Safeguarding Your Social Security Benefits and Personal Information

Recent changes in the Social Security Administration and modifications to recipients’ accounts and payment structures due to the Social Security Fairness Act, which repealed the Windfall Elimination Provision (WEP) and Government Pension Offset (GPO), may lead to scammers attempting to manipulate retirees and older Americans regarding their benefits.

According to a Bankrate survey, 34% of adults have experienced some form of financial fraud or an attempted scam as of January 2024. Of that percentage, 37% lost money by criminals accessing their personal information, paying for some fake request, or even coercing victims into sending scammers money.ᶦ

Many thousands of people recently have been swindled as their Social Security money is surreptitiously diverted into fake accounts created by fraudsters.ᶦᶦ

As technology continues to advance, so do the schemes and methods of the criminal underworld. You must stay vigilant. To safeguard yourself from unscrupulous people, when accessing your Social Security benefits, consider these strategies:

• Take steps to safeguard your online account – If possible don’t use public computers or if you must, ensure you sufficiently log out and keep your passwords hidden. Also, create strong passwords and never share them with anyone.
• Safeguard your Social Security number (SSN) – Just like your passwords, don’t share your SSN with anybody, unless you absolutely must. Shred documents that contain your SSN, such as tax returns and bank statements. Also, don’t print your SSN on your checks.
• Ignore and delete unsolicited emails and calls – Delete unsolicited emails and ignore calls and strange voicemails.
• Regularly monitor your credit report – Pull up your credit report on a trusted site such as Experian, TransUnion, Equifax, or another reputable site like Creditwise and carefully review each page and ensure no unauthorized activity is present.
• Consider freezing your Social Security number, especially if you suspect your personal information may be compromised – If you suspect your personal information is compromised, consider locking your Social Security number and credit. There are both pros and cons to taking this course of action. It could be a viable preventative measure to take action before something problematic occurs or may help to fix a problem already occurring. Several red flags that may draw suspicion of devious activity include:
  • You notice peculiar information has popped up on your credit report, such as a new credit card inquiry or an unfamiliar address.
  • You discover a credit card bill in the mail for a card you don’t own.
  • You become suspicious that the mail you used to receive is now missing.
  • You start receiving calls or mail about student loans you are now responsible for from schools you aren’t attending.
  • Debt collectors are phoning about money you don’t owe.

Pros Of Freezing Your Credit and Social Security Number

• It costs nothing to freeze your credit and Social Security number.
• Mitigate some of the risks of a criminal creating fraudulent accounts or taking out unlawful loans in your name and gaining access to your bank or brokerage accounts and credit cards.
• Locking your credit will last indefinitely unless you unlock it. Freezing your Social Security number is typically for a year before the freeze expires and you have to re-freeze it.
• No impact on your credit score
• Freezing your credit and Social Security number is easy. You just have to call the three credit bureaus (Experian, Equifax, and TransUnion) and request it. The entire process shouldn’t take more than a few minutes.

Cons Of Freezing Your Credit and Social Security Number

• There is no guarantee this strategy will completely safeguard your information.
• To unfreeze your credit and Social Security number, you will have to call the three credit bureaus individually. In some cases, you will have to mail in a copy of your driver’s license or identification card and a bill as proof of identity.
• Upon locking your credit and Social Security number, you are also prevented from accessing or changing anything until it is unfrozen.
• If you need to open a new line of credit, take out a mortgage, or buy a car, you will have to request a temporary lift of the freeze. Unfreezing your credit and Social Security number can take up to 20 minutes or longer, so you should keep that in mind.ᶦᶦᶦ

What if I suspect fraud?

If you suspect fraud might have occurred or you are being targeted, you can submit a report online at oig.ssa.gov or contact the Social Security Administration’s (SSA’s) OIG fraud hotline at 1-800-269-0271. The OIG will assess your allegation and take necessary action. However, they will not notify you, nor reveal any actions taken on any allegations.

Several examples of Social Security fraud include:

• Identity theft
• Misuse of benefits while serving as your payee
• Impersonators who call claiming to work for the Social Security Administration, mislead victims into sharing personal information, or making cash, wire transfer, or gift card payments (often to fix alleged Social Security issues) and other schemes over the phone.
• Phishing emails.
• Claims filed under your Social Security number.
• Someone working using your Social Security number.
• Numerous others.ᶦᵛ

Schedule a meeting with your financial professional

Nowadays, reports of fraud, particularly aimed at older adults are a part of life and must be taken seriously. Consider scheduling a meeting with your financial professional to discuss the options that would align with your financial situation, strategy, and goals. It is far easier to be prepared than to have to deal with the consequences of having your personal information and hard-earned money stolen.