Preventing Child Identity Theft

You are likely aware of the risks of identity theft and have taken at least some precautions to safeguard your personal and financial information, from using strong passwords to staying alert to scams.

But have you ever considered that your child’s personal information could be at risk too?

Identity thieves are increasingly targeting children, and many parents don’t realize it until it’s too late.

How Does Child Identity Theft Happen?

Unfortunately, monitoring your child’s information is now equally as important — if not more important — than monitoring your own. Child identity theft is on the rise, and since children usually don’t have a credit report, it’s even harder to detect.

Three percent of all identity theft reports for the first half of 2024 involved people under age 19, according to the Federal Trade Commission. Children younger than age 7 may run the greatest risk of identity theft, potentially leading to fraudulent activities, reported one study by Javelin Strategy & Research.

While young children do not have credit cards or bank accounts, if cybercriminals gain access to their Social Security numbers, birth dates or addresses, they can use them to apply for credit cards, loans and even open bank accounts, according to Experian. And undoing the damage can be both stressful and expensive. One estimate from Javelin put the cost to the average household at $1,128, which includes $752 for the fraud and $376 for remediation.

Listen to Our Podcast

Get tips to outsmart scammers and protect your personal data. Listen to Episode 12 of our podcast, Merging Into Life: Identity Theft.

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Social Media Puts Children at Risk

The increase in children’s online activity has made them more vulnerable to identity theft. The Javelin study found a direct link between children’s use of social media and the rise in the volume of children whose identities appeared online. Youngsters often reveal their names, addresses and ages on social media, making them even more susceptible to data breaches. Parents should consider restricting their children’s social media and internet use to avoid making their information public, recommended Javelin.

What To Do If Your Child’s Identity Is Stolen

If you discover your child’s identity was compromised, the FTC suggests taking these actions as soon as possible.

• If any accounts were opened in your child’s name, call the companies and have them cancel the accounts and ask them to supply written statements confirming that your child was not responsible.
• Contact the three credit bureaus (Experian, TransUnion and Equifax) and alert them to the breach.
• Report the breach to the FTC identity theft division.

Invest in Credit Monitoring

One way to help keep secure your children’s and whole family’s identities is with a credit monitoring program, such as AAA ProtectMyID, offered in conjunction with the credit bureau Experian.

AAA’s Complete identity ProtectMyID plan includes child identity monitoring, which tracks your child’s personal information to spot signs of identity theft and suspicious web activity. It also includes social media monitoring, scanning your child’s social media account(s) and alerting you if privacy or reputational risks are found.

“It’s very hard for you to monitor your own stuff, let alone have to set it up for your child, unless you have the child monitoring feature,” said Michael Bruemmer, head of Experian’s Global Data Breach Resolution Solutions and vice president of consumer protection.

Discover more benefits of ProtectMyID.

More Ways to Prevent Child Identity Theft

Be extremely cautious with your child’s Social Security number and only give it out when necessary and to trustworthy institutions.

Freezing your child’s credit is another way to protect their identity. The freeze prevents credit bureaus from releasing any of your child’s information to creditors making inquiries. The process is involved — parents must apply for a freeze with all three credit bureaus and supply extensive documentation about themselves and their child — but it is free and does not impact your child’s credit score when they begin to build credit on their own.

Parents may freeze their child’s credit up until they turn 16. After that, the child can access their own credit reports and manage the freeze status on their own.

Is your child protected from identity theft? Tell us in the comments below.

Ellen R. Delisio

Ellen is a content producer for AAA Northeast, covering automotive, finance, public affairs and electric vehicle news. She is a former newspaper reporter with experience writing for print and online publications about everything from higher education to sustainability. She recently returned to her native Long Island after living in Connecticut for 20-plus years, and has never met a beach she didn’t like..