Present days, information is power, not to mention your personal information that may be used for committing fraud and various crimes. Statistics figures show that credit card fraud appears to be the most common form of identity theft. The ever-increasing number of identity theft victims proves that this problem is very serious.

According to the list of top consumer complaints associated with fraud, provided by the Federal Trade Commission, more than two hundred thousand consumers suffered from identity theft in 2007. Credit bureaus introduce their methods of fighting this crime.

Equifax, one of the major credit bureaus, has launched free online fraud alert products. You may set an initial fraud alert for 90 days or an extended fraud alert for 7 years. There's also an option for cardholders who are on active military duty. Before we do an overall review of the options available, let's find out how identity theft may affect your credit card deals.

Credit card scammers do not have to the donkey work to get thousands of dollars. You may have no idea that your personal information was stolen. The idea that someone may rummage about among trash cans seems incredible. You may ask, what on Earth are they looking for? The answer is obvious, papers that may contain your personal data, including credit statements, pre-approved credit card offers, and more.

Once your personal information is in wrong hands, the consequences may be really horrible. The crooks may open new credit accounts using your personal information. The problem is, credit card delinquencies will be reported on your credit report. Damaged credit history, huge rates, and burning anger, that's all you've got in the result of fraudulent activities.

The point is, all of us are exposed to this crime until we take actions and do something to prevent it. Setting fraud alerts is just one of the ways. How do they work? When you set a fraud alert on your credit file, it's impossible to open a new account in your name, or increase the credit limit. When someone requests your credit file, your lender should verify whether you are authorized to do that or not.

When setting an extended fraud alert, your creditor phones you to verify the request. But the thing is, this option is available for the victims of identity theft only. In other words, you need to provide a police report that proves the fact you've been an ID theft victim.

Besides, you may also count on two additional copies of your credit reports provided for free, and your name will be removed from pre-approved offers of credit and insurance for 5 years. Speaking of active duty alerts, they are similar to the above-mentioned types of alerts but they last 12 months.

It must be said that Equifax collaborates with other nationwide credit bureaus, i.e. TransUnion and Experian. So, if you set a fraud alert through Equifax, this alert will be placed at the other credit reporting agencies.

You may place a free fraud alert for 90 days online, by the phone, or sending the letter with your request. Protect your cards now to avoid unwelcome difficulties in future.

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