Identity theft affects tens of millions of people every year and causes billions of dollars in losses. Beyond money, victims often suffer anxiety, inconvenience, and significant time loss. Prevention is best, but if you or your family has already been impacted, immediate action is critical.

Here are seven actions you should take as soon as possible after discovering identity theft.

1. Place a fraud alert on your credit report

A fraud alert requires lenders to verify your identity before approving new credit. This helps block criminals from opening accounts in your name and damaging your credit profile.

Submitting an alert with one major credit bureau typically notifies the other two. If you file with Experian, Equifax and TransUnion are generally notified as well.

Initial fraud alerts usually last one year. You can remove them by contacting each bureau. Extended alerts may last up to seven years when you provide an identity theft report.

2. Report the theft to the FTC

Use IdentityTheft.gov to file your report. The guided process helps generate an affidavit and complaint documents that support law enforcement reports and extended fraud alert requests.

3. Review your credit reports in detail

Check all major bureau reports for unknown accounts or credit inquiries. Contact each creditor tied to suspicious activity and request an investigation. You also have the right to dispute unauthorized entries and request removal.

4. Assess full exposure and monitor for related fraud

Identity theft may involve multiple attack paths. Review bank and credit card statements for unauthorized charges, withdrawals, or suspicious micro-deposits. Monitor whether your personal data appears on dark-web intelligence services, rotate compromised passwords, and secure all key accounts.

Also review your Social Security account and IRS online account. These are common targets for benefit fraud and fake tax filings.

5. Contact creditors and financial institutions immediately

The faster you notify institutions, the sooner they can block future fraudulent transactions, investigate account abuse, and in some cases recover stolen funds or waive fraud-related penalties.

6. Notify relevant state and federal agencies

Different identity crimes require different reporting channels. Provide your FTC complaint and affidavit to the proper law-enforcement agencies to support cross-agency coordination and case follow-up.