It will most likely be one of the major bureaus. The easiest way to unfreeze your file for the purposes of gaining new credit is to spend a few minutes on the phone with the company from which you hope to gain the line of credit (or research the matter online) to see which credit bureau they rely upon for credit checks. One important caveat: It’s best not to wait until the last minute before starting the freeze thawing process, which can be instantaneous or can take a few days. Needless to say, it’s a good idea to keep these PINs somewhere safe and reliable in the event you wish to unfreeze. When that time comes, consumers can temporarily thaw a freeze for a specified duration either online or by phone (see above resources). When you place a freeze, each credit bureau will assign you a personal identification number (PIN) that needs to be supplied if and when you ever wish to open a new line of credit. However, a freeze on your file does nothing to prevent the bureaus from collecting information about you as a consumer - including your spending habits and preferences - and packaging, splicing and reselling that information to marketers. By the same token, freezes do nothing to prevent crooks from abusing unauthorized access to these existing accounts.Īccording to experts, the bureaus make about $1 every time they sell access your credit file. Having a freeze in place does nothing to prevent you from using existing lines of credit you may already have, such as credit, mortgage and bank accounts. Bear in mind, however, that while lenders and service providers are supposed to seek and obtain your approval before granting credit in your name if you have a fraud alert on your file, they’re not legally required to do this. With a fraud alert on your credit file, lenders or service providers should not grant credit in your name without first contacting you to obtain your approval - by phone or whatever other method you specify when you apply for the fraud alert.Īnother important change: Fraud alerts now last for one year (previously they lasted just 90 days) but consumers can renew them each year. It also changes the rules for “ fraud alerts,” which currently are free but only last for 90 days. In addition, the law requires the big three bureaus to offer free electronic credit monitoring services to all active duty military personnel. However, this process is not currently available online or by phone, as it requires parents/guardians to submit written documentation (“sufficient proof of authority”), such as a copy of a birth certificate and copy of a Social Security card issued by the Social Security Administration, or - in the case of an incapacitated family member - proof of power of attorney. The new law also makes it free to place, thaw and lift freezes for dependents under the age of 16, or for incapacitated adult family members. Spouses may request freezes for each other by phone as long as they pass authentication. Here’s the updated contact information for the big three: To file a freeze, consumers must contact each of the three major credit bureaus online, by phone or by mail. With a freeze in place on your credit file, ID thieves can apply for credit in your name all they want, but they will not succeed in getting new lines of credit in your name because few if any creditors will extend that credit without first being able to gauge how risky it is to loan to you (i.e., view your credit file).Īnd because each credit inquiry caused by a creditor has the potential to lower your credit score, the freeze also helps protect your score, which is what most lenders use to decide whether to grant you credit when you truly do want it and apply for it. Today, those fees no longer exist.Ī security freeze essentially blocks any potential creditors from being able to view or “pull” your credit file, unless you affirmatively unfreeze or thaw your file beforehand. Previously, states allowed the bureaus to charge a confusing range of fees for placing, temporarily thawing or lifting a credit freeze. If you’ve been holding out because you’re not particularly worried about ID theft, here’s another reason to reconsider: The credit bureaus profit from selling copies of your file to others, so freezing your file also lets you deny these dinosaurs a valuable revenue stream.Įnacted in May 2018, the Economic Growth, Regulatory Relief and Consumer Protection Act rolls back some of the restrictions placed on banks in the wake of the Great Recession of the last decade. state to freeze and unfreeze your credit file and that of your dependents, a process that blocks identity thieves and others from looking at private details in your consumer credit history.
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