One of the common forms of identity theft is “false bank accounts opened in your name”.

Why would they do that?

Criminals might try to open bank accounts in your name which they can later use for criminal activity. Or, they may want to write out checks in your name which will later bounce or be overdrawn.

Your legal protection

Under Federal regulation, you are protected against this type of activity. You will not have to pay the overdraft funds, fees, or bounced checks. 

How to check if bank accounts were opened in your name?

Your open or closed bank accounts do not show on your credit report. 

There are other types of reports that collect information about your open and closed checking accounts and activity. Most banks report to them. Under Federal law, you have the right to view your credit report for free once a year or order your report at any time for a reasonable fee. 

If you suspect being a victim of identity theft, I would recommend you order your report at least twice a year (once a year is free, the second time will cost you a minimum amount) and check for any activity you don’t recognize.

Here is where you can order copies of your bank screening reports:

• ChexSystems
• EarlyWarning
• FirstData
• CrossCheck
• AskCertegy

Check for soft pulls too

Many banks will also do a soft pull on your consumer credit report before opening a bank account. To view your recent soft credit inquiries you will need to order a copy of your credit reports. You can order a free copy of your credit report once a week from all three credit bureaus at annualcreditreport.com.

What should you do if you do not recognize the activity?

If you see inquiries listed that you did not initiate then you should immediately contact the bank that reported the inquiry and check with them if any bank account was opened in your name. If yes then inform them that it was opened fraudulently and they should close the account immediately.

How do I stop it from happening again?

Unfortunately, there is no way of stopping it with a click of a button. If a fraudster has your info they can keep running to different banks and try to open bank accounts in your name.

Your job is to make their job hard. Constantly order reports and shut down their accounts. The fraudster is smart and knows who to pick fights with. If you’re going to keep on shutting the accounts they will give up fast. They have many other more vulnerable victims to chase and they’re not interested in “you” who is making their job way too hard…