Which action is least effective in preventing identity theft?

• A. Shredding documents with personal data
• B. Regularly monitoring credit reports
• C. Using two-factor authentication
• D. Sharing your card number with trusted merchants only

Answer: (D)

Minimizing exposure of personal information and adding layers of verification are key ways to prevent identity theft. Shredding documents that contain personal data stops thieves from copying sensitive details from physical trash, a common source of information for fraudsters. Regularly monitoring credit reports helps you spot unfamiliar accounts or inquiries early, so you can act quickly to limit damage. Using two-factor authentication adds a second barrier to unauthorized access, so even if a password is compromised, a thief still has to pass that extra step.

Sharing your card number with trusted merchants, even with good intentions, is less protective. No merchant is immune to data breaches, and card numbers can be exposed through hacking, skimming, phishing, or insecure networks. Relying on trust alone doesn’t reduce the fundamental risk of exposing your primary payment credential, whereas the other practices provide concrete, proactive protections.

So while legitimate transactions require sharing card information, this action by itself is the least effective way to prevent identity theft compared to shredding sensitive documents, monitoring credit, and using two-factor authentication.