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On August 13th, 2024, data broker National Public Data (NPD), admitted to a potential breach of stored names, addresses, email addresses and Social Security numbers.* Media reports claim hackers may have sold personal data relating to nearly 3 billion people, including potentially everyone’s Social Security number.**

Protective Actions to Consider While Details Unfold

• Freeze your credit to prevent the unauthorized opening of accounts. We are strong proponents of freezing your credit as it will prevent fraudsters from opening new accounts in your name but not impact your ability to use your existing credit cards or lines of credit.  Credit freeze hurdles have also been removed so that freezing your credit is now relatively simple, free and easy to temporarily remove when needed (e.g., buying a car or taking a loan).  While you need to put the freeze in place with all three credit reporting agencies, doing so should take under 30 minutes.

Freeze your credit online with Experian, TransUnion, and Equifax by:

• • sharing your name, Social Security number, date of birth, address, email and mobile phone number
  • creating a username and password
  • confirming your identity by inputting the code sent to you by text or email when prompted
  • selecting the option to freeze your account that should now be viewable on the screen

You will receive a confirmation email from all three agencies after freezing your credit.  Note that with the media attention around this data breach, you may notice some traffic-related website buffering.

• Review copies of your credit reports for any evidence of identity theft.  You may obtain a free credit report from each of the three credit reporting agencies (Experian, TransUnion, and Equifax) through the website annualcreditreport.com. Despite the website’s name, access to your credit reports has been changed to weekly free access from each agency so there is no need to wait to check your credit if you have done so in the last year.  Read through each credit report carefully.  If you notice some unfamiliar accounts or credit checks not initiated by you, immediately contact all three reporting agencies and read Additional Considerations if Your Identity was Stolen/Accounts Accessed, which follows.
• Verify the accuracy of your current Social Security account information online to ensure no one is using your Social Security Number to work or collect benefits. To review or create an online Social Security account go to the Social Security  Administration website here. Call the Social Security Administration’s fraud hotline at 800-269-0271 if you suspect your Social Security number has been compromised and read Additional Considerations if Your Identity was Stolen/Accounts Accessed, below.
• Review the Taxpayer Guide to Identity Theft, available at the IRS website here for tips to reduce the risk of tax-related identify theft. Not all data breaches or computer hacks result in tax-related identity theft. Tax-related identity theft occurs when someone uses your stolen Social Security number to file a tax return claiming a fraudulent refund. While not helpful for those who file an extension, filing your tax return as soon as possible in each calendar year may help prevent a fraudulent return from being filed under your Social Security number.

Additional Considerations if Your Identity was Stolen/Accounts Accessed

• Contact the Federal Trade Commission (FTC) at www.identitytheft.gov and click on Report Identity Theft to access the Identity Theft Recovery Steps to be guided through each step of the recovery process, from reporting the crime to creating a personal recovery plan and putting your plan to action.
• Inform your advisor of the potential identity theft. Your advisor will work with your custodian to put you in touch with the custodian’s fraud/identity theft department to take any escalated steps to protect your accounts.
• Continue to review statements on all accounts as neither a fraud alert nor a credit freeze can protect the security of existing accounts. If you find any unauthorized actions, immediately report any suspicious transactions to the business where the unauthorized or suspicious activity occurred.
• At least annually, verify the accuracy of your Social Security account information online to determine if you have become a victim of Social Security fraud. To review or create an online Social Security account go to the  Social Security Administration website at https://www.ssa.gov/myaccount/.

*“Security Breach”, nationalpublicdata.com, (accessed 8/16/2024).

**“Massive data breach that includes Social Security numbers may be even worse than suspected”, latimes.com, (accessed 8/16/2024).

Important Disclosure: Beacon Pointe Advisors does not offer legal or tax advice. Please consult with the appropriate tax or legal professional regarding your circumstances. This information is not intended and should not be relied upon as individualized tax, legal, fiduciary, or investment advice. Only a tax or legal professional may recommend the application of this general information to any particular situation or prepare an instrument chosen to implement any design discussed herein. Nothing herein should be relied upon as personalized investment advice, nor should it be considered an individualized recommendation, offer or solicitation for the purchase or sale of any security or to adopt a specific investment strategy. An investor should consult with their financial professional before making any investment decisions.  Beacon Pointe is not responsible for errors or omissions in the material on third-party websites and does not necessarily approve or endorse the information provided.

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