What Really Happens To You After You've Been Victimized

Ten years ago it cost my father almost $10,000 to rectify a wrong that happened to him. Someone got hold of his social security # and applied for a credit card, telephone, electric, and cell phone with it. That was back when identity theft didn't even have a name for it yet. My father and I are both long term insurance and financial planner guys. Been doing it for 20 years myself, double that for my old man. Now let me tell you what happens to ID theft victims from a financial perspective.

1. What ever you pay for car and or homeowners insurance will skyrocket if you have to apply or reapply for it while your credit is in disarray.
2. Don't even think about applying for a loan, especially a home loan because you will not be able to afford the payments at the interest rates you will be quoted (double digit in most cases.)
3. Credit cards, including existing ones will start charging you rates that you do not have enough fingers and toes to count up to.
4. Your creditors all say "sorry to hear this happened to you and we'll work with you during it" but then start ignoring you when you try to get them to reverse the charges that were fraudulently made in your name.
5. You will ultimately have to hire an attorney for quite a bit of money to rectify the situation, and during this tumultuous period you better hope nothing else goes wrong; such as a medical emergency or your car dies.

Did I scare you yet? Hey, I'm just giving it to you based on past experience, no exaggeration here. Oh, did I mention that last year our small little insurance agency that we own together had over 100 identity theft inquiries of which some of them turned into insurance claims. In some States certain insurance companies offer an identity theft endorsement you may be able to add to your homeowners policy. This endorsement does nothing to help prevent identity theft or guard you in the future, but sometimes (depending on the company) it can help offset the financial burden you undoubtedly will experience if this happens to you.

I don't mean to sound negative today, I just really want my readers to understand that identity theft is not just a "soft crime" it can destroy a person or family if not caught in time. To learn how to start protecting yourself and your family today click here LifeLock