Do You Really Need Identity Theft Protection?

I see plenty of articles disclaiming any form of identity theft protection and the related expenses. They have titles like, “Identity Theft Protection Doesn’t Work,” or, “Poor Man’s Guide to Identity Theft Protection.” Most of these articles have some degree of merit, but they usually miss the point.
The fact is, you can’t protect yourself from all forms of identity theft, and the types that you can guard against require a Rain Man-like focus. One way or another, it’s going to cost you time or money or both.
Identity theft protection detractors say, “Why pay a monthly fee when all you have to do is…”
Securely dispose of mail. The standard advice is to thoroughly shred preapproved credit card offers and anything that includes any account information. While this is good advice and should be heeded, it’s not going to protect you when your bank or mortgage company or utility provider tosses your information in a dumpster that is subsequently raided by identity thieves.
Opt out of junk mail and preapproved credit card offers. This is good advice and can be done at OptOutPrescreen.com. However, even if you opt out of new offers, others will still arrive. It’s inevitable. You also need to get a locking mailbox, but that still won’t fully protect you.
Get a P.O. box. This won’t protect you at all. Anyone who recommends this tactic (continue reading...)