Sadly, even after a loved one passes, criminals may still try to use their personal information to commit fraud—sometimes called “ghosting.” Advances in AI and the rise of synthetic identity fraud have made this type of crime even easier for scammers in recent years, adding stress to an already emotional time. The good news: there are steps families can take to stay protected. If you have an Allstate Identity Protection family plan, remember to add your deceased loved one to your account to help monitor for suspicious activity and give your family an extra layer of protection during a difficult season.
Even after someone passes, criminals may still use their personal information to open credit cards, apply for loans, file fraudulent tax returns, or make unauthorized purchases. In some cases, fraudsters intentionally target the identity of someone who has recently died—a practice known as ghosting.
In others, a criminal may simply use a stolen or fabricated Social Security number that happens to belong to a deceased person.
The rise of AI-generated documents and synthetic identities has accelerated this problem: Scammers can now combine a deceased person’s Social Security number (SSN) with AI-fabricated details to create a new identity that can pass basic credit checks.
In either scenario, surviving loved ones often learn about the fraud when a bill arrives, a collection notice appears, or unfamiliar activity shows up on a credit report—sometimes months or even years later.
Identity theft after a death can add unexpected stress during an already difficult period. If someone you love has passed, here’s what to keep in mind.
Warning signs of fraud after the death of a loved one
After your loved one has passed, how will you know if they fall victim to identity theft?
Unauthorized charges: Posthumous charges to credit or debit cards are a major tip-off. If you spot this, contact the business that processed the charge and the credit card company to report the fraud.
Mail irregularities: Some signs are more subtle, like an abrupt stop to mail addressed to your loved one. Fraudsters may file a fraudulent USPS change-of-address request to divert mail and gain access to statements containing sensitive information.
Credit monitoring alerts: If your deceased loved one is a member of your Allstate Identity Protection plan, you’ll receive notifications about suspicious activity just as you would for any living family member. You can also add a qualifying family member to your plan even after they’ve passed, helping you stay aware of new credit inquiries or account openings tied to their SSN.
How to help prevent identity theft after a loss
While you can’t control every risk, there are steps you can take to reduce the likelihood of fraud. Being proactive now can help protect your loved one’s information and prevent added stress later.
Don’t share personally identifiable information in an obituary
When someone you love dies, be mindful about what you include in their obituary. Sadly, identity thieves can mine personal information like a person’s birth date, address, and mother’s maiden name from obituaries and other digital records (for example, social media accounts).
Using that PII, especially in combination with the deceased’s Social Security number (which thieves can sometimes dig up on the dark web) fraudsters may be able to obtain loans and open credit cards using your loved one’s established credit.
Notify the government of your loved one’s passing
To help ensure fraud doesn’t happen, surviving family members—or the executor of the estate—should alert financial institutions and key government agencies about the death.
Don’t assume this happens automatically. For example, funeral homes are only required to notify the Social Security Administration (SSA). It’s still a good idea to confirm that they’ve done so. If not, you’ll need to send a death certificate directly.
Next, notify the IRS. Filing IRS Form 56 establishes yourself as the fiduciary for the estate and helps prevent fraudulent tax returns filed under your loved one’s SSN—a type of fraud the IRS has been increasingly monitoring in recent filing seasons.
You should also contact the local DMV to cancel the individual’s driver’s license, if applicable.
Notify banks and credit lenders, too
Then, alert one of the three national credit bureaus: TransUnion, Equifax, Experian. Whichever bureau you contact will notify the others. Ask them to flag the account as “deceased,” and suppress prescreened credit offers. Both steps help prevent criminals from reopening accounts or taking advantage of old credit lines. “It’s also a good idea to review a copy of your loved one’s credit report,” says April Melheim, Workforce Planning Manager at Allstate Identity Protection. “If you know their credit score and any existing debt, it’ll be easier to spot posthumous changes—which are red flags for fraud.”
From there, notify banks, lenders, and credit card companies of the passing and provide a copy of the death certificate.
When sharing copies of death certificates (which contain sensitive PII themselves), opt for certified mail with return receipt so you know they reached the intended agency securely.
Estate planning and your identity
Whether you’re helping an aging parent get organized or reviewing your own plans, having essential financial information—like details about loans, accounts, investment funds, and digital assets—documented and stored securely can make a difficult time easier for loved ones.
“If you have instructions set up for the event of your passing, you may want to include steps your loved ones should take to minimize your risk of identity theft,” says Melheim. “For example, you may want to tell them to send a copy of your death certificate to the credit bureaus.”
You can also outline which organizations should be notified, where important documents are stored, and whether a family member should monitor for suspicious activity.
“The more information and direction you can provide, the better off your loved ones will be,” she adds. “They’ll then be able to focus on other things —like celebrating your legacy.”
Losing someone you love is hard enough; dealing with identity theft afterward shouldn’t be part of the burden. By taking a few preventive steps, watching for warning signs, and securing sensitive information, families can protect both their loved one’s legacy and their own peace of mind.
And if you're an Allstate Identity Protection member, remember that our specialists are here to help your family navigate this process with care, guidance, and an extra layer of protection when you need it most.
