Credit monitoring is a service that keeps an eye on your credit reports and alerts you when there are changes. For instance, you will be notified if new credit is opened in your name or a hard inquiry occurs. Credit monitoring helps you stay on top of your reports to spot fraudulent activity and errors as soon as they occur.
Is credit monitoring worth it? Consider this: your credit score largely impacts whether you can get approved for a loan, mortgage, or credit card. Credit monitoring is an easy, convenient way to ensure your credit report is accurate and your credit score stays as high as possible.
What Does Credit Monitoring Do?
Credit monitoring keeps tabs on your credit reports and alerts you of any changes or suspicious activity. A credit monitoring service can watch for:
- Hard inquiries: When you apply for a loan or credit card, a hard inquiry occurs on your report. Whether it’s you or an imposter applying, you’re notified of a credit check being run.
- New accounts: This applies to any type of credit account opened under your name, including loans, mortgages, and credit cards.
- Changes to existing accounts: If you’re given a credit limit increase or your payment history is updated, it’ll appear on your credit report as a change.
- New public records like bankruptcies: If a civil court judgment or bankruptcy occurs under your name, you’ll receive an alert.
- Address changes: When your address changes on any account or credit card, it shows up on your credit report. A thief can try to change your address without you knowing.
- Credit score changes: As your credit score fluctuates, your credit monitoring service lets you know when your score goes up or down.
What Should I Do When I’m Alerted of Suspicious Activity?
Suspicious activity can be caused by many different reasons, including a negligent clerical error or intentional identity theft. You won’t know until you investigate the item.
Once you determine that there’s a mistake, contact the credit bureaus and financial institutions involved. You might even want to contact the police if you verify suspicious activity on your credit report.
Charlotte Credit Repair offers a comprehensive credit monitoring service that focuses on tracking your credit, protecting your identity, and helping you fix issues. Additional benefits of our program include identity theft insurance and a personal finance manager. If you’re interested in learning more about how our credit monitoring program can benefit you, check out Lex OnTrack.