Veterans' ID Theft Protection Act of 2006

Veterans' ID Theft Protection Act of 2006 - Directs the Secretary of Veterans Affairs to take specified actions in response to the May 2006 breach of Department of Veterans Affairs (VA) data security, including: (1) repairing the breach, restoring the security and confidentiality of the sensitive financial personal information involved and the integrity of data security safeguards, and improving data security policies and procedures; and (2) notifying affected persons, each nationwide consumer reporting agency, and any other third parties who will be required to act to protect such persons from fraud or identity theft.

Makes the Secretary responsible for providing any notices and file monitoring required under this Act at no cost to the persons affected by the breach.

Requires the Secretary to make available to a person affected, upon request, a service that monitors nationwide credit activity from a consumer reporting agency for six months for free.