How to Freeze Your Credit (and Why You Should)

Here’s an easy thing you can do to protect yourself better from identity theft: place a credit freeze on your credit report. A credit freeze makes it nearly impossible for fraudsters to open new credit accounts in your name. Freezing is reversable at any time and free.

Here’s some quick answers and suggestions regarding:

• What a credit freeze is
• When you should consider freezing your credit
• How to freeze (or unfreeze) your credit step by step
• Templates you can use if you prefer to send requests by mail

What Is a Credit Freeze?

A credit freeze, also known as a security freeze, restricts access to your credit report. When your credit is frozen, lenders and creditors cannot view your credit file, which prevents them from approving new credit accounts—fraudulent or legitimate—without your consent.

You can lift a credit freeze at any time, either temporarily (for a specific lender or time period) or permanently.

Key facts:

• Credit freezes are free
• They do not affect your credit score
• They do not impact existing accounts or your ability to use them
• You must place or lift the freeze with each credit bureau individually

When Should You Freeze Your Credit?

Now, especially if you think you have been compromised—your social security number was leaked, you’ve been hacked, you see fraudulent activity on your credit card, etc.

I think you should protect your credit proactively—even without known fraud—because there’s little downside. (Besides, if you are reading this, it’s unlikely you are applying for credit anytime soon. You are probably not a twenty-something who is planning on getting a car loan or mortgage soon.)

In other words, I think protection now is worth the small inconvenience. And it’s reversible.

What You’ll Need

Regardless of how you apply, be prepared to provide:

• Full legal name
• Date of birth
• Social Security number
• Current address (and prior addresses if recently moved)
• Proof of identity (for mailed requests)

How to Freeze Your Credit (Step by Step)

You must contact all three major credit reporting agencies separately.  You can submit your request online, by phone, or by mail.

The fastest way is to sign up online. It’s a pain, but freezing credit this way is fast (one day instead of three), and you can later unfreeze quickly when you need to.  When I froze mine years ago, online was not an option, but this is the route I would take today, especially given the ease of unfreezing. 

• Equifax
  • Online Link: Security Freeze | Freeze or Unfreeze Your Credit | Equifax®
    •  (The three agencies’ FAQ sections are useful.)
  • Phone: 1‑800‑685‑1111

• Experian
  • Online Link: Freeze or Unfreeze Your Credit File for Free – Experian
  • Phone: 1‑888‑397‑3742

• TransUnion
  • Online Link: Freeze Support Center | Credit Freeze FAQs | TransUnion
  • Phone: 1‑888‑909‑8872

You can always write to each by mail instead:

Note: Your credit won’t freeze until three days after they receive your letter, so it is slower.

Mail Templates: Credit Freeze Requests

If you choose to submit your request by mail, download the templates here. Always send your letter via certified mail with return receipt requested and include copies (not originals) of required documents.

Final Thoughts

Consider freezing your credit if you haven’t already and even if you are planning on opening a credit account in the future, whether it’s for a new credit card, home equity loan, or new cell phone carrier (yes, this requires a credit account, too).

Another idea, a true no-brainer: each person is entitled to get a free credit report from all three bureaus. Think of it as free cancer screening for your credit. Visit the government’s website authorized facilitator [Annual Credit Report.com – Home Page] to sign up to get all three reports. The bureaus will try to sell subscription based services, like credit monitoring or more thorough reports, but unless the free reports show something concerning to you, you probably don’t need to buy anything, especially if you already froze your credit file.

About the Author

Neil Rose, CFA, is the founder and CEO of Regency Capital Management.