If you were one of the 278.83 million individuals that had your information stolen in a data breach last year, you’ve probably been told to freeze your credit report. But what does that mean, and how do you do it? Let’s go through some of the most frequently asked questions about credit report freezes and what they actually mean.
What is a Credit Report Freeze?
A credit report freeze is a free tool you can use through any one of the three major credit bureaus: Equifax, Experian and TransUnion. It temporarily restricts your credit report, which stops anyone from opening a new account in your name. It does not freeze your existing accounts, so you can keep using your credit cards during a freeze.
When Should I Freeze My Credit?
One of the most urgent times to freeze your credit is when you receive a notice that your personal information was involved in a data breach. The scammers who stole the information may try to open accounts in your name, or sell your information to cybercriminals who will attempt to steal even more from you.
Other times you may want to freeze your credit include:
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When you’ve lost or had your wallet stolen
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If you notice suspicious activity on your account
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If you are not actively seeking a new credit card or loan.
How Do I Freeze My Credit?
To freeze your credit, contact each of the three major credit bureaus online or by phone. Once you’ve contacted all of them, your credit report should be frozen in one business day.
When you’re ready to unfreeze your credit, contact the bureaus again. Your report should be accessible to new lenders in an hour.
Do I Need to Freeze My Child’s Credit?
Children under 18 are not old enough to borrow or have a credit report (unless they’re an authorized user on your credit card). However, some scammers are successfully able to borrow in a child’s name. To prevent this, or if you suspect someone has fraudulently borrowed in your child’s name, you can request a freeze with any of the major credit bureaus.
Should I Place a Credit Freeze?
A credit freeze is one of the most effective ways to protect yourself from the fallout of identity theft. It prevents lenders from accessing your credit report to open new accounts, helping stop fraud before it starts.
If you suspect you or your child are the victims of identity theft, or even if you aren’t seeking a new loan, it’s a smart idea to freeze your credit. It’s free, doesn't affect your credit score and can be lifted whenever you need to apply for a loan or credit card.
At Apple FCU, we’re committed to your safety. Whether it’s our Secure and Protect articles, Shred Events or even our free fraud education portal, we have resources to help you maintain your security and report suspicious activity as soon as you notice it.
