Credit is not a new invention, it has been around since Roman times; but life without it today is almost unimaginable. Your credit report is not only used when you borrow money, but also for many other things including: renting an apartment, getting insurance, or applying for a new job. Being a victim of identity theft can destroy your credit and this can impact almost every aspect of your life. Being lax and not using identity protection services is a gamble that no one should be taking.
To understand how to protect your credit report, you need to understand what goes into it. It includes all of your borrowing history, including credit accounts and the terms of these accounts. It also includes basic personal information, your payment history, and inquiries. The inquiries are generated anytime a person or company requests your credit report, and the accounts are created anytime you or an identity thief uses your social security number to obtain financing.
Accounts that you don’t recognize are obviously a problem, but changes to your basic information or inquiries from companies that you don’t know can also be an indication of identity theft, so the best identity protection services will monitor for all of these changes. Identity protection service reviews can direct you to the services that monitor your credit report from all three credit bureaus. This is important because the information can be different on each one. The three major credit bureaus are actually competitors, so they do not share information. Lenders report information to credit bureaus voluntarily, it is not required. Some smaller lenders may only work with one credit bureau, so a new account would only show up on that report.
You might try to monitor your credit reports yourself. You probably know that you are entitled to a free credit report from each of the three major credit bureaus each year. The problem with this is that credit reports can be very confusing, and you will be left vulnerable between your free reports. The best identity protection services will give you protection and peace of mind year-round.