Skip to main content

Cookies on BBB.org

We use cookies to give users the best content and online experience. By clicking “Accept All Cookies”, you agree to allow us to use all cookies. Visit our Privacy Policy to learn more.

Cookie Preferences

Many websites use cookies or similar tools to store information on your browser or device. We use cookies on BBB websites to remember your preferences, improve website performance and enhance user experience, and to recommend content we believe will be most relevant to you. Most cookies collect anonymous information such as how users arrive at and use the website. Some cookies are necessary to allow the website to function properly, but you may choose to not allow other types of cookies below.

Necessary Cookies

What are necessary cookies?
These cookies are necessary for the site to function and cannot be switched off in our systems. They are usually only set in response to actions made by you that amount to a request for services, such as setting your privacy preferences, logging in or filling in forms. You can set your browser to block or alert you about these cookies, but some parts of the site will not work. These cookies do not store any personally identifiable information.

Necessary cookies must always be enabled.

Functional Cookies

What are functional cookies?
These cookies enable the site to provide enhanced functionality and personalization. They may be set by us or by third party providers whose services we have added to our pages. If you do not allow these cookies, some or all of these services may not function properly.

Performance Cookies

What are performance cookies?
These cookies allow us to count visits and traffic sources so we can measure and improve the performance of our site. They help us to know which pages are the most and least popular and see how visitors move around the site. All information these cookies collect is aggregated and therefore anonymous. If you do not allow these cookies we will not know when you have visited our site, and will not be able to monitor its performance.

Marketing Cookies

What are marketing cookies?
These cookies may be set through our site by our advertising partners. They may be used by those companies to build a profile of your interests and show you relevant content on other sites. They do not store personal information directly, but are based on uniquely identifying your browser or device. If you do not allow these cookies, you will experience less targeted advertising.
Latest News

BBB Tip: Credit Freezes and Fraud Alerts

By Better Business Bureau. February 18, 2020.

(Getty Images)

Approximately 7% of U.S. households fall victim to identity theft each year, and those numbers are on the rise. Anyone whose personally identifiable information (PII) has been compromised in a data breach should consider options to protect their credit from being misused.

Consumers in the United States have access to a powerful tool -- the credit freeze -- to lock down their credit reports and prevent identity thieves from establishing new lines of credit in their names. Alternately, you can place a fraud alert on your credit reports, although that provides less protection than a freeze.


Option 1: Credit Freeze

First, a credit freeze will not impact your credit score or impair your ability to use your existing credit cards. A freeze locks down your credit reports, used by lenders to determine your credit worthiness, not your actual credit.

Once you freeze your credit reports, opening new credit will require some advanced planning. You’ll need to request a temporary “thaw” with all three credit bureaus to allow lenders to access your reports. The entire online thaw request process for all three bureaus should take about twenty minutes, and your reports can be set to automatically re-freeze on a date you select.

Credit freezes and thaws are now free for all consumers, based on a federal law passed in 2018.

You’ll need to hold on to your login credentials with each bureau to thaw your reports. A lost PIN or user ID can be difficult and time consuming to retrieve. Credit your login information with each bureau as you would your birth certificate or other important documents.

 

Option 2: Fraud Alert

A fraud alert is a less drastic, but potentially less effective, protective measure. A fraud alert flags your credit reports, alerting potential lenders to verify the identity of anyone attempting to open an account in your name. Fraud alerts are free and don’t interfere with your ability to receive instant credit. However, fraud alerts rely entirely on the diligence of the person performing the credit check. Fraud alerts are also temporary, and must be reinstated every 90 days in most cases.

It’s important to remember that while a credit freeze offers powerful protection, and a fraud alert may also be useful, neither is a guarantee. They will not prevent all forms of identity theft, and will not protect you from misuse of existing accounts. Vigilance is key. Continue to regularly check your credit reports at www.annualcreditreport.com for unauthorized charges or other signs of fraud. This is the only free credit report authorized by the Federal Trade Commission.

 

Resources

 

Freeze your credit

To be effective, a freeze must be set up with all three credit bureaus.

Experian: experian.com/freeze/center.html

Transunion: transunion.com/credit-freeze

Equifax: equifax.com/personal/credit-report-services/

 

More on data breaches

BBB offers advice in the wake of a data breach

 

More on identity theft

The FTC offers an identity theft recovery plan tailored to your individual situation: identitytheft.gov

In Canada, visit the Financial Consumer Agency of Canada for information. https://www.canada.ca/en/financial-consumer-agency.html

 

Watch out for scams

Monitor your bank account and credit card statements online on a regular basis; don’t wait for your monthly statements.

Learn more about scams at bbb.org/scamtips. Report scams to BBB Scam Tracker at bbb.org/scamtracker