How would you handle a rumor?

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Guys, Mylotters, I need your opinion on this. What is the best way of handling a rumor? How would you handle a rumor? When I first entered college, there was a rumor about me being a member of some sorority. I ignored it. I didn´t even think that it could be any harm to me. I just thought people would look at me as tough, nothing wrong with that. Then again, it´s just a rumor and it´s not true. I never been in a sorority and never even tried to be a member. But still, rumor has it... So I thought this is a harmless rumor. Well, I thought that until it haunted my sister in her high school. Apparently, some students there actually thought that I am a member of some well known sorority. Big BS. They started harassing my sister, threatening her, things like that. My kid sister was just fourteen and got irritated and scared. Other girls on higher level, whom I think held a grudge against me, were threatening her. I don´t know why these girls do that, or how they know me when I don´t even know them. It´s quite sad and disturbing but we figured a way through it since I am an alumna in that high school and the Prefect of Discipline (POD) knows me well enough and vouches for me and my sisters credibility. The girls never bothered her again and were duly punished. I just wonder, maybe if I took care of the rumor instead of ignoring it then this could not have happened. But then, I don´t know how to handle a rumor aside from ignoring it. What are your thoughts? I´m dying to hear them. Thanks!