What are the cons of credit monitoring services?

Asked by: Miss Krystel Upton  |  Last update: December 30, 2025
Score: 4.7/5 (4 votes)

CONS
  • Cost. • Some services charge monthly/yearly fees.
  • Not Fool-Proof. • No 100% guarantee against all fraud or identity theft.
  • Over-Reliance. • Risk of neglecting other credit precautions.
  • False Alarms. • Alerts for minor activities can cause stress.
  • Multiple Bureau Monitoring. •

Does credit monitoring hurt your score?

Does checking your credit score look bad? No, checking your credit score or report doesn't look bad. You should regularly monitor your report to check that it's accurate and free of fraud. When you check your credit report, a soft inquiry is made, which doesn't affect your score.

Why do I have to pay for credit monitoring?

While you can review credit reports on your own, monitoring services automate the process and provide constant vigilance and timely alerts. Paid services like Identity Guard often also include comprehensive identity protection tools that go beyond basic monitoring.

Is it okay to have more than one credit monitoring service?

Tracking your credit reports from all three major credit bureaus is essential because each bureau carries different information, meaning fraudulent activity may appear on one but not the others.

How do I stop credit monitoring?

Freeze your credit report.

For maximum protection, freeze your report at each of the four credit bureaus: Equifax, Experian, TransUnion and Innovis. You can do this through each bureau's website. Freezing your report is free, and it can be unfrozen anytime—for example, to apply for a new loan.

THE BEST CREDIT PROTECTION SERVICE? | How to Stop Identity Theft & How to Protect your Credit

19 related questions found

Can you write off credit monitoring?

Overview of Tax Deductions

The IRS classifies identity theft protection services as credit report and monitoring services, identity theft insurance policies, identity restoration services and other similar services. These services do not need to be reported on either W-2 or 1099-MISC forms.

What is the downside of freezing your credit?

A credit freeze doesn't help protect against fraud aimed at your existing accounts. You still need to be vigilant in checking those accounts to make sure you made all the transactions. Some people consider it a hassle, because you have to contact each of the three major credit bureaus individually.

What are the three main credit monitoring services?

These agencies include Equifax, Experian, and TransUnion.

Is there a better service than LifeLock?

🛡Try the top LifeLock alternative — for free.

Aura's all-in-one intelligent safety solution has won awards from Money.com, Forbes, Security.org, and more. Try Aura free for 14 days and protect yourself and your loved ones from online threats.

How do I freeze my credit report for free?

Place or lift a credit freeze

Freeze or lift the freeze on your credit report for free by contacting each of the three major credit reporting agencies: Equifax. Experian. TransUnion.

What is the best free credit monitoring service?

The 8 Best Paid and Free Credit Monitoring Services
  • Aura. ...
  • Identity Guard. ...
  • Experian IdentityWorks. ...
  • CreditWise by Capital One. ...
  • LifeLock. ...
  • MyFICO. FICO® score tracking and financial health awareness. ...
  • Credit Karma. Free credit monitoring of TransUnion and Equifax files. ...
  • Credit Sesame. Free TransUnion credit report monitoring.

Is it illegal to run a credit check without permission?

The Fair Credit Reporting Act (FCRA) is a federal statute that defines and limits who can receive credit-related information. The act lists legal reasons why someone's credit can be checked; therefore, it is illegal for an individual or organization to check someone's credit report for any other purpose.

How much does a year of credit monitoring cost?

Paid credit monitoring services

These typically cost more than $200 per year for individual plans, while some family plans exceed $300.

What is considered a good credit score?

For a score with a range of 300 to 850, a credit score of 670 to 739 is considered good. Credit scores of 740 and above are very good while 800 and higher are excellent.

Why is my credit score going down when I pay on time?

Using more of your credit card balance than usual — even if you pay on time — can reduce your score until a new, lower balance is reported the following month. Closed accounts and lower credit limits can also result in lower scores even if your payment behavior has not changed.

What 3 things can hurt your credit score without you knowing it?

5 Things That May Hurt Your Credit Scores
  • Highlights:
  • Making a late payment.
  • Having a high debt to credit utilization ratio.
  • Applying for a lot of credit at once.
  • Closing a credit card account.
  • Stopping your credit-related activities for an extended period.

What is the downside of LifeLock?

Limited protection on lower-priced plans

LifeLock's Standard plans might not provide full support or coverage for credit and financial fraud. Here are some of the shortcomings that could affect the lowest-paying customers: One-bureau credit monitoring. No credit reports.

What is the best credit protection service?

We ranked Aura as one of the best credit protection services because every plan includes three-bureau credit monitoring. LifeLock only includes one-bureau on its Standard plan, and Identity Guard doesn't include any credit or debit monitoring on its lowest subscription.

How do you lock your social security number?

If you know your Social Security information has been compromised, you can request to Block Electronic Access. This is done by calling our National 800 number (Toll Free 1-800-772-1213 or at our TTY number at 1-800-325-0778).

Who has the most accurate credit score?

The FICO scoring model is an algorithm that produces what is considered the most reliable credit scores. About 90% of lenders use FICO's model to evaluate candidates for credit.

Do I need multiple credit monitoring services?

Multiple Bureau Monitoring

Credit monitoring services offer valuable tools for individuals to better track their credit health and potential threats. However, like any service, they come with both benefits and drawbacks. Always ensure your chosen service covers all three major credit bureaus for a comprehensive view.

How do I check my credit score without hurting it?

A soft credit inquiry, also called a soft credit check or soft pull, is usually done by you or another authorized person, like an employer. Soft credit inquiries don't affect your credit score because you're not actually applying for credit, and these types of inquiries don't necessarily require your permission.

Can your identity be stolen if your credit is frozen?

While a security freeze can help protect you by preventing certain access to your credit reports if someone attempts to open a new credit account in your name, it can't help protect you against other forms of fraud, such as a stolen credit card number.

Is AnnualCreditReport.com legit?

You can verify this is the official site by visiting the CFPB's website. Don't be fooled by look-alike sites. You can be sure that you are on the right site if you type www.AnnualCreditReport.com in your browser address line. Don't come to this site by clicking on a link in another site or in an email.

What are the disadvantages of freezing?

Disadvantages of freezing include the initial investment for equipment — it costs a great deal to buy and maintain a freezer. Also, the size of the freezer limits the amount of storage space, and the freezing process gives some foods an undesirable texture.