by Anna Robinson

Created on: May 25, 2010   Last Updated: May 26, 2010

We all have see the free annual credit report commercials on television.  They all seem to have some catchy tune or have big celebrities endorsing their product. Many of us are wondering why there have been so many of these commercials and advertisements along with many new businesses dealing with this industry of free annual credit reports.  

The answer is, there is money to be made in this free annual credit report industry, and the words "free" in free annual credit report make it even more enticing for the customer to want to get in on the action.  The power of the up-sell is what drives this business of free annual credit reports.  As a consumer you should know what you're getting into and what you want to take from such a business.  It's important to know that you don't need a lot of the services these free annual credit report companies offer.

What exactly do these free annual credit report companies offer in the first place. Most of them offer identity theft protection which can be a big waste of money, but a big profit contributor to these free annual credit report business models.  As a consumer, there are very simple tips to keep yourself from being a victim of identity theft.  

Some of the obvious tips are keeping important information such as your Social Security Number from others.  Those nine numbers can be the difference between living in a world of complication and simplicity.  Without your Social Security Number, identity thieves are pretty much powerless.  It's these free annual credit report businesses that want to help monitor every purchase and registration of credit cards that makes an attempt to protect you.  It's not really necessary.

Some free annual credit report businesses offer credit repair services.  After viewing your free annual credit report, you may be very disappointed with your credit score.  These credit repair services might be helpful if you are at a very low score.  Doing your research and making sure your free annual credit report is accurate can help you avoid having to repair your credit score.  It might be true that your free annual credit report is inaccurate and all you need to do is report the discrepancies.

Some of these companies can be legitimate and do not deny their service if you truly feel you could really use the service.  You get what you pay for, but then again don't let them take advantage of you if you can do the simple job yourself.

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