Consumer Car Buying Advice Blog

Here at Auto Credit Express, we are often asked about credit monitoring services. While this may sound like a great way to prevent identity theft, there are a number of things to consider before you sign up…

The Cost

All three major credit bureaus (as well as a number of independent companies) offer this service. Programs that monitor a single bureau start at $6.95 a month while it will cost you at least $12.95 to monitor all three. Options (remember we’re in the car business here) include score monitoring, reports that contain scores, score watch, score power and credit watch. With Equifax, you can even “protect” an entire family of four for $344 per year.

What consumer groups recommend

The Fair and Accurate Credit Transactions Act (FACT Act) was signed into law in December 2003. It allows consumers to get one free credit report from each of the three bureaus once every 12 months. This is in addition to laws that allow you to receive free reports if you are denied credit, discover there are errors in your report or if you suspect identity theft.

By staggering these free reports throughout the year, you can essentially monitor your credit at no cost. As an example, you could order the first one in January from one bureau, the second one in May from another bureau and the third in September from the last bureau. Presto! You’ve created your own service.

But wait, there’s more…

In addition, if you find any errors, such as an account that isn’t yours, you can immediately order reports from the other two credit agencies under the ID theft free report system. You can also order reports – at any time - from any of the three bureaus if you are denied credit based on information that they contain.

The Bottom Line

Here at Auto Credit Express, we feel that an informed consumer is our best customer. If you feel that the services offered by the credit bureaus are worth the cost, then, by all means, sign on the dotted line. But with a little time and effort, you can set up your own “credit monitoring service” and save yourself at least $100 per year.

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