Defrauding The Dead

ID fraud is a fast-growing crime and a prime target is dead people. How do you prevent a loved one who's died from becoming a victim?

I know it sounds like something out of TV's Crime Scene Investigation (the top-rated American forensic detective series, in case you don't know) but fraudsters are very keen on stealing the identity of the dead. The dead don't tend to get suspicious, you see.

Well, let's face it, if you were going to masquerade as someone else, it would surely be much easier to pick a person who isn't going to make a fuss if you get caught!

The trouble is it's far too easy for fraudsters to steal the identities of others - especially those of our loved ones when we've been bereaved. It may be the done thing to announce to the world via the obituary columns that 'John Peregrine Smith, of Chigwell, born 5th July 1949, died on 16th July 2006, aged 57. Beloved father of Catherine and Fred...etc' but there's probably enough information about the fictitious John Peregrine Smith in that little paragraph to enable a fraudster to embark on the path to, er, well, fraudulence.

Bereaved people are vulnerable. Which is why fraudsters like to impersonate the dead - they know they've got a better chance of getting away with it. But, if you are tasked with the job of dealing with the aftermath of someone's death, you don't need to make it easy for the bad guys. For example:

• Don't include the age, date of birth or address of the person who's died in adverts announcing the death or funeral - it makes it easier for identity fraudsters to find their target.
  
  
• Make sure you notify Revenue & Customs, the Department for Work and Pensions and any relevant finance companies as soon as possible after the death.
  
  
• When sorting out the dead person's belongings, check that pockets in clothes, handbags and wallets do not contain documents that could be used by fraudsters, particularly if sending them to charity shops.
  
  
• Shred unwanted paperwork such as bank statements, credit card receipts, council tax and utility bills before throwing them away - identity fraudsters really do go through dustbins looking for details about potential victims.
  
  
• If the dead person's home is now empty, redirect all mail to your own address and insist that all viewings of empty properties are accompanied - fraudsters have been known to organise viewings of empty properties with estate agents specifically to steal or collect mail.
  
  
• Sign up with the mailing preference service to stop direct mail, including offers of loans and credit cards being sent to the dead person. The Direct Marketing Association estimates that 22 million items of direct mail are sent to dead people each year. Identity fraudsters can use the details included in this mail.

And, finally, don't forget that you don't have to be dead to become a victim of ID fraud. Check your credit file regularly - at least once a year - to make sure that nothing untoward is taking place with your finances. In particular, look for entries from organisations you don't usually deal with as someone else may have borrowed money in your name.

You can do this via the Motley Fool as we have partnered with Experian, one of the two big players in the credit reference market and they're offering a free 30-day trial of CreditExpert.