How to Put a Fraud Alert on Your Credit Report
Recognize the signs of identity theft., Understand what a fraud alert is., Understand the limitations of fraud alerts., Keep some important considerations in mind when placing an initial fraud alert., Know what happens when the fraud alert is placed.
Step-by-Step Guide
-
Step 1: Recognize the signs of identity theft.
Identity theft is a crime in which someone uses your personal information to pose as you in order to obtain credit or purchase merchandise.
Identity thieves can steal your social security number, driver’s license or credit card information.
In addition to running up debt, identity thieves can also create a criminal record in your name by providing false information to police.
They can get medical care using your health insurance.Look for clues that indicate you may be a victim of identity theft.Funds have been withdrawn from your bank account without your knowledge.
You find unexpected charges or accounts on your credit report.
Your bills or other mail stop arriving in the mail.
You receive calls from debt collectors about debt that isn’t yours.
You receive bills for medical services you didn’t receive, or your health plan rejects a claim stating you’ve reached your benefits limit.
The IRS notifies you that another tax return was filed in your name.
A merchant or other company notifies you about a data breach involving your personal information. -
Step 2: Understand what a fraud alert is.
In the United States, the Fair and Accurate Credit Transactions Act (FACTA) grants you the right to place a fraud alert on your credit report if you believe you are now or are about to become the victim of identity theft.
A fraud alert notifies creditors that they must take certain steps to verify your identity and contact you before approving credit in your name.
An initial fraud alert lasts for 90 days.
You can renew the fraud alert before the end of the 90 day period.
Also, you can delete the fraud alert with a written request., A fraud alert does not guarantee that no new credit accounts will be opened in your name.
It only works if a creditor actually reviews your credit report before approving or denying a credit application.
Even if a creditor does pull your credit report, it is possible for them to miss the fraud alert.
Some types of accounts, such as bank accounts, internet service and utilities, can be opened without a review of your credit report.You need to monitor your credit report for changes even after placing an initial fraud alert. , Be prepared to provide contact information and receive phone calls from creditors about credit applications.
In addition, expect delays in credit applications that you make.Also, realize that banks and other financial institutions may be hesitant to open new accounts in your name.
They may worry about the possibility of disputes over transactions.
Keep track of the date on which you filed the fraud alert so you know when it will expire. , A fraud alert placed with any one of the three credit reporting agencies, Equifax, Experian and TransUnion, initiates several actions on your behalf.
Even though you only need to call one of the credit reporting agencies, all three are notified of the fraud alert and keep in on your credit report for a period of 90 days.For two years following the fraud alert, you will not receive any pre-approved credit offers.
Each credit reporting agency will send you a copy of your credit report so you can review the information. -
Step 3: Understand the limitations of fraud alerts.
-
Step 4: Keep some important considerations in mind when placing an initial fraud alert.
-
Step 5: Know what happens when the fraud alert is placed.
Detailed Guide
Identity theft is a crime in which someone uses your personal information to pose as you in order to obtain credit or purchase merchandise.
Identity thieves can steal your social security number, driver’s license or credit card information.
In addition to running up debt, identity thieves can also create a criminal record in your name by providing false information to police.
They can get medical care using your health insurance.Look for clues that indicate you may be a victim of identity theft.Funds have been withdrawn from your bank account without your knowledge.
You find unexpected charges or accounts on your credit report.
Your bills or other mail stop arriving in the mail.
You receive calls from debt collectors about debt that isn’t yours.
You receive bills for medical services you didn’t receive, or your health plan rejects a claim stating you’ve reached your benefits limit.
The IRS notifies you that another tax return was filed in your name.
A merchant or other company notifies you about a data breach involving your personal information.
In the United States, the Fair and Accurate Credit Transactions Act (FACTA) grants you the right to place a fraud alert on your credit report if you believe you are now or are about to become the victim of identity theft.
A fraud alert notifies creditors that they must take certain steps to verify your identity and contact you before approving credit in your name.
An initial fraud alert lasts for 90 days.
You can renew the fraud alert before the end of the 90 day period.
Also, you can delete the fraud alert with a written request., A fraud alert does not guarantee that no new credit accounts will be opened in your name.
It only works if a creditor actually reviews your credit report before approving or denying a credit application.
Even if a creditor does pull your credit report, it is possible for them to miss the fraud alert.
Some types of accounts, such as bank accounts, internet service and utilities, can be opened without a review of your credit report.You need to monitor your credit report for changes even after placing an initial fraud alert. , Be prepared to provide contact information and receive phone calls from creditors about credit applications.
In addition, expect delays in credit applications that you make.Also, realize that banks and other financial institutions may be hesitant to open new accounts in your name.
They may worry about the possibility of disputes over transactions.
Keep track of the date on which you filed the fraud alert so you know when it will expire. , A fraud alert placed with any one of the three credit reporting agencies, Equifax, Experian and TransUnion, initiates several actions on your behalf.
Even though you only need to call one of the credit reporting agencies, all three are notified of the fraud alert and keep in on your credit report for a period of 90 days.For two years following the fraud alert, you will not receive any pre-approved credit offers.
Each credit reporting agency will send you a copy of your credit report so you can review the information.
About the Author
Ruth Lee
Ruth Lee is an experienced writer with over 6 years of expertise in lifestyle and practical guides. Passionate about sharing practical knowledge, Ruth creates easy-to-follow guides that help readers achieve their goals.
Rate This Guide
How helpful was this guide? Click to rate: