Credit Monitoring Service

Employing a credit monitoring service that will automatically track an individual's financial history can be an important defense against identity theft. Changes in a credit report, odd activity, or errors that need correction can be quickly detected through the use of these services. Anyone who is concerned about protection from personal financial fraud might benefit by subscribing with agencies such as these. One valuable feature that is generally available to the client is the ability to see reports from the three major reporting bureaus whenever the client wishes. Automatic alerts to significant changes in these reports are another valuable feature. These alerts may be generated by such things as changes in public record information, unusual inquiries, delinquencies, new charge accounts, changes in employment, or anything else that suddenly has a negative impact on the report. While many individuals prefer to monitor this information themselves, the convenience of having this detail of life handled by a credit monitoring service is more than worth it to some consumers.

When considering subscribing to a credit monitoring service, a consumer should carefully compare the features that varying services offer. One of the features to look for could include a free initial membership that may range anywhere from seven to thirty days. Monthly fees may be charged to a client's credit card in the range of ten to fifteen dollars per month, although some services may come at a lower price. A potential client should ask about how frequently their report will be checked and if there is a minimum membership commitment or if a client can cancel a membership at any time. A typical credit monitoring service will allow the client unlimited access to their own report. Additional analysis on how to improve a score and information on any financial errors a client may be making are also generally included features. Suspicious activity such as new charge accounts that have been opened without the client's knowledge will automatically raise a red flag. Clients are generally notified right away in the event of such activity. Among the benefits of keeping financial scores at a high level are lower interest rates, quicker approval on financing, and fewer mandatory down payments.

Protection against identity theft is an important feature of any credit monitoring service. The best defense against identity theft is adequate and timely information. A good first step in fighting this crime could lie in understanding its nature. An identity thief will take a consumer's private information such as their social security number or charge card account numbers and use this information to perpetrate theft or fraud against their victims. If successful, these thieves can leave behind shattered reputations and financial disaster. How do these criminals attain such personal information? There are a surprising variety of information sources that many consumers are not aware of. Some thieves will engage in a practice called dumpster diving. Dumpster diving involves sorting through trash for private identifying data. Skimming is another hidden practice that involves data storage devices that steal information when a card is used. Phishing is online activity that involves masquerading as a lending institution or other company to retrieve private data. Something as simple as a change of address form can temporarily divert mail and bills to a thief's address. The thief will then use the information included in personal mail to perpetrate fraud. Other false pretenses such as telephone soliciting or door to door contact can also work as methods of obtaining information. If all of these efforts fail, there is always the old fashioned practice of stealing wallets and purses. Whatever means a thief might use, personal identity should be carefully guarded to prevent this fraud and a credit monitoring service can provide a needed heads up before things get out of hand.

The usefulness of a credit monitoring service is greatly appreciated by anyone who has experienced charge card fraud. If a thief should attempt to open up an account in a victim's name, anyone subscribing to one of these services will know about this attempt immediately. Under non monitored circumstances, a victim may not find out about these fraudulent accounts until it is too late. A thief will often hide their tracks by having the charge account information delivered to the thief's own address. Some thieves may try to open up telephone or wireless accounts in someone else's name. If successful, the thief will use the account for his own purposes and can run up a hefty bill in the victim's name. Even utilities are not off limits. Cable television, internet capability, heating, water bills, any utility is not off limits. Bank accounts have been opened in the name of identity theft victims with bad checks and overdrafts following rapidly. The use of ATM and debt cards to drain existing accounts is also a common offense. In addition to all of these crimes, some thieves will borrow money or make credit purchases that they do not plan on ever repaying.

Whatever approach an individual might choose, there are specific rights that apply under the Fair Credit Reporting Act. In addition to one free report per year, individuals have the right to know if any information that is in their file has been used against them for any reason. It is also permissible under the law to dispute any information that can be found in the report. With perseverance and awareness, most consumers can work out financial issues and rebuild scores and a credit monitoring service can be an effective tool. The Bible talks about the importance of endurance as it pertains to faith. "Fight the good fight of faith, lay hold on eternal life, whereunto thou art also called, and hast professed a good profession before many witnesses." (1 Timothy 6:12)

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