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Monitoring Credit Reports as a part of Your Deter, Detect, Defend Strategy
As over 9 million Americans have their identity stolen each year, it sort of makes sense to do what you can to prevent yourself from becoming one of those victims. By investing a little time and money into protecting yourself, you can prevent a lot of heartache in the long run.
Some people will find that once their identity has been stolen, they can get it back immediately. It may seem a bit silly to think that you would ever permanently lose your identity, but in terms of your credit record, that can become a reality. If someone manages to spend thousands of dollars on things you never get to see, you are going to be the one clearing up the mess/ That mess could include repairing your credit score, which can take years.
Now many of us will be aware of some of the scummy moves scam artists make when trying to steal our identities. From old fashioned pick pocketing, to dumpster skimming, there is very little they will stop at to get your identity and have a good time using it. However, where you need to use extra caution is online. Today, one of the most common ways a thief will get hold of your identity is by phishing. Phishing, is where a thief will pretend to be a financial institution and encourage you to enter your details via a popup or email. Also, you need to be aware of pretexters. Pretexters may send you a survey or call you to get details like your name, date of birth, and social security number. They can then use these details to convince your bank to hand over vital information, which they will then use to their advantage.
So what can you do to avoid these people? Aside from implementing a little common sense, you should also consider making the most of monitoring credit reports to watch out for some of the key warning signs that your identity has been stolen. Credit report monitoring will make the most of all three credit agencies and the information they hold on you to let you know whether someone has stolen from you or not. You will be able to access sudden changes immediately, and this has a definite advantage over finding out at the end of the month when your bill hits your door mat.
So, rather than waiting like a duck sitting in a pond for someone to use your details for an all inclusive trip to the Bahamas, make sure you keep a good eye on what is going on with your credit profile. By becoming a part of the frontline approach through credit monitoring, you can avoid becoming one of those unlucky 9 million Americans who sees their credit profiles ruined each year.
Credit Monitoring and Your Employment History
When it comes to applying for credit, you will find that the vast majority of financial institutions want to know who your employer is. As far as securing credit is concerned, having the right employment history available for lenders to view is vital. Imagine you want to apply for a credit card with amazing APR and your employment history doesn’t quite match up to what you say it is on the application, your chances of getting that card will be hampered. But why would your old employment history be available rather than up to date information?
Unfortunately, different financial institutions will check out your credit history against different bureaus. To those of you who don’t know, there are three credit scoring buereaus that lenders like to check with, and not all of these will be giving them the same information. As irritating as that may be, it is sort of your job to make sure each report is giving a true reflection of your current working situation to financial institutions that want to know what you are up to. So how can you do this? By making the most of credit monitoring, you will be aware of who is seeing what information.
If you become aware through credit monitoring that one of the credit check bureaus holds the wrong information, you can rectify the situation. This doesn’t just apply to your employment status or history, it also applies to negative marks that shouldn’t be there, debts that have been settled, and the address each one has on record for you. Really, the only way to ensure you get a consistent response from whoever you’d like to lend money from is to make sure everything stays stable between all three of them.
Now back to how you can rectify your employment history if/when it is incorrect. A little rumor floats around forums that the only way to do this is to apply for credit using your current employer on the application; that is a load of rubbish. Not only would you be applying for credit pointlessly and racking up more footprints, you may not even be accepted if the information on your record is incorrect. What’s even worse is this does not guarantee that your employment record will be updated. So what is the best way to do it? That’s easy; get your laptop, write a letter to each credit bureau and let them know what your current information is. To avoid wasting time during this process, use a triple agency credit monitoring service so that you can become aware of when you need to write to someone.
Finally, try not to worry about how your employment history will affect the amount of credit you can get. You only need to use where you have worked to prove that you are who you say you are. In an age where money is tight, financial institutions will look for almost any excuse to automatically reject you. Get your employment history straight on your credit report, and you won’t be giving them one.
Protect Your ID This Easter Weekend
That time of year has hit us again; Easter weekend is a great time to see your family, indulge in lots of chocolate, and go on trips. Despite being such a happy time of year, Easter is a key point for credit thieves to begin tapping into your accounts and stealing your ID. Of course you could fall victim to cunning thieves at any time of year, but there are certain times of year where identity theft is on the rise, and this is one of them.
So how can you prevent thieves from stealing your ID and wrecking your credit score, well all you need to do is exercise a little extra caution. Every 3.5 seconds this Easter, someone’s identity will be stolen, so let’s try and bring that statistic down a little.
Be careful when buying online
Easter weekend is a peak time for traveling, and as it becomes more convenient to purchase air, rail, and bus tickets online, more of you happy travelers will be entering your credit or debit card details into Internet based forms. The good news is, if you are web savvy then you will not come across any problems. So when are you most likely to have your identity stolen? The first instance is if you do not have virus protection installed on your computer; this will protect you against keystroke tracking software, and viruses that will lift your details. In addition to this, don’t respond to emails from retailers you do not recognize, and always use eCommerce sites that you are familiar with.
Protect Yourself at Home
Even when you are not traveling, thieves will look towards your home to learn more about your identity and use it for their financial gain. Whatever you do, don’t just toss that irritating letter from your bank in the trash; by shredding papers and eliminating information, you will prevent scam artists from manipulating your identity. Take the same approach with any letters that contain social security details.
But what if you are going to leave your home over the Easter period? You can still take steps to protect yourself. First, let your neighbors know you are leaving, and ask them to pick up any newspapers, junk mail, or letters that accumulate outside your house/hanging out of your letterbox. If you leave such items to build up, you are practically saying to thieves, “Hey. I’m not here for a while–come right on in and check out what I’ve left lying around.” In this day and age, modern burglars are way too smart to just steal every day items, they will head for your office drawers and take letters with your credit card details, social security number, and bank codes on them. So be smart, and ask your neighbors to help you out.
Stay Safe While Traveling
Finally, and most importantly, stay safe while traveling. It’s very easy to lose track of what you are doing while you are away from home, particularly if you are having a good time. Scam artists will look to steal your cards and social security ID while you are not watching, so keep them safely hidden on your person. In fact, try not to carry them at all. For starters, it is very rare that you would need your SS ID while on vacation, so leave it at home. As for credit and debit cards, try to get by on cash, and leave your cards in a hotel room safe.
If you are concerned that someone has misused your ID, consider credit monitoring to check with all three credit agencies whether the records on your file match up with what you believe to be true. Doing this will protect your identity, and prevent future incidents.
How To Get Through College Without Runing Your Credit
If you are off to college this year, you may want to consider how you can make your way through the next few years without ruining your credit record. Believe it or not, even at your age you stand a pretty good chance of ruining your credit report. It may be tempting to take up every deal that is thrown your way, but if you want to place yourself on the right path for a secure future, you will exercise a little caution when it comes to studying.
Even during the immediate post-recession period, credit card companies are targeting college students. So why exactly do they do this? That is simple; unlike everyone else, college students are far more likely to max out their cards. With a maxed out limit, plus lucrative APR rates, credit card companies will make a tidy profit. All of those who offer willing students credit card deals are well aware of how much they can make, which is why they continue to offer students credit. Choosing to get one is fine, but make sure you use it wisely and don’t go wild.
While you are away and studying, you may find that making ends meet is tough. Going from living with your parents and all the support they have to offer you, to being completely independent, is a tough learning curve. Because of this, it is natural for many students to head down a bad path when it comes to their finances. Rather than frittering away what credit is available to you, use it for emergencies only, and try finding a job or applying for scholarships instead.
If you are in the middle of your studies and you are worried that you may have already damaged your credit file, try not to panic. Whether you have accumulated debt in the form of a card, or you have taken out an emergency loan, you still have opportunities to provide yourself with a great financial future. The best way to assess any damage done is to make the most of credit report monitoring; credit monitoring will allow you to see how your file looks to all three credit agencies, and in turn you will know how to begin rebuilding your score.
Finally, try to avoid student loans as much as you can. If you still have the opportunity to get good grades in high school that will allow you to access a scholarship, do it. If you can take college level classes via the early college initiative for free, then make that an option. You may also want to consider taking your first two years at a community college, and then transferring to another college for the final two. Whatever you choose to do, don’t treat college as an opportunity to spend as much money as possible and ignore the implications of doing so; there’s no point in graduating with a higher income potential if it’s all going to be spent on debts.
Five Things That Could Be Ruining Your Credit Score
When it comes to building up your credit score, you may be well aware of what needs to be done. However, for many of us, it is the things we do that have a negative impact on our score that prevents us from getting credit. By avoiding a few simple mistakes, you will find your score rockets, which will make accessing credit easier.
Credit Fail 1: making pointless applications
We could all do with a little extra cash in our lives, but is ruining your credit score really worth making pointless applications. That super-low rate APR deal, tempting score card offer, and high-limit credit card could all be turning worthy future lenders off. Quite a few people apply for credit on a whim when they see tempting offers, but what they don’t realise is that every application leaves a footprint on their record. If a future lender who is really worthwhile notices that you are flinging yourself at every amazing credit deal out there, and getting rejected, they are less likely to lend to you themselves. Rather than applying for credit without thinking, assess whether you need it, and how good the deal really is.
Credit Fail 2: not paying your medical bills
Not many people are aware of this, but if some medical bills are left unpaid, future lenders won’t be impressed. For many, an unpaid medical bill should not be a problem, but if the hospital who you owe money to begin collection proceedings, your credit will be impacted before that debt agency letter even hits your doormat. To prevent this, take a little time to reconsider your insurance options, whether you have access to medicare or medicaid, and what your employer can provide you with. If you do have unpaid medical bills, negotiate with those who have provided you with care, as this is likely to prevent them from referring your debts to an agency.If you are worried that an unpaid medical bill has impacted your score, consider credit monitoringso that you can weed out any debt collection proceedings against you.
Credit Fail 3: spring break identity theft
Now of course identity theft can happen at any time of the year, but spring break is a time where unsuspecting credit card owners are at their most vulnerable. The reason for this is that many people are travelling, and potential thefts are ready to exploit that. So how can you prevent this from happening? Carry your card in a safe place, never leave personal documents in your hotel room, keep your social security number well protected, never check personal documents in with your luggage at the airport, and use money belts to carry identification and financial details with you. By being extra cautious, you can protect your identity, and remove the risk of credit-damaging transactions being taken out in your name.
Credit Fail 4: not being insured
Contrary to popular belief, insurance companies aren’t out to grab money off us for no good reason. While they’re in the business of making profit, the services they provide will protect you against a bad credit score. From the car insurance policy that will protect you against having to fork out for a vehicle you’ve crashed into, to home insurance that limits the chance of you taking out loans to cover accidents around the house, any insurance you feel you need will be worth it. Paying out that small monthly fee is minor collateral damage compared to lump sums you would have to pay otherwise.
Credit Fail 5: co-signing a card for someone who is irresponsible
As nice as it is to co-sign a card for your daughter before she goes to college, or for your son so that he can meet emergency costs while travelling, the chances are they will max it out and leave you with a ruined credit score. Even if they are making payments, the debt that shows on your report will keep future lenders at bay, and make things difficult for you in the future while your left none the wiser. Unless you implicitly trust the person who you are co-signing for, avoid doing it. A better option is to buy a pre-loadable card and add money, topping it up after each ‘emergency’. That way you can meet your duties as a parent, and protect your credit at the same time.
