Fraud Prevention
Understanding Credit Monitoring
Credit monitoring is a crucial tool for keeping your credit data secure. It involves tracking the activity on your credit report and receiving alerts for any changes or suspicious activities. This service can notify you about hard inquiries, newly created accounts, high credit card balances, and missed payments, allowing you to address any issues promptly. Credit monitoring helps you identify potential identity theft early and correct inaccuracies in your credit reports. However, it is important to note that credit monitoring alone cannot fully protect you from fraud; it is just one part of a broader identity theft protection strategy.
Freezing Your Credit Report
Freezing your credit report is an effective way to prevent identity thieves from opening new credit accounts in your name. When you place a credit freeze, creditors cannot access your credit report, thereby blocking the approval of any new credit accounts. To maximize protection, you should freeze your report at all four major credit bureaus: Equifax, Experian, TransUnion, and Innovis. Freezing your credit report is free and can be done through each bureau’s website, by phone, or by mail. You can lift the freeze temporarily or permanently when you need to apply for new credit.
Creating a Social Security Account
Setting up a secure online account with the Social Security Administration (SSA) is another step in protecting your identity. This account allows you to manage your Social Security documents, view your earnings records, and request a replacement Social Security card. By creating this account, you make it more difficult for identity thieves to access your Social Security information.
Additional Security Measures
Besides credit monitoring and freezing, there are other measures you can take to secure your credit data. Scanning the dark web for your personal information, such as your Social Security number, email, and phone number, can help you detect potential identity theft sooner. You can also use a personal privacy scan to check if your information is available on people finder sites. These tools can provide insights into where your personal data might be exposed and help you take steps to protect it.
Regularly Checking Your Credit Reports
It is recommended to check your credit reports at least once a quarter, but ideally once a month. This regular check helps you stay updated with the information on your credit report and identify any potential signs of identity theft or report mistakes early. You are entitled to a free credit report from each of the three major credit bureaus annually, and placing an initial fraud alert on your credit report also entitles you to a free report from each bureau.
Combining Credit Monitoring with Identity Theft Protection
While credit monitoring alerts you to suspicious activity on your credit report, identity theft protection goes further by monitoring for fraudulent activity in other areas such as your bank accounts, the dark web, and criminal databases. Combining these services provides comprehensive protection against identity theft. Some services also offer identity theft insurance, which can cover up to $1,000,000 in the event of identity theft.