Is credit monitoring worth it when churning credit card bonus offers?

Discussion in 'General Discussion | Miles/Points' started by jmhuth, Mar 2, 2011.  |  Print Topic

  1. jmhuth

    jmhuth Silver Member

    Messages:
    87
    Likes Received:
    106
    Status Points:
    355
    I did my first credit card churn last week.....Opened 3 cards each for me & my hubby. I went to cancel my free credit score trial & they offered me credit monitoring for 7.47 a month for two years. This does not include my 3 credit scores (only Experian) but includes all three agencies monitoring my reports, but I can call & get all three scores for $14.95 for a one time fee. I was thinking of doing this when I'm ready for my next churn--in May. So with lots of new credit cards in my future I'm wondering if credit card monitoring is worth it? I'm concerned that identity theft could be a real threat with so much credit card activity. Please share your thoughts!
     
  2. JasonH
    Original Member

    JasonH Silver Member

    Messages:
    308
    Likes Received:
    406
    Status Points:
    475
    I really think it is a personal decision. If you are concerned about it and this will give you a piece of mind then I would go for it. Then it is something you don't have to worry about anymore. Additionally, you could charge the fee to a points card and get points for your piece of mind. [​IMG]
     
    Mikel, jmhuth and Travelgirl like this.
  3. Travelgirl
    Original Member

    Travelgirl Gold Member

    Messages:
    536
    Likes Received:
    2,626
    Status Points:
    1,310
    Definitely a personal decision based on your goals. Is there a reason why you need to monitor your credit? Are you working towards a purchase of some sort? What do you mean by churn? Do you plan to close these cards and open new ones? Be careful, too many inquiries as well as closing and opening cards lowers your fico as well as your aaoa.
     
    PAinNY and jmhuth like this.
  4. UNHBuzzard
    Original Member

    UNHBuzzard Silver Member

    Messages:
    109
    Likes Received:
    178
    Status Points:
    395
    We used credit monitoring for a year or so before buying our house. Once the house (and boat) were purchased, I saw no further need to continue paying for it. Once it comes time buy a vacation house or put ours on the market, then I'll probably open up credit monitoring again. For those that are looking to purchase or repair prior credit, I find there is definitely value added.
     
    PAinNY, Mikel and jmhuth like this.
  5. miles and smiles
    Original Member

    miles and smiles Gold Member

    Messages:
    17,531
    Likes Received:
    61,942
    Status Points:
    20,020
    Personally, I am happy with the free service of https://www.creditkarma.com/. I've gotten 9 or so new cards in the past year, and my credit score has dropped just a few points. Now that I know that my score fluctuates in a small range, I'm not concerned about it.
    http://frugaltravelguy.blogspot.com/ has lots of good info on credit monitoring. You may want to search his blog.
    And don't forget that you can get your complete credit report once a year for free at:
    https://www.annualcreditreport.com/cra/index.jsp
     
  6. jmhuth

    jmhuth Silver Member

    Messages:
    87
    Likes Received:
    106
    Status Points:
    355
    I'm not planning on any major purchases. I am opening cards for points etc. I've been reading www.frugaltravelguy.com for a few months & decided to use his method of getting points. I've got a high credit score & I don't need to improve it. I just want to see what my credit scores are before I open up new cards once again in May (need to make sure it's still well above 700). From what I've read, what I'm doing won't hurt my score by more than a few points.

    My main concern is identity theft. This has never happened to me, but you always read about companies whose security has been breached or people hacking into accounts. Maybe I would see this right away on my own (or I would get a call from the cc company). So with that info, what do you all think?
     
    Travelgirl likes this.
  7. Travelgirl
    Original Member

    Travelgirl Gold Member

    Messages:
    536
    Likes Received:
    2,626
    Status Points:
    1,310
    I think that any abnormal spending (from what you would normally do) would trigger an alert to the credit card companies, which in turn warrant a call.

    Sounds to me you don't need to worry about that. I'll send you a pm on something you may want to look into.
     
    jmhuth likes this.
  8. ahow628
    Original Member

    ahow628 Silver Member

    Messages:
    222
    Likes Received:
    319
    Status Points:
    450
    We use Identityguard through Costco. Originally we used it to increase our credit scores to buy a house and car. Now we use it for monitoring for fraudulent activity. It is $7.49 a month each for me and my wife. I don't mind spending the money for piece of mind.
     
  9. I've tried some before but they keep raising prices. If they offered anything below $10 a month for the 3 credit agencies, I consider that a good deal.
     
    PAinNY likes this.
  10. ahow628
    Original Member

    ahow628 Silver Member

    Messages:
    222
    Likes Received:
    319
    Status Points:
    450
    You have to be a Costco member, but here is the info page:
    http://costco.identityguard.com/
     
    goodandclassy likes this.
  11. JohnDeere19
    Original Member

    JohnDeere19 Gold Member

    Messages:
    3,392
    Likes Received:
    6,892
    Status Points:
    4,625
    Agree with creditkarma...it's been perfectly fine for my monitoring needs.
     
    miles and smiles likes this.
  12. tw116
    Original Member

    tw116 Gold Member

    Messages:
    5,084
    Likes Received:
    15,411
    Status Points:
    10,975
    i monitor mine. i started after going through a divorce. it did help to rectify items that went on my report even 5 years after. now i just find it interesting.
     
    miles and smiles likes this.
  13. Global Explat
    Original Member

    Global Explat Silver Member

    Messages:
    185
    Likes Received:
    314
    Status Points:
    470
    I'm also in the creditkarma camp.

    Started looking at credit cards recently- and my wife was declined on her first application. We got the free credit report there, and found there was a cc account with a $50 balance from 3-4yrs ago that the company had written off. My wife had a horrible credit score because of it. We sent an objection to this as we knew nothing about it. Found creditkarma soon after and it showed a similar score. Over the next month or two we tracked creditkarma and lo and behold the score spiked up over 100pts as this item was removed...
     
    miles and smiles likes this.
  14. jbcarioca
    Original Member

    jbcarioca Gold Member

    Messages:
    17,507
    Likes Received:
    57,455
    Status Points:
    20,020
    your credit scores may not "fluctuate within a narrow range" when you open many new accounts. Remember that the score you see is not the score an issuer will be using. recency of account opening and inquiries are major negatives for many of the best offers. For higher priced and less advantageous offers they are less serious. Nine new acounts in a twelve month period will exclude you from many of the best offers.

    frugaltravelguy has some serious misinformation. Please be careful with using that.

    You last point is the bargain of all time. Free is good and you can review each entry for errors. Many credit files have errors, especially if your name is common and you live in multi-family housing. Check all three bureaux at least once per year and correct the errors. That is good hygiene for credit.
     
    PAinNY and miles and smiles like this.
  15. ahow628
    Original Member

    ahow628 Silver Member

    Messages:
    222
    Likes Received:
    319
    Status Points:
    450
    Also, when you get your credit report from that site, you can get it from just one bureau at a time. If you time it properly, you could actually get a free credit report every 4 months using annualcreditreport.com - one from each agency.
     
    PAinNY, tom911, homeyfour and 2 others like this.
  16. jbcarioca
    Original Member

    jbcarioca Gold Member

    Messages:
    17,507
    Likes Received:
    57,455
    Status Points:
    20,020
    That is an excellent point. Also if you have been rejected for credit you can get one time free access to the report(s) that were used in making that determination. Do not ever forget to check each report for accuracy of trade origination date, payment history, balance history, etc. All the details are important.
     
    PAinNY, ahow628 and miles and smiles like this.
  17. miles and smiles
    Original Member

    miles and smiles Gold Member

    Messages:
    17,531
    Likes Received:
    61,942
    Status Points:
    20,020
    Thanks for all the clarifications. It's definitely true that each person will have a different experience if trying to get a lot of credit cards. I've had great success this past year, and I am now taking a break for a few months.
     
    jbcarioca likes this.
  18. jbcarioca
    Original Member

    jbcarioca Gold Member

    Messages:
    17,507
    Likes Received:
    57,455
    Status Points:
    20,020
    You are most welcome. A smart move to take a break. Especially in your home area, where TU tends to strong coverage, recent credit inquiries and account openings tend to count for quite a lot. In some other geographies they can be less significant. Keep in mind that many larger lenders are fairly opaque about geographic component in their lending criteria.
     
    miles and smiles likes this.
  19. chemist562
    Original Member

    chemist562 In Memorian

    Messages:
    210
    Likes Received:
    151
    Status Points:
    385
    Make sure it is a 3 bureau "daily" puller. Alot of credit monitoring is going to once every 30 days. I like to know more often than once every 30 days. :eek:
     
    jbcarioca likes this.
  20. goodandclassy
    Original Member

    goodandclassy Silver Member

    Messages:
    181
    Likes Received:
    291
    Status Points:
    470
    the identity guard service, albeit 7.50+ a month, is _very_ quick to alert on changes. I once changed my address with a personal banker. received an alert the next day about the change - and a fraud department message form the bank several minutes after the alert, that asked me to confirm i had indeed changed my address. I was impressed.

    credit card application inquiries also post/alert me within a business day or two. i am comfortable in its workings :)
     
    Gargoyle, ahow628 and jbcarioca like this.

Share This Page