Is Credit Monitoring Worth It?

Key takeaways

• Credit monitoring is available for free and can help you to track your credit score and detect fraud quickly.
• There are also paid credit monitoring services, with premium features such as public records monitoring, credit lock help, identity restoration and cybersecurity tools.
• Paid credit monitoring typically costs $10 to $40 a month, and can be even less, depending on the company, plan and features.

Have you ever wondered, “Is credit monitoring worth it?” Picture this: A fraudster opens a credit card in your name, goes on a shopping spree and makes off with thousands of dollars in electronics and designer goods.

Credit monitoring is worth it because it’s available for free and can alert you when a new account is opened, or if your personal information first gets sold on the dark web, so you can jump into action to thwart the thief.

How credit monitoring works

Credit monitoring works by keeping tabs on your credit at one or more of the three major credit bureaus, Equifax, Experian and TransUnion. It helps you to track your credit health, catch suspicious activity and stop fraud quickly.

Credit monitoring typically includes:

• A free credit score. Nearly all credit monitoring services let you view your credit score at no cost, allowing you to keep tabs on and improve your credit.
• Credit monitoring. These services also monitor your credit reports with one or more of the major credit bureaus. They typically notify you by text, phone or email of any activity, such as a hard inquiry or a new credit account.
• Credit report access. You may receive regular access to your credit report from one or more credit bureaus, so you can check for changes, errors or fraudulent activity.
• Dark web monitoring. Some services will scan the dark web, where criminals commonly buy and sell data (names, dates of birth and Social Security numbers, for example), and notify you if they spot your personal information in that illicit marketplace.

In addition to these common features, some paid services offer additional premium features.

Is credit monitoring worth the cost?

You can get credit monitoring for free from a bank, credit card or financial services company. For example, even if you’re not a Chase cardholder, you can sign up for Chase Credit Journey to keep tabs on your credit score and reports. There are many more options, and you’ll see a list of free credit monitoring services below.

However, some of the best credit monitoring services cost money. Paying for credit monitoring may be worth it if you’re seeking premium features like public records monitoring, tech tools to help you browse online more securely, help freezing your credit and assistance with restoring your identity in the case of ID theft. Check our list of paid services below to learn more about these features and decide whether the cost is worth it to you.

Free credit monitoring services

If you don’t want to pay for credit monitoring, you’re in luck. There are a variety of credit monitoring services you may access at no cost to you. Examples of free credit monitoring services include:

• LendingTree Spring: LendingTree Spring is a service designed to help you take control of your finances and keep track of your credit. It offers free credit alerts and score updates, financial tips and loan and credit card offers tailored to you. To enroll in LendingTree Spring, simply click the sign-up button and enter your email address to get started.
• Capital One CreditWise: Capital One CreditWise offers free access to your VantageScore® 3.0 credit score and TransUnion credit report, dark web monitoring and alerts about changes to your credit. And the best part? You don’t have to be a Capital One customer to get the service. Just sign up by entering your name and email address or signing in through your Capital One account, if you have one.
• Chase Credit Journey: Chase Credit Journey allows you to check your VantageScore® 3.0 credit score for free, get a plan to improve your score and receive identity surveillance with dark web monitoring. You also get alerts of any activity connected to your Social Security number. You don’t have to be a Chase cardholder or banking customer, and you can sign up by providing your name, address and other personal information and creating an online profile.
• Experian free credit monitoring: One of the three major credit bureaus, Experian offers free credit monitoring. The service offers free FICO® Score tracking, alerts about new credit inquiries or account changes and the ability to track your spending and credit utilization. It also comes with dark web monitoring.
• FICO free plan: You can also track your credit score using the FICO® free plan. It comes with credit monitoring for one bureau (Equifax). You can sign up by providing your email and setting up an online account.

Credit monitoring features at a cost

If you don’t mind opening your wallet, some companies offer more robust credit monitoring plans with premium features. They may offer monitoring of all three major credit bureaus, tech tools that help you browse the internet more securely and help freezing your credit or restoring your identity in a worst-case scenario.

Services vary, but here are some features commonly offered on paid plans. Prices are subject to change, so check these providers’ websites for the most accurate plan costs.

VPNs, ad blockers and password managers

Some companies offer tools to increase online security, such as ad blockers, data encryption, malware protection, a password manager and VPN (virtual private network) service. Companies that offer some or all of these features include Aura, IDShield and PrivacyGuard, with costs often starting around $10 to $15 a month.

Imagine this scenario: You’re traveling and using hotel Wi-Fi when you log into online banking to pay a bill securely. With these kinds of services, you could make your payment without worrying about thieves who may be waiting to try to get your password and drain your bank account.

Credit locking and freezing assistance

Some paid services offer credit locks that allow you to quickly and easily lock your credit with one or more of the three major credit bureaus. This is similar to freezing your credit, which you can do for free by visiting the website of each of the credit bureaus.

Locking or freezing your credit can prevent lenders from accessing your credit reports unless you unlock or unfreeze your credit first. (You can also place free fraud alerts on your credit, letting lenders know they need to take extra steps to verify your identity.)

Companies that offer credit locking assistance include Aura, Experian and ID Watchdog (all for one credit bureau only), and costs can range from $12 to $25 per month.

Identity theft protection

Some paid credit monitoring services offer identity theft insurance and/or restoration services, designed to help customers who experience ID theft resolve the situation while minimizing hassle and cost. Companies that offer this service include Experian, Identity Guard and ID Watchdog at costs ranging from about $8 to $25 a month.

Imagine that your identity gets stolen. With this type of service, instead of taking days off from work to do research, make phone calls and fill out paperwork, you have an ID restoration specialist guiding you through the process seamlessly.

3-bureau coverage

Each credit bureau is different, and your reports and scores may vary from one to another. Some paid services offer complete coverage on all three bureaus, though it can be costly. For example, Identity Force, ID Shield and myFICO offer this option with costs ranging from about $20 to $35 a month.

Public records, social media and identity surveillance

Some services offer alerts when your Social Security number is used or if your identity pops up in address change forms, court records or bookings or sex offender registries. Plus, some will include social media monitoring. For example, ID Watchdog offers social surveillance, while Experian offers social media and public records monitoring. These plans range from about $22 to $25 a month.

Reimbursement for theft

Some plans offer reimbursement for theft from 401K retirement or health savings accounts. For example, ID Watchdog offers up to $1 million in coverage for both types of accounts on plans starting at just under $22 a month.

Imagine this: A thief drains your retirement account, endangering your dream of spending your golden years on a beach, but your credit monitoring service saves the day with a reimbursement payout.

Other features also are available, such as car and home title monitoring and subprime loan monitoring. It pays to read the fine print, study the available features and decide which plan offers the features you want at the best cost.

Ways you can monitor your credit for free

There are free options, but keep in mind that no-cost options have their limits. They may allow you to check your credit score for free and offer basic alerts to let you know about any changes to your credit reports. However, they typically won’t include premium features like VPNs, ad blockers, credit freeze assistance and identity restoration. (Still, a basic option may suit you well if paying for credit monitoring isn’t worth it to you.)

• Regularly check your credit reports for free with AnnualCreditReport.com: Simply go to AnnualCreditReport.com, get your free reports and scour them for any errors, suspicious activity or unfamiliar accounts. You can also get free TransUnion credit reports weekly. This method involves checking your credit report yourself, so it requires more legwork than other options.
• Sign up for a free service from your financial institution or LendingTree Spring: Another option is to take advantage of free credit monitoring from your bank, credit card company or a service like LendingTree Spring. This option allows you to “set it and forget it,” knowing you’ll get an alert if there are any changes or suspicious activity.
• Use a free service from a major credit bureau: All three major credit bureaus offer paid credit monitoring, but you can get free credit monitoring from Experian, including FICO Score tracking. This stands out because it’s the score used most by lenders, and many other free services offer Vantage scores.
• Get credit monitoring for free after a data breach: If your personal information is exposed in a data breach, you may get an offer of free access to a paid credit monitoring service for a set period of time. In this case, you’ll typically receive a notice that outlines the steps you need to take to take advantage of the offer.

If you’re still wondering, “Is credit monitoring worth it?” consider signing up for one of the available free options. Those can save you money and headaches down the road at zero cost to you.