Instructions
Pick a gamertag without any swear words in it. Especially since the release of the Kinect in June 2010, many families use the Xbox 360 for gaming, and young children must not be exposed to inappropriate words online. Inappropriate gamertags are against Microsoft's code of conduct.
Pick a gamertag without racist terms in it. In addition to the family issue, the subject of your racism will take offense if he sees it, and he will report the gamertag. Microsoft prohibits racist gamertags per the terms of service.
Pick a gamertag that does not contain personal information. Making your gamertag display your first and last name or any part of your address is not necessarily against the terms, but it can be dangerous. For example, if you defeat someone in a game online, he could use the information in your gamertag to track down your location.
Turn on your Xbox 360 and sign in to your Xbox Live profile. Press "A" on your assigned gamertag under the "My Xbox" menu.
Press "A" on "Change Gamertag." If this is the first time you are changing your gamertag, it will not cost you anything. Otherwise, it will cost 800 Microsoft points. Press "X" to add more Microsoft points to your account using your on-file card.
Type in your new desired gamertag, and press "Start." If the gamertag is unavailable, the console will prompt you to enter a new one. If you are unsure which gamertag to use, select "Get Suggestions" for ideas. Otherwise, press "A" on "Yes, use this gamertag," and then press "B" to return to the dashboard. The new gamertag will save and automatically display without needing to sign out and sign back in.