Freezing credit Reports

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coldman
Posts: 79
Joined: Sun Mar 21, 2010 3:31 am

Freezing credit Reports

Post by coldman »

My email was hacked last week and I changed my passwords on all accounts. I have been monitoring my credit reports. One computer had a virus and now another one malware was detected using Malwarebytes. I am feeling a little paranoid and feel like freezing all of my credit reports. I don't plan to apply for any loans or credit cards for a long time. Has anyone frozen their credit reports with the three credit reporting companies? Please share your thoughts both pros and cons for freezing my credit.
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JoMoney
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Joined: Tue Jul 23, 2013 5:31 am

Re: Freezing credit Reports

Post by JoMoney »

I have not done it. I have been a victim of identity theft / credit fraud.
Despite the huge hassle in cleaning up the mess, I opted to just have a "fraud victim alert" placed on my credit profile (which theoretically should tell anyone looking to grant a line of credit to do extensive identification checks first - typically i get a phone call at the number i have provided on my report and have to answer security questions).
Despite being more secure, the "Freeze" just seemed like to much of a hassle to un-freeze and re-freeze again. I engage in lots of different financial transactions where they seem to want to check my credit file, I was worried it would just add yet another hassle. I'm pretty good at staying on top of my credit reports and use the free annual credit report service every year.

I know the radio show host "Clark Howard" is a big proponent of the freeze . He's got a guide on it with some pros/cons on his radio show website:
http://www.clarkhoward.com/news/clark-h ... uide/nFbL/
"To achieve satisfactory investment results is easier than most people realize; to achieve superior results is harder than it looks." - Benjamin Graham
SimonJester
Posts: 2500
Joined: Tue Aug 16, 2011 12:39 pm

Re: Freezing credit Reports

Post by SimonJester »

I have frozen all my reports and you have to understand and be willing to deal with what the means.

First when frozen, no one but existing creditors can put new information into the report. (for the most part)
If a creditor actually bothers to try and run a credit check before offering credit they will see the files are frozen.

You will have to unfreeze your report to open any new bank account, switch cable providers, supply a credit report check for employment needs, change cell phone providers and of course obtain a new loan.

It costs me $10 to unfreeze each report, and you can specify a length of time to unfreeze, unfreeze for one single company, or unfreeze with an access code. For the several times I have done it I have just unfrozen the report for a specified time period.

To me the benefits far out weigh the hassle of unfreezing.
"They who can give up essential liberty to obtain a little temporary safety, deserve neither liberty nor safety." - Benjamin Franklin
ddunca1944
Posts: 941
Joined: Fri Apr 01, 2011 1:49 pm

Re: Freezing credit Reports

Post by ddunca1944 »

I've done it as well. Pretty much the same experience as SimonJester.

It's a much bigger hassle if you lose the unfreeze access code (as I did).... :(

I'd do it again in a heartbeat if I thought my information was at risk.
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Taylor Larimore
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Joined: Tue Feb 27, 2007 7:09 pm
Location: Miami FL

Re: Freezing credit Reports

Post by Taylor Larimore »

coldman:

I think freezing credit reports for elderly retirees is probably a good idea. Many of us do not open new credit accounts and we are targets for fraud.

Best wishes.
Taylor
"Simplicity is the master key to financial success." -- Jack Bogle
Schu
Posts: 66
Joined: Thu May 23, 2013 9:09 pm

Re: Freezing credit Reports

Post by Schu »

I had an identity theft scare this last April. In Indiana, freezing and unfreezing credit is free of charge whether one has suffered ID theft or not, but free is not the norm in most states. I'm not looking to take out loans or open new credit cards, so it works for me.
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Watty
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Joined: Wed Oct 10, 2007 3:55 pm

Re: Freezing credit Reports

Post by Watty »

coldman wrote:My email was hacked last week and I changed my passwords on all accounts. I have been monitoring my credit reports. One computer had a virus and now another one malware was detected using Malwarebytes. I am feeling a little paranoid and feel like freezing all of my credit reports. I don't plan to apply for any loans or credit cards for a long time. Has anyone frozen their credit reports with the three credit reporting companies? Please share your thoughts both pros and cons for freezing my credit.
I did that years ago. Typically I end up having to unfreeze one of the credit reporting companies about once a year to do something like change natural gas companies to get a promotional rate. In my state it costs $3.00.

One thing to be sure of though is you do not lose the PIN's that they send you to unfreeze the account. I have heard it is extremely hard to get a credit freeze PIN replaced which makes sense because they need to make sure that you are not an identity thief trying to get the PIN.
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sddiehard
Posts: 166
Joined: Fri Mar 16, 2007 4:29 pm
Location: San Diego, CA

Re: Freezing credit Reports

Post by sddiehard »

I think freezing credit reports for elderly retirees is probably a good idea. Many of us do not open new credit accounts and we are targets for fraud.

Best wishes.
Taylor
+1... I agree with Taylor. We have frozen our credit and have had to unfreeze one time. No big deal and went smoothly. (I am 64 years old, not sure if that is already "elderly" :D )

Paul
vbdoug
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Joined: Mon Feb 26, 2007 11:44 am
Location: Palos Verdes, Cal‹

Re: Freezing credit Reports

Post by vbdoug »

+ 1 more. I have had my credit frozen for about 8 years. It is easy to unfreeze and a terrible hassle if you lose your pin {and I did that, too}. The protections a credit freeze can give you are greatly worth the price
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