This article is for educational purposes only and does not constitute medical, legal, or financial advice. Every family situation is different, and you should consult with appropriate professionals about your specific circumstances.

Identity Theft and the Elderly — Prevention and Recovery

Someone steals your parent's Social Security number. They use it to open credit card accounts in your parent's name. They take out loans. They make large purchases. The credit card companies come after your parent for bills your parent didn't incur. Collection agencies call your parent about debts that aren't yours. Your parent's credit is destroyed. Your parent's financial reputation is in shambles.

Or someone steals your parent's information and uses it to file a fraudulent tax return, claiming a refund before your parent even files. Or they commit medical fraud, using your parent's insurance to get treatment. Or they open utility accounts. Or they take out a car loan. The variations are endless, but they all start with your parent's information being compromised.

Identity theft is devastating at any age. But for elderly people, it's particularly harmful because they might not check their credit frequently, and by the time they notice something wrong, significant damage might have been done. Recovery takes months or years. It involves paperwork, credit bureaus, law enforcement, and enormous frustration.

Understanding the Basics

Identity theft means someone uses your parent's personal information without permission to commit fraud or crime. The most common is financial identity theft, where someone opens accounts or makes charges in your parent's name. But it can also include medical identity theft, where someone uses your parent's insurance. Employment identity theft, where someone uses your parent's Social Security number to get a job. Tax identity theft, where someone files a tax return in your parent's name. Criminal identity theft, where someone uses your parent's identity when arrested.

How do thieves get your parent's information? They steal a physical document like a purse or a piece of mail. They buy it from hackers who've stolen databases. They trick your parent into giving it to them. They find it on your parent's computer. They access your parent's email and use that to reset passwords on other accounts. The ways are numerous, and most of them are preventable with care.

The damage from identity theft is both financial and emotional. Your parent might have to prove they're not responsible for debts. Your parent has to contact credit agencies, credit card companies, and potentially law enforcement. Your parent has to monitor their credit. Your parent might have to place a fraud alert or a credit freeze. If the identity theft involves criminal activity, your parent might have to prove they weren't the person who committed the crime.

Your Parent's Specific Situation

Does your parent have important documents stored securely? A birth certificate, Social Security card, passport, insurance information. These should be in a safe place, not left out where they could be stolen or easily accessed.

Does your parent know their Social Security number from memory? Your parent should know it, but it shouldn't be written somewhere obvious or shared unnecessarily.

How does your parent handle physical mail? Are unopened bills or financial statements left on the kitchen counter? Could someone access them? Mail theft is a real concern, especially for elderly people who might leave bills out.

Does your parent check their credit regularly? Most people don't check their credit unless they're applying for a loan. But if you check credit regularly, you catch identity theft early. Your parent can check their credit report for free once a year from each credit bureau at annualcreditreport.com.

Has your parent been a victim of any other scams? If your parent has already lost information to a scammer or fallen for a phishing attempt, they're at higher risk for identity theft because their information is already out there.

Does your parent receive regular healthcare or have insurance? Medical identity theft can happen if someone gets your parent's insurance information. If your parent doesn't actively monitor their insurance, the theft might not be noticed until a bill arrives.

Taking Next Steps

Help your parent prevent identity theft. Shred documents that contain personal information before they go in the trash. Don't put financial documents out for collection without shredding them first.

Help your parent secure their mail. A locked mailbox is better than an open mailbox. Encourage your parent not to leave mail in the box overnight after the postal carrier has delivered. Better yet, help your parent set up paperless statements and online access to accounts so less sensitive information is being mailed.

Encourage your parent to check their credit report regularly. annualcreditreport.com provides a free report from each of the three credit bureaus once a year. Your parent can stagger the checks, getting one report every four months, which gives year-round monitoring. If your parent has been victim of identity theft, they can check more frequently.

Help your parent understand what information is sensitive and what isn't. Social Security number, date of birth, financial account information, insurance information, passwords. These should be guarded carefully. Name, phone number, address might be semi-public information that's less critical.

Encourage your parent to be careful about what information they share online. The more information out there, the more vulnerable they are.

If you're helping your parent manage finances, monitor accounts regularly. Look at credit card statements. Check bank accounts. Look for unfamiliar charges or accounts. The earlier you catch fraud, the easier it is to resolve.

If your parent's identity has been stolen, the first step is contacting your parent's banks and credit card companies to alert them to fraud. They can freeze accounts and investigate charges.

Contact the three credit bureaus (Equifax, Experian, TransUnion) and place a fraud alert on your parent's credit. This makes it harder for someone to open new accounts in your parent's name because creditors will have to verify your parent's identity more carefully.

File a report with the FTC at identitytheft.gov. The FTC tracks identity theft and can provide a recovery plan and documentation for creditors and law enforcement.

If your parent's Social Security number has been compromised, your parent might want to consider getting a new number, though this is complicated and should be discussed with Social Security. For most people, monitoring and fixing fraudulent accounts is better than changing the number.

If the identity theft involves criminal activity, your parent might need to file a police report to prove they weren't the person who committed the crime. Documentation from a police report can help dispute fraudulent accounts.

Recovery from identity theft is time-consuming, frustrating, and stressful. It's one of those situations where an ounce of prevention is worth several pounds of cure. Taking steps to protect your parent's information now is easier than dealing with the consequences of identity theft.

How To Help Your Elders is an educational resource. We do not provide medical, legal, or financial advice. The information in this article is general in nature and may not apply to your specific situation. If you are concerned about a loved one's cognitive health or safety, consult with their healthcare provider or contact your local Area Agency on Aging for guidance and support.