Red flag #4 is "a consumer report indicates a pattern of activity that is inconsistent with the history and usual pattern of activity of an applicant or customer". To respond to this red flag, the lender will review the credit report with the customer to make them aware of their credit activity. So, what if a customer realizes that there is credit on their report that they did not apply for? What is the next step? Should the lender refer the customer to the credit reporting agency?

Is there a different way to handle this red flag?

Thanks!

We are using a vendor that gives each subscriber a recovery advocate. So, we would put them in contact with their advocate. In your case, I would put the customer in touch with the credit bureau as my first step and offer them materials on what to do if you ID has been stolen. You can get lots of info for free from the FTC's website.

When you see a red flag of unusual activity, what you're trying to do is figure out "Wow. Has the real person's identity been stolen, and am I dealing with the fraudster, or the real guy?" So, your response should be tailored to enabling you to discern the difference between the real person and an ID thief.

If you're dealing with the right person and you can help them become aware of ID theft that's taken place elsewhere on their identity, even better. Have them go to FTC.gov, or you go there and get them the summary or rights of ID theft victims. It explains what they should do.

Check out this link:

http://www.ftc.gov/bcp/edu/microsites/idtheft/become-a-partner.html

We ordered the kits for our branches to have. You can order up to 10 free of charge and they have some great materials to help your branch staff in guiding a victim of ID theft as well as a publication for the victims.

great site.

I just ordered some of the kits as well as some other ID theft materials to put in the lobby.

Thanks for sharing!

We also ordered these kits for our branches. They are a great resource and customers like getting them.

I ordered the kits plus a few extra brochures.