The horrible realization that someone has stolen your Social Security number and used it (as well as your name) to open an account, run up a bill and then leave you to face the fraudulent music is one I would hope I would never have to face. My luck ran out last week, however, when I went for a new wireless phone service.

Nate, the young market rep for Verizon called me to his terminal. With a quizzical look on his face, he asked if I had any other phones with Verizon. No, I replied, except for my home service. "Have you been to Florida recently?" Again, no. What's the problem?

He told me that their in-house file showed that I had purchased six phones from Verizon Wireless about three weeks earlier, had run up a bill of more than $1,100 and that they had been trying to contact me for payment. The "Anthony Carr" in Florida was dodging phone calls and folks they talked to said he didn't live at that address listed in their file.

At this point, I was getting nervous. I asked to look at his terminal and there in black and white was my name on a file and right next to it was my Social Security number. It was there because they conduct credit reports on customers before signing them up for service. In Verizon's opinion, I was a scofflaw, at this point, a moocher, a dead-beat wireless user who hadn't paid their bill and was now trying to acquire even more phones from another office.

I had heard about identity theft. I had even feared it, knowing that the information necessary to pull it off was out there for criminals to pluck like a ripe cherry. Think about it, when was the last time you provided your Social Security number to a merchant or organization? Look at your driver's license. Is it there? Your name and Social Security number are all that's needed for a company to run a credit check on you – or on someone pretending to be you.

The last time I sat for my driver's license photo, I requested that another number besides my SSN be used as my ID. And I've been doing that regularly now. It's used by many corporations as an ID number and it shouldn't. Even medical insurance companies default to using it in someway for member ID numbers. My old SSN card says at the bottom: "For Social Security and tax purposes – not for identification." New cards issued don't carry that warning.

But, back to the real story here -- me. My biggest fear was that this person was opening credit cards left and right, purchasing cars, even applying for a home loan, using my identity, my credit, my income level as his own – threatening my good credit standing. Once he got what he wanted, I could see him taking a first-class flight to Tahiti on the credit card with my name on it and just before boarding the plane, pulling out a huge cash advance for his last hurrah.

I called Verizon's Fraud Investigations department right at the store. Fortunately, Larry, the investigator, was sympathetic and gave me some instructions to help clear my name in his investigation: fax to him copies of my driver's license, Social Security card and a recent bill to my current address. These three items would help substantiate that I was the real Anthony Carr.

Next, I called all three credit reporting agencies and put a Fraud Alert on my credit files. This was done on the phone through an automatic system. It was quite simple. Now, the next time a credit report is to be pulled on me, the three agencies request more personal information that an ID thief might not have – birthdates, billing addresses, etc. Then I paid for a 3-for-one credit report that pulls my credit report from all three agencies. The Verizon credit check – which I did not order – was there, but nothing else since then.

I'm not done with the follow through, but I've gotten a good start. Fortunately, I refinanced my house a month earlier and knew there was nothing incriminating on my file. If I hadn't applied for these wireless phones I would not have known this person had used my personal information for his personal gain.

Below are the toll-free phone numbers for the credit reporting agencies where you can place a fraud alert on your credit report:

• Equifax – 800/525-6285
• Experian – 888/397-3742
• Trans Union – 800/680-7289

Don't wait till fraud hits close to home, go ahead and get educated on what you would do if you're ID is ever lifted. Here are three web sites you can check out more information on identity fraud:

• http://www.IdentityFraud.com
• http://www.TrueCredit.com
• http://www.PrivacyGuard.com

TrueCredit.com offers an email alert system where the online service notifies you each time a company conducts a credit check on you. It's just $10.95 per quarter and well worth the peace of mind.

Published: February 7, 2003

Use of this article without permission is a violation of federal copyright laws.

Mr. Carr has covered real estate since 1989. He is the author of Real Estate Investing Made Simple. Got a personal real estate issue? Post your questions and comments at Anthony’s blog: commonsenserealestate.blogspot.com.