Credit Monitoring

A number of people who have fallen victim to identity theft employ the use of credit monitoring services. According to the United States Federal Trade Commission, it takes the average person a year to realize they've fallen victim to identity theft. That's because the average person isn't monitoring his or her credit on a regular basis. Keeping close tabs on your credit could prevent a number of future headaches.

Contrary to some rumors, signing up with a credit monitoring service will not affect your credit in any way. As a consumer and citizen of the United States, you have the right to examine your credit report without it affecting your credit score. If you give a potential creditor permission to check your credit, then your credit score might be affected because this implies that you're looking to possibly open new lines of credit.

Check Your Credit

In addition, according to federal law, you are entitled to a free credit report every year from one of the credit reporting agencies if you are unemployed and seeking employment within the next 60 days, if you are receiving public assistance, and/or if you feel there are inaccuracies on your report because of fraud. In Georgia, you are entitled to two free credit reports every year. Take advantage of one of the free services your government offers you.

It took me three years to realize I was a victim of identity theft. A man used my name to somehow pay some of his medical bills. I found this out when I was applying for my car loan. I chose to handle that before I applied for the loan. Had that discrepancy not been handled, I would have paid several thousand dollars more in interest over the life of that car loan.