CONSUMER ADVISORY
August 2008 By Attorney General Tom Miller

Freezing Your Credit Reports

New law permits consumers to “freeze” or block sharing of their credit reports.
Iowans have a new tool to prevent identity theft – the legal right to tell the three major credit reporting agencies (Equifax, Experian and TransUnion) to place a “freeze” or block on sharing their credit reports. A credit freeze prevents potential creditors and other third parties from accessing credit reports without your approval. The law took effect July 1.
 
How can a “freeze” help prevent identity theft? One form of identity theft is when someone has your name and Social Security number and tries to get a credit card or perhaps a loan in your name. But most businesses will not open credit card or other accounts without checking your credit history at the reporting agencies. If your credit files are frozen, an identity thief probably would not be able to get credit in your name.
 
Is there a cost for a credit freeze? A credit freeze is free to identity theft victims who have filed a police report of identity theft. For others, a credit report freeze costs $10 each to place a freeze with the credit bureaus, or $30 total for the three reporting agencies.

How to place a freeze: You must write to each of the three credit reporting agencies and provide your identifying information. Identity theft victims should provide a copy of a police report of the identity theft. (A “freeze” will not lower your credit score.)
 
How to lift a credit freeze: A freeze remains in place until you ask to remove it (in order to apply for a new job, for example, or for a home or auto loan.) To lift a credit freeze, consumers must contact each credit reporting agency and pay the required fee. (By law, the maximum each company may charge is $12.)

For more details: go to . Information includes addresses and web sites for Equifax, Experian and TransUnion, the information each requires to impose or remove a freeze, and many other details on how credit freezes work.
 
Please note that a credit freeze cannot prevent all types of identity theft. (Identity thieves still could use your existing credit card, e.g.) We also recommend that you get your annual FREE credit report, just to keep tabs on it – go to .
 
For more information or to file a complaint: go to  www.IowaAttorneyGeneral.org or call 888-777-4590 (toll free) or 281-5926 in Des Moines, or write to the Attorney General’s Consumer Protection Division, 1305 East Walnut, Des Moines, Iowa 50319.

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