How To Monitor Your Credit For Free

210 million to settle charges that it pressured customers to buy often unnecessary credit-monitoring services. 180 per year. Providers of credit-monitoring tools claim they protect people from identity theft by watching for changes on your credit report and then sending alerts when changes are detected. In fact, however, that may create a false sense of security because some forms of ID theft may not appear on your credit report for a long time, if ever. Indeed, some consumer advocates warn that credit-monitoring services are like an alarm that warns you long after the break-in has occurred.

Despite these drawbacks, demand for ID theft-protection and credit-monitoring services is growing. Credit reporting companies offer services such as Equifax Credit Watch, Experian ProtectMyID, and TransUnion Credit Monitoring, which monitor a subscriber's credit report and sends messages when there are inquiries or changes to the report. Typically the cost of these services include a monthly subscription fee that covers daily credit report monitoring, sending alerts and providing fraud-resolution insurance.

But consumer watchdogs warn that these services can be costly and incomplete, as many only check activity on one credit bureau report, not all three. They also note that consumers can do for free what most of these services offer to do for a fee. The other side of the argument is that you can cut your own lawn, but many folks will pay for the convenience of having someone do it for them.

Critics of credit-monitoring tools acknowledge that these services may be worth the money for people who have been a victim of ID theft or who are at higher risk. That includes individuals who keep a lot of money in their banking accounts, check their bank activity infrequently, travel frequently, travel abroad, and who don't check their own credit reports.

Of course, some people may already have ID theft insurance and not know it given that several insurance companies provide it as a standard or additional feature of their homeowner's insurance policies. Credit card companies are also offering this as a part of their credit cards features. So check before you buy. Review all activity on your credit card and bank statements and dispute or report unauthorized activity as soon as it's detected.

Review your credit reports regularly, looking for changes and any incorrect account information. Ask the thee credit bureaus to place a free fraud alert on your credit report file. You'll need to renew this alert every 90 days; it warns lenders that they should take extra steps to confirm your ID before issuing new credit. Put a "lock" on your credit report file by freezing your credit report.

10 per file, prevents new lenders from accessing your credit report. The catch is that you'll be prevented from opening a new credit account unless you temporarily unfreeze your account. No matter how many precautions you take, however, the reality is that it's almost impossible to prevent ID theft, particularly when a business that has your personal information is compromised from within.

The single best defense against serious harm from ID theft is to frequently review your credit report information for signs of incorrect information and accounts that you did not open. Early detection and immediate action is the only way to limit and stop the damage that can be done when your personal information is used fraudulently. The bottom line: You have to take as much interest in your credit report information as the bad guys do.

They can calculate the risks involved in lending you money for mortgaging a property, buying a car or simply issuing you a credit card account. Your credit report will be able to tell them the history of your debts, whether you pay on time and how many accounts or existing loans you currently have. There are some instances wherein there are discrepancies in your credit report. That is actually one of the reasons why credit monitoring is necessary.

It is very important to regularly check your credit report because there might be some false information written on your report that will greatly affect future opportunities for acquiring loans. It is also necessary to check your credit report once in a while so you can make sure that no one else is using your name to open accounts or to get a loan.

Monitoring your credit will definitely a big help in protecting yourself against identity theft which is quite rampant these days. There have been many reported cases of identity theft and people who keep a close eye on their credit history are able to defeat these thieves. If you have a credit monitoring service, this will also raise an alarm if anyone would try to open an account using your personal information.

You can monitor your credit in different ways. One of the ways to obtain your credit report is through the three credit reporting bureaus: Experian, Equifax and TransUnion. You can also check your credit card company or local bank if they offer credit monitoring services that will allow you to check your credit history at the same time see your credit score. This may require a little investment of money on your part, but it will certainly be for your own good.

Credit services that monitor your credit activities will not only help you check your scores or keep track of your accounts. If you check your credit report and see some discrepancies in these reports, these services will be able to help you to dispute the errors and false entries. This will also protect you against identity theft and other schemes that might put your credit reputation in jeopardy.



Now that you have seen how important it is to monitor your credit and how you can actually do it, you now have the capacity to keep your guard and watch closely your credit activities. Try the different ways for credit monitoring and find out a service that will help you monitor, safeguard and check your credit report and credit scores.