How to Choose Identity Theft Protection

6 steps to finding the right identity theft protection

Identity theft protection is an important purchase, considering the growing risk of financial, medical, tax, criminal and child identity fraud. Follow these steps to assess identity theft protection services on the market.

1. Know what identity theft protection can (and can’t) do

Identity theft protection services focus primarily on detection through continuous monitoring of your personal information across various databases, credit bureaus and even the dark web.

Identity theft protection services cannot prevent identity theft entirely. These services offer early warning systems that alert you when suspicious activity occurs. This gives you (or the company, if recovery services are included in the plan) time to respond before real damage occurs.

Did you know?

Understanding the distinction between monitoring and recovery is important. Monitoring services watch for unauthorized use of your information, while recovery services help you navigate the aftermath if your information is stolen.

2. Compare monitoring features

Different services monitor different things, some more comprehensively than others, depending on what you’re paying for.

Many plans range from about $9 to $70 per month, depending on features.

• Credit monitoring tracks changes to your credit reports at one or all three major bureaus.
• Dark web monitoring scans illicit online marketplaces where stolen credentials are bought and sold.
• Additional services may include:
  • Social media monitoring
  • 401(k) and investment account monitoring
  • Home and auto title monitoring
  • Criminal and sex offense monitoring
  • USPS address change monitoring

The good news is that you can get free credit monitoring. For extra peace of mind, you can get identity theft protection for anywhere from $8.99 to $69.99 per month. Whichever service you use, it’s relatively easy to sign up.

Pro tip

Combine free alerts with a premium service to better protect your credit.

3. Evaluate recovery services

Recovery support separates adequate services from exceptional ones. The best providers assign dedicated fraud resolution specialists who guide you through every step. This includes filing police reports, contacting creditors and disputing fraudulent charges.

Consider the time commitment identity theft recovery usually involves. Victims spend an average of 200 hours resolving cases independently. Premium services handle much of this burden.

» COMPARE: Best credit reporting websites

4. Consider family and child identity protection

Children and seniors are especially vulnerable to identity theft, particularly once children begin using the internet and financial accounts. Your kid’s risks increase further when they’re old enough for bank accounts and credit cards.

Seniors are often targeted by online scams. Plus, in most cases, they have more at stake, like property, assets and investments.

Family plans that include child identity protection are ideal if you want to protect your family more effectively. Naturally, they cost more as a subscription, but with that comes increased peace of mind because you’re protecting those who can’t (or don’t know how) to do that themselves.

5. Understand the company’s security and insurance policies

Read anything you can find about the privacy, security and the data practices these companies employ. You are trusting them with your most sensitive data. Make sure they can be trusted to look after it.

Pay particular attention to the insurance terms and conditions (T&Cs) so that you know exactly what’s covered and what isn’t. Many plans include identity theft insurance that may reimburse certain expenses, such as legal fees or lost wages, subject to terms and limits.

6. Watch for red flags

When evaluating the options, look out for potentially misleading claims or promises that sound too good to be true.

Make sure to read the reviews and watch out for too many negative ones and patterns of complaints. If current or past customers aren’t happy, then it’s not a good sign.

Yes, it’s important to avoid getting scammed online. And that starts with not getting scammed into paying for more than what you need, or subscribing to a service that could cause more problems than it’s worth.

Compare identity theft protection providers

The best identity theft protection services help by monitoring for threats, alerting you to changes and assisting with recovery.

Reasons to consider identity theft protection

There are various reasons to consider getting identity theft protection, including but not limited to:

• Have you had any data breaches or identity theft issues in the past?
• Are you online a lot, or do you shop or bank online? If you work remotely, that’s also a good reason to get identity theft protection.
• Do you use public Wi-Fi or any shared devices?
• What about your parents, grandparents or children? Either group is at a higher risk of identity theft and fraud.
• Have you had any recent life changes, like a home purchase, divorce, job change or moving?

How common is identity theft?

Identity theft and credit card fraud are on the rise. According to the FTC’s Consumer Sentinel Network Data Book 2024, credit card fraud is one of the most commonly reported types of identity theft, with 449,032 reports in 2024.

In 2024, the FTC reported that consumers lost more than $12.5 billion to fraud.

It was even more expensive than many people realize. In addition, the FTC has published a separate estimate that accounts for underreporting, which can be much higher depending on the assumptions used.

If we take underreporting into account, the FTC estimates that fraud losses were around $195.9 billion in 2024, based on modeled estimates that adjust for unreported cases.

The most recent FTC data (2025) shows that identity theft and credit card fraud are getting much, much worse, with 1,157,317 reported cases. For more context, see identity theft statistics.

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