February 26, 2009
Have you a ever thought of using a credit monitoring service? Or are you a skeptic of the whole idea? You can do it yourself and not pay for it. Well, here is a short list of the reasons why you should consider it or reconsider it.
1. You Gain Access to Your Credit Report More than Once Per Year
If you were unaware you are allowed to review your credit reports free one time per year. That is it. If you want to see it twice or three times you are going to need to pay. Credit monitoring will give you access to your credit reports more than once. The plans allow for a set number of times and some are even unlimited. This is ideal if you are trying to stay on top of your credit report.
2. It Will Come with a Credit Score
A credit report might be free one time per year, but there is no such this as a free credit score. Actually you will find anything that states a free credit score will have you signing up for a credit monitoring service. Also, depending on the plan you choose you can get access to your credit score more than once per year. A nice ideal if you are trying to keep an eye on your credit
3. Most Plans Come with Identity Theft Insurance
Most credit monitoring services that you will find will come with some form of identity theft insurance in varying amounts. It is usually around the $15,000 to $20,000 range. This is a huge benefit. The cost per victim for identity theft is somewhere around $5,000. So you are covered. That is nice to know.
4. You will get Updates to Any Changes to Your Credit Report
This is great for two reasons: Improvement and Protection. If you are trying to improve your credit standing then you will know what is being added to your credit report. You will be able to stay on top of its accuracy and be able to dispute errors that are new. It will protect your credit score and standing becuase you will be able to tell if someone is trying to access your identity. It will help you from being a victim of crimes like identity theft.
Alerts are usually offered by text message. This will help to guarantee that you are on top of anything that is going on with your credit report.
5. It Can Be Cheaper
If you want to review your credit report and score more than once per year you will more than likely save money with credit monitoring. If you pay for a 3 in 1 credit report with a credit score, it will be somewhere around $30 to $40. A credit monitoring service on the other hand can be as cheap as $50 a year, FICO® Quarterly Monitoring. So you can actually save money with credit monitoring.
6. They Come with a Free Trial
Also, all the credit monitoring services come with a free trial. You get to try before you buy. Also, if you sign up you will get your credit score before you even pay. That is why you will find offers for a free credit score. You can shop around and even try before you choose the one you think will work. Score Watch® is one that has a thirty day free trial.
7. It Could Save You Money
Some credit monitoring service not only alert you of changes to your credit report, but also when your credit score reaches a certain level. Score Watch from MyFICO alerts you when you qualify for a better interest rate. If there was one thing that would make it pay for itself it is this. A better interest rate will save you thousands or even ten of thousands over the course of your life.
8. Helps You Plan How to Improve Your Credit Score
Most of the credit monitoring services come with a credit score stimulator. It lets you plug-in different actions to see what would happen to your credit score. A nice idea if you don’t know what you should do next.
9. You Won’t have to Monitor Your Credit
If you are thinking you could just do this on your own, you are probably right. But the truth is that is going to take some discipline on your part. It is much easier to have a credit monitoring service do this for you. Also, the time you will save should be added into the equation.
Another point is a credit monitoring whole purpose is to monitor credit. This is more than likely not your purpose. They will catch things you won’t. Also, you will only be checking your credit report every couple months or so. They will be watching your credit report 24/7 365 days a year. You will never even come close.
This might seem like a sales pitch for a credit monitoring service and it is. The facts are it is going to save you money. Also, it will protect you against identity theft. It is cheaper than looking at a 3 in 1 credit reports. It could help you to improve your credit score. Also, there is a free trial to see if you want to do it.
Any person that is concerned with their credit and credit standing should really consider credit monitoring. Here is a list of the top 4 credit monitoring services.