What to do if you receive a data breach notification in mail?
Discovering that someone has accessed your personal information can be deeply unsettling. Data breaches are serious invasions of privacy that pose significant financial and emotional risks – and they’re becoming alarmingly common. According to the Identity Theft Resource Center, over 1 billion people were impacted by data breaches in the second quarter of 2023 alone, a nearly 500% increase from the same period in 2022.
The steps you take after a breach depend on the type of data exposed, such as financial details, Social Security numbers, medical records, or login credentials. However, the core strategy is the same. If you’ve received a data breach notification, Class Action U is here to guide you through those steps.
Understanding Your Data Breach Notification Letter
A data breach occurs when unauthorized individuals or groups access private information, often by hacking into a company’s database to steal customer data for profit or fraud.
Why Did You Receive This Letter?
Businesses are legally required to notify affected individuals after a breach. The organization sends a notice of data breach letter informing each party about what happened so they can decide what to do next.
What Information Was Exposed?
Data breaches can involve any personal information, including:
- Full names
- Home or business addresses
- Email addresses
- Telephone numbers
- Social Security numbers
- Bank account numbers
- Credit card details
- Medical histories
- Account passwords
Different types of data breaches pose different risks. A breach involving only a username and password for a non-sensitive account is less severe than one exposing your Social Security number. Review your notification letter carefully to determine what data was compromised.
Potential Risk of a Data Breach
The risk of a data breach depends on what information the hackers have. Possible consequences include:
- Identity Theft & Fraud: Criminals may open credit cards, rent apartments, or commit crimes using your identity.
- Financial Loss: Hackers can drain bank accounts, take out loans in your name, or damage your credit score.
- Reputation Damage: Fraudulent activity linked to your name may affect employment, housing, or loans.
- Emotional Distress: The anxiety of having your privacy violated can linger long after the breach.
Responding quickly to a data breach may help to minimize the impact and protect your assets.
How To Respond to a Data Breach Notification
Sometimes, it can be difficult to know what to do after a data breach. Follow these steps if you receive a breach notice in the mail:
1. Stay Calm and Verify the Notification
While data breaches can be alarming, avoid panic-driven decisions like clicking suspicious links or sharing personal details with unverified sources.
Recognizing Fake Breach Notifications
Before taking action, you need to know if the data breach letter is legitimate. A real data breach letter will offer detailed information about the breach, including:
- The type of data exposed
- When the breach occurred
- Actions the company is taking to resolve the breach
On the other hand, fake data breach notifications prey on anxious consumers. Signs that a letter is not legitimate include:
- Use generic greetings (e.g., “Dear Account Holder”)
- Include mismatched contact information
- Lack of specific breach details
Illegitimate breach notifications may arrive via email and ask you to click a link. Avoid clicking these links or opening any attachments. Suspicious notices can be verified by contacting the company directly through its official website or customer service line.
Responding to a Valid Breach Notification
If you believe your notification is valid, the first step is identifying the type of breached information. You need to know whether someone can access your personally identifiable information, such as your name and Social Security Number (SSN), financial details, medical records, or other data. Once you know what’s vulnerable, you can plan your next steps.
Also, consider strengthening your security across other sites and accounts by:
- Updating software, apps, and devices: The latest versions will have the most current security safeguards.
- Checking password strength: Use unique passwords for each website and avoid those someone can easily guess. Avoid using your birthday or a family member’s name, as these can be part of the hacked information.
These steps may help prevent future data breaches from affecting you.
2. Change Affected Account Passwords
After verifying the letter’s validity, you’ll want to change your password on any affected websites or accounts. Choose a strong password and enable any security measures the website offers. One effective and widely used option is multi-factor authentication, which requires two devices to log in.
Also, you can review the notification for additional guidance on securing your account. Breached organizations often provide specific instructions from their cybersecurity team to enhance protection.
3. Secure Your Financial Information
Check your bank statements and credit card activity for new transactions as soon as possible, and make sure that you or another account holder authorized each transaction starting from the breach date.
You can also place suspicious activity alerts on your credit cards and bank accounts, even those the breach didn’t directly affect. Additionally, you can set alerts for every purchase or only those above a certain amount. Usually, these can be placed from your online account, but your creditor or bank should also allow you to do so over the phone.
4. Place a Credit Freeze or Fraud Alert
If the data breach exposed your sensitive information, such as your Social Security number, you’ll want to place a credit freeze or fraud alert with the three major credit bureaus – Equifax, Experian, and TransUnion. Credit freezes and fraud alerts help prevent hackers from opening unauthorized accounts in your name. The easiest kind to place is an initial fraud alert, which requests creditors contact you before approving an account in your name. It lasts one year and is available to anyone at any time.
An extended fraud alert lasts seven years and requires you to submit a copy of a police or identity theft report. It will also remove you from credit bureaus’ marketing lists for unsolicited offers. Placing either type of fraud alert with one credit bureau will automatically place it with the other two.
A credit freeze requires you to contact all three bureaus individually, and they last until you lift them. They prevent lenders from accessing your credit report, typically meaning they won’t lend to anyone in your name. Both options are free and effective at limiting the impacts of identity theft. Instructions are available on the credit bureaus’ websites or by calling the listed phone number.
5. Contact Your Bank
If there’s any possibility your personal or financial information was part of the breach, contact your bank to request a new card number or account. Your bank representative can help you determine what is appropriate for your situation.
Also, consider asking the representative about additional security measures to protect your accounts. They may be able to set up a verification password or identity check for phone inquiries or implement additional protections for online access.
6. Report Any Fraud or Identity Theft
It’s important to monitor your bank and credit accounts after a data breach, regardless of the type of data it affected. If someone uses your information for fraud, immediately notify your bank and credit card companies.
You’ll also want to report the incident to the Federal Trade Commission at IdentityTheft.gov. This consumer-friendly website walks you through the reporting process and helps you to create and implement an individual recovery plan. You can create an account and track the plan in action.
Should You Join a Class Action Lawsuit for the Data Breach?
If a company’s negligence caused the breach, you may qualify for compensation through a class action lawsuit. These cases allow victims to collectively hold businesses accountable without upfront legal costs—attorneys typically work on a contingency fee basis (you pay nothing unless you win).
Class actions have secured millions for breach victims, such as a $650 million settlement in a 2023 social media case. Although there are no guarantees, class action lawsuits can result in significant settlements. You can join a class action lawsuit by browsing Class Action U’s list of current data breaches or contacting a data breach lawyer about your options.
Why You Should Contact a Lawyer After a Data Breach
Whether a class action lawsuit is already underway or hasn’t started yet, it’s important to learn about your legal options after a data breach. Companies often try to minimize their responsibility for a breach, even when the incident caused financial or personal harm to others. A lawyer can determine if a company may have acted negligently.
If they have, you may be eligible for compensation. You’ll want to work with an experienced attorney who understands cybersecurity law and can help you maximize your claim. They can guide you through how to start a class action lawsuit.
Take Action Today To Protect Yourself
Receiving a data breach notification can be frightening, but they are also valuable tools that help you protect your identity. If you receive a notification and you’ve verified that it is real, take action by updating your passwords and accounts and contacting your financial institutions.
Data breaches can damage your finances, reputation, and emotional health. Financial compensation may be available, and a lawyer can help you decide how to proceed.
When you contact us at Class Action U, we’ll connect you with a lawyer skilled in class action lawsuits. There’s no cost to reach out and no obligation to do anything after speaking with someone from our team. Reach out today to get started.
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