Most states have passed a law allowing their citizens to “freeze” their credit with the three main credit bureaus: Experian, TransUnion, and Equifax. A credit freeze simply means that any new credit accounts without will not be approved and your credit file cannot be accessed by anyone without your approval. Therefore, even if thieves have all your personal identifying information, they still won’t be allowed to get credit in your name. More information can be found here: 5 Signs You Should Freeze Your Credit.
It is a good idea to protect yourself from identity thieves, though it adds some inconvenience to your life. For example, freezing your credit account may slow down the process of obtaining credit you may need and want. Your state law rules here, but in my state you can thaw a credit freeze in 15 minutes.
There are requirements to be met to be able to freeze your credit account, but could be worth the effort and cost. In my state I have to give various proof of identity and pay a $10 fee to each reporting agency. But in this day of digital access to almost everything, freezing your credit could make sense… something to consider. To learn more about debt and credit management go to www.moneymastery.com.