Credit Monitoring in 2025 - What Every Family Should Know

Danielle Brown • April 30, 2025

At Buttonwood Financial Group, we operate under the assumption that in our digital world, nearly everyone’s personal information has likely been compromised in some way.



From large-scale data breaches to targeted phishing attacks, it’s increasingly safe to assume that your Social Security Number, birth date, and other sensitive information are already “out there.” Given that reality, protecting yourself is no longer about if you need credit monitoring, but how you use it effectively.


Here’s what you need to know:

 

The Purpose of Credit Monitoring

Credit monitoring services are designed to alert you if someone tries to use your personal information to open new accounts, take out loans, or access your financial resources.

Early detection is critical. The goal is to catch fraudulent activity before real damage is done – ideally before a new account is even opened.


Credit monitoring won’t prevent your information from being stolen, but it can help you take swift action when something suspicious happens.

 

Choosing the Right Credit Monitoring Service

There are hundreds of options for credit monitoring. You don’t need them all – you just need one (maybe two) that truly work for your lifestyle.


When selecting a service, consider two major factors:

  1. Lifestyle Fit:
  2. Choose a service that communicates the way you do. If your smartphone is attached to your hip like many of us, using a service that sends text messages, app notifications, and email alerts may be the best option for quick action.
  3. Functionality:
  4. Not all credit monitoring services are created equal. Some are straightforward. Others, like LifeLock, offer comprehensive protection but require more engagement – including updating your profile, accepting terms, and proactively using their platform to maintain functionality.


At Buttonwood, we often recommend services like LifeLock for those seeking a more robust, all-in-one solution. However, LifeLock and similar providers sometimes cross-sell additional services, and it’s important to stay engaged with them – or you risk missing important notifications.


If you are looking for a simpler or even free alternative, there are also more streamlined options available that focus purely on credit monitoring alerts.

 

The bottom line: Pick a service you will actually use. Staying proactive is more important than which brand you choose.


(Disclaimer: Buttonwood Financial Group does not receive compensation for recommending LifeLock or any other credit monitoring services.)

 

Credit Freeze vs Credit Monitoring: Do You Need Both?

A credit freeze can offer a deeper layer of protection, making it harder for identity thieves to open new accounts in your name. However, a freeze may also complicate legitimate credit activities – like applying for a new credit card, leasing a car, or securing a loan. Consider your personal financial situation before deciding.


Learn more about the differences between a credit freeze and a credit lock here.


Pro Tip: If you freeze your credit, be sure you can easily “thaw” it when you need access.

 

Don’t Forget Password Management

Beyond monitoring, a password manager can help protect you by securely storing your login credentials. No more sticky notes, spreadsheets, or folders filled with sensitive information! Choose a password manager that fits your preferences – there are many reputable (and secure) options available today.


(Disclaimer: Buttonwood Financial Group does not receive compensation for recommending any specific password managers.)


Simple Steps to Stay Protected – A Summary

  • Use at least one credit monitoring service – ideally one that fits your lifestyle and keeps you actively engaged.
  • Consider a credit freeze for added security but understand the implications for credit usage.
  • Use a password manager to organize and protect your credentials.
  • Stay proactive. No service is “set it and forget it.” The key is staying alert and responsive.


Protecting your identity is an ongoing process, not a one-time action.


At Buttonwood, we work with our clients to simplify financial complexity – and that includes staying vigilant against cyber threats.


If you have questions about credit monitoring, protecting personal information, or managing financial risk, schedule a conversation with our Team to learn more.


The information provided in this blog post is for general informational purposes only and does not constitute financial, tax, or legal advice. Please consult with a qualified professional for personalized advice. Buttonwood Financial Group does not receive compensation for recommending specific services mentioned in this blog. 

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