Erika asked:


So here’s what happened:
I check my credit report, and my husbands monthly through a credit monitoring program called, “my credit keeper” I last checked my report as well as my husbands Jan 01, 2010 and my scores were good and my husbands were in the range needed for us to buy a house about a 640.
We just started doing the paper work for a home loan and of course they ran both of our credit reports and all of a sudden a “new collection account” showed up on my husbands report!
Apparently an old collection account from about 4 years ago was bought buy a new collection agency and they re-opened it as of Jan 18, 2010 showing the original reporting date as the same, Jan 18, 2010.
This action plummeted his score all the way below a 600! I am under the impression that this is illegal because they would be extending the statute where derogatory accounts can only be on your credit for 7 years. so technically this should be off in 3 but by their (collection agency) standards it will be there until 2017…
The agency is really hard to deal with (super nasty) and I am just thinking of getting a lawyer to handle it. Just was wondering what others thought and if this is truly illegal.
Thanks for the advice, fortunately we have pretty much no debt its just that this one account is so old that surprisingly it will not affect my husbands score is a positive way to even pay it so we rather just keep saving our money for a house. I just wanted to make sure this practice so that I wasn’t wasting my time with a lawyer today. Its a shame that companies can’t just act within the law and that I am driven need legal services for something like this! I just want to buy a house darn it!
Oh and please excuse my spelling and grammar errors in my “details added!” sorry.

Bessie

cruz asked:


My friend found out someone was stealing his identity (like a few weeks ago) before it got out of hand… i just found out and i never really asked, but how do you know (or figure out) that someone’s doing that, i always thought people never find out until years after when creditors are calling and harassing… im just curious because he said it happened because he used an online payment (like amazon or something) and i want to know how to avoid it

>>people tell me to get a credit-monitoring account (like solusid)… what’s the best one to use (or do you use)… thanks

Alex

Deav Daver asked:




As you research Identity Theft, two terms are encountered frequently: 1) Identity Theft Protection, and 2) Credit Monitoring.

Many people assume these two terms mean the same thing and use them interchangeably. BUT, they are not the same, even though they are both designed to help defend against your becoming a victim of Identity Thieves.The primary difference between them is that one provides a more complete protection than the other.

Credit Monitoring is a service that only monitors your credit report for unusual activity. Generally this service is offered by the credit bureaus themselves, but individual companies can also offer the service. The way this program works is this: 1) You pay a fee to have somebody monitor your credit, and 2) When unusual activity is detected, you are sent an alert within 24 to 72 hours

Once you have been alerted, it is up to you:

To check out the unusual activity, To determine what is going on, To ensure that the information is accurate, and To initiate any necessary action.

Identity Theft Protection is a service that does more than just monitor your credit, it prevents people from gaining access to your identity. With this type of program in place, the company providing this service will:

Order your free credit reports for you on a scheduled basis, so you can see what is on your credit report, Notify you whenever there is any attempt to open credit or apply for services in your name, Remove your name from pre-approved credit mailings (which is another avenue that Identity Thieves use to open credit in your name), Repeat this process every year, so that you are fully protected.

Another difference between these two types of services is that with Identity Theft Protection, the goal of the program is to stop thieves before they access your information. With Credit Monitoring, you may have already become a victim of Identity Thieves before you are notified of the activity. Credit Monitoring programs expect you to do everything on your own; however, they will provide you with advice on where to start.

A significant advantage of Identity Theft Protection is that, if you do become a victim of identity thieves, you don’t have to take care of everything by yourself. It can take many hours to correct Identity Theft problems by yourself, so the company will provide the people to help you fix the problems.

Erin

Debrah Maluk asked:




We often see offers for credit score monitoring on TV, in magazines, and even from our credit card companies. They offer a low monthly cost for them to alert you to various changes in your credit score. With the risk of identity theft out there though many people are considering it. Yet this is a type of expense that really isn’t necessary. That money could be saved for something else, even used towards paying off any debt that you may have.

You should be looking into your credit score though so that it is being monitored. Know what is on your credit report. At least once a year you should go through every single part of it. Make sure you look at all of the accounts, who has requested a copy of the credit report, and more. By doing so you can see red flags that may indicate that there are problems. It is unbelievable how many credit reports out there have errors on them so don’t assume yours is correct.

There is often a big misconception about what credit score monitoring offers though. Many people get it to help them with identity theft issues. Yet all that this type of monitoring really does is tell you if your credit score goes up or down. It can also tell you why it has occurred. They can inform you of balance changes too such as when big ticket items are charged on credit cards. While all of this can be useful, in the end it doesn’t stop the identity theft so there is a false sense of security circulating in regard to that element of these services.

However, for someone that has had issues with identity theft, they have lost their wallet, or they have an ex spouse that could be using their information it may be beneficial to be alerted of such changes. If you are very busy and can’t do it on your own then having a resource that takes care of it may be in your best interest. However, if you aren’t making your credit a priority in your life then you really should be doing so. The more involved you are with the process the better it is.

If you are very worried that someone could access your information for credit though, you can pay a one time fee of $15 to freeze your accounts with all three of the credit bureaus. This will mean that you can’t take out credit either so be ready for that. Still, it does give you time to find out if you lost your wallet or if it was stolen. If someone was to try to use your information it wouldn’t help them. They would just move on to someone else.

Down the road you can request to unfreeze those credit reports. It may cost you another $15 but that total of $30 is less than what you will pay with a monthly credit score monitoring service in place. If your reason for credit score monitoring is to know each time you move up a few digits, then that is going to be a waste of money for you to spend on it.

Based on this information, the average person really won’t need to have credit score monitoring in place. Why is it so popular then? It really comes down to clever advertising on the end of those entities offering it. They feed off of the emotions of people that don’t want to suffer due to their credit score not being accurate. They don’t want to be turned down for loans or get an approval that comes with a high rate of interest. Many older individuals like this type of monitoring because they worry about being scammed.

In reality though there is a very slim chance you will ever need to rely on such services to help you out. Those that provide these services are able to bring in a large amount of money for offering a service that has a perceived value. As consumers find out more about it though most of them are refusing the services or canceling what they have in place.

Now that you have all of the information you can weight the pros and cons of the use of credit score monitoring. Since each of us has different needs and different goals then it makes sense to do what fits best for us. Evaluate the benefits to you and the cost to see if it is really something you want to pursue or not. Your finances are important but there is more than one way to keep a close eye on them.

The decision to obtain credit score monitoring is completely up to you. The experts don’t feel that it is a necessity though so don’t feel pushed into getting it. Most of the time companies try to initiate scare tactics in order to get you to buy such coverage. It is a great way for them to make money for doing very little. While it is legal for most of them to operate, it doesn’t seem fair or ethical once you look at all the facts.

In fact, the Federal Trade Commission has been closely evaluating many credit score monitoring programs. Their findings is that many of them really don’t benefit the consumers at all. This has caused them to close down some of these entities and to give others a chance to modify what they offer or to comply with what they advertise.

There are offers that extend free credit score monitoring to you for a period of time. This can be something that allows you to see if you want to take part in it before you pay. What you have to be careful of though is that many of them have enrollment that is automatic at the end of the trial period. If you forget to cancel it then you will automatically be billed for those services.

Kevin

Tracy Becker asked:




Credit Monitoring – How does it protect you from identity theft and what service does it really offer?

We have been asked over the past 5 years if Credit Monitoring is worth having and if we can provide this service.

Credit Monitoring is a huge business and with scores being so important it will continue to grow. How many times have you seen promotional offers for the opportunity to get free monitoring of your credit profile? It is so confusing for most to even understand their credit reports let alone what the monitoring services provide and how they can help. The information given by these services is difficult to decipher and can sometimes do more to confuse and scare consumers than help them.

I have been studying these services and learning about them for many years now. The one question I have is how can finding out you are a victim of identity theft or credit card fraud protect you? Once you know you are a victim it is already too late. When you begin to see signs of identity theft on your credit report the damage has already been done. Logically expecting Credit Monitoring to protect you from identity theft would be like studying for an exam after you fail. Identity theft is a process and the last result of it is seeing accounts on your credit report that do not belong to you. These accounts are usually in default with late payments or have gone to the point of collection or charge off.

Collections – are accounts that have not been paid at all and have been sent by the original creditor to a third party collection agency or the collection department of the creditor. Collection agencies may be lent the debt for a commission and if they are successful in collecting funds from the debtor they earn that commission. Other collection agencies buy the debt from the creditor for a reduced amount and they become full owner of whatever is collected. Once you understand this you can also see why they are so aggressive about getting consumers to make payments.

Charge offs- are when creditors write the amount the consumer owes, that has been uncollectable, off as a loss against their profits. This does not mean the consumer no longer owes the money.

So how can credit monitoring stop identity theft? The answer is it can’t. The only thing credit monitoring can do in regards to identity theft is to tell you that it is occurring. Another problem is many consumers buy credit monitoring because they are too busy to learn about their credit or just don’t want the responsibility of understanding it. They think that paying a company to monitor their credit will insure them against any problems. In many cases when the monitoring company alerts them to a new collection or charge off if they don’t recognize the account they just shrug it off as an error and don’t investigate the occurrence until they have a problem getting financing. The lesson is even when having credit monitoring you need to understand, at least, the basics of credit to recognize what is a cause for concern.

We are consistently approached by consumers with this question “I had an alert from my monitoring company. What does this mean?”. Credit monitoring companies provide basic updates to you about changes in your credit. Depending on the company hired and the specific program they offer will determine how you are updated and what information they will give you. Some companies only provide you with info about 1 credit reporting agency. Since there are 3 credit reporting agencies Trans Union, Experian, and Equifax this is just a piece of the information needed to really monitor your credit profile. One of the risks you take when hiring a monitoring service, that provides you with only one report update, is not being able to see if a collection is reported on all bureaus. Many smaller creditor’s like Verizon,Doctors,Dentists, and Health Clubs don’t want to pay the credit reporting agencies to provide each credit profile with this collection info since they will have to pay 3 times for this service. The result is they typically pay one reporting agency instead of all three and only put the collection on that one credit report. If you have picked the report that isn’t updated you will not be aware of this problem until all three reports are pulled. In this case the whole point of monitoring your credit will be lost.

When a monitoring service only alerts you that a change has occurred and does not tell you what the details of the change are we find consumers in a panic. They now know there is a change but don’t have any idea what changed. You can be updated of an alert when a 3rd party pulls your credit profile if you are shopping for a car, home, or business loan. You may be updated with an alert when you open or close an account or have a new late payment. Alerts come when balances change as well. If you don’t have details on what the alert is you will be in a continual state of panic. Credit is not stagnant and with so many changes happening daily these alerts could come all the time, daily, weekly, or monthly depending on how active your credit profile is. You can see there is much homework to do when deciding on a monitoring service. If you are highly educated about your credit and monitoring services it could be helpful for keeping you aware of the general picture of your credit portfolio. If you are uneducated or don’t have the time to keep track of your current credit situation it could be a source of continual anxiety and frustration.

Education is the key to staying updated on your credit and its significance to your financial life. There are other ways to protect yourself against identity theft and credit card fraud and we will address them in this 2 part series.

Karen

Bean asked:


I have heard some pretty crazy things about lifelock and will not use them but I like the idea of being notified if someone tries to open up a credit card under my name. How can I do this myself? I checked out the Transunion website and you can get credit monitoring done where they will alert you if their are any major credit changes on any of your 3 reports for $15 a month. Has anyone done this? Do they contact you if someone is trying to get a credit card with your name? Please share your experiences and make some recommendations. I filled out a rental application yesterday and had to put my social security number on it, I get freaked out about that stuff. Thanks!

Jesus

Nickolay Bokhonok asked:




It goes without saying that it is very convenient to have an ability to check the status of your credit when you need. And that is the reason why more and more people choose 3 in 1 credit monitoring that enables checking score and financial history. Of course, this service is not a free one but the membership fee is really affordable.

So, what benefits you get when you choose this service?

The key aspect that should be started with is that you will be able to check 3 main bureaus reports. And this is a really essential feature because if you are going to deal with loans, these 3 aspects will be taken into consideration by potential lenders. So, you must know what your current situation is.

The other important detail for you to pay attention to is that 3 in 1 credit monitoring provides you with the ability to access all 3 scores, so you will always be informed whether there are some changes.

One more important advantage is that 3 in 1 credit monitoring is easy to use. In order to get a report you will only have to provide some personal details (name, address, social security number and so on) and you will receive it via your email or will be able to check it on the web page.

It should be also pointed out that this service will help to improve your credit rating because in this way it will be easy to check what exactly should be enhanced. As a matter of fact, everyone knows that credit history is crucial when it concerns loans and if you want to be eligible for potential loans, your credit history must be as good as possible and 3 in 1 credit monitoring will help you to achieve this in an easy and convenient manner.

Finally, you should understand that ignoring credit monitoring might lead to serious problems in the future. So, if you don’t want someone opening accounts in your name this service is just what you need.

Samuel

darren w asked:


Some surveys indicate that as many as six million Britons have been victims, although the government estimates that the crime affects closer to 120,000 people each year. Either way it’s one of the fastest-growing crimes of the 21st century.

These tips could help to protect you:

1.Shred sensitive information. Shred financial statements, offers of loans and credit cards, catalogue account details or anything else that could be used to impersonate you before binning them. Thieves go through rubbish to see if there is anything useful – a practice known as bin raiding.

2.Check your statements carefully. Go through your credit card and bank statements every month. Unexpected entries can be the first indication that somebody is stealing your money.

3.Learn to love your credit report. Your credit report is such an effective tool in the fight against ID fraud that the government recommends regular checks to protect yourself. It gives you a snapshot of your borrowings and repayment record, so you can easily spot unfamiliar accounts and suspicious balances. You can see your Experian credit report online with a free trial of CreditExpert, the UK’s leading online credit monitoring and ID fraud protection service.

4.Limit your social networking. It’s tempting to include basic information such as your full name and date of birth in your profile, then add interesting details such as your pets’ or children’s names and nicknames. Don’t – these are the kind of detail that you probably use for passwords and PINs, so leave them out. Your cyber-friends might be fraudsters looking for enough data to steal your ID.

5.Don’t risk important documents. Don’t carry your passport, driving licence or even credit cards unless you know you’ll need them and never write down your PINs and passwords. If your bag or wallet is stolen, you could be handing the thieves your identity as well as your cash.

6.Report thefts. Always tell the police, your bank, credit card issuers and anybody else who might be affected if you suffer a theft. That way, your loss is on the record and organisations who might be approached by the thieves will be forewarned.

7.Keep an eye on your post. If mail goes missing, tell the Post Office immediately – someone may be intercepting it, especially if you live in a building with a communal hall where mail is delivered. Be especially careful when you move house and use the Royal Mail’s Redirection Service to forward your post to your new address for at least a year.

8.Register to vote at your current address. Lenders use the electoral roll to check that you live where you say you do. If you’re not registered, a criminal could register you at another address. When you move home, always deregister at your old address and re-register at the new one. That way, the people who move into your previous home can’t offer apparent proof that they are you.

9.Don’t respond to cold calls and e-mails. Never reply to e-mails and cold-callers asking for details such as PINs, passwords and account numbers – and don’t fill in your details on any unfamiliar e-mail or website. Telephone the organisation that is allegedly behind the approach, using the number in the phone book or in previous correspondence – and warn them what is happening.

10.Keep on checking your credit report. You need to check your credit report regularly, because ID thieves could target you at any time. CreditExpert sends out weekly alerts by e-mail or text to warn you if there has been any significant change to your credit report, so you can log on immediately and see whether you are being impersonated. Always respond to these alerts – they give invaluable peace of mind.

Rafael

jake asked:


So my undergraduate school recently announced that they let a computer with my name, address and SSN get stolen (along with 38,000 other people’s SSN). I have already signed up for credit monitoring and put a fraud alert out, but my question is:

What will the thief do with my SSN? What do you think is the most likely thing? Should I be worried about the thief gaining access to existing accounts and credit cards?
I should add, my university has already disclosed the theft of the computer with the SSNs. I haven’t noticed any attempt yet to misuse my SSN yet.

Thomas

cherub asked:


Our father died, and my brother has been using our dad’s ATM card to withdraw money from dad’s account. Brother also is living under our Dad’s house, driving our Dad’s cars, and going through our Dad’s valuable possessions. I fear he may be stealing things, and he has no authority to do this.

Who do I talk to first about this? The police? A lawyer? Some other authority? I can’t call the Big 3 Credit monitoring companies to put a fraud alert on Dad’s cards because I’m not the executor — neither is brother — at the moment.

Tell me all you know about something like this.
I forgot to mention: no will.

Steven