The Ultimate Guide to Protecting Your Identity and Credit in 2024

Identity theft has become a pervasive threat to our financial wellbeing in the digital age. As a cyber security expert with over a decade of experience, I‘ve seen firsthand how devastating it can be to have your personal information stolen and misused by criminals. The aftermath often involves months of stressful phone calls, disputes, and paperwork to restore your good name and credit.

The statistics paint a sobering picture:

In 2023, over 6 million Americans reported being victims of identity theft, a 20% jump from the previous year, according to the FTC
Identity theft losses hit a record high of $6 billion in 2024, with a median loss of $600 per victim, according to Javelin Strategy
1 in 20 Americans over age 16 were victims of identity theft in 2024, with rates rising to 1 in 15 for people over 70, per the Bureau of Justice Statistics

As we look ahead to 2024, those numbers are only expected to rise as scammers devise craftier ways to exploit our data. Emerging threats powered by AI, like voice cloning and deepfakes, will make it easier than ever to impersonate legitimate businesses and individuals to trick victims.

The good news is, you don‘t have to face this risk alone. Identity protection services that include credit reporting and monitoring can act as your early warning system and safety net. They proactively scan for signs that your personal info is being misused, send you real-time alerts when something suspicious is detected, and provide expert assistance and insurance to help you recover any losses if the worst happens.

I spent the past 3 months putting over a dozen of the top identity protection services through their paces – comparing their features, pricing, user experience, and efficacy at detecting different types of identity fraud. I‘m confident these are the best of the best for 2024:

Best overall: LifeLock Ultimate Plus

LifeLock, now part of the Norton family of cybersecurity products, is my overall top pick thanks to its extremely comprehensive monitoring, smooth user experience, and generous insurance coverage.

Some of the key features that set LifeLock Ultimate Plus apart include:

Thorough credit monitoring and reporting from all 3 major bureaus (Equifax, Experian, TransUnion), including annual 3-bureau credit reports and scores
Monthly Equifax VantageScore updates so you can track your credit health over time
Alerts for suspicious activity on your credit, Social Security number, linked bank accounts, 401k/investment accounts, and home title
Dark web monitoring to check if your info is being sold on cybercriminal forums
Social media monitoring for signs that scammers may be impersonating you or trying to hack into your accounts
Up to $3 million in stolen fund and personal expense reimbursement if your identity is stolen on their watch ($1 million each for stolen funds, personal expenses, and legal fees)

Subscribing to LifeLock and configuring your alerts is refreshingly painless thanks to a guided setup process and intuitive web and mobile apps. I was particularly impressed with the level of detail provided in alerts, which include a risk assessment and recommended next steps. The portal also provides helpful context to explain what the different alerts mean.

My one critique is that LifeLock‘s customer support team, while unfailingly friendly, occasionally struggled to provide satisfactory answers to my tougher questions. But overall, LifeLock delivers excellent value as an identity protection watchdog, with individual Ultimate Plus plans starting at $27/month before discounts.

Best for families: Aura

Aura is my pick for the best choice for families who want to proactively protect their whole household from digital threats. A single Aura family plan covers up to 10 individuals, including up to 5 adults aged 18+ and unlimited minor children under a single subscription.

Some notable features that make Aura an effective identity protection solution for families:

Adult members each get their own account with access to 3-bureau credit monitoring and yearly credit reports and scores
Monthly Experian VantageScore updates to more quickly spot any suspicious credit changes
Child SSN monitoring to check if your kids‘ personal info is being misused
Social media and online account monitoring for all family members, including alerts for signs of cyberbullying or online predation targeting minors
Streamlined parental controls to filter inappropriate content, limit screen time, and track family members‘ location
Password manager and secure digital vault for sharing login credentials and sensitive documents between family members
$1 million in identity theft insurance per adult member

Aura‘s apps make it easy to customize what types of alerts each family member receives based on their age and life stage. We appreciate the extra built-in digital security features like antivirus and VPN, which further reduce your risk surface.

Importantly, Aura‘s US-based customer support team is highly responsive and well-versed in all aspects of the product. We were consistently impressed with their ability to provide clear, empathetic answers to even the most technical of our questions. Plans start at $37/month for a family of up to 10 before discounts.

Best on a budget: Identity Guard Total

Identity Guard impressed us as the service that delivers the best identity theft protection value on a budget. Its Total plan, starting at just $7.50 per month, packs an impressive suite of monitoring and security features.

Highlights include:

3-bureau credit monitoring with quarterly updates on your VantageScore
Yearly access to your full 3-bureau credit report
Dark web and high-risk transaction monitoring to proactively catch misuse of your data
Risk management score and tips to assess and improve your overall identity health
Detailed social insight report alerting you to privacy risks in your social media profiles and online accounts
Safe browsing tools that block malicious sites, trackers, and ads
Password manager to help you practice strong login hygiene across all your online accounts
$1 million identity theft insurance with stolen funds reimbursement

We found Identity Guard‘s apps to be intuitive to navigate, if occasionally prone to small glitches. Alerts came through promptly and provided clear next steps. And while wait times were slightly longer than LifeLock and Aura, the customer support we received was knowledgeable and resolved our issues satisfactorily.

Additional perks like their social insight report are surprisingly useful for spotting and eliminating risky privacy settings and info that may be exposed online. Identity Guard is proof that protecting your identity doesn‘t have to cost a fortune.

How identity protection services work

At their core, identity protection services aim to mitigate your risk of fraud by proactively monitoring for signs that your sensitive personal information is being misused by scammers and alerting you ASAP if something suspicious is detected.

To power their monitoring engines, these services collect identity-related data from a variety of sources, including:

The 3 major credit bureaus (Equifax, Experian, TransUnion)
Public records like court documents, arrest records, property deeds, change of address requests, etc.
Online sources like social media profiles, discussion forums, and illicit dark web marketplaces where stolen info is bought and sold
Financial institutions and creditors you‘ve authorized them to pull data from

Advanced provider like LifeLock layer on even more niche data sources, including telecom/utility accounts, payday loan applications, social media, and home title.

Using AI and data analytics, your identity info is continuously scanned across these sources, looking for unusual changes in your credit file, new accounts being opened, or your personal details popping up where they shouldn‘t. If a red flag is detected, you‘re immediately sent an alert via the method(s) you‘ve selected, such as email, SMS, phone call and/or mobile app notification.

From there, you can review the details of the alert in the service‘s online portal and either mark it as a legitimate change you expected or as potential fraud. If you suspect foul play, your identity protection provider will generally provide a detailed remediation plan and put you in contact with a specialist from their in-house restoration team.

The identity restoration process

One of the most crucial features to look for in an identity protection service is access to hands-on recovery assistance from experts if your identity is stolen under their watch. Having someone knowledgeable in your corner advocating on your behalf can make all the difference in shortening this stressful chapter.

While the exact details vary slightly by provider, here‘s generally what you can expect from the identity restoration process with one of the major identity protection brands:

As soon as you confirm suspicious activity in one of your monitoring alerts, you‘ll be assigned a dedicated Restoration Specialist from the provider‘s in-house team and they‘ll begin investigating immediately.
Your Restoration Specialist will conduct a thorough review of your credit reports with all 3 bureaus to identify any fraudulent activity, like accounts opened in your name. You‘ll be provided with copies of all relevant documentation.
With your authorization, your Specialist will place fraud alerts on your credit files and submit disputes on your behalf to have fraudulent info removed. They‘ll interface with creditors, debt collectors, and government agencies as needed so you don‘t have to.
Your Specialist will help you create and execute a full remediation plan, including canceling and replacing compromised cards/accounts, notifying relevant parties like your employer and insurance providers, and compiling evidence for law enforcement.
If you incur any financial losses from the identity theft, your Specialist will help you file a claim against your insurance policy to get reimbursed for eligible stolen funds and out-of-pocket expenses.
You‘ll have access to your Specialist via phone and email throughout the process for personalized support in dealing with the downstream effects of identity theft, like getting erroneous collections removed. Most providers average 4-6 weeks to fully resolve an identity theft incident, but more complex cases can take several months.

Keep in mind, to access your provider‘s full identity restoration assistance, you generally must have been an active subscriber before the theft occurred. And you‘ll only be reimbursed for stolen funds and expenses up to the limit of your specific plan.

How to choose the right identity protection package

With so many identity protection providers and plans to choose from, it can be tough to determine which one is the best fit for your needs. As you‘re evaluating your options, consider these 4 key factors:

Level of monitoring: Think about your comfort level and which pieces of your identity you most want monitored. Are you mainly looking for credit monitoring and a yearly credit report? Or do you need a more comprehensive solution that will proactively scan for misuse of your SSN, financial accounts, home title, social media profiles, and more?
Insurance coverage: Pay close attention to the limits and benefits of a plan‘s identity theft insurance offering. Generally, you want a minimum of $1 million total coverage. But some providers allocate this differently between reimbursement for actual stolen funds and associated out-of-pocket expenses. The more robust plans cover not just losses but also related costs like legal fees, lost wages, and childcare.
Ease of use: An identity protection service is only valuable if you feel empowered to use it. Look for providers with intuitive web and mobile apps that make it simple to review alerts, adjust your settings, and access support in a few taps. The best services guide you through a personalized setup process and provide contextual education along the way.
Price vs. value: More expensive plans generally deliver more extensive monitoring, insurance coverage, and extra features like device security, but that doesn‘t mean they‘re the right choice for everyone. Consider your unique risk factors – like how much of your sensitive info is already exposed from past breaches, whether you have children, and your personal comfort level. Then look for a plan with strong core monitoring and insurance with a monthly price you‘re comfortable with.

If you‘re on the fence, I recommend starting with a service‘s essentials plan and upgrading later if you decide you need more coverage. Most providers make it easy to switch plans from your user portal.

Other ways to reduce your risk

Beyond signing up for an identity protection service, there are several other proactive steps you can take as part of your personal security hygiene:

Freeze your credit: If you‘re not actively applying for credit, contact each credit bureau to place a freeze on your credit file. This prevents scammers from opening new accounts in your name, and you can temporarily lift the freeze when needed.
Use strong unique passwords: Use a password manager to generate and securely store a strong unique password for every online account. Enable two-factor authentication wherever possible as an extra layer of protection.
Be stingy with your data: Avoid oversharing sensitive personal details like your full birthdate and address on social media and other public profiles. Opt out of data broker sites that compile and sell your personal info.
Limit exposure of your SSN: Don‘t carry your Social Security card or other documents containing your SSN with you. Ask to use alternative identifiers where possible.
Stay vigilant: Regularly check your credit card and bank statements for suspicious transactions. Be wary of unsolicited calls/emails and never click links or provide personal info unless you initiated the contact.

No one can completely eliminate their risk of identity theft, as so much of our data has already been exposed through decades of breaches. But with a combination of smart digital habits and a robust identity theft solution watching your back, you can dramatically reduce the odds of becoming a victim and limit the potential for lasting damage.