Identity theft recovery: complete action plan

If your identity is stolen, the next 24-48 hours matter most. Acting quickly limits the damage. The recovery is annoying and time-consuming but mostly free. Here's the action plan that works, in the order to do it.

The first 24 hours

Step 1: Report at identitytheft.gov

This is the official FTC site. Free. Critical.

1. Go to identitytheft.gov.
2. Click Get started.
3. Describe what happened (which accounts, what was used).
4. The site generates a personalized recovery plan with sample letters and step-by-step instructions.
5. Download or print the FTC Identity Theft Report. This is your proof of theft; you'll need it for everything else.
6. Create an account so you can come back to your plan over the next weeks.

Step 2: Place a fraud alert

A fraud alert tells lenders to verify your identity before opening new accounts. Free, lasts 1 year (initial alert).

• Call one of the three bureaus; they notify the other two.
• Equifax: 1-800-525-6285
• Experian: 1-888-397-3742
• TransUnion: 1-800-680-7289

An extended fraud alert (7 years) is available if you've filed an Identity Theft Report; ask about it.

Step 3: Freeze your credit

Stronger than a fraud alert. Blocks new credit entirely until you thaw.

1. Freeze at all three bureaus separately. Free.
2. See our credit freeze guide for step-by-step.

Step 4: Call your bank and credit card companies

• Call every bank, credit card, and financial institution.
• Tell them your identity was stolen.
• Close compromised accounts.
• Open new accounts with new numbers.
• Ask about their fraud protection (most reverse fraudulent charges).

Use phone numbers from the back of your card or the company's official website. Don't trust numbers from emails or texts.

Step 5: Change passwords and turn on 2FA

1. Start with your email; if that's compromised, everything else is at risk.
2. Change passwords on banking, Amazon, Apple/Google account, social media.
3. Turn on two-factor authentication everywhere. See our 2FA guide.
4. Use a password manager for unique new passwords. See our password manager guide.

The first week

Step 6: Get your free credit reports

• Free at annualcreditreport.com (the only official site).
• Get reports from all three bureaus.
• Look for unfamiliar accounts, inquiries, addresses, or employers.
• Document anything that's not yours.

Step 7: Dispute fraudulent items

For each unfamiliar item:

1. Use identitytheft.gov to generate a dispute letter (free).
2. Include your FTC Identity Theft Report.
3. Mail to each credit bureau (certified mail with return receipt).
4. Also dispute directly with each creditor (the bank that opened the fake account).
5. Keep copies of everything you send.

Bureaus have 30 days to investigate. Most fraudulent items are removed within 60-90 days.

Step 8: File a police report

• Call your local police non-emergency line.
• Bring your FTC Identity Theft Report.
• Get a copy of the police report with a case number.
• Some banks and creditors require it for fraud claims.

Step 9: Notify the IRS if tax-related

If someone filed a tax return in your name or used your SSN for employment:

• File Form 14039 (Identity Theft Affidavit) with the IRS.
• Apply for an Identity Protection PIN (IP PIN) at irs.gov/getanippin.
• Going forward, you must include this PIN on every tax return.

Step 10: Check your Social Security earnings record

• Go to ssa.gov/myaccount.
• Look at your earnings record.
• If you see employment that isn't yours, report it.
• Identity thieves sometimes use SSNs for under-the-table employment.

The first month

Step 11: Check medical records and insurance

• Request copies of your medical records from major providers.
• Watch for treatments or prescriptions you didn't receive.
• Check your insurance Explanation of Benefits (EOB) for claims you don't recognize.
• Medical identity theft can affect your medical records and insurance.

Step 12: Update your driver's license if used

• If your driver's license number was stolen, visit DMV.
• Some states issue a new license with a different number.
• Get a fraud notation on your record.

Step 13: Notify utilities if needed

• If utility accounts were opened in your name, contact each utility.
• Close the accounts; they'll usually waive bills with proof of identity theft.

Step 14: Check your kids' credit

Children's identities are often targeted because the theft goes undetected for years.

• Each bureau has a process for checking a child's credit.
• If you find accounts, dispute them.
• Freeze your minor child's credit too.

The first year

Monitor everything

• Check credit reports monthly (the bureaus extended free weekly reports through 2026).
• Watch bank and card statements weekly.
• Set up account alerts for transactions over $50.
• Use a free service like Credit Karma for ongoing alerts.

Document everything

• Keep a folder (digital or paper) with every letter sent and received.
• Note every phone call: date, person you spoke with, what was said.
• Save all confirmation numbers.
• If your case ends up in court or with the FTC, you'll need this paper trail.

Watch for related scams

After identity theft, scammers know your info. Watch for:

• "Recovery" services calling you (always a scam)
• Calls from "the IRS" or "Social Security" demanding action (always a scam)
• "You've been chosen for a free credit monitoring upgrade" emails
• Phishing attempts that reference your real personal info

Specific situations

Stolen wallet or purse

1. Cancel every card.
2. Report to DMV; get a new license.
3. Call SSA only if SS card was in the wallet (avoid getting a new number; it causes more problems than it solves).
4. Change locks if house keys were stolen.
5. Follow the steps above.

Data breach notification

You got a letter saying your data was in a breach. See our breach response guide. Specifically:

• If SSN was exposed: freeze credit.
• If credit cards: monitor and replace.
• Accept any free credit monitoring offered (usually 1-2 years).

Tax-related identity theft

• Your e-filed return is rejected because one was already filed in your name.
• You get an IRS letter about employment you don't recognize.
• File Form 14039 with the IRS.
• Get an IP PIN going forward.

Medical identity theft

• You get a bill for treatment you never received.
• Your insurance benefits seem used up when you haven't been to a doctor.
• Request your medical records; correct errors.
• This is the hardest type of identity theft to fix; it requires going hospital by hospital.

Criminal identity theft

• You get arrested for something you didn't do, or there's a warrant in your name.
• Talk to a criminal defense attorney immediately.
• File an Identity Theft Affidavit with your local court.

What recovery services can and cannot do

LifeLock, Aura, Identity Guard, and similar services charge $10-30/month. What they actually do:

• Monitor your credit and alert you to changes (you can do this free)
• Provide a $1 million insurance policy (usually for recovery costs, not stolen money)
• Help you navigate the recovery process
• Place fraud alerts on your behalf (you can do this free in 5 minutes)

What they cannot do:

• Prevent identity theft (no service can)
• Recover money already stolen
• Speed up legal processes
• Do anything you can't do yourself for free

If you find the convenience worth $10-30/month, that's fine. Don't expect magic.

Free help resources

• FTC identitytheft.gov: the central hub.
• AARP Fraud Watch Network: 1-877-908-3360. Free helpline, expert advice.
• Identity Theft Resource Center: idtheftcenter.org. Free advice.
• National Council on Aging: ncoa.org. Elder-focused resources.
• State Attorney General consumer protection office: often offers free help.

5 things to do this week to prevent identity theft

1. Freeze your credit at all three bureaus (free, takes 30 minutes).
2. Turn on 2FA everywhere that allows it.
3. Use a password manager with unique passwords for every site.
4. Check haveibeenpwned.com for old breaches.
5. Tell one trusted family member where your password manager is in case of emergency.