Most people think of identity theft as someone stealing a credit card or getting into a bank account.
But your Social Security number can be much more valuable to an identity thief. With your SSN and other personal information, a thief may be able to open credit accounts, apply for loans, obtain employment, file a fraudulent tax return, or create other financial problems in your name.
And you may not find out until the damage has already been done.
The good news is that there are steps you can take to stop further misuse, correct fraudulent information, and, depending on what happened, potentially pursue legal claims against businesses or other parties that contributed to the harm.
How Does Social Security Identity Theft Happen?
There is no single way an identity thief gets a Social Security number.
Your information may be exposed in a data breach. It may be stolen from your wallet or mail. A scammer may contact you while pretending to be a bank, government agency, employer, or another legitimate organization and persuade you to provide your SSN.
Social Security numbers can also be obtained through phishing scams, stolen documents, or other forms of identity theft. The information can then be combined with other personal details and used to impersonate you.
What Can Someone Do With Your Social Security Number?
A stolen SSN can be used for more than opening a credit card.
An identity thief may use it to apply for loans or other credit, obtain employment, file a tax return, or open utility or cellphone accounts. In some cases, the victim does not discover the problem until a creditor starts demanding payment for an account they never opened.
That is why an unfamiliar collection account or an unexpected tax notice should not simply be ignored.
The Social Security Administration recommends reviewing your earnings record and reporting earnings that do not belong to you. If you believe your SSN has been used for identity theft, the SSA directs victims to report the identity theft to the Federal Trade Commission and take steps to protect their credit.
What Should You Do If Your SSN Was Stolen?
Act quickly.
• Check your credit reports. Look for accounts, inquiries, addresses, or other information you do not recognize.
• Report the identity theft. The FTC’s IdentityTheft.gov provides a recovery plan based on your circumstances.
• Contact the businesses involved. Tell creditors and financial institutions about accounts or transactions you did not authorize.
• Check your Social Security record. Review your earnings information and report earnings that are not yours to the SSA.
• Consider a credit freeze or fraud alert. These can make it harder for an identity thief to open additional accounts in your name.
• Keep records. Save letters, credit reports, account statements, police reports, FTC reports, and communications with creditors and credit reporting agencies.
Can You Sue for Social Security Identity Theft?
The fact that someone stole your SSN does not automatically give you one specific lawsuit against every company involved.
The legal claim depends on what happened and who caused or failed to correct the resulting harm.
For example, if a company reports a fraudulent account to a credit reporting agency and fails to properly investigate a dispute, federal credit reporting laws may provide a potential claim. If a debt collector tries to collect a debt created through identity theft, federal and Maryland debt-collection laws may also apply. Depending on what happened, you may also be able to seek compensation for losses caused by the misuse of your Social Security number.
The damages may include financial losses, costs associated with repairing your credit or identity, lost time or wages, and other damages permitted by the particular law involved. In some cases, an attorney may also be able to recover attorneys’ fees.
How an Identity Theft Attorney Can Help
Social Security identity theft can leave you dealing with problems you did not create and accounts you never opened.
The important question is not just whether your SSN was stolen. It is what happened afterward, who was involved, and whether a bank, creditor, debt collector, credit reporting agency, or other business violated the law in handling your information or the resulting fraud.
If someone has used your Social Security number and you are now dealing with fraudulent accounts, wrongful debt collection, or damaged credit, contact our team at Holland Law Firm for a review of your case.