Finding an unfamiliar account on your credit report is alarming. Acting quickly, and in order, limits the damage.
The essentials
- Contact the company where the fraudulent account was opened and ask it to close the account.
- Place a credit freeze or fraud alert to stop further accounts being opened.
- Report the theft at IdentityTheft.gov to get an identity theft report and a recovery plan.
- Under federal law, you can ask the credit bureaus to block information that resulted from identity theft.
An account you don’t recognize on your credit report could be a reporting error, but it can also mean someone has used your personal information. Treat it seriously and work through these steps.
Step 1: Contact the company
Call the fraud department of the business where the account was opened. Explain that you didn’t open it and ask them to close or freeze it. Ask for confirmation in writing, and note the date, time and name of each person you speak to.
Step 2: Freeze your credit or add a fraud alert
Stop new accounts being opened. A credit freeze with each of the three bureaus blocks most new credit. A fraud alert asks lenders to verify your identity. Our guide to freezes and fraud alerts compares the two.
Step 3: Report it at IdentityTheft.gov
The Federal Trade Commission’s site, IdentityTheft.gov, lets you file a report and creates a personalized recovery plan with pre-filled letters. The resulting identity theft report also qualifies you for an extended, seven-year fraud alert.
Step 4: Remove fraudulent information
| What to do | Who to contact |
|---|---|
| Ask for fraudulent accounts and inquiries to be blocked | Each credit bureau, with your identity theft report |
| Dispute fraudulent charges | The company that issued the account |
| Correct personal information, like unfamiliar addresses | Each credit bureau |
Federal law requires the bureaus to block information that resulted from identity theft once you provide the right documentation.
Smart move
Keep everything in one folder: your identity theft report, letters you send and receive, and notes of every call. It makes follow-ups much easier.
Step 5: Check other accounts
Change passwords on email, banking and shopping accounts, turn on two-step verification and check recent statements. If your Social Security number was used for taxes or benefits, follow the extra steps in your IdentityTheft.gov plan.
Watch for this
Be wary of anyone who contacts you offering to fix identity theft for an upfront fee. The official recovery steps are free.
Staying alert afterward
Check your free reports at AnnualCreditReport.com regularly for the next year, using our guide to reading a credit report. A freeze can stay in place for as long as you like, and you can lift it whenever you need to apply for credit.
Questions and answers
Do I need to file a police report?
The FTC’s identity theft report from IdentityTheft.gov is often enough. Some companies or situations may still require a police report.
Will I have to pay the fraudulent debt?
Generally not, once you’ve shown it resulted from identity theft. Keep copies of every report and letter.
How long does recovery take?
Simple cases can be resolved in weeks. Cases involving several accounts can take longer, so keep a log of every contact.
This article is general information and isn’t financial or legal advice. Card terms, fees and rules change, so check the issuer’s current terms and official sources such as the Consumer Financial Protection Bureau and the Federal Trade Commission before you decide.