Moving home can be one of the most stressful times in a person’s life and it is precisely for that reason that it can provide a great opportunity for mortgage brokers and advisers to add value to their client relationship.
Being there to assist every step of the way, not only can an adviser guide their client through all the financial aspects of obtaining a mortgage, but they can provide valuable advice on how to avoid becoming victim to identity fraud at such a big moment in their lives.
It has been proven that it can take just three pieces of information about an individual for a fraudster to be able to obtain finance, access money or goods in their name. Faced with such a risk it’s vital, therefore, that the greatest care is taken over personal documents and financial information, particularly as many people start clearing out old paperwork when preparing to move home.
If documents containing personal or financial information aren’t disposed of properly, they could give fraudsters the knowledge they need to steal someone’s identity.
There are a few simple steps that home buyers can take to reduce the threat of becoming a victim of identity fraud and brokers and advisers can add value to the service they offer to their clients by reminding them about these during the process of obtaining a mortgage.
Shred personal documents
When clearing out old paperwork, all documents that contain personal details and addresses, such as utility bills and bank statements, should be shredded rather than just thrown in the bin.
Stay connected
Home movers should make sure they contact their bank, credit card companies, mobile phone provider and utility companies to let them know that they have moved address and confirm their new details. This reduces the risk of a fraudster using the old address to take out finance and other contracts in their name at their old address.
Mail redirection
It is well worthwhile contacting the Post Office to have post redirected for at least 3 – 6 months, rather than relying on new occupants to forward any mail or it sitting in an unoccupied property.
Good housekeeping
Brokers can also give their clients useful tips to ensure they can access new credit in the future:
The electoral roll
Being on the electoral roll is a vital first-step in identity verification for access to a wide range of services – from simply shopping online to accessing new credit.
So, as soon as someone moves home they should ensure they are on the electoral roll at their new address, which they can do by providing their details to their local authority’s rolling register.
Debt doesn’t live here anymore
And intermediaries can reassure their clients that debt is shown against an individual – not an address. So if they move into an address at which someone with bad debts previously lived, this will not affect their own credit history.
Keep watching
The upheaval and stress of moving home can also put individuals at greater risk of identity theft simply because it’s difficult to stay on top of financial paperwork. It’s, therefore, advisable for anyone who’s changed address to obtain a copy of their credit report so that they can spot any unusual activity before it can do long-term damage.
Alert
Anyone who thinks they have been a victim of identity fraud should inform their bank and credit providers and the credit reference agencies immediately. They can also notify CIFAS, which runs a Protective Registration Service so that a notice will be placed on their credit file to alert future lenders to verify their identity before being extending new credit.
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