Individuals affected by data breach want prevention, not just monitoring. Fraud alerts make it much harder for thieves to use stolen Social Security numbers to open fraudulent accounts without the hassle and extra fees associated with credit freezes.
AUSTIN, Texas (PRWEB)
December 04, 2017
AllClear ID, the leader in customer data breach notification and response, today announced a new product that makes it easy for customers to set and maintain fraud alerts from within their AllClear identity protection service.
Fraud alerts are effective in preventing stolen Social Security numbers being used to apply for and open new accounts*, and they provide protection across the three national credit bureaus.
In 2016, the State of California recommended that breached organizations encourage notice recipients to place a fraud alert when Social Security numbers and Drivers’ licenses are compromised*. This guidance takes on even more urgency in the wake of Equifax’s breach.
AllClear ID is the only leading breach notification and response provider to offer fraud alert protection to individuals affected by data breaches.
Fraud alerts make it difficult for thieves to open new accounts by requiring creditors to take extra precautions to verify the identity of the applicant before opening the account. Federal law requires this extra security measure, and the best practice is for creditors to call the consumer to verify that they submitted the application. AllClear ID takes this one step further by combining fraud alerts with credit monitoring to help detect creditors that fail to comply.
“Individuals affected by data breach want prevention, not just monitoring,” said Bo Holland, Founder and CEO of AllClear ID. “Fraud alerts make it much harder for thieves to use stolen Social Security numbers to open fraudulent accounts without the hassle and extra fees associated with credit freezes.”
Research from AllClear ID quantifies the effectiveness of fraud alerts; in a 90-day period, 260,000 consumers placed fraud alerts on their credit files and AllClear ID processed 30,618 identity verification requests from creditors. In the final tally, consumers stopped 380 attempts of identity theft and zero fraudulent accounts were opened. Critically, creditor compliance with the…