7 Things to Know About Fraud Alerts

What is a fraud alert, and what do you need to know? A fraud alert is a notice on your credit reports. It signals to lenders that you may have been a victim of fraud. Here are 7 important things to know about fraud alerts. [Duration - 1:09]

Highlights:

• A fraud alert encourages lenders and creditors to take extra steps to verify your identity before issuing credit.
• You only need to contact one of the three nationwide credit reporting agencies (NCRAs)—Equifax^®, Experian^® or TransUnion^®—to place a fraud alert. Then the NCRA will forward your fraud alert request to the other two.
• If you have an identity theft report, such as a police report or a Federal Trade Commission Identity Theft Report, a seven year extended fraud alert is available to you.

When you've been a victim of identity theft, it's tough to know what to do first. You may have heard of a fraud alert. But do you know what fraud alerts do, what types are available, or how fraud alerts work?

A fraud alert is a notice that is placed on your credit reports that signals to credit card companies and others who may extend credit that you may have been a victim of fraud, including identity theft. Think of it as a “red flag” to potential lenders and creditors.

Place an initial fraud alert when you believe you are, or may become the victim of fraud. An initial fraud alert is free and lasts for one year. You can place an initial fraud alert online with a free myEquifax^™ account, or visit Consumer Care to learn how to submit requests by phone or mail.

Place an active duty alert if you are a service member on active military duty and want to help minimize the risk of fraud or identity theft while deployed. To place an active duty alert, create or sign in to a myEquifax^™ account, or visit Consumer Care to learn how to submit requests by phone or mail.

Place an extended fraud alert when you've been a victim of ID theft. You'll need an identity theft report, like a police report or a Federal Trade Commission Identity Theft Report. An extended fraud alert is free, lasts for seven years, and removes you from credit card and insurance offers for five years.

Fraud alerts are free. To place an initial or active duty alert on your Equifax credit report, you can create a myEquifax^™ account online, call Equifax at 888-EQUIFAX (888-378-4329), or download this form to request a fraud alert by mail. To place an extended fraud alert, download this form to request by mail.

Here are seven things you might not know about fraud alerts:

1. A fraud alert encourages third parties to take extra steps to verify your identity before extending credit. With an initial one-year fraud alert, credit grantors are required to use reasonable procedures to verify your identity. If, as part of placing an initial fraud alert, you provide a telephone number, they are also encouraged to call you at that phone number as part of that verification process. This can make it more difficult for an identity thief or fraudster to open new accounts or modify some parts of an existing account in your name. However, it's important to note a fraud alert would not prevent an identity thief from attempting to use an existing account—a credit card, for example.
2. An extended fraud alert available if you've been a victim of ID theft and you've completed a Federal Trade Commission Identity Theft Report or police report. An extended fraud alert is available if you've been a victim of ID theft and you've completed an identity theft report, like a police report or a Federal Trade Commission Identity Theft Report. You'll need to provide a telephone number or other contact information so the creditor can contact you, if you're not applying for credit in person. The creditor needs to confirm that the application for a new credit plan, increase in credit limit, or request for an additional credit card is not the result of identity theft. An extended fraud alert on your credit reports lasts for seven years. Your name is removed from credit card and insurance offers for five years. To place an extended fraud alert, you can download this form to request by mail.
3. For service members, there is an active duty military alert. An active duty alert is an option specifically available for U.S. service men and women. Like an initial one-year fraud alert, an active duty alert encourages companies to take extra steps to verify your identity, such as contacting you by phone, before opening new accounts in your name or modifying some parts of an existing account in your name. This type of fraud alert also lasts for one year. Service men and women can have a personal representative with a Power of Attorney add an active duty alert on their behalf if they are already deployed. Your name is removed from pre-screened credit card and insurance offers for two years after placing an active duty alert.
4. You can update or remove a fraud alert by phone or mail. Removing or updating contact information on a fraud alert—initial one-year, extended seven-year or active duty military—needs to be done with each NCRA (Equifax, Experian and TransUnion). At Equifax, if you wish to update your information over the phone, you will need to answer questions that are designed to verify your identity. If your identity can't be verified, we will provide you with more information about the documents you'll need to mail to us in order for us to make sure we validate your identity. If you choose to update your information by mail, you'll need to send a request in writing along with documents to verify your identity. Learn more about which documents are accepted.
5. You only need to contact one of the NCRAs in order to have an initial one-year fraud, extended, or active duty fraud alert placed on all three of your credit reports. Fraud alerts are designed so that you only have to contact one of the three NCRAs—Equifax, Experian or TransUnion—online, by phone, or by mail to request an initial one-year, extended, or active duty fraud alert on your credit reports. The NCRA you contact will pass the request on to the other two NCRAs.
6. Someone else is able to manage your fraud alert on your behalf. A “personal representative” can be designated to add a fraud alert on your behalf with a Power of Attorney or court appointed document. The personal representative can add fraud alerts, delete them or update your contact information. The personal representative can call Equifax at 888-EQUIFAX (888-378-4329), or download this form.
7. There are many additional resources that offer great information about fraud alerts and fraud-related topics. You'll find more information about fraud alerts at the Federal Trade Commission (FTC) and the Consumer Financial Protection Bureau^® (CFPB^®).