilst the victim can have a nightmare scenario trying to restore their good name and regain a good credit score. Your credit score is made up of many things such as the area where you live, your age, your occupation and your income. However identity theft can be so damaging and long lasting that it is bound to have a detrimental effect on your credit score.