Different Ways To Deal With Identity Theft

(If you feel as if you have been a victim of identity theft, or are just interested in learning about the subject due to its prominence in society, there are a variety of things to learn about. )

First of all, there are many options for people who have had their identity stolen.

There are credit freezes, fraud alerts and credit monitoring services just to name a few (but these are the most popular).

These can all be very confusing things to understand, so it is best to read up on them in advance of your identity being stolen. Because knowing what to do if your identity does get stolen is very important and can save you a lot of time, money and stress in the long run.

Having something like that happen is already traumatic and stressful enough so knowing and understanding your options and what to do is extremely important.

A November 13, 2006 article by Leslie Hunt of Bankrate.com, “Using fraud alerts, credit freezes and credit monitoring,” discusses the benefits and drawbacks of using each of these services to deal with identity theft.

“Consumer advocates and credit bureaus push different advice to consumers concerned about identity theft. One side makes credit freezes sound like the Goliath of identity theft protections, while the other trumpets credit monitoring services as the answer to fraud worries and advises consumers to raise fraud alerts only if they suspect identity theft. All three credit report protections come with their benefits and drawbacks, including cost differences, convenience and prevention factors.”

“Ultimately, the usefulness of credit freezes, fraud alerts or credit monitoring depends on the consumer. Some people want an alarm system, some need a gated community.”

Fraud alerts are a good idea if you know you have been a victim, since they make it so a creditor calls you if a new application comes in with your information on it. Some people have reported that this works really well, and they have received calls every time the fraudulent person tried to make a call, while others say that fraud alerts did not really work and criminals were easily able to bypass the system.

Another option would be to enact a credit freeze, which makes it so third parties cannot get access to your credit file. “More protective than a fraud alert, some find credit freezes to be a godsend, but others loathe the inconvenience.”

People complain the most about how it takes a while to get the credit freeze removed so if a creditor needs access to their file it could take a while to get the freeze removed. Causing problems if you are trying to get a loan or some sort of credit line.

The last avenue for dealing with identity theft is the credit monitoring system. “By spending anywhere from $50 to $200 a year, you can purchase credit monitoring services, which alerts you of significant changes on your credit file, such as inquiries.”

Each of these systems all have their different advantages and disadvantages, so it is best to understand them all before choosing one to put in place to help guard against identity theft.

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