The U.S. Senate is now holding hearings and calling witnesses as it weighs whether or not to pass the Data Security and Breach Notification Act of 2010, a report from AXcess News said. The bill would require companies to give consumers, whose records were compromised in data breaches, either two years of credit reports or two years of credit monitoring free of charge. It would also require businesses responsible for these incidents to meet certain notification requirements depending on the size of the breach.
Credit monitoring is an invaluable tool in protecting yourself from identity theft. Not only will such a service alert you any time someone tries to open a line of credit using your personal information – which may have been exposed in a data breach – but it will also allow you to gain access to your credit report 24/7.
Checking your credit report is an important step in securing your finances and keeping yourself from becoming an identity theft victim. Scan these documents as often as possible, so that you can identify any potential errors that may be on them. It’s important to note that identity theft isn’t the only cause of these mistakes, as the majority of credit reports contain at least one discrepancy.
If erroneous entries on your credit report go undetected, your credit score can end up adversely affected.
In addition to your credit report, make sure to thoroughly examine your monthly financial documents, such as credit card and bank statements. Doing so will allow you to keep any eye on every expenditure you made in the previous month, and notice any charges and withdrawals – large or small – that may have been made without your knowledge.