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Want to Secure Business Credit – Go With Credit Monitoring

Posted May 29, 2013 by Amy to Finance 0 0
This post was written by a EasyFinance.com Community member. The views expressed below may not reflect the views of EasyFinance.com.

Doing business is a challenging task on its own. Running a business would mean having to consider both the business and the stakeholders’ interests at the same time. This is not an easy feat at all. While being snowed in with reports and paper work, worrying about business identity theft would be the last thing you want to do. However, considering the possible implications, it is difficult to take business id theft for granted nowadays. It has victimized millions of Americans already, and the legal and financial repercussions can be very severe. Once victimized, you may have to shell out a considerable amount of money just to repair your accounts. Also, when talking about business id theft, additional expenses like this can hurt your operations. Also, considering all the more important things you need to focus on, you will not want something like this to distract you from attaining your business goals, right? At this point, it becomes crucial to understand how id theft can damage your business operations. Most importantly, you also need to understand how to prevent id theft and credit scams with credit monitoring.

What is Business Identity Theft?
Identity theft is generally defined as a crime involving illegal access or retrieval of another person’s personal information to commit fraud or to gain any personal benefits. It takes several forms, however the most basic underlying concept is to deceive business owners into believing or accepting a deceptive offer. Considering the problematic tendencies of the economy today, this scheme can be very tricky for business owners. Much like individual people, businesses will need financial assistance every now and then too, and when frauds offer them something very promising, some take the bait easily. While it does not take a genius to know when something sounds too good to be true, identity thieves can get very inventive and resourceful in luring their victims. Hence, it becomes very crucial to be aware of how to protect your business assets from these scammers.

Protecting Business Credit through Credit Monitoring
Credit monitoring is a type of service, which allows individuals and business owners to track their credit records in real time, in the objective of an overall security against business id theft. This helps business owners in preventing id theft as they get to spot immediately whenever something questionable comes up in their credit reports. Credit monitoring comes in different forms. The following are options, which business owners can consider in protecting their business credit from fraud:
1. Credit Reporting Services – These services allow business to check their credit reports regularly for a minimal fee. The service alerts businessmen of any changes from day to day, allowing them to check the accuracy of their reports constantly and to correct mistakes as quickly as possible.

2. Identity Protection Services – Much like credit reporting, identity protection services monitor your credit report at the three major credit bureaus and identify changes daily. It is especially designed to flag any questionable activities that could be a result of fraud or identity theft.

3. Credit Score Tracking – This service allows business owners to keep tabs of their credit score and any changes to it. This also helps educate them on the importance of their credit scores. Moreover, it informs businessmen whenever they move to a different risk level.

4. Taking Observational Precaut ions on Their Own – It pays to do a background check of every contractor you do business with. Check the establishment’s credentials with the Better Business Bureau. Moreover, it is best to be extra cautious in dealing with company that is not based on your own country.
Though these services may not offer a 100% guarantee against business id theft, they at least give business owners some sense of security that their accounts are being watched. The bottom line is that business owners still have to be vigilant and accountable for the corporate information they hold in order to protect their organization and stakeholders’ interests.

About Amy : Amy is an active blogger who is fond of sharing interesting finance related articles to encourage people to manage and protect their finances. She also covers topics on the importance of checking your credit score and tips on credit card fraud protection. 

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