How To Place a Fraud Alert on Your Credit

1. Decide if placing a fraud alert on your credit is necessary

A fraud alert is a notice that requires lenders to contact you to verify the legitimacy of a new account in your name. Even though placing a fraud alert is free and won’t take long, it’s still something you have to think about and remember when you apply for credit. It won’t impact your credit file, but it could slow down any “instant” applications.

Here is what you need to think about before placing a fraud alert:

• Review your credit report for recent unauthorized activity. If you believe you have experienced suspicious activity or confirmed identity theft, a fraud alert is appropriate.
• Consider your need for continued access to new credit or loans. Fraud alerts allow access, but freezes block it.
• Decide whether you need a fraud alert or a freeze based on your risk profile.

If you’ve either suffered from a confirmed case of identity theft or are on active military duty, then it’s strongly recommended that you place a fraud alert on your credit file.

Freeze vs. alert

A fraud alert is not the same as a credit freeze. A credit freeze will block your credit, so you won’t be able to obtain any form of credit while a freeze is in place. Placing the wrong type of alert can delay protection or complicate future credit applications.

» MORE: Credit freeze vs. credit lock

Types of fraud alerts on your credit

There are three types of fraud alerts, and these are who can get them:

• Initial: Anyone who feels at risk
• Extended: Anyone who’s suffered from fraud or identity theft
• Active-duty: Only those who are actively serving in the military.

An initial one-year credit alert is for anyone who feels they’re at risk or simply wants an extra layer of security on their credit file. But if you have documented identity theft (police/FTC report), choose an extended, seven-year alert. And active military personnel who want extra protection while deployed can choose a one-year, active-duty alert.

However, if you want to block all access to your credit (including your own applications), place a freeze on your credit report instead.

2. Collect the required documents

It’s easy to place a fraud alert on your credit report, but it can require extra documentation, depending on the type of alert you’re placing.

Double-check that your documents are up to date and exactly match your credit file. Your name, address and Social Security number must align. Incomplete or mismatched documentation can delay your fraud alert processing and completion.

If placing an initial alert online, you’ll need to make an online account and confirm your identity with your Social Security number, address and/or phone number.

For placing an extended alert, you’ll need the above documentation, plus an FTC identity theft report or police report number. Military servicemembers may need their military ID.

But if you need to place an alert for someone else, you’ll need a court order or birth certificate for minors or dependents or a notarized power of attorney or proof of legal authority for acting in the interest of someone else.

» NEXT: How to dispute discrepancies on your credit report

3. Submit a fraud alert request at each credit bureau

Placing an alert with any one bureau notifies the other two under federal law, but you should always verify with each bureau that the alert is active.

Make sure to place your fraud alert directly with a credit bureau, not through a third-party site.

It’s also important to remember that there are no fees for fraud alerts at any bureau.

Here’s how to submit a fraud alert online with a credit bureau. Let’s use Experian as an example:

• Head to Experian’s fraud alert center.
• Create or log in to your account.
• Select the credit alert you want to place.
• Enter or verify your phone number.
• Upload any requested files like an extended fraud alert form and supporting documents.
• Select “Place fraud alert” to complete the process.

4. Monitor your credit after a fraud alert

Once you’ve got a fraud alert in place, you can monitor your credit reports by requesting them for free through AnnualCreditReport.com. You can get one from each bureau every 12 months, so split up your requests to check one bureau’s report every four months.

You can also pay for a credit reporting service, which will monitor your credit report and alert you to any changes in your credit profile. Some also include identity theft monitoring for another layer of protection.

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5. Managing, renewing or removing a fraud alert

Unless you’ve got an extended alert, fraud alerts expire one year after you place them. You can renew fraud alerts, so set a calendar reminder to renew them when they expire. Again, placing a fraud alert with one bureau will trigger the same alert for the other two.

Once you feel like the threat has passed or your risk of fraud has decreased, you can remove a fraud alert. Removing an alert early usually requires a written request or phone confirmation, so be prepared to verify your identity.