Since February 2005, the personal data of nearly 90 million individuals has been reported lost or stolen from banks, colleges, hospitals and other organizations, reports the Privacy Rights Clearinghouse. What can you do to protect yourself from identity theft when you have no control over the security breach?

First, don't panic. Some of the data, although personal, is of limited use to identity thieves. "There's very little likelihood someone could parlay your credit-card number into identity theft," says Betsy Broder, of the Federal Trade Commission. In that case, your best defense is to monitor your monthly statements for charges you didn't make.

If the stolen data links your name and social security number, a thief could open an account in your name. With millions of people affected, it's unlikely that you would be singled out. Nevertheless, says Broder, you should contact the three major credit bureaus (Experian, Equifax and TransUnion) to put a fraud alert on your account. An alert requires lenders to verify your identification before extending credit in your name.

The initial fraud alert lasts for 90 days and entitles you to a free credit report from each of the bureaus. After that, you should continue to monitor your report by taking advantage of the new law that entitles you to one free credit report per year from each of the three bureaus (visit www.annualcreditreport.com or call 877-322-8228). Stagger your requests throughout the year, and you'll get a free report every four months.
-- Kimberly Lankford

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