Slim Down Your Wallet: Why Carrying Less is Smart

Slim Down Your Wallet, Slim Down Your Risk: Why Carrying Less is Smart – Wallets, once a ubiquitous symbol of status and functionality, are fading into the background of modern life. Decades ago, a leather wallet was a necessity, housing cash, credit cards, business cards, insurance cards, security badges, paper receipts, and even photos of loved ones. However, with the rise of smartphones and digital advancements, the need for physical wallets has diminished significantly.
If you still carry a wallet or purse, protecting your personal information from identity theft remains paramount. Here are a few items you should consider leaving at home:
Social Security Card
Your Social Security card is a highly sensitive document. It should be kept in a secure location at home and only accessed when necessary, such as when opening a bank account or applying for a job. Carrying it with you daily is a significant security risk. If someone gets your Social Security number, they can possibly open bank accounts in your name, set up utilities such as internet access and a cell phone, or access your tax returns.

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Passport/Passport Card
Unless you’re traveling internationally, your passport should be stored securely at home. Carrying it daily exposes it to unnecessary risks of loss and theft. When traveling abroad, keep your passport in a secure location such as the hotel safe. Keep a photocopy at home for your records and also share a photocopy with a trusted family member or friend.
If someone steals your passport, they may be able to open financial accounts in your name, travel abroad, or even sell it to someone else.
Extra Keys
Keeping an extra house key in your wallet may seem convenient, but it’s a risky practice. If your wallet is lost or stolen, a thief could easily gain access to your home. Store an extra key in a secure location, such as a lockbox or with a trusted neighbor.
Too Many Credit Cards
Carrying more credit cards than you need is a security risk. If your wallet is stolen, a thief could potentially rack up significant charges before you can cancel the cards.
In the event you have several credit cards stolen at the same time, the recovery process is time consuming and stressful. Keep a copy of your credit cards in a safe place. This will also give you easy access to the numbers, should you have to cancel. Carry only the one or two cards you’ll need, based on your spending habits.
Hard Copy Password List
Despite the growth of password managers over the last several years, over half of Americans do not use them. Some still enjoy having their passwords on paper. If you insist on storing your passwords on paper, keep it in a secure location.
Blank Checks
With the growth of electronic funds transfer, checks are quickly becoming less common, but they still pose a risk if lost or stolen. Checks show your bank account number, your bank’s routing number, and probably your address. A thief could steal a blank check and complete it with the victim’s information later. Alternatively, they might pose as the account holder to inquire about the account balance, assessing the potential funds for theft. Keep your checkbook in a safe place at home, and carry checks only when necessary.
Paper Receipts
While paper receipts are still common, it’s best to opt for digital receipts whenever possible. Paper receipts can contain sensitive information, such as credit card numbers and purchase history, which could be exploited by a thief.
By taking these precautions, you can significantly reduce the risk of identity theft and protect your financial information.
Protecting your identity from fraudulent activity is more important than ever. If you’re interested in discussing this, or any other part of your financial plan, please reach out to us.