CREDIT FREEZE

A credit freeze locks your credit report so that no one can see or run your credit report. Each credit bureau assigns you a special identification number that you must use to have your credit report unlocked.

Some companies market services that include placing credit freezes for victims of identity theft, or you can place them on your credit reports yourself with each of the Credit Reporting Bureaus. However, you need to know about some of the limitations to this form of protection:

FIRST, there may be different restrictions for setting a credit freeze, depending upon the current laws of any given state. You will need to check with your state concerning any restrictions.

SECOND, in a few states, the consumer must produce an affidavit that they have already been a fraud victim as a result of identity theft in order to place a security freeze. Again, you will need to check with your state.

THIRD, the consumer must provide the credit reporting agency 3 days notice to release their credit information, even for the consumer�s own use, and must pay a fee between $5 and $15 to the agency both to release the information and reapply the freeze.

FOURTH, it will be necessary for you to plan ahead for all your credit applications as you will need to contact the credit reporting agencies to request that they temporarily lift the freeze to allow your credit reports to be granted to the entity requesting it. It could possibly take up to three business days to process your request. It may take significantly longer if you lose or forget the special identification number that was assigned to you.

FIFTH, you might be hindered in your ability to immediately obtain credit to make major purchases. This could cause you inconvenience if you are credit active and apply for credit on a regular basis.
LifeLock and LoudSiren use fraud alerts to "flag" your credit instead of "freezing" your credit because they feel using fraud alerts provides greater flexibility while still securing your identity.

Credit Freeze