What Is a Credit Freeze? — In Plain Words

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Two plain words used on this page

Credit report / credit file. The FTC's page talks about your “credit report.” The CFPB's Ask CFPB page talks about your “credit file” and your “credit reporting file,” and it also calls the freeze a “security freeze” and a “credit freeze.” The CFPB says: “creditors typically won't offer you credit if they can't access your credit reporting file.” In plain words: this is the file about you that a business asks to see before it decides whether to give you new credit.

Lender / creditor. The FTC's page uses the word “lenders” when it talks about lifting a freeze: “when you need lenders to access your credit.” The CFPB's page uses the word “creditors,” as in “prospective creditors.” In plain words: these are the businesses deciding whether to open a new credit account, such as a new loan or a new credit card, in your name.

What a freeze does — as the FTC states it

The FTC's page “Credit Freezes and Fraud Alerts” says credit freezes and fraud alerts “can help protect you from identity theft by making it harder for scammers to open new credit accounts in your name,” and that they “can also help stop someone who already stole your identity from misusing it again.”

The FTC's credit freeze box states:

“What it does: While a credit freeze is in place, nobody can open a new credit account in your name, including you. If you need to do things like apply for new credit or a job, rent an apartment, or buy insurance, you can temporarily lift the freeze and put it back when you’re done.”

The FTC also says: “A credit freeze is always a good idea, but it’s even more important if your Social Security number or other information is exposed in a data breach or if an identity thief has misused your information.”

On who can place one, the FTC's box says: “Who can place one: Anyone can freeze their credit report, for any reason, even if their identity hasn’t been stolen.” The FTC's page also says: “You don’t have to wait for your Social Security number or other information to be exposed in a data breach or misused by an identity thief to get a credit freeze. Anyone can do it, any time.”

What a freeze does — as the CFPB states it

The CFPB's Ask CFPB page “What is a credit freeze or security freeze on my credit report?” states:

“A credit or security freeze prevents prospective creditors from accessing your credit file.”

That page also says: “a security freeze – also called a credit freeze – prevents you or others from opening accounts in your name,” because “creditors typically won't offer you credit if they can't access your credit reporting file.”

The CFPB's own blog post “Free credit freezes are here” words the same point this way: “Security freezes, also known as credit freezes, restrict access to your credit file, making it harder for identity thieves to open new accounts in your name.”

The Ask CFPB page also lists who can still see your file while a freeze is in place. It says: “While a freeze is in place, only a limited number of entities can see your file, including:”

• Creditors of accounts you currently hold
• Certain government entities, such as child support agencies
• Companies you've hired to monitor your credit file

That page also says: “You can also request, see and review your files when a freeze is in place.”

The Ask CFPB page adds this limit, in its own words: “The federal law requiring free security freezes does not apply to someone who requests your credit report for employment, tenant-screening, or insurance purposes.”

How to place a freeze — as the FTC states it

The FTC's credit freeze box says: “How to place one: Contact all three of the credit bureaus — Equifax, Experian, and TransUnion.”

The FTC's page prints the three bureau names only. It does not print bureau phone numbers, bureau website addresses, or bureau mailing addresses in its text, so this page prints none of those either.

How to place a freeze — as the CFPB states it

The CFPB's Ask CFPB page says: “You can freeze and unfreeze your credit records for free at the three nationwide credit reporting companies – Equifax, Experian, and TransUnion. You can place a ‘freeze’ on your credit file at any time, but you must contact each nationwide credit reporting company separately by visiting their websites.”

The CFPB's blog post says the same step in its own words: “Contact all three of the nationwide credit reporting agencies—Equifax, Experian, and TransUnion.”

The CFPB pages listed below link out to the bureaus' websites, but they do not print bureau phone numbers or bureau mailing addresses for placing a freeze in their text, so this page prints none of those either.

Cost — as each agency states it

The FTC's version: The FTC's page says: “There’s no cost to place or lift a credit freeze.” Its credit freeze box says: “Cost: Free.”

The CFPB's version: The CFPB's Ask CFPB page says: “You can freeze and unfreeze your credit records for free at the three nationwide credit reporting companies.” Its temporary-lift section says a freeze can be removed “free of charge,” and that “You also have the option to lift the freeze temporarily for a period of time specified by you, free of charge.” The CFPB's blog post says: “you can freeze and unfreeze your credit file for free,” and “You also can lift the freeze temporarily without a fee.”

How long a freeze lasts

The FTC's version: The FTC's credit freeze box says: “How long it lasts: A credit freeze lasts until you lift it.” The FTC's page gives no renewal step for a freeze, because in its wording the freeze stays in place until you lift it.

The CFPB's version: The CFPB pages listed below do not print an end date or a renewal step for an adult's freeze. Instead, the CFPB's Ask CFPB page describes how a freeze is placed, confirmed, and lifted, and the CFPB's blog post describes placing and lifting it. The “lasts until you lift it” wording above is the FTC's wording, not the CFPB's.

Lifting a freeze — as the FTC states it

The FTC's credit freeze box says: “When to lift one: Contact the bureau(s) to request it be lifted when you need lenders to access your credit. It is a good idea to identify which bureau a lender will use to check your credit and just lift the freeze at that one bureau, and then put the freeze back in place once the need for a credit check passes.”

The FTC's box also notes the temporary option: “you can temporarily lift the freeze and put it back when you’re done.” The FTC's page does not print hour or business-day deadlines for lifting a freeze, so this page does not give the FTC any.

Lifting a freeze, and timing — as the CFPB states it

The CFPB's Ask CFPB page gives these timing rules under the heading “Security freeze notice and timing”:

• “A nationwide credit reporting company must place a security freeze on your file within one business day of your request, if the request is made by telephone or secure electronic means. If the request is made by mail, the security freeze must be placed no later than three business days after receiving the request.”
• “A nationwide credit reporting company must send you a written confirmation of the security freeze no later than five business days after the security freeze is placed. They must also tell you how to remove the security freeze.”
• “The nationwide consumer reporting company’s webpage must also allow you to request a security freeze, an initial fraud alert, an extended fraud alert, and an active-duty fraud alert.”

Under the heading “Temporary lift of security freeze,” that page says:

• “Upon your request, the security freeze can be removed free of charge no later than: One hour after receiving the request by toll-free telephone or secure electronic means; Three business days after receiving the request by mail.”
• “You also have the option to lift the freeze temporarily for a period of time specified by you, free of charge. The same time periods above apply to a temporary removal of your security freeze.”

The CFPB's blog post states the timing in shorter form: “If you request a freeze online or by phone, the agency must place the freeze within one business day. If you request a lift of the freeze, the agency must lift it within one hour. If you make your request by mail, the agency must place or lift the freeze within three business days after it gets your request.”

Your credit score — as each agency states it

The FTC's version: “it doesn’t affect your credit score.”

The CFPB's version: The CFPB's Ask CFPB page says: “Security freezes do not impact your credit scores in any way whatsoever.”

Freeze vs. fraud alert — as the FTC states it

The FTC's page says: “Even if you already have a credit freeze in place, you can also place a fraud alert. Fraud alerts make lenders verify your identity before they grant new credit in your name.”

For an initial fraud alert, the FTC says: “An initial fraud alert tells businesses to check with you before opening a new credit account in your name. Usually, that means contacting you first to make sure the person trying to open a new account is really you. Unlike a credit freeze, a fraud alert doesn’t prevent businesses from seeing your credit report.”

The FTC's initial fraud alert box also says:

• “Who can place one: Anyone who is or suspects they may be affected by identity theft. When you place an initial fraud alert on your credit report, you can get a free copy of your credit report from each of the three credit bureaus.”
• “How long it lasts: An initial fraud alert lasts one year, but you can renew it.”
• “Cost: Free”
• “How to place one: Contact one of the three credit bureaus — Equifax, Experian, and TransUnion. You don’t have to contact all three. The credit bureau you contact must tell the other two to place an initial fraud alert on your credit report.”

For an extended fraud alert, the FTC says it “tells businesses to check with you before opening a new credit account in your name, and doesn’t prevent businesses from seeing your credit report,” and that it “also requires the credit bureaus to take you off their marketing lists for unsolicited credit and insurance offers for five years, unless you ask them not to.” The FTC says an extended alert is for “People who have experienced identity theft and have completed an FTC identity theft report at IdentityTheft.gov or filed a police report,” that it “lasts seven years” with a choice to renew it by resubmitting the FTC identity theft report or police report, that its cost is “Free,” and that you place it by contacting one of the three bureaus, which “must tell the other two.”

For an active duty alert, the FTC says it is for “Active duty servicemembers,” that it tells businesses to check with you before opening a new credit account in your name, that the bureaus must take you off their marketing lists for unsolicited credit and insurance offers for two years unless you ask them not to, that it “lasts one year” and after a year “you’ll have the choice to renew it for the length of your deployment,” that its cost is “Free,” and that you place it by contacting one of the three bureaus, which “must tell the other two.” The FTC also notes: “Active duty servicemembers and National Guard members can also get free electronic credit monitoring to help detect problems that might be the result of identity theft. To sign up, contact each of the three credit bureaus — Equifax, Experian, and TransUnion.”

Freeze vs. fraud alert — as the CFPB states it

The CFPB's Ask CFPB page does not print its own freeze-versus-alert comparison. The comparison points in this section come from the CFPB's blog post “Free credit freezes are here.”

That post says: “A fraud alert tells businesses that check your credit that they should check with you before opening a new account.” It says that starting Sept. 21, 2018, “when you place a fraud alert, it will last one year, instead of 90 days,” that “Fraud alerts will still be free and identity theft victims can still get an extended fraud alert for seven years.”

On placing an alert, that post says: “You can place a fraud alert or active duty alert by visiting any one of the three nationwide credit reporting agencies—Equifax, Experian, or TransUnion. The one that you contact must notify the other two.” It also says: “You also can find links to their websites at IdentityTheft.gov/CreditBureauContacts.”

On active duty alerts, that post says: “you’ll still have access to active duty alerts, which let you place a fraud alert for one year, renewable for the time you’re deployed. The active duty alert also gives you an added benefit: the credit reporting agencies will take your name off their marketing lists for prescreened credit card offers for two years (unless you ask them to add you back on).”

Freeze vs. lock — as the CFPB states it

The FTC's page listed below does not discuss credit locks, so this section comes only from the CFPB's blog post “Free credit freezes are here.” That post says, in full:

“Don’t confuse freezes with locks. They work in a similar way, but locks may have monthly fees. If you want a free freeze guaranteed by federal law, then opt for a freeze, not a lock.”

That is the whole freeze-versus-lock distinction the CFPB anchor prints: a freeze is the free one guaranteed by federal law, and a lock is the other product that may have monthly fees. This page does not add any other difference.

Freezes for children and for people you act for

As the FTC states it: The FTC's section “Freezing Your Child’s Credit” says: “If your child is under 16, request a free credit freeze to make it harder for someone to open new accounts in your child's name. The freeze stays in place until you tell the credit bureaus to remove it. The process for getting a freeze for a minor is different than getting one for an adult.” That section names the three bureaus' sites — Experian, Equifax, and TransUnion — as the places that give the specific instructions. It prints no bureau addresses or phone numbers for this, so this page prints none either.

As the CFPB's Ask CFPB page states it: Under the heading “Security freeze for ‘protected consumers,’” that page says: “Federal law provides protections related to credit records and identity theft for ‘protected consumers’ under the age of 16 and incapacitated persons or persons for whom a guardian has been appointed. Persons with authority to act for these protected consumers can request a security freeze.” It also says that if the nationwide credit reporting company “does not have a file on the protected consumer at the time the security freeze is requested by the parents or guardians, the company will create a record in order to freeze it for the ‘protected consumer.’” It adds: “This ‘protected consumer’ record may not be used for credit purposes but is frozen to protect against identity theft.”

As the CFPB's blog post states it: “You also can get a free freeze for your children who are under 16. And if you are someone’s guardian, conservator or have a valid power of attorney, you can get a free freeze for that person, too.”

If a freeze is not placed properly — as the CFPB states it

The CFPB's blog post says: “If you think a credit reporting agency is not placing a credit freeze or fraud alert properly, you can submit a complaint online or by calling 855-411-2372. If you think someone stole your identity, visit the FTC’s website, IdentityTheft.gov, to get a personalized recovery plan that walks you through the steps to take.”

The phone number in that paragraph is the CFPB's own complaint number, printed in the CFPB's blog post. It is not a credit bureau's number. No credit bureau phone number, website address, or mailing address is printed anywhere on this page, because the anchor pages above do not print any in their own text for placing a freeze.

This page covers only what the FTC and CFPB pages listed below say about credit freezes and fraud alerts. It cannot say what a freeze will do for a particular person's credit file.

This page is general information only. It is not financial advice.