You worked hard to build your credit to the high score that it is today. Your diligence to pay your bills on time helped you earn a car loan and a home loan with low interest rates. The effort it took to earn those three numbers seemed to be all in vain, however, when a thief obtained your personal information and used it to create accounts. Your score and report were ruined because of his actions.

Fraud Affects Your Present and Your Future

Victims of fraud often feel violated and betrayed, and have every right to. Not only is their current financial situation affected, but they will likely be affected in the future, as well, depending on how long the negative information stays on the reports. In honor of International Fraud Awareness Week, held from November 15 to 21 this year, we want consumers to know just how fraud affects their credit reports and finances.

  • Missed and late payments. Thieves often use stolen personal information to create lines of credit, commonly with credit cards and other similar accounts. They purchase expensive items and leave the large balances for their victims. The victims are either unaware that these balances exist or are unable to pay for the purchases. Missing payments and not having the means to pay down large balances can cause a credit score to plummet.
  • Drained bank accounts. Those who are unfortunate enough to have their bank accounts compromised may find themselves without any funds at all. This unfortunate situation makes everyday life difficult, as they are often unable to purchase food and other essential items. Additionally, they aren’t able to make their payments on their homes, vehicles, and credit cards, thus damaging their credit scores and reports.

It’s Not Just Thieves Who Can Damage Your Credit

Unfortunately, identity thieves aren’t the only people who can ruin your credit; incorrect information from credit-reporting agencies can also damage your livelihood. If your credit report contains false or fraudulent information, the Fair Credit Reporting Act is there to protect you, and the attorneys of the Consumer Law Group can help. Call 804-282-7900 to speak with a legal professional about your situation and find out what we can do for you.