Protect your mini-me: How to prevent child identity theft

Most parents work hard thinking about their little one's future ahead – imagining it bright and full of possibilities while doing all they can to protect it. But there may be identity thieves snooping around, looking to target your child and mess with that future before they even know what a credit score is. 

Yes, child identity theft is real and, unfortunately, quite common. Let's dive into how you can protect your child's personal information and keep their future secure. 

What is child identity theft? 

Child identity theft occurs when someone uses a child's personal information – like their birth certificate – to commit fraud. This can lead to significant issues such as ruined credit or difficulty obtaining student loans when your child grows up. Alarmingly, these crimes often go unnoticed until the victim reaches adulthood, making the damage more difficult to reverse. 

10 ways to prevent child identity theft

There are precautions you can take to protect your children's identity from cybercriminals. Here are 10 steps to help protect your kids' identity: 

1. Check if your child has a credit report. 
Start by ensuring your kids don't already have a credit report. If they do it could indicate that their information has been misused. Inform the credit reporting agencies and privacy commissioner of anything suspicious.

2. Consider a credit freeze for your child. 
This step prevents anyone from accessing your children's credit reports – providing an extra layer of security. Opening new accounts in your child's name will be next to impossible.

3. Sign up for family identity theft protection.
Monitoring your kids' identity online can help you take care of any red flags on time. 

4. Keep important physical documents in a safe place.
Store your children's birth certificates and other sensitive documents securely. Avoid carrying them around unnecessarily or giving them to take care of without good reason.

5, Avoid sharing your child's personal information unless necessary.
Be cautious about where and how you share your children's details. Schools and medical facilities are typically secure, but always ask why the information is needed and how it will be protected. If you can avoid sharing any personal information, do so. 

6. Teach your children about online privacy and behaviour.
Make digital independence a priority. Help your kids learn about the importance of keeping personal information private, both offline and online. Continue to have talks about digital safety through the years.

7. Monitor your child's online activity.
Keep an eye on your child's internet usage. Check in with them – help them understand the risks of sharing personal information online and how to keep their online accounts secure. And just in case they ever get hacked, show them how to recover their accounts. 

8. Don't fall for scams.
Keep your eyes peeled for any new emerging scams. Help your family spot common cyber threats, such as phishing and email scams, and how to avoid them.

9. Read privacy policies.
Nobody likes to do it, but it needs to be done. Before signing up for services or sharing information, read the privacy policies to understand how your child's data will be used.

10. Delete personal information from old devices.
Clean up your digital footprint. Before discarding or selling old devices, ensure all personal data is removed. 

What are some warning signs of child identity theft? 

• Unexpected financial activity: Unusual bank statements or bills addressed to your child.
• Denial of student loans or government benefits: Issues due to unexpected credit activity.
• Suspicious mail: Offers for credit cards or other services not suited for children. 
• Existing credit report: Discovering a credit report for your child. 
• Debt collector calls: Receiving calls or letters for debts your child never incurred. 

Here's what to do if your child's identity is stolen 

• Report and close any fraudulent accounts. The faster you do this, the better. 
• Report the crime. Notify police as soon as possible.
• Notify credit reporting agencies (Centrix, illion and Equifax) and report the identity theft. This is a crucial step to take to ensure your kids have a clean slate when the time comes for them to establish their credit. 
• Freeze your child's credit information. Putting a freeze on their credit record, will help prevent anyone from fraudulently obtaining credit in your child's name. 
• Notify relevant government agencies. If a passport or birth certificate is involved, report to the Department of Internal Affairs. 
• Contact IDCARE. This New Zealand and Australian-based service provides free anonymous support and advice to victims of identity theft. 

Keep calm and future-proof your child's identity today
Thieves target children because their credit histories are clean, making it easier to open fraudulent accounts without immediate detection. 

Taking proactive steps now can help prevent headaches and heartaches later. From monitoring to guiding your kids, every action counts. Remember, it's about building a safe digital future for your little ones. Keep exploring ways to protect your children's identity.