Lifelock Pays $12M for Not Protecting You…

I will not sing the ‘I told you’ so song.
I will NOT sing the ‘I told you’ so song.
I WILL NOT sing the ‘I told you’ so song.

Now that I have that off my chest, it’s time to say…

I told you so.

Lifelock recently settled a $12,000,000 lawsuit. For what? Not actually protecting consumers. Actually, the FTC says it best, “While LifeLock promised consumers complete protection against all types of identity theft, in truth, the protection it actually provided left enough holes that you could drive a truck through it,” FTC Chairman Jon Leibowitz said in a written statement.

Turns out, Lifelock had not only failed to protect consumers, it put them at risk. Personal information was not protected in-house.

I’m not saying all credit protection agencies don’t work, but I am saying that no one is as aggressive at protecting my credit as I am. So why pay a monthly fee?

The article can be read here.

I was particularly amused with the response from Lifelock, “LifeLock is pleased with this agreement, which, for the very first time, works to set advertising guidelines for the entire industry. We welcome federal and state efforts to regulate our industry, because doing so helps to protect consumers from the risks of identity theft,” said LifeLock Chairman and CEO Todd Davis.

Uh huh. Sure Todd. Whatever helps you to sleep at night.

Posted by Beks on March 22, 2010 at 5:00 AM in Credit Reports/FICO | 6 Comments »
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Abigail responded:
Posted: March 22nd, 2010 at 9:57 am
Here, I’ll do it for you:

She told ya so! She told ya so! Nananana she told youuuu sooooo! *jazz hands*

But seriously, I was at first impressed with the idea… right up until I read the Smart Spending piece that explained just how easily you could do all those steps for free.

You know what would have been great? If the guy who put his SSN out there in the commercial had had HIS identity stolen. Oh well.
PH responded:
Posted: March 22nd, 2010 at 11:28 am
@Abigail,
maybe you can share that link with others?
mikey responded:
Posted: March 22nd, 2010 at 2:08 pm
I equate these services with the companies that will be your surrogate at the DMV – for a fee. Their slogan should be, “For those who REALLY don’t want to do it themselves” (and will pay for the privilege)…
Beks responded:
Posted: March 22nd, 2010 at 9:25 pm
Abigail – Thanks! Better you singing it than me! And please share the Smart Spending piece if you can. I’d love to share it with everyone.
Lizzie responded:
Posted: March 22nd, 2010 at 9:29 pm
I’m with you all…Abigail, do share !
Rachel responded:
Posted: March 27th, 2010 at 12:27 pm
Do any of you think there is any value in having a service like Lifelock? What about the million dollar guarantee?