Common Terms and Definitions for Identity Theft Victims

Charge-Back

A charge-back is a transaction returned through a credit card processing interchange by an issuer to an acquirer. Consumers may, under certain circumstances, dispute a purchase made from a merchant and cause a charge-back. A transaction also may be returned because it was noncompliant with the merchant account rules. Sometimes spelled chargeback.

Credit Freeze

A credit freeze is a service available to consumers through the credit bureaus in which consumers lock down their credit, preventing new accounts from being opened. It is a useful tool in cases where identity theft has been detected or is suspected. The credit bureaus charge fees for establishing credit freezes unless identity theft has occurred. They also charge for 'thawing' the credit freeze, should a consumer decide to open a new account.

Credit Monitoring Service

A credit monitoring service is one that monitors credit card accounts for suspicious or out-of-pattern activity and sends an alert to the cardholder if such activities occur. Typically there is an annual or monthly fee for the service billed to the primary card being monitored.

Credit Report

If you have ever applied for a credit card, a personal loan, or insurance, there is a file about you. This file includes where you work and live, how you pay your bills. It even includes whether you have been sued, arrested, or filed for bankruptcy.
Credit Reporting Agencies gather and sell this information to creditors, employers, insurers and other businesses. Periodically check your credit report for accuracy to know what has been reported and correct any errors. To check on your credit report contact the three major national credit bureaus: Equifax, Experian and Trans Union.

Fraud Alert

A fraud alert is a security alert placed on a credit card account or credit bureau listing by either the customer or the issuer when a fraudulent account activity is either experienced or suspected. Fraud alerts are also known as credit freezes.

Fraudulent User

A fraudulent user is an individual who is not the credit cardholder or designee and who uses a credit card account to obtain goods or services without the cardholder's consent.