Fraud Alert (Credit)

A fraud alert is a softer alternative or complement to a credit freeze. When a fraud alert is active, lenders who access your credit report see a flag indicating they should verify your identity more thoroughly before approving credit in your name — typically by calling a phone number you specify. Unlike a credit freeze, a fraud alert does not block the credit report from being accessed; it merely adds a warning.

In the US, an initial fraud alert lasts one year and can be placed for free at any one of the three major bureaux, which are required to notify the other two. Extended fraud alerts, lasting seven years, are available to confirmed victims of identity theft and come with additional rights including free credit reports and opt-out from pre-screened credit offers.

Fraud alerts are useful when you suspect your data may have been compromised but do not want the friction of thawing a freeze every time you apply for credit. For consumers who apply for credit rarely or who have confirmed theft, a credit freeze provides stronger protection.