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.