These actions are examples of credit fraud, also referred to as identity fraud, identity theft, and account takeover fraud, where criminals steal victims' identities in order to take over their credit accounts.

Most of us have never experienced credit fraud. As a result, many of us may be unconcerned about credit fraud and believe that we're not affected. But we are.

Credit Fraud Affects Everyone
Credit fraud is on the rise. According to MasterCard International, account takeover fraud has increased by 369% since 1995. It has become one of the fastest growing types of fraud, and one of the more difficult to combat.

When criminals buy goods and services on credit using false information, we all pay through higher prices and more expensive credit terms-even if our own accounts are untouched.

And when someone is victimized by a particularly successful scam, criminals are more likely to continue cheating others using similar fraudulent operations.

How to Protect Yourself
There are a number of common sense measures you can use to effectively defend yourself against fraudulent activity and minimize the costs of credit fraud. Here are a few:

• Safeguard your credit cards and treat them like money.
• Reduce the number of credit cards you use, and don't carry all of them with you.
• If a credit card bill is late, call the customer service number immediately. Make sure that your mail hasn't been diverted to a new address.
• Review your statement carefully to make sure all charges are accurate.
• Report billing errors and lost or stolen cards to your credit card issuer immediately.
• Minimize the amount of personal information a criminal can steal. Don't carry extra credit cards, a Social Security card, birth certificate, or passport.
• Sign your new cards as soon as you receive them.
• Keep a list of all credit cards, account numbers, and expiration dates so you can notify creditors quickly in case of theft or loss.
• Never give a card number or other information over the phone unless you initiated the call.
• Shred preapproved credit card offers, credit card receipts, copies of airline tickets, travel itineraries, and anything else that displays your credit card information before putting them in the trash.
• Check your credit report for accuracy at least once a year.