Don't Miss
- Your credit score impacts so much, so understanding the basics of credit score calculation is critical to finding better deals and making smartest financial decisions
- Need money but stuck with a fair to poor credit score? Not to worry, here are loans and loan options for people with bad credit scores
- Need to find out your credit score? Create a free Borrowell account and get access to a free credit report that includes your credit score
Empower your investments with Qtrade
Discover Qtrade's award-winning platform and take control of your financial future. With user-friendly tools, expert insights, and low fees, investing has never been easier.
Start Trading TodayWhat is identity theft?
According to the Canada Revenue Agency, identity theft happens when your personal information (like your credit card number, social insurance number or medical history) is used without your authorization for criminal purposes. Once they have enough personally identifiable information, they can either take control of existing identity credentials or create new, fraudulent ones.
Fraudsters can take out a mortgage, get GST/HST benefits, or, as in Mendonca’s case, take out loans under your name.
Along with the invasion of privacy, identity theft can result in catastrophic financial impact, like a poor credit score or accruing interest and penalties on unpaid loans.
Mendonca had been working on improving his credit score to boost his chances of successfully securing a mortgage. According to Equifax Canada, fraudsters often target consumers with high credit scores to ensure they get larger loans.
Fraudsters use many tactics to steal people’s personally identifiable information, from simple methods like mail theft to more sophisticated digital schemes.
Phishing is a common way for fraudsters to use technology to access your personal information. Emails are designed to look like they come from a legitimate financial institution, and typically use scare tactics (like saying you have an outstanding amount) to create a sense of urgency to get you to share private information.
Don’t be a victim
Having your identity stolen can be a costly and frustrating experience, but there are steps you can take to protect yourself from being the victim of a scam.
Be careful who you share your personal information with, and how. The Canada Revenue Agency, for example, never requests personal details like your social insurance number by email. If you have to provide information over the telephone, call the institution's official telephone number, rather than sharing it with an individual who has called you.
Digital fraud comes in all shapes and sizes, so if an email seems suspicious, contact the organization that it appears to come from using their official telephone number.
Protect your digital identity by using secure Wi-Fi, firewalls, keeping virus detection up to date, using strong passwords, and enabling multi-factor authentication.
Keep an eye on your credit report. Regularly check for any names, addresses or accounts on file that you don’t recognize. If you see something unfamiliar, report it to your financial institution and the CRA.
In Mendonca’s case, CTV News reached out to the bank on his behalf and luckily for him, they forgave his loans and restored his credit score, “It’s such a relief,” he says.
Sources
1. Equifax: Data Breaches Are on the Rise. How Can You Help Protect and Restore Your Identity?
2. Canada Revenue Agency: Protect Yourself Against Identity Theft
3. Canadian Centre for Cyber Security: Protecting yourself from identity theft online
Unexpected vet bills don’t have to break the bank
Life with pets is unpredictable, but there are ways to prepare for the unexpected.
Fetch Insurance offers coverage for treatment of accidents, illnesses, prescriptions drugs, emergency care and more.
Plus, their optional wellness plan covers things like routine vet trips, grooming and training costs, if you want to give your pet the all-star treatment while you protect your bank account.
Get A QuoteWhat To Read Next
- Want to know how to stop the drain on your wallet? Consider these 6 invisible ways you’re losing money
- If you’re planning a vacation, consider these destinations where your dollar goes further
- Don’t dig in the sofa for spare change, check out these 8 legit ways to get free money from the government
Sponsored
Trade Smarter, Today
Build your own investment portfolio with the CIBC Investor's Edge online and mobile trading platform and enjoy low commissions. Get up to $100 in commission-free options until October 31, 2024.