Identity theft is a crime where someone uses your name, address, Social Security number or other identifying information to commit fraud. Identity thieves do not just ruin your financial reputation – they also create a lot of stress and hassle for you.
If you’re worried about identity theft, you need identity theft protection services. But do you know what identity theft protection really is? Here’s more information and why it is crucial.
What Is Identity Theft Protection?
Identity theft protection is a service that helps keep your identity safe. Identity theft protection utilizes credit report monitoring to track not only your credit scores but also new credit cards or other accounts opened in your name and alerting you for suspicious activity.
Why Is Identity Theft Protection Important?
Identity theft protection services are essential in today’s digital world because we’re constantly giving out our information online.
Here are some reasons why you need identity theft protection:
- Identity theft can happen to anyone. It doesn’t matter if you’re rich or poor, old, or young – with so many data breaches, the chances are your information is out there just waiting for an identity thief to use.
- The cost of recovery can be high. Even if you have great credit and have never had a problem with debt, identity theft can come back to haunt you. An identity thief can open up credit cards or take out loans in your name and then not pay on them, negatively impacting your credit scores.
- It can take a long time to recover. Unfortunately, it can take months or even years to recover financially from identity theft, not to mention the stress that goes along with it.
What Does Identity Theft Protection Include?
Identity theft protection can vary by service, but it’s important to have the following:
Credit Report Monitoring
Credit report monitoring can help you keep tabs on your credit reports and scores. You get alerts if there is a suspicious activity on your report, such as an account opened in your name or a significant change to your credit scores.
Identity Monitoring
Identity monitoring scans the internet and dark web along with public records to check for unusual activity on your personal information. If it detects something suspicious, then you are alerted so you can take action to correct the problem or prevent further damage from occurring.
Identity Recovery Services
If your identity is stolen, these services help you contact law enforcement and the other proper agencies, so you are on your way to restoring your identity.
Identity Theft Insurance
Identity theft insurance protects you from financial loss if your identity is stolen. This coverage provides reimbursement for certain expenses – such as lost funds, lost wages and legal fees – related to identity theft.
Bottom Line
Identity theft protection is a vital part of your financial strategy. Unfortunately, most people’s chances of experiencing it have only increased as more information becomes readily accessible online. That’s why it’s crucial to protect yourself and guard your personal information.