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Consumers can never let their guard down when it comes to identity theft. Personal information is much more accessible in an increasingly digital world. Consequently, instances of identity theft and consumer fraud continue to grow.

* The Identity Theft Research Center (ITRC) reported a record number of data compromises in the United States in 2021, amounting to a 68 percent increase over 2020.

* The Federal Trade Commission's Consumer Sentinel Network received more than 5.7 million reports of fraud and identity theft in 2021.

* In Canada, there are 12 victims of identity theft per every 100,000 residents and 52 victims of ID fraud.

* Many North Americans have been victims of COVID-19-related fraud, including scams involving fake testing, vaccines and treatments, and charities.

The FTC says identity theft is when someone uses your personal or financial information without your consent. Commonly stolen data includes addresses, credit card numbers, bank account information, Social Security numbers, or medical insurance numbers.

Though thieves can gather information by intercepting it through digital channels or simply by stealing mail or going through trash, many times people inadvertently share personal information with scammers themselves. Here's a look at five common scams.

1. Phone scams
Phone scams may involve telemarketers trying to sell you something in exchange for personal information given over the phone, as well as people impersonating government agencies or credit card companies. "Please confirm account information" or "We'll need your financial information to process" are some of the phrases these scams utilize. Never give out personal information over the phone unless you've confirmed the individual you're speaking to is legitimate.

2. Text links
The Pew Research Center says 81 percent of adult mobile phone users use text messages regularly. Scammers utilize text messages to try to gain information. The text includes a link to a site that will request personal information. Do not respond to such texts and avoid clicking on the links.

3. Phishing emails
Phishing emails look like they are coming from legitimate sources, but they often contain malware that can infiltrate computers and other devices to steal identity data. Phishing increased during the COVID-19 lockdowns as more people were working from home, according to the ITRC.

4. Medicare card verification
Older individuals long have been targets of criminals. Seniors are now being called, emailed or even visited in person by scammers claiming to represent Medicare. Perpetrators of this scam offer new services or new chipped Medicare cards in exchange for verification of Medicare identification numbers. Medicare numbers should be carefully guarded, and seniors should keep in mind it's highly unlikely Medicare representatives will contact them in this way.

5. Data breaches
It's not just a home computer or phone breach you need to worry about. According to ARAG Legal, security experts indicate many major companies are being breached. By the time it's discovered that data was stolen, your personal information, which usually includes credit card numbers, email addresses and home addresses, has been circulating for some time. While it's impossible for private citizens to prevent this type of data breach, a credit monitoring service can alert consumers if their information shows up where it seemingly doesn't belong.
Identity theft is an ever-present threat and consumers must exercise due diligence to protect their personal information.

A strong credit score is an undeniable asset for consumers. A strong standing in the eyes of potential creditors can save consumers money on relatively short-term expenses like vehicles and long-term purchases like homes.

Consumer credit is so influential in the lives of the average person that it pays to have some knowledge of what it is and how individuals can use it to their advantage.
Who issues consumer credit?

Consumer credit is typically issued by banks and retailers. One common question consumers have is who owns credit cards, which are among the most recognizable and widely used forms of consumer credit. Many credit card companies, including Visa, are now publicly held companies after years of being owned by banks. However, many major banks, including Capital One and Bank of America, issue credit cards as well.

What is a credit score?
According to the credit reporting agency Equifax®, a credit score is a three-digit number which represents an individual consumer's credit risk. Credit risk refers to the likelihood that a borrower will pay their bills on time. Scores are typically between 300 and 850, and the higher the score, the more creditworthy and less risky a consumer is in the eyes of creditors.

How are credit scores calculated?
Three different consumer reporting agencies (CRAs), including Equifax®, determine credit scores. That's why it's not uncommon for a single consumer to have three different scores. Those scores should be similar, and if they're not it's likely that one or more CRA reports has an error or errors. A host of variables are considered when determining a credit score, and these include:

* Payment history

* Credit utilization ratio, which is the amount of credit used versus the total available credit

* Types of credit accounts a consumer has. This includes revolving credit accounts, like consumer credit cards, and installment accounts, which include mortgages and auto loans.

* Credit history length

* Frequency of credit inquiries (numerous inquiries in a short period of time generally lower a consumer's credit score)
So why is a credit score so important?

Credit scores are so significant because they can cost or save consumers a substantial amount of money. Consumers with poor scores, which are generally considered scores between 300 and 669, may not be eligible for auto or mortgage loans and may only be able to secure credit cards with high interest rates. By contrast, consumers with scores considered very good to excellent (740 and above) generally get more favorable interest rates on sizable purchases like cars and homes, which can save borrowers tens of thousands of dollars over their lifetimes.

Managing credit is a vital component of financial planning. Knowing the basics to consumer credit can set individuals on a sound financial path.

Prices on the majority of goods and services have increased significantly over the last year-plus. Financial analysts report that inflation has reached heights that haven't been seen in 41 years. According to the United States Department of Labor, the consumer price index, which measures changes in how much Americans pay for good and services, rose 0.4 percent in September.

As prices soared, families' budgets were being pushed. What can people do in the face of rising costs on items they need, including those who may be on fixed incomes? These suggestions may help.

* Frequently review your budget. Keep track of how much items cost right now. Document all spending by writing down a list of weekly expenses or utilizing any number of free budgeting apps available. Tracking what is going out may make it easier to cut costs on less essential items, such as streaming services or gym memberships.

* Contact service providers. You may be able to negotiate better deals with a service provider, such as a mobile phone company or a cable television provider, if they learn you are considering leaving. If they can't work out a deal, go with the less expensive provider. You can always switch back at the end of the term if you desire.

* Stop automatic payments. Having subscriptions and other bills automatically deducted from your checking account is convenient, but those rising costs may be overlooked. By viewing your bill and paying it each month, you can see where costs have increased and where you might need to rethink services.

* Carpool to work or school. Reduce expenditures on gasoline by sharing the costs with another person. Determine if public transportation is more cost-effective than driving to work or school each day.

* Consider alternative retailers. Brand loyalty to one supermarket or a particular retailer is quickly becoming a thing of the past. Nowadays it is wise to comparison shop across various stores to figure out where you're getting the best deal. Venture into stores you may not have considered previously. Divide your shopping list by store category, visiting several for different items if it leads to big savings.

* Unplug, literally and figuratively. Cut down on energy costs by unplugging items when not in use. Reduce dependence on devices to further stem costs on electricity and gas-powered appliances.
Prices continue to rise and consumers can explore various ways to stick to their spending budgets.