You trusted them with your Netflix password, maybe even your house key. But your social security number? Not intentionally. Finding out your brother secretly opened a credit card in your name is a gut punch that comes with complex emotions and challenging decisions. Here's what you need to know and what you can do. When someone starts a credit account in your name, the damage spreads quickly through your financial profile. The new account creates a hard inquiry on your credit report, instantly lowering your score by a few points.
As the card accumulates charges and potentially missed payments, your score continues to plummet. Credit utilization—the ratio between what you owe and your available credit—becomes imbalanced. Payment history, which accounts for about 35% of your FICO score, takes devastating hits with each missed due date. Unlike identity theft by strangers, family fraud often goes undetected longer because we don't suspect our loved ones. By the time you notice, significant damage has typically occurred.
