Although the Death Master File sounds like a list kept by Darth Vader, it actually is a federal database that contains the names and Social Security numbers of more than 83 million dead Americans.  The list was initially established to help federal agencies, insurance companies, tax collectors and others be able to prevent fraud by being able to confirm when someone has died so that further lifetime benefits would not be issued under that name.  However, as an unfortunate byproduct of the Death Master File, identity thieves regularly check it after getting names from obituaries (the file is available to absolutely anyone) and get the Social Security numbers for recently deceased people.  They then access credit in the names of the deceased as well as file phony income tax returns on behalf of the deceased and other identity theft tactics.  When Congress finally was able to reach a budget agreement and stop the federal shutdown, a part of the budget law included removing public access to the Death Master File.  However, as of today the list is still available to anyone, including identity thieves because the National Technical Information Service, the federal agency that manages the Death Master List has not closed it because it still needs to make provisions for access to the list by organizations that need the information for legitimate purposes.  It is expected that this process could take months before it is completed.  Meanwhile, a recent study by the federal government’s General Accountability Office indicates some federal agencies that need this information to prevent fraud are not getting the acce1ss that they need.

TIPS

Identity theft from dead people is a significant problem, but there are steps that you can take to limit this as a problem in your own family.  First, you should consider limiting the personal information that you put into a family member’s obituary.  Often this information is exploited by identity thieves to assist them in making your deceased family member a victim of identity theft.  Additionally, you should contact the three major credit reporting bureaus, Equifax, Experian and TransUnion to inform them of the death of your family member and to instruct them to close the credit report of your family member in order to avoid someone with access to your family member’s Social Security number from getting access to his or her credit report to use to make large purchases.