Let’s flashback to September 2017 when Equifax, one of the “big three” credit reporting bureaus, announced that it had been the victim of a massive data hack. As you may recall, it’s estimated that about 145 million Americans potentially had confidential information, such as social security numbers, birth dates and more, compromised.
In a nutshell, the hack leaves the affected consumers with the threat of identity theft for the rest of their lives. News of the hack inspired many to freeze their credit, others to more closely monitor their credit reporting and it even led to discussions on Capitol Hill regarding stricter regulation – and harsher punishments – for credit reporting bureaus to help prevent such an instance from occurring again.
That was in the fall of 2017, and just when we thought this story could be put in the rear-view mirror, new reports have surfaced indicating that the Equifax hack may have actually been more intensive than what was originally revealed.
Specifically, these reports indicate that in addition to Social Security numbers and birth dates, other confidential information such as driver’s license numbers, license states and issue dates may have also been swiped by the hackers. To be fair, Equifax did say that it believed some driver’s license numbers were likely revealed in its initial response last fall, but these new reports indicate that it was likely more extensive than just “some.”
We get that driver’s license data may seem like nothing compared to Social Security numbers, but keep in mind that the more information – especially information that is confidential – that a thief has on you, the easier it is for them to impersonate you. In other words, data like birth dates, addresses and social security numbers can take a thief so far, but other data might be able to seal the deal when it comes to identity theft. That’s why these new reports are so troubling.
So, what can you do to make sure your sensitive information is protected?
By now, you should know whether or not you were affected by the Equifax hack. However, if you’re still unsure or just want to double check your status, visit www.equifaxsecurity2017.com. You have about a 50-50 chance of being affected.
If your data was compromised in the hack, the next step is truly up to you. You can either leave things as-is and carefully monitor your credit report or you may choose to freeze your credit. If you choose the former, signing up with a credit monitoring service can prove valuable, as you’ll receive notifications when new lines of credits are opened and added to your report. You can also take advantage of receiving one free credit report per year from each of the three big credit reporting agencies (TransUnion and Experian are the other big two). By monitoring your credit, you’ll be able to more promptly address inaccuracies or any activity that seems suspicious.
The other route you may want to consider is freezing your credit. When you do this, nobody will be able to open any new lines of credit in your name. Frozen credit is essentially inactive or paused credit. And if you do want to apply for a credit card or take out a loan, all you’ll have to do is contact Equifax and unfreeze, or lift, your credit. In its response to the hack, Equifax is allowing consumers to freeze their credit free of charge through June 30, 2018. There’s no limit on how often you can freeze and then lift your credit, and though some may see it as cumbersome, it’s an ideal way to keep your identity safe if that’s a concern.
Lastly, we’d also encourage you to contact your elected officials to stay abreast of and make your voice heard on any proposed legislation involving stricter regulations for credit reporting bureaus to prevent a data breach of this magnitude from occurring again. As we said above, there have been proposals on this matter – including one that would fine credit bureaus and redistribute the fine collected to those consumers affected – but none have yet to go to vote.
In the meantime, let’s hope that this is the last disturbing news we hear when it comes to the Equifax breach and that Equifax, and the other credit reporting bureaus can learn from what went wrong and take the proper measures to prevent it from happening again.
Regards,
Ethan Warrick
Editor
Wealth Authority
