Protect Yourself From Data Hacks: Freeze Your Credit
Data breaches have become a reality of modern life, even for those who take extra precautions—using unique passwords, avoiding public Wi-Fi, and never emailing personally identifiable information.
You do all those things, right?
Here’s the reality: a hacker in some remote European basement can wreak havoc on your life if they get hold of your information and open a new AMEX card in your name. Even if your “data hygiene” leans more “fifth-grade boy” than “National Honor Society student,” there’s an easy way to make it harder for hackers to create fake credit accounts and damage your credit score.
Take a few minutes today—on your lunch break or tonight—and get this done. Don’t forget to have your partner do it, too. This simple step could save you a lot of money and heartache.
Why Freeze Your Credit?
Freezing your credit prevents lenders from pulling your credit report to evaluate whether you’re a good potential borrower. In other words, if a hacker steals your personal data and tries to open a fake credit card in your name, the lender won’t be able to access your credit report, and the application should be denied. There are no guarantees, but that’s the intent of freezing your credit.
How Much Does It Cost to Freeze Your Credit?
Zero. Zilch. Nada. It’s completely free.
What If I Need to Open a New Credit Account After I Freeze My Credit?
When applying for a new loan or credit card, ask the lender which credit bureau(s) they use to pull credit reports. Then, contact that bureau, enter your PIN, and specify how long you want your credit unfrozen.
- Buying a car at a dealership? Unfreeze it for a day or two.
- Shopping for a mortgage with multiple lenders? Keep it until you are done shopping.
Once the set time expires, your credit automatically refreezes. Quick note, if you are shopping a loan, you need to try and have all of the credit pulls happen within two weeks to protect your credit score.
I’ve personally done this at a car dealership—it took about 15 minutes for TransUnion to lift my freeze.
What Information Do I Need to Freeze My Credit?
Each credit bureau has a slightly different process outlined on their website, but generally, you’ll need:
- Your Social Security Number
- A government-issued ID
- A pay stub or tax return
- Sometimes: An old utility bill, car loan statement, or mortgage statement
The hardest part? Remembering your old home phone numbers! The credit bureaus will ask specific identity verification questions, like past addresses and the type of car you bought in 2009.
Ready, Set, Freeze Your Credit!
Let’s do this:
1. Create an account at each credit bureau.
Tip: Use a password manager like LastPass or OnePass to generate and store unique passwords.
2. Create a PIN for each bureau—don’t forget it! You’ll need it to unfreeze your credit.
3. Follow the steps on each site to complete the freeze. That’s it!
Here Are the Links You Need:
What the Heck Is Innovis?!
Innovis is a lesser-known credit bureau that mainly tracks utility and rent payments. According to Business Insider, Innovis isn’t heavily involved in selling credit reports to lenders, but to be safe, freeze your credit there too. The good news? It takes about 30 seconds to submit the form on their website.
Seriously, Do This Now.
Freezing Your Credit to Protect Against Data Hacks
This might sound like a tinfoil-hat move, but in a world where personal data is valuable and cybercriminals are eager to sell it on the dark web, freezing your credit is an easy, effective way to protect yourself.
Also, be sure to pull your free annual credit reports to ensure your information is correct. You can do that here:
I froze my credit after the 2017 Equifax hack and have had no issues applying for a mortgage or car loan later. An added bonus? Fewer pre-screened credit card offers in your mailbox.
Now go freeze your credit—you’ll thank yourself later.
