What Is a Fraud Alert?

A fraud alert is a tool you can use to help protect yourself against identity theft. You can place a fraud alert on your credit reports for free if you fear your data may have fallen into the wrong hands. Once you do, anyone who checks your credit will be notified that they should confirm your identity before moving forward with opening an account in your name.

A fraud alert is just one of many options for keeping your credit record and account history safe. Read on to learn whether it will work for you and to explore other options, such as working with one of the best identity theft protection services, for more comprehensive protection.

What is a fraud alert, and what does it do?

A fraud alert is a form of identity theft protection that you can place on your credit reports with Equifax, Experian, and TransUnion (the three major credit reporting agencies) at no cost.

Once you notify one credit reporting agency that you want to place a fraud alert, that agency must tell the others so your alert can be placed on all your reports. This means you need to take action with only one credit bureau to put this protection in place.

When you put a fraud alert on your credit record, any business that checks your credit receives a notification that they must verify your identity before proceeding. This can help stop criminals from opening unauthorized accounts in your name.

You are also entitled to receive a free copy of your credit report from each of the three credit bureaus when you place a fraud alert. Fraud alerts last for a year, although you can choose to renew them at the end of that time period.

What is an extended fraud alert?

If you have actually experienced someone using your identity without authorization, you are allowed to place an extended fraud alert.

This is similar to a standard fraud alert, but it lasts longer. The extended fraud alert lasts for 7 years. During that entire time period, companies that check your credit will be notified that they must verify your identity.

If you have an extended fraud alert on your record, credit bureaus will also remove you from their marketing lists for 5 years unless you request otherwise. You won't get any unsolicited offers. And you can get a free copy of your credit report 6 times per year while the extended fraud alert is in effect

You are eligible to submit an extended fraud alert only if you've submitted a police report or an FTC identity theft report.

What is an active duty military alert?

If you are serving in the military, you can put an active duty fraud alert on your credit record to reduce the chances of someone misusing your personal information while you are serving your country.

Active duty fraud alerts last a year. After the year is up, you're allowed to renew the alert for the length of your deployment.

During the alert's duration, companies are notified that they must verify your identity prior to issuing any new credit under your name. You'll also be removed from the credit bureaus' marketing lists, so you won't receive unsolicited credit and insurance offers unless you request otherwise.

When you're on active duty, you're entitled to free credit reports and free electronic credit monitoring. You can sign up with each of the three credit reporting agencies to take advantage of this service.

The different types of fraud alerts compared

Here’s a breakdown of the three types of fraud alerts, including when to use them and how long each alert lasts:

	Fraud alert	Extended fraud Alert	Active duty military alert
What it is	A note on your credit report alerting businesses of potential fraud, so they must verify your identity before opening new credit in your name.	A note on your credit report alerting creditors that they must check your identity before they open new credit in your name.	A note on your credit report alerting creditors that you're on active duty and requiring them to confirm your identity before opening new credit.
When to use it	If you are worried about becoming the victim of fraud.	If you have been the victim of identity theft and have filed a report with the police or FTC.	If you are on active duty.
How long it lasts	1 year	7 years	1 year (renewable for the duration of your service)
Who to contact	Equifax, Experian, or TransUnion	Equifax, Experian, or TransUnion	Equifax, Experian, or TransUnion

What’s the difference between a credit freeze and a fraud alert?

A fraud alert is one option to help you avoid fraudulent accounts being opened in your name. But it is only one of the identity theft protection services available to you. You also can freeze your credit, which is a more drastic step.

When you freeze your credit, you restrict access to your credit record entirely. If anyone tries to check your credit or open a new account, they will not be able to do so. This includes if you try to open an account. If you want to be able to gain access to new credit, you will have to contact the credit bureaus and temporarily unfreeze your account.

Typically, you can still do some things that require a credit check when a freeze is in place. For example, you can usually rent an apartment or apply for a job. But you cannot open any new financial accounts until you take action. The credit freeze is free, and it will remain in place until it's removed.

A freeze is the ultimate protection, and it can help you avoid fraud that would have to be fixed by credit report disputes and other identity recovery measures.

How to place a fraud alert (step by step)

You only have to place a fraud alert with one of the credit reporting agencies. Once you have done that, the other agencies will be alerted, and the fraud alert will be placed on all of your reports.

Here are the steps you need to take to place a fraud alert to try to prevent identity theft.

1. Select a credit reporting agency

Choose which credit reporting agency you want to file your report with.

You can start the process with Equifax, Experian, or TransUnion. 

2. Create an account

Create an account with the credit reporting agency. Each agency requires you to open an account to place an alert. For example, Equifax will require your first and last name, date of birth, Social Security number, mobile number, and current address.

3. Verify your information

Verify your identifying information. If you are creating an account for the first time, you'll need to verify who you are. This may involve sending a text to your mobile number for a verification code.

4. Navigate to “Fraud & Active Duty Alerts”

Within the account you created with the credit reporting agencies, you'll have the option to place an alert. Navigate to the section entitled “Fraud & Active Duty Alerts.” You can choose between an initial fraud alert, an active duty alert, or an extended alert. Click on the button to Place an Alert.

5. Select the alert type

You'll have the choice of selecting an initial fraud alert or an active duty alert. There’s also a link to learn more if you want to place an extended fraud alert, as the picture below shows for Equifax.

6. Add your phone number

Provide a phone number where you can be reached. This is necessary so your identity can be verified if a business is trying to run your credit. In fact, you'll be asked to provide both a primary and secondary number if you are placing your alert with Equifax.

7. Confirm your information

The last step is to review all of the details, confirm that you want to proceed, and click Place Fraud Alert.

How to place an active duty military alert

To place an active duty military alert, the steps are similar to placing a fraud alert:

1. Create an account.
2. Verify your identity.
3. Choose Active Duty Alert.

When you place this alert with Equifax, you do not need to provide any additional information or proof of your service beyond simply selecting Active Duty Alert and then confirming your phone number.

How to place an extended fraud alert

You can place an extended fraud alert only if you’re the victim of identity fraud. And there is more paperwork involved in placing an extended fraud alert.

To implement this type of alert, you should start by following the steps described above for placing a standard fraud alert.

However, when you sign up for an account and choose Fraud Alert, you'll be given the chance to click a link that says you've been the victim of identity theft. 

After clicking the click here link, you'll be provided with an Extended Fraud Alert request form that asks for your contact details and proof of identity, such as a Social Security card or pay stub. 

When placing the extended fraud alert with Equifax, you must do so via U.S. mail and send in your form and documentation. 

How to remove a fraud alert

After you have placed a fraud alert, you must remove it if you want to apply for credit without going through an identity verification process. You can remove your fraud alert by contacting the credit reporting agency by phone or mail.

For example, Equifax requires you to call (888) 836-6351 between 9:00 AM and 5:00 PM ET Monday through Friday. You can also mail your request to Equifax Information Services LLC, P.O. Box 105069, Atlanta, GA 30348-5069.

Experian, on the other hand, allows you to upload the documentation needed to remove your fraud alert online and TransUnion also allows you to complete the process online or via phone.

When to use a fraud alert

You can use a fraud alert if you have been the victim of a stolen identity or if you fear that your information might be in the wrong hands and want to verify your identity before anyone opens credit. If you want an extended fraud alert, you'll need to file a police report.

Using a fraud alert is less inconvenient than freezing your credit, which makes it completely impossible for anyone — even you — to open accounts without jumping through a lot of hoops to temporarily or permanently unfreeze your credit.

If you want some added protection but expect you may need to apply for credit sometime soon and don't want to go through the trouble of freezing and unfreezing your account, then a fraud alert may be your best bet.

But if you want the strongest protection possible — perhaps because you know someone is misusing your information — or if you are worried about fraud and know you won't be opening any accounts for a while, then a freeze may be a better choice.

If you have reason to believe that your personally identifiable information has been compromised, you may want to go beyond just placing a fraud alert and instead look into the best identity theft protection services with credit reporting.

These services can do far more than just make it harder for someone to open credit in your name. They can proactively monitor for suspicious activity and even provide ID theft insurance so you'll have help if something goes wrong.

Identity theft prevention services

The best identity theft protection services with fraud detection offer many services to help you prevent identity theft, spot theft as soon as it happens, and recover from identity theft quickly.

These services can monitor your personal information, alert you if it is exposed, scan the dark web for your details, monitor your credit reports, send timely alerts, and more.

The best identity theft protection services offer credit monitoring, ID theft insurance, remediation, identity tracking, and more.

3 best identity theft protection services

FAQs

Bottom line

If you want businesses to check with you before opening new credit in your name, a fraud alert is the right choice. But you should explore all of the different ways to keep your information safe, as there are plenty of threats out there.

The best identity theft protection services offer a variety of tools and services necessary to keep your personal data as secure as possible and to help you respond swiftly if the worst occurs and your details fall into the wrong hands.