Credit Locking

[MarkBarbieri]

I've read that you can lock your credit. That is, you can prohibit the credit reporting agencies from sharing your credit information with anyone. It's a tool to prevent identity theft. It sounds like a good idea, but it would cost me $60 to do it.

Has anyone done this? How has it worked? Is it a pain getting your credit unlocked for stuff like changing cell phone providers?

 

[jaminmd]

We froze our credit. I tested it out (unfroze mine) to open a Disney visa & I was able to re-freeze later that day.

It's totally worth the money, especially if you don't plan on applying for a lot of credit.

 

[Cool-Beans]

I don't know anything about it, but my first thought is "scam."

However, my first thought is always "scam." I'm cautious (or cynical or experienced enough, you pick the words) like that.

I very much wish there were a way to tighten up credit so that theives couldn't steal, but customers don't have cards declined for "Security Holds" and have to take tests on the phone and crap like that, though.

I'm thinking that whatever these people are doing, you could do it yourself and save the $60. And not give someone access to all your credit info. But I could be wrong.

 

[JessicaR]

I'm pretty sure it varies by state and the rates have dropped for this service since its inception. I read about this back in October and it was cheap to process and free to lift.

Found a table that shows the state rules, fees, and limitations.

http://www.bad-credit-advisor.com/2008/09/credit-report-freeze-locking.html

 

[RitaE]

I don't know anything about it, but my first thought is "scam."

However, my first thought is always "scam." I'm cautious (or cynical or experienced enough, you pick the words) like that.

I very much wish there were a way to tighten up credit so that theives couldn't steal, but customers don't have cards declined for "Security Holds" and have to take tests on the phone and crap like that, though.

I'm thinking that whatever these people are doing, you could do it yourself and save the $60. And not give someone access to all your credit info. But I could be wrong.

No it is not a scam. Every state except Alabama has laws which require the Credit Bureaus to offer this service. All 3 credit bureaus offer it to the citizens of Alabama, they just aren't required to by law. AFAIK, all states laws require that if you have been the victim of identity theft or fraud, the fee is waived.

yes, I have done it. $10 per agency ($30) for me. $30 for my husband. I've never had to unlock to apply for credit, so I can't tell you how difficult it is.

http://www.consumersunion.org/campaigns/learn_more/003484indiv.html

 

[Tanuki]

I did it - went thru each individual credit agency and searched for the link to actually "freeze" my credit (as opposed to paying the credit agency to monitor it).

I am at a point in my life where credit is established and I don't need new credit more than about once in a decade and rarely without knowing well in advance that I will. So I paid the money and froze my credit.

It does lead to much greater peace of mind.

No more so than when I bought my iPhone 3G and had to start wireless service thru a new provider (AT&T). Yes, they did call and check my credit which I didn't expect. So I had to go home and get the number that I needed to use and call the credit reporting service (Equifax) to unlock my credit. They unlocked my credit for $10 and I went back to the store and got my phone the same day. It was about an hour's inconvenience which would have been no inconvenience if I had realized they were going to need to do a credit check and done it before I left the house.

Well worth saving the hours and hours of difficulty to clear up an identity theft problem.

 

[Cool-Beans]

No it is not a scam. Every state except Alabama has laws which require the Credit Bureaus to offer this service. All 3 credit bureaus offer it to the citizens of Alabama, they just aren't required to by law. AFAIK, all states laws require that if you have been the victim of identity theft or fraud, the fee is waived.

yes, I have done it. $10 per agency ($30) for me. $30 for my husband. I've never had to unlock to apply for credit, so I can't tell you how difficult it is.

http://www.consumersunion.org/campaigns/learn_more/003484indiv.html

I'm confused. Can you do this yourself, for less money? Or do you actually need to pay someone else $60 to do it?

I'm not being a smartass. It sounds to me, from your post, like you can do it yourself for less money. Am I wrong?

 

[RitaE]

yes, you do it yourself. Note this is not the same thing as the "identity theft" sort of programs you see on tv. You go to each individual credit agency and search for "credit freeze." This is the link for Equifax

http://www.equifax.com/cs/Satellite...60/5-1/5-1_Layout.htm?packedargs=Locale=en_US

Transunion and Experian have their own programs. You pay each bureau individually.

The Freeze doesn't prevent new accounts from being opened in your name. What it prevents it the Credit Agencies from issuing a credit report to third parties. Since almost no lender will issue credit without first running a credit report, it dramatically reduces the chances of somebody opening up a new account in your name. If you ever do want to open up a new account, like for a car loan or something, you have to pay a fee to have your report temporarily "unfrozen."

 

[MelanieC]

We have something on our accts after the "military" computer thing was stolen and the American red cross records were stolen.

We only called and said we wanted this put on our records. Now we have to have someone call us directly if we want to open credit. Not that hard to open credit with it - they are just more cautious.

 

[jaminmd]

Just be sure to save the letters they save you with the pin #'s on them. You may need the phone number to call if you have to lift a freeze & I wasn't able to find it on the agency Web site (I forget if it was Experian or Equifax). I think I was even able to do a lift online. It was a simple process.

The fees do vary by state. And it is not a scam or credit monitoring service.

 

[ambgoph]

I did this 3 months ago. Go to this website to check your state's laws and go from there. http://www.consumersunion.org/campaigns/learn_more/003484indiv.html I didn't have to pay anything to set up the security freeze since my state doesn't require it, but I do have to pay a fee if I want to have the security freeze removed, even if it is temporary. It was very easy to do and all 3 credit bureaus responded within the amount of time that is required for them to do so.

 

[MarkBarbieri]

Sounds like it isn't too bad. My state is a $10/person/agency state, so it'll be $60 for me and my wife.