"Ghosting" -- A Scary Type of Identity Theft

Preying upon the elderly is unforgivable but what can you say about the latest tactics of identity thieves: stealing from the dead? As it becomes easier to find information over the Internet, an identity thieve in Florida can easily get a few, easily pieces of information from an obituary in California, and the next thing you know, your elderly parent is on the hook for $50,000 worth of credit card charges made by your dad who died six months ago. How is this possible and what can you do to keep it from happening?

“Ghosting” is stealing the personal information from a dead person and applying for credit cards, cell phones and even filing tax returns under their name and Social Security number. Identity thieves have become aware that it can take up to six months for banks, Social Security and credit reporting agencies to realize that someone has died; in this time and with information readily available online, they can open up charge cards and go on a spending spree.

The first thing you can do is be careful what you disclose in the obituary notice, such as birth date and birthplace.  It’s scary to think but if the identity thief has this information, along with the deceased’s mailing address, all he needs is $10 to get the decedent’s Social Security number online. The obits are the first place these vultures go; and when family members place these notices, they may be unaware of the potentially damaging information they’re disclosing.

Notifying the decedent’s financial institutions and sending them each a copy of the death certificate is the best defense against identity thieves, according to the Identity Theft Resource Center. They advise getting at least 12 copies, three of which need to go to the top credit reporting agencies: Experian, Equifax and TransUnion. They also recommend sending everything via certified mail, along with a return receipt. If there are accounts with a surviving spouse, make sure the decedent is taken off. Remember that anyone listed as an account holder is ultimately responsible for any legitimate debts of the decedent.

Be sure to call Social Security at 800-772-1213, as well as the VA if applicable. Basically, a good rule of thumb is to go through the decedent’s wallet or purse and cancel any cards or IDs with their name on them. Remember that even if the decedent stopped driving years ago, there may still be a valid license on file with the DMV, so make sure it gets cancelled.

Follow up is key to prevent identity theft so be sure to request a free copy of the decedent’s credit report from annualcreditreport.com to check for any unauthorized activity. There should be nothing there besides a “deceased alert.” You can request free reports from each of the three major credit reporting agencies; do that every two months to make sure the account is free from malicious activity and to avoid any potential headaches.