Best Identity Theft Protection Services 2023
Identity theft is growing more complex as con artists use a wide range of constantly changing methods and technologies to steal your personal information.
If they are successful, a fraudster can use your personal information to create credit accounts, submit tax returns, or completely take over someone else's identity.
To determine the finest services based on your needs, Forbes Advisor reviewed the leading identity theft organizations.
To uncover the finest options for the most number of customers, Forbes Advisor reviewed the top identity theft protection services currently available on the market. We looked at the monthly cost of the plans provided by each firm, comparing the value of the plan to what it gives, and determining whether the company provided a free trial and/or an annual discount.
Additionally, we examined each plan's specifics, including credit monitoring from all three bureaus, surveillance of the dark web, identity theft insurance coverage, and device security measures including antivirus software and VPNs.
There are many different ways that identity theft can occur, but they all include the use of your personal information to conduct fraud. These are some of the most typical reasons for identity theft:
- Data breaches: Data breaches happen when hackers access a company's database that contains personal data including names, addresses, Social Security numbers, and credit card information. Then, using this information, fraudsters apply for loans or credit cards in the victim's name, among other fraudulent acts.
- Phishing and spoofing schemes: Phishing and spoofing schemes are attempts to steal personal information from people by impersonating a trustworthy entity or organization, such as a bank, a government agency, or a service provider. Typically, phone calls, texts, or emails are used in these scams. Once the victim gives the information, it might be used for identity theft by the perpetrators.
- Hacked accounts: Through the hacking of email, social media, online banking, and other accounts, identity thieves can access a victim's personal information. When a criminal gets inside, they might discover passwords, credit card information, personal identification numbers (PINs), and more, which they might use to steal identities.
- Compromised devices: Identity theft can also occur when a criminal uses unsecured public Wi-Fi networks, viruses, phony websites, or other techniques to access a victim's computer or phone. Once inside, the burglar can install spyware or malware to track the victim's movements and steal private data.
These are only a few methods by which identity theft can occur. However, determined burglars can also be able to get their hands on your personal information through financial paperwork in your mailbox or even from a receipt you threw away.
Any location or object that contains information about you could be a possible target for identity thieves, whether it is in the physical or digital world.
Theft of financial identity
Any strategy involving the use of a false name to steal money is considered financial identity theft. A victim's name may be used by criminals to:
- Make a credit card application.
- Submit a loan request
- Gain access to the victim's bank accounts
- Open a new bank account that will be utilized to carry out additional fraud.• Submit a tax return to get a refund.
Frequently, victims receive a statement in the mail from a financial account that they are unfamiliar with before they realize their identities have been stolen.
Alternatively, they can get a letter from the IRS alerting them to a dubious return filed in their name.
To reduce your financial losses, you must act fast once you realize that identity thieves have access to your information. You can put a fraud alert on your credit reports and/or freeze your credit to reduce credit fraud.
If you believe you may be a victim of tax identity theft, you should alert the IRS. If it is determined that you are a victim, you will be given an IP PIN each year to use as identification on all ensuing returns. An IP PIN request is also possible at any time.
When someone obtains medical care or services using another person's information, it is known as medical identity theft. This includes using a phony identity to pay for medical care, get prescription medications, or file an insurance claim.
Receiving an unacknowledged bill from a healthcare provider or being contacted by a company trying to collect on medical debts for treatments they never had are two common ways that someone learns that medical identity theft may have taken place.
If you've experienced medical identity theft, the first step toward recovery is to have all relevant healthcare professionals verify your medical records. You have the right to file an appeal if one or more parties refuse to give you access to your records.
Write to the medical provider to dispute any errors and ask that they be removed if you discover them in your medical records.
In 2022, cybercrime losses reached an all-time high of $10.2 billion, up from $6.9 billion in 2021, according to the FBI's 2022 Internet Crime Report. According to victim counts, spoofing, identity theft, and phishing, all made the top 10 list of most frequent crime categories.
Verify email senders before clicking any links in emails to prevent online identity theft. When setting up two-factor or biometric authentication on your accounts, consider using cybersecurity solutions like antivirus and VPN to safeguard your devices and online privacy.
Additionally, you ought to exercise caution when posting information on social media that an identity thief would find valuable.
How Does Protection Against Identity Theft Operate?
Identity theft prevention services look for any indications that unauthorized parties are using your personal information. Companies that provide ID theft protection may notify you, among other things, if they observe that:
- Your data is accessible on the dark web.
- A bank account or credit card application was made using your details.
- A payday loan application was made using your details.
- Your data was utilized by a cash-checking service.
- Your data gets discovered on new social media profiles
- A court or criminal record reveals your details.
- Someone discovered your details on a sex offender register.
- Records indicate that you have relocated.
- There have been significant transactions in your bank or investment accounts.
Numerous ID theft prevention businesses also provide credit monitoring in addition to identity monitoring. The finest identity theft prevention programs keep an eye on your credit files at all three main credit agencies and will notify you if anything changes.
They might also help you lock or freeze your credit reports, add a fraud alert, and do other similar things.
Identity theft prevention programs frequently include online privacy and safety measures. Members might get access to resources like antivirus software, VPNs, password managers, ad blockers, and more, for instance.
After that, firms that offer identity theft protection often offer resolution services to help you get your identity back after it has been stolen. These services might enable you to develop and carry out a recovery strategy extremely fast.
Finally, a lot of ID theft protection products offer insurance against identity theft. Legal fees and other costs associated with regaining your identity are frequently covered by these plans. Some policies go even further by pledging to return any money that has been stolen.
Do I Need a Service to Protect Me From Identity Theft?
It's crucial to note that a lot of the services offered by identity theft protection plans can be obtained for free or at a much-reduced cost. To keep an eye out for suspicious stuff, you could, for instance, routinely check your credit reports, financial accounts, and medical data.
Additionally, you can search for your personal information on social media, official websites, and more. You can also freeze your credit for free on your own.
DIY identity and credit monitoring are achievable, but it also requires patience and attention to detail. You may be willing to make that effort if you value having complete control over your identity protection.
Others, however, might want to assign these duties to experts who they can trust to continuously check their identities.
It may make sense to sign up for an identity theft protection package that incorporates those features if you're already going to pay for a VPN or antivirus subscription. A strong identity theft prevention strategy may only cost you a few bucks in many circumstances, but it may offer a significantly higher level of security.
The business that exposed your data may provide you with free identity theft protection for a limited time if it was recently affected by a data breach.
Additionally, a lot of credit card issuers today provide built-in fraud protections and alarms when it comes to bank account monitoring.
Finally, you should be aware that there are free choices if credit monitoring is all you're interested in. The top credit monitoring services are compared.
What Makes Identity Theft Protection Important?
The following are some advantages that identity theft protection services can offer:
- Identity tracking, which includes your name, SSN, address, and other information.
- Early identification of identity theft and prompt action
- Credit vigilance
- Prevention of financial fraud
- Identity theft protection
- Services for resolving identity theft
- Device safeguards
- Tools for online privacy
- Credit monitoring and prevention against child identity theft
Many of these safeguards are easy and inexpensive for you to put into practice on your own. Identity theft insurance, however, is a crucial advantage that is more challenging to obtain outside of a paid plan.
The assurance that you and your family will be shielded from financial losses brought on by fraud can be obtained via ID theft insurance.
Identity Theft Is Increasing
Identity theft reports have increased significantly over the previous five years, according to the FTC. 1.1 million reports were submitted in 2022 compared to 400,000 in 2018.
The FTC also stated that in 2022, fraud-related financial losses will reach $8.8 billion. This increased from the $5.9 billion sum in 2021 by almost 50%. The FTC's top fraud category in both years was identity theft.
Best Practices for Preventing Identity Theft
Keeping your personal information from being discovered is the greatest approach to avoiding identity theft. For instance, avoid carrying your Social Security number and avoid entering it on forms and applications.
When it's feasible, find out whether there are any other ways to confirm your identification or if you can merely give your SSN's final four numbers. Try to get your mail every day, and think about declining prescreened financial solicitations.
By considering your choices carefully before clicking any links, you can also lessen the likelihood that your information will be accessed through your devices. More than 90% of successful cyberattacks start with a phishing email, according to the CISA.
How to Choose a Monitoring Service for Identity Theft
Since many of the businesses in this field offer the same basic services, it's simple to become confused by the variety of identity theft protection solutions. However, there are always characteristics of many ID theft plans that stand out, so it's important to review them to determine which advantages you need the most.
These hints can be useful if you're having trouble deciding which supplier of identity theft protection to entrust with protecting your identity:
- Look for insurance against identity theft in your plans. As a last resort, identity theft insurance can shield you from monetary damages if you become a victim of identity theft. For our ranking, we only chose businesses that offer insurance against ID theft. Make sure the plan you're contemplating offers sufficient identity theft insurance to give you peace of mind because some offer lower levels of coverage. A plan with $1 million in insurance coverage is considered ideal.
- Look for credit monitoring from three bureaus. Additionally, confirm that each of the three major credit agencies is being monitored; however, keep in mind that some inexpensive plans may only cover one bureau. Having a method that checks all three of your credit reports is great because fraud might not appear on all of them immediately away.
- Consider whether you require an individual plan or a family plan with child protection. Family plans with unique features to safeguard children's identities are offered by some providers, although they are not offered by all. You should think about whether to include your kids in your identity theft protection plan if you have any.
- Compare prices and search for special offers if you only pay once a year. Verify that any plan you are thinking about is within your budget every month by comparing prices. Additionally, look for special offers for recurring or yearly payments. When you pay for the first year in advance, many providers will give you some form of discount.
- Take into account businesses that provide free trials. Try a free trial from a service if you're still having trouble making a decision. This will offer you some time to test out a plan's features and decide whether the monthly fee is reasonable. Before the free trial period expires, you have the option to end a paid identity theft protection plan.