Consumer Car Buying Advice Blog

TransUnion’s offer of free credit monitoring services ends next week, but you still have 5 days to take advantage of this offer which is worth from $60 to $115.

Why offer 6 or 9 months of free services?

According to the informational web site, at least when we read it here at Auto Credit Express, the class action lawsuit claims that TransUnion “violated state laws and the Fair Credit Reporting Act by selling lists containing personal and financial consumer credit-related information to third parties for use in target marketing.” The explanation goes on to state that “the Defendants (TransUnion and Acxiom) provided more information than was allowed under the FCRA to credit grantors or insurance companies…”

While the court never found TransUnion guilty of anything, both sides agreed to settle the case to avoid “the cost and risk of a trial.” And while TransUnion didn’t lose, there are potentially millions of consumers who could “win.”

Just exactly who wins?

This is where it gets interesting. According to the terms of the settlement, if you had an open credit account or an open line of credit from a credit grantor (including automobile loans, bank credit cards, department store credit cards, student loans or a mortgage loan) between January 1, 1987 and May 28, 2008 in the United States, you qualify. In other words, the government didn’t win, TransUnion really didn’t win, but in a way, you, as a consumer, did win

5 days and counting

If you qualify, you can take advantage of this settlement in two ways:

1.    Sign up for 6 months of free credit monitoring. This gives you unlimited daily access to your TransUnion credit report and credit score for 6 months with the ability to lock your credit report from view by unwanted companies without your consent (unless allowed by law). This normally retails for $59.75. By selecting this option, you can also request a cash settlement (this will be disbursed if there is any money left in a fund after all costs and expenses are paid from the settlement fund.

2.    Sign up for 9 months of enhanced free credit monitoring. This includes everything from (1.), plus insurance scores and a mortgage simulator service (that shows you what mortgage rates you should qualify for. This normally retails for $115.50. By choosing this option, you give up the rights to sue the Defendants for certain damage claims and you also give up the right to receive a cash payment from the settlement fund.

Here’s what you need to do:

To take advantage of this program, go to www.ListClassAction.com. In the left column, click on the “Register for Benefits” line under “Benefits” and fill out the form and check which benefit option you want. Finally, enter the check words in the correct line and hit the “submit” button.

Remember, you have to register by September 24, 2008. Once you register, you will have 6 months after the Court grants final approval to the settlement (the court hasn’t granted final approval of the settlement as of this writing) to activate your credit monitoring benefit.

The Bottom Line

As everybody knows, and those of us here at Auto Credit Express can vouch for it, there is no such thing as a free lunch. This offer from TransUnion, however, really does come close. The time that you have to register, however, is running out. And while free credit reporting may not be an entire lunch, it sure makes for a great entrée.

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