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A friend needed quick advice after discovering – gasp! – fraudulent charges on her combo credit/debit/ATM card. She wrote:
Someone in Massachusetts has taken money directly out of my checking account for shoes and McDonalds! F—–s! I will get the money it back – eventually – but I’m still mad. It has woken me up. I HAVE to stop using an atm/debit card. It’s just an accident waiting to happen. Any suggestions Ms. Bargain Babe?
Yes! Here are seven steps to take if your identity has been stolen.
1. Call your bank immediately and cancel the card if fraud is evident.
2. Call any one of the three credit reporting agencies and ask them to put a fraud alert on your credit report. TransUnion is at 800-680-7289. Equifax is at 800-525-6285. Experian is at 888-397-3742.
3. Call your other credit and debit cards and check for suspicious charges. Ask the company to raise the identity theft awareness level and be very wary of new purchases, especially ones out of state or abroad. Internet purchases often show up as out of state, so ask if they can distinguish in-person charges from online purchases. For example, my friend can prove that she wasn’t grubbing on McDonald’s in Massachusetts so she will be able to get her money back. If you have travel plans, call and make them aware. (This is wise anytime you plan to use your card abroad.)
4. Request a copy of your credit report to make sure no new accounts have been taken out in your name. You can get one free each year through the FTC.
5. Try to figure out how your identity was stolen. It’s possible the thief has not used all the information s/he has. Change your passwords for all your banking accounts and others that may have been compromised.
6. Consider purchasing identity theft insurance or monitoring protection. Shop around to find what fits your needs and budget.
7. The FTC recommends you file a police report in the area where the theft occurred and you file a complaint with the FTC. You can start both of those steps here.
UPDATE: My friend took some of these steps and found out how her information was stolen.
I found out a little more about the theft of my account from the bank’s claims division. They believe I was a victim of the latest crime craze, atm skimming. There are all these crazy devised that people stick right on top of card readers on atms to capture your info. According to claims person, thieves most often used the cards for food and gas. (I guess my person was a greenie since she/he bought shoes instead of gas.) Turns out my thief kept trying to use my card after I stopped it. She tried four times at a Dunkin Donuts before she gave it up. I decided it was a she. Boys don’t buy shoes at Off Broadway shoes. Do they?
Probably not, but the important thing is to protect yourself from further identity theft. If the thief has access to only one account and you close it, fine. But if they have access to other accounts that you are not aware of (perhaps the thief has not used them yet) and you do not take steps to protect yourself, you could become a victim again.
The FTC has a helpful site about identity theft which has more info on what to do if you are a victim and how businesses can protect customers.
The blog Man vs. Debt came up with 33 things to prevent identity theft, including some of my suggestions above.
Welcome to Bargain Babe! I’m Mara, and I’m so glad you’re here. I am an obsessive bargain hunter and penny pincher, and I am determined to live a full life without EVER paying full price. 
Thanks so much, just a few days ago I had a problem with illegal debits from my credit card. I’ve just called one of the credit companies and they will notify the other two. Also getting my free credit report. Thanks for your timely article.
Here’s a snopes article on atm skimming for anyone who might want to know more http://www.snopes.com/fraud/atm/atmcamera.asp My boyfriend had this happen twice in the same year with his debit card. Luckily both times he caught it after just one transaction, but it was still a pain in the butt to get it resolved. You should definitely look closely before using your card at a gas pump or atm, and if it looks suspicious trust your instincts and don’t use it!
I only use credit cards for purchases because you have time on your side and most card companies will reimburse from dollar ONE for fraudulent purchases. When my bank issued my new ATM card with a Visa logo, I told them that in no way, shape or form do I want this to be a debit card. Once money is taken out of your bank acct, it usually takes from 24 hours up to weeks to get the cash back.
A vigilant credit card company is also a good asset. One time when I was vacationing I checked my phone messages and my CC company called to confirm transactions being made. I called the company back to confirm that I was indeed in that area and would be there for a couple more days. I thanked them for watching out for my interests.
i was almost a victim of atm fraud. I was paying for gas inside a gas station when i noticed a small camera mounted on top of the signature-pin pad. I had no choice but finish the transaction (i was almost out of gas).
What made me more suspicious is the fact that the employee checked under the counter as to see if it was capturing the info. the owner became very defensive when i asked him about the camera. Needless to say, I called immediately to cancel my atm card, and notify the police. Hard to believe they think they could get away with something so obvious.
What a bizarre thing to do – mount a camera atop a credit card swiper! I’m glad you took precaution and canceled the card.