How to Avoid Skip Tracing: Privacy Options for Sellers and Investors
How to protect your data and privacy in a world of skip tracing and public records.
Austin Beverigde
Tennessee
, Goliath Teammate
Skip tracing can feel invasive, especially for sellers and investors looking to maintain their privacy. If you’re worried about your personal information being tracked or accessed, you’re not alone. Fortunately, there are effective strategies to protect your data while still engaging in real estate transactions.
Quick Answer
To avoid skip tracing, consider using a business entity for transactions, limit the information you share publicly, and utilize privacy-focused services. Regularly check your online presence and remove any unnecessary personal data. These steps can significantly reduce the chances of being traced.
Understanding Skip Tracing
Skip tracing is the process of locating a person’s whereabouts, often used by debt collectors, private investigators, and even real estate professionals. For sellers and investors, this can mean unwanted attention and loss of privacy. Understanding how skip tracing works is the first step in protecting yourself.
What Triggers Skip Tracing?
Skip tracing often occurs when someone is trying to contact you but cannot find your current information. Common triggers include:
Unpaid debts or loans
Property transactions without updated contact details
Public records that list your personal information
Steps to Avoid Skip Tracing
1. Use a Business Entity
One of the most effective ways to protect your personal information is to conduct transactions through a business entity, such as an LLC. This way, your personal details remain separate from your business dealings.
2. Limit Public Information
Be mindful of what information you share publicly. Avoid posting personal details on social media or real estate listings that could lead to your identification.
3. Utilize Privacy Services
Consider using services that specialize in privacy protection. These can help shield your information from public databases and reduce the likelihood of being traced.
Costs of Privacy Options
Investing in privacy options can vary in cost:
Business formation costs (LLC): $50 - $500 depending on your state
Privacy services: $10 - $100 per month
Online reputation management: $100 - $1,000+ depending on the service
Realistic Scenarios
Before: The Exposed Seller
A seller lists their property online with their full name and personal phone number. They receive numerous unsolicited calls and emails, leading to stress and privacy concerns.
After: The Protected Seller
By forming an LLC and using a dedicated business phone number, the seller lists their property without personal identifiers. They receive inquiries only through their business contact, significantly reducing unwanted attention.
Checklist for Protecting Your Privacy
Form a business entity for transactions.
Use a dedicated business phone number.
Limit personal information on public platforms.
Regularly check and manage your online presence.
Consider hiring a privacy service.
Common Mistakes to Avoid
Many sellers and investors unknowingly expose themselves to skip tracing. Here are common mistakes to avoid:
Using personal email addresses for business communications.
Failing to update contact information with public records.
Not monitoring online presence regularly.
Avoiding these mistakes is crucial to maintaining your privacy and reducing the risk of being traced.
FAQs
What is skip tracing?
Skip tracing is the process of locating a person's whereabouts, often used by debt collectors and real estate professionals to find individuals who may be difficult to contact.
How can I check if I’m being skip traced?
Look for unsolicited calls, emails, or contact attempts from unknown sources. You can also search your name online to see what personal information is publicly available.
Are there legal ways to protect my privacy?
Yes, using a business entity, privacy services, and limiting public information are all legal methods to protect your privacy.
How much does it cost to maintain privacy?
The cost can vary significantly based on the methods you choose, ranging from a few dollars a month for privacy services to several hundred for business formation.
Can I completely avoid skip tracing?
While you can significantly reduce the chances of being skip traced, it may not be possible to completely eliminate the risk. However, taking proactive steps can help protect your information.
