Tom Diebold asked:




Having the right credit monitoring service can be the number one, best weapon in your arsenal for improving your credit score. I mean, seriously, how amazing is it that you can pay a little bit of money every month and get emails every time something changes on your credit report?!

So, what is a credit monitoring service. What credit monitoring does is check credit reports for any added information, deleted info, or changed info. So basically, anytime something changes, you get notified. The service also typically gives you quick access to your credit report and credit history from all the credit bureaus (all three to be precise).

Also, besides the monitoring elements, you’ll get to take a look at your credit score on a continual basis. Additionally, you can subscribe to see your FICO score from the service. The FICO score is probably the most important score out there… It’s used to determine your approval for a loan, mortgage or a credit card.

After you start fixing your credit history with the credit monitoring service, you’ll be able to get new credit score updates – usually once per month. All you have to do is hit a button and it’ll recalculate it for you.

This can have a huge effect on your score because you’ll be able to instantly see whether what your doing or not is working. Occasionally, you’ll see some of the credit monitoring services offer tools that will tell you what effect on your credit certain actions you take might have on your rating. For instance, applying for a mortgage or paying off a credit card. This feature alone can be very beneficial in fixing your credit score.

When you start to dive into fixing your credit reports, you’ll quickly be able to see the differences in your three bureau’s credit reports. Since each of the credit bureaus keeps their own client database, there will most definitely be differences on all of them! Yep – your credit reports aren’t even standardized! Better yet, different banks and lenders check different reports… So if two out of your three reports are pretty clean, and your mortgage is checked against the one that’s not, you’re in a bit of hot water!

The fact that each of the different credit bureaus has separate information really reinforces the fact that you should have a copy of all three credit reports on a fairly consistent basis. Unfortunately, you won’t know which credit agency your lender will check!

A good credit monitoring service does something called alerting. Alerting is a feature that I was talking about that will email notices of any changes that should happen on your credit report. These can be good and bad alerts – but alerts none the same.

Most services allow you to monitor changes from all three credit bureaus which can be a great way to protect identity theft and watch your FICO score. Also, if you’re looking to get a mortgage loan or an automobile loan, you are going to need to know if anything changes on your credit report in advance of submitting the paperwork to the bank.

Additionally, quite a few of the credit monitoring services have Identity Theft insurance. Depending on the monitoring service, if someone steals your identity you can receive up to $25K or $50K in damage coverage. That is an awesome feature! Especially with all the unease of shopping online.

In a nutshell, a good credit monitoring service will let you watch your credit reports at the 3 major credit agencies. You can also see your individual credit score with the agencies and your overall FICO score. Then, you can set up alerts and ID theft coverage to further protect your credit history and credit score.

I’ve been using a credit monitoring service for quite some time and I can’t speak highly enough about it. I would have to say that the service alone is the reason I was able to build my (terrible) score of 610 up to a 740 – making me able to buy my first house! I can’t recommend having one enough!

Ruth

Sean Dean asked:




On the heels of a huge increase in identity theft and a volatile economy, credit monitoring services are becoming increasingly popular. These services range in price from free (which offer nothing more than notifying you of any changes, then making you pay to learn what they are), to plans which cost about $10 per month and offer monitoring plus identity theft insurance. Not everyone will have a use for these plans though. If you pay mostly by cash and don’t rely upon a favorable credit score for loans, mortgages, credit cards, housing, or job placement, then this is probably a service you can skip. However, credit monitoring services make sense for many, like folks who are in the following categories:

1. You’re Trying To Get A Loan / Funding / Job And Are Attempting To Improve Your Credit Score: Today, your credit score almost defines who you are. A good score will affect your ability to get credit, a job, or a home (even if you are renting because landlords check). In some cases, future employers or schools check as well. So, if you are in this category, not only do you need to know your FICO score, but you’ll need to fix any errors (up to 70% have at least small errors). Often, the monitoring service will also show you where you fall on the credit scale and how you look to a future creditor or potential employer. The monitoring services usually can also help you come up with a plan on how to bring your score up and then will monitor your score while you get there so you can make any necessary changes or improvements immediately.

2. You’re At High Risk For Or Suspect Identity Theft: These days, this category includes almost any one, but if you have multiple credit accounts, have accounts under different names, or are going through or have just gone through a divorce or wedding, you are particularly vulnerable. Identity thieves also love to prey on families with young children who are in the process or obtaining a social security number or families who have recently had a death. If you’ve noticed credit offers addressed to someone other than yourself or you’re getting phone calls from collectors, contact one of the big three reporting companies to see what’s going on. The monitoring companies are vital when you are at high risk because you’re given a report daily and can immediately identify and report any unauthorized use. Many also offer theft insurance of up to say $20,000 for a very minimal fee.

3. You Have Had Identity Theft In The Past And Need To Monitor Your Activity: If you’re in this category, you know what a night mare ID theft can be, but even if you think it’s over, you still need to keep an eagle eye on your accounts because your information could still be out there. Since you know how difficult it can be to sort it out, you know the importance or reporting suspicious activity immediately. Credit monitoring companies make that not only possible, but relatively painless, as you can customize your daily alerts to notify you via email or wireless communication.

Eileen

Debbie Dragon asked:




Credit monitoring services alert individuals to changes to their credit report instantly- either via email, text message on cell phones or by phone calls. Many people use credit monitoring services to help them keep an eye on their credit histories and to increase their ability to recognize a fraudulent activity.

The US Federal Trade Commission estimates that it takes about a year before a consumer notices that they have been victims of identity theft. If you are using a credit monitoring service, you would have noticed the activity much faster than if you were only obtaining your credit reports annually. With over 10 million Americans falling victim to identity theft crimes annually, it’s no wonder we are willing to pay for services like credit monitoring.

Most credit monitoring services charge a monthly fee between $10 and $15, with the price dependent upon the level of monitoring you receive.

Information Provided by Credit Monitoring Services

Each credit monitoring service offers information for a fee; although the exact information provided and the price you pay for it may differ slightly between companies.

Most credit monitoring services give you access to your credit score, although some may only provide the FICO score and others might provide access to all 3 of the different types of credit scores that exist. FICO is the score most commonly used by lenders to determine an individual’s credit worthiness.

Credit monitoring services provide identity theft reimbursement coverage, with limits between $15,000 and $25,000, depending on the service you use. This means if you become a victim of identity theft while subscribing to the credit monitoring service, you will not be required to pay for expenses that are a result of the theft up to the amount of coverage you have.

Some credit monitoring service providers offer a range of tools that help you analyze your current credit situation, and how you can improve it. Online based forms let you predict what effects applying for a loan might have on your credit score, or the effect of paying off a credit card. These tools are valuable when you’re trying to improve your credit score as it gives you a good idea of the activities that will result in the largest increase in your credit score.

Some credit monitoring services are provided directly through one of the three major credit reporting agencies- in which case you will only have access to that particular credit report. Other agencies provide access to all three reports, and give you unlimited access- while some only update your credit reports every thirty days.

You’ll be alerted if the following activities occur to your credit report, as these activities could indicate fraudulent activity if you haven’t done something to cause these alerts to occur yourself:

A new account is opened A company makes an inquiry to your credit report Your address is changed If Public Records are added Any existing account changes information
The Value of Credit Monitoring all 3 Reports

You may find that you can pay a dollar or two less each month for a credit monitoring service that only provides monitoring of a report through one of the credit reporting agencies. If you think this is enough, you may be wrong!

Consider the following scenario: You have credit monitoring on your Experian report. A thief applies for a new luxury car at a local car dealership, and the car dealership pulls your report from Equifax. You would not receive an alert of the Equifax report inquiry with a monitoring service that only monitors Experian reports.

You would not see the fraud until the car is approved and shows up a month later on your credit report as a new account, and the thief is driving around with the car!

Having credit monitoring on all three of your credit reports would alert you to the inquiry of your report before the account is approved- and you could take action before it goes any further.

Bryan

Dovienya asked:


The free annual reports don’t include a FICO score. I don’t want to get a monthly monitoring service, I just want to see my score.

Thanks!

Franklin

Francine Denson asked:




In recent years credit monitoring services have become more and more popular as they provide instant alerts to individuals regarding changes to their credit reports. It’s a great way to monitor your individual credit history and recognize potential issues. Why not try to pinpoint issues with your credit history before they become huge problems? Read on to learn more about credit score monitoring and the many uses of these services.

Generally, according to the FTC, it takes about one year before an individual realizes that they have become one of the many victims of identity theft. Nowadays scores of Americans fall prey to this type of crime everyday, it seems paying for credit monitoring services would be a small thing when compared to the potential loss from identity theft. On the average, these services charge under $20 per month with the cost depending on the specific company and type of service you request.

The services and information provided by each credit monitoring service will vary, so it’s important to compare what type of information they are offering versus what you feel you need. Some companies may provide access to all 3 of the credit scores while others may only provide the FICO score. It’s important to know that he FICO score is one that is utilized the most by financial institutions and lending officials as the basis for credit decisions. For a handy comparison of top credit monitoring services, be sure to visit the link at the bottom of this article.

Theres another big benefit to becoming a member of a credit score monitoring service. If you fall prey to identity theft while utilizing a service that offers identity theft protection, you are not liable for any costs as a result of the theft. Most companies offer identity theft reimbursement coverage with a range of limits, again the amount is dependent on the specific company and service you have.

In some cases, credit monitoring companies have online tools and calculators to assist you in determining the impact of financial decisions on your credit score. For example, if you pay off your auto loan, what impact does that have on your credit score? If you pay off your mortgage, what impact does that have on your credit score? When you are trying to improve your credit score these tools can really come in handy in determining your next financial decision, you can predict which decision will result in the largest increase to your credit score.

Depending on the specific agency and service you choose, some companies only report on one of the big three credit reporting agencies, while others may provide access to all three reports. Also, some companies may update your credit information daily while others may have a less frequent update schedule. It’s important to evaluate the company and service offerings to be sure you get the best value to meet your needs. The great news is you will be notified as soon as any questionable activity occurs on your credit report, before the situation gets out of hand.

Ida

ILUVTOFU asked:


All three?
[Equifax, Experian, TransUnion]
I want to know my FICO score, but want to know if every credit bureau has their very own FICO score.

And does MyFico offer monitoring for all 3 bureaus? [for individual credit scores]

Lee

Eldorado asked:


Every site I go to so far it wants you to sign up for a monitoring fee or wants you to buy three credit scores and reports. I don’t want a score and report smothered in BS.

Alicia

Sean Dean asked:




In today’s economy and volatile financial world, knowing and monitoring your credit score is no longer a luxury. It is vital. Today, not only do you need to have an accurate picture of your finances, you also need to keep an eye on them regularly. (Daily is optimal.) Just using a free service to obtain your credit score once in a great while may not be enough today. Today, future employers, landlords, and any one with whom you may do business or borrow money can take a peak at this report. Here’s a list of some scenarios in which daily monitoring can greatly help:

Qualifying For And Obtaining The Best Housing, Mortgage, Refinancing, Credit Card, Or Loan Rates: Your Fico credit score is the determining factor in any credit, loan, or mortgage terms, acceptances, and rates. Obtaining decent, reasonably priced credit is increasingly difficult in our volatile economy. Knowing your accurate Fico score can instantly give you a view of what you may qualify for and the rates that you’ll likely receive. Doing this homework prior to the application process can be vital. Arm yourself with all of the facts before you enter into the application process or negotiations with any financial institution. Doing so can both ensure your acceptance, favorable rates, and can save you money.

Changing Inaccuracies And Mistakes / Monitoring And Improving Your Score: If your credit report shows that your score is less than desirable or is inaccurate (believe it or not, up to 70% are), your best bet may be to take advantage of the reporting / monitoring company’s resources so that you can monitor, fix, and then improve problem issues. Such agencies often offer tips and tools that will help you: interpret your situation accurately; fix any inaccuracies; set a score goal; and then make any adjustments necessary to ensure you achieve it. By monitoring this information regularly, you can see any errors as they arise, determine where you are making headway and get a clear picture of where you need to concentrate your efforts. This will likely help you achieve your goals faster. You’ll also know the moment you reach your target score so can obtain your credit, loan, or mortgage at the time optimal for the most favorable rates. This sounds simplistic, but it can theoretically save thousands of dollars over the life of any loan or line of credit.

Immediate Notification Of Identity Theft: Credit score monitoring companies typically update your information daily. This means you’ll know immediately if a transaction is made without your knowledge or permission. Immediately reporting suspicious or unauthorized activity is vital to stopping very costly identify theft as soon as it happens and before the thieves go on a spending spree at your expense. Yes, over time, you can theoretically wade through the red tape of unauthorized transactions and straighten it all out, but it takes a lot of time, money, and frustration to get there. In the meantime, your name and your financial information, is tarnished. It’s so much easier to stop and report the problem immediately. Many monitoring companies also offer protection and insurance also.

How Much Does Credit Reporting / Monitoring Cost? It’s probably a lot less expensive than you might think. Although some will offer “free” services, what you’ll likely get for “nothing” is just a monthly notification of changing activity you’ll have to pay to retrieve. In other words, when there is activity, the information is held hostage until you pay. There are services available that give you detailed, daily reporting for less than $10.

Sara

dale h asked:


We are judged by what is in our credit file. Inconsistencies throw up a red flag for lenders while the inconsistency of the score itself is over looked.

How is it that I can check my credit score today and tomorrow it will be different, and different still the next day, and so on, and so on.
Sometimes, the spread has been as much as 70 points!
Over a 90 day period, I have not gotten the same score of any previous day. (This is true for all reporting agencies)

Next, why does a lender get a different score than what I get from a reporting agency on the same day? Once again, a big spread as much as 70 points, generally higher to the lender.

I have tried all of the best known credit monitoring services and it is the same story among each.

I don’t have a problem in this area, I am just frustrated by the inconsistency of the so called,”Experts” who have so much control over our financial lives.

My conclusion; the FICO score is essentially worthless!
You are right, FICO does tend to be used generically.
All info remained the same during this period, only the scores change.
Credit repair services are a rip off. They can’t do anything we can’t do ourselves.

“There are no short cuts to good credit”

Roberto

Ladybug asked:


I just checked my FICO score with Equifax, and my score is 678. I’m a little confused about what that means, though. On the main display page that appeared on my computer monitor, it said my score falls into the “Good” range (but not “Very Good” or “Great”). The “Good” range, according to Equifax, was from 660-724.

However, when I printed my credit report, the word “Poor” suddenly appeared under my credit score. Same number — why did the classification suddenly change?

So which is it? Is my credit score good, fair, or poor?

Randy