What is a fraud alert?

A fraud alert is a notification to creditors and lenders that you may be a victim of identity theft. It is typically set up when you suspect your credit card or personal information may be compromised. Fraud alerts are designed to help protect you from identity theft and the negative impact it can have on your financial stability and credit score. In Maryland, the law protecting consumers from credit card fraud is known as the Maryland Identity Security Act. This act requires credit card issuers to provide a fraud alert to consumers if they detect any suspicious activity on an account. Fraud alerts can also be voluntarily set up by consumers if they have experienced any signs of identity theft or if they are worried about their personal information being compromised. When a fraud alert is set up, creditors and lenders are required to take additional steps to verify your identity before approving any new credit requests. This helps to keep thieves from opening new lines of credit in your name without your knowledge. Additionally, any new creditor that you apply to will be informed of the fraud alert, increasing your chances of catching any attempts to open credit in your name.

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What is a fraud alert?

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