Following High-Profile Credit Breaches, Credit Freezes Emerge As Most Effective Safeguard
North American Precis Syndicate
If fear of a financial data breach gives you the chills, freeze your credit. (NAPS)
(NAPSI)—Last year saw a number of high-profile data breaches that
caused major headaches for consumers, and that’s not likely to change.
data breach, for example, compromised the personal information of
approximately 147.9 million Americans (basically all U.S. adults with credit
reports), impacting credit scores and peace of mind. Uber’s data breach exposed the information of
as many as 57 million Uber users, and the breach
involving Alteryx and Experian affected more than 120 million
American households, just to name a few.
Following these breaches, there’s been no shortage of advice on how
consumers can safeguard their personal data, and rightfully so. Put
simply, if you’re an adult with a credit report, you should be looking
at ways to protect yourself. Recent breaches have exposed a host of
information, including names, addresses, Social Security numbers, birth
dates, driver’s license numbers and credit card numbers—all of which
can be used to steal your identity and open lines of credit in your name.
Social Security numbers and credit reports are the gold standard on which
financial institutions, organizations and lenders base decisions. Keeping
this in mind, it’s especially important to take steps to protect
yourself following large data breaches. That way, if something unexpected
shows up while you’re applying for a mortgage or getting a background
check for a new job, your credit report can be corrected.
If you’re concerned about identity theft following a data breach,
placing a credit freeze on your report is an ideal option for protecting your
What is a credit freeze?
Backed by federal law (and many state laws as well), a credit
freeze is the most effective solution to help combat identity theft
following a security breach. A credit freeze lets you restrict access to your
credit report. This makes it more difficult for thieves to open new accounts
in your name.
How does it work?
To place a freeze on your credit report, you need to call each of the
three credit bureaus—Equifax, Experian and TransUnion—to
make the request. You’ll then get a letter from each bureau confirming
the freeze and providing a personal identification number (PIN) or password.
Keep these in a safe place, as you will need them to lift the freeze.
Once you freeze your credit report, no new creditors can view it unless you
provide your unique PIN number. That means everyone from your landlord or
employer to your new loan provider is restricted from accessing your report.
It costs only $10 per credit bureau to freeze your credit report (in some
states it costs even less).
Perhaps best of all, you don’t have to worry about restoring access to
the accounts you already trust. Current credit accounts created before the
credit freeze can continue to pull credit reports as needed.
In some states, credit freezes expire after seven years. However, in most
states, a freeze remains in place until the consumer asks for it to be
temporarily lifted or removed altogether. A credit reporting company must
lift a freeze no later than three business days after getting your request.
The cost to lift a freeze varies by state.
Credit and data breaches show no signs of slowing down, but by going
through the simple process of freezing your credit, you can be confident your
personal information is secure.
For more details about the benefits of freezing your credit and how it
works, go to www.lexingtonlaw.com
or call (855) 255-0139.
“Whenever you apply for a line of credit, you have to
pay to temporarily unfreeze your report at each credit bureau. This can be
costly if you are shopping around for a loan. In this scenario, a more
temporary solution may need to be considered. http://bit.ly/2Gbh82Z”
On the Net:North American Precis Syndicate, Inc.(NAPSI)