Parental guidance: Kids and identity theft

As for your other two children, Equifax, Experian and TransUnion do not knowingly maintain credit files on minor children, according to annual creditreport.com. "If you suspect that your minor child's information has been used fraudulently, you should contact the credit reporting agencies directly and report the illegal use of your child's information to law enforcement," according to the site. For more information, visit ftc.gov.

In some ways, a baby or child's identity is more vulnerable than an adult's because a baby or child has never had credit cards. "It's a clean slate," Chaplin says. And parents aren't likely to keep tabs on a child's credit history and may not discover a problem until the child is 18. Even though the child's birth year might raise suspicions among credit card companies, "the thieves are incredibly clever, as they can take that number and attach it to other birthdays," Chaplin says.

Keep the Social Security card locked in a safe place. Don't carry it, and don't leave it anywhere household help, baby sitters or workmen can see it. Chaplin even warned that sometimes family members in financial straits can be tempted. "It's often a crime of opportunity," Chaplin says.

Try to avoid using the number on forms at doctors' offices, and shred anything with the number on it. Get a free credit report periodically for your child to catch any problems. Theft of a baby or child's ID doesn't happen often, but the impact for victims can be long-lasting, Chaplin says.