We talk a lot about freezing your credit reports, and here's why:
Freezing your credit reports is one of the most effective strategies to protect your identity. A credit freeze prevents lenders from reviewing your credit history and worthiness without your permission
At the checkout counter of most major retail stores, it's not uncommon to be asked if you want to apply for a credit card "and you'll save 'x' percent on your purchase". If someone has your social security number and date of birth, they could easily apply for credit in your name (especially if they are not asked for proof of ID). The checkout clerk enters your personal information into the system which runs a credit check on the spot. Provided you have frozen your credit reports, the credit check will be blocked and the fraudster will be denied opening the account.
Keep in mind there are four credit reporting agencies: Experian, Equifax, TransUnion, and the fourth, lesser-known bureau: Innovis.
Initiating your security freezes can be done online. This page on our website provides the instructions with a link to each bureau. With Experian, Equifax, and TransUnion, your freeze will begin immediately. With Innovis, they will send you a PIN via snail mail to complete the process.
FAQs:
What if I need to apply for a loan, won't my legitimate request be blocked? You can lift or "thaw" (pause) a security freeze at any time.
How does this effect my current credit cards and loans? Freezing your credit reports does not impact the usability of current credit lines or credit cards.