How to Protect Your Kids From Identity Theft

Children are attractive targets for identity thieves. They have clean credit histories, and no one is checking their credit. A stolen child's identity can be used for years before anyone notices, often not until the child applies for a student loan, a first credit card, or an apartment.

The good news is that a few simple steps can protect your kids.

How child identity theft happens

A child's Social Security number can be exposed in many ways: data breaches at schools or doctors' offices, lost or stolen documents, or forms shared carelessly online. Sometimes the thief is someone the family knows, such as a relative with access to the child's information.

Once a thief has the number, they can pair it with a made-up name and birth date to open accounts, get utilities, or even apply for jobs.

Warning signs to watch for

• Your child receives credit card offers or bills in their name
• Collection agencies call asking for your child
• The IRS says your child's Social Security number was already used on a tax return
• Your child is denied government benefits because someone else is already receiving them

Check whether your child has a credit report

Most children shouldn't have a credit report at all. You can contact Equifax, Experian, and TransUnion to ask whether a file exists for your child. Each bureau has its own process and will ask for proof that you're the parent or guardian, such as a birth certificate and your ID. If a report exists, it may be a sign of fraud.

Freeze your child's credit

Parents and guardians can request a free credit freeze for children under 16. This creates a file and immediately locks it, so no one can open credit in your child's name. The freeze stays in place until you or your child, once they're old enough, lifts it.

Everyday habits that help

• Only share your child's Social Security number when truly required, and ask why it's needed
• Store birth certificates and Social Security cards in a secure place at home
• Shred documents containing your child's information
• Teach older kids not to share personal details online or in apps