Protect Your Finances: The importance of monitoring your credit this holiday season.

The holiday season brings joy, celebration, and giving—but it’s also a prime time for fraud and scams. With increased online shopping activity and digital transactions, protecting your credit has never been more critical. By monitoring your credit, you can stay ahead of potential threats and enjoy the season with peace of mind.

Read on to understand why holiday credit monitoring is crucial, the risks unique to this time of year, and practical tips to protect yourself.

1. The Surge in Online Shopping – The convenience of e-commerce makes it a go-to for holiday shopping. However, this uptick also attracts cybercriminals who exploit online shoppers with phishing emails, fake websites, and data breaches. Protecting your credit is essential as the risks of identity theft and fraudulent transactions continue to skyrocket.
2. Higher Spending Makes Tracking Harder – People often spend more money around the holidays, which can make it easier for fraudulent transactions to blend in unnoticed. Add in the complexity of multiple payment methods—like credit cards, digital wallets, and Buy Now, Pay Later (BNPL) services—and tracking your credit becomes even more important. Retailers with unrecognizable billing names on statements can also create confusion, so double-check any unfamiliar charges.
3. Scams Ramp Up During the Holidays – Scammers know the holiday rush makes people more vulnerable. Common scams include:
   • Phishing Emails: Fraudulent shipping notifications or promotions trick you into sharing sensitive information.
   • Fake Charities: Impersonators solicit donations for non-existent causes via email, phone, or social media.
   • Gift Card Fraud: Scammers drain funds from gift cards or demand payments using them.

Keeping an eye on your credit report is one of the most effective ways to safeguard your finances and identity. Here’s why it matters:

• Spot Unauthorized Activity Early: Monitoring your credit can help you quickly detect and report fraudulent transactions or accounts opened in your name.
• Prevent Identity Theft: Credit monitoring tools can flag new accounts, giving you a chance to act before further damage occurs.
• Protect Your Financial Future: Addressing fraud early minimizes its impact on your credit score, which could otherwise make borrowing more challenging or expensive.

Follow these strategies to keep your credit safe this season:

1. Leverage Credit Monitoring Tools Many financial institutions, including Lafayette Federal, offer free or low-cost credit monitoring services. These tools send real-time alerts for any changes to your credit report, such as hard inquiries or new accounts.
2. Regularly Check Credit Reports You can access a free annual credit report from each of the three major bureaus—Equifax, Experian, and TransUnion—via AnnualCreditReport.com. During the holidays, consider checking them more often.
3. Be Smart with Online Transactions
   • Always shop using secure websites (look for “https” in the URL).
   • Avoid entering payment details on public Wi-Fi.
   • Enable two-factor authentication for online accounts.
4. Watch for Red Flags
   • Unexpected messages asking for personal or financial information.
   • Deals or promotions that seem too good to be true usually are.
   • Payment requests via unconventional methods, such as gift cards.
5. Freeze Your Credit if Necessary If you don’t need a new credit card before the year ends, consider placing a freeze on your credit. This prevents unauthorized access to your credit file, blocking potential fraud.
6. Stay Informed About Scams Awareness is key. Keep up to date with common scams like fake shipping updates or fraudulent e-commerce sites and educate family members on how to avoid them.

Stay alert to these recent scam tactics that target holiday shoppers:

• Fake Online Stores: Scammers create lookalike websites mimicking legitimate retailers to steal payment details.
• Social Media Marketplace Fraud: Fraudsters advertise goods that don’t exist, leaving buyers with nothing in return.
• QR Code Scams: Criminals use fake QR codes to direct you to malicious sites that steal your information.
• Holiday Job Offers: Too-good-to-be-true seasonal jobs are used to collect personal data under the guise of employment.

The holidays should be a time of spreading and sharing joy, not worrying about fraud. By staying proactive, using credit monitoring tools, and leveraging the resources provided by Lafayette Federal, you can protect your credit and financial future. This season, prioritize your financial security so you can focus on what matters most—making memories with loved ones.