Understanding Security Freezes

You have heard the warnings about identity theft—a chilling prospect where someone uses your personal information to open fraudulent accounts, rack up debt, and ruin your credit score. Thankfully, Florida law empowers you to take proactive steps against this crime through a powerful tool: a security freeze.

But what exactly is a security freeze, and how can it benefit you? A Sharmin & Sharmin Florida identity theft attorney can answer this question and help you protect your identity and credit.

What is a Security Freeze?

A security freeze, or credit freeze, acts as a lock on your credit report. It restricts access to potential creditors, making it much harder for identity thieves to open new lines of credit in your name. A security freeze is one of the most effective tools for preventing credit card fraud and other types of identity theft that involve opening new accounts in your name.

How to Place a Security Freeze

In Florida, you can place a security freeze on your credit report with all three major credit bureaus: Equifax, Experian, and TransUnion. Here are the basic steps to initiate a freeze:

• Contact each credit bureau: To place a freeze, you must contact each bureau individually. You can do this online, by phone, or by mail.
• Provide personal information: You will need to provide identifying information, such as your Social Security number, birth date, and address.
• Receive a PIN or password: Each bureau will provide you with a unique PIN or password to manage the freeze. Keep this information secure, as it will be necessary to temporarily lift or permanently remove the freeze in the future.

Once the freeze is active, it will remain in place until you decide to lift it.

When Should You Use a Security Freeze?

A security freeze is especially useful if you are at risk of identity theft or have been a victim, such as after a data breach or losing critical documents like a Social Security card. While a freeze provides strong protection, you will need to lift it temporarily when opening new accounts or applying for credit. Though this step may be inconvenient for active credit users, it is typically quick and can often be done online.

Benefits of a Security Freeze

The primary benefit of a security freeze is that it prevents unauthorized access to your credit report, which is a key target for identity thieves. Additional benefits include:

• Peace of mind: Knowing that unauthorized parties cannot access your credit report can reduce anxiety, especially after a data breach.
• No impact on credit score: A freeze has no effect on your credit score or existing accounts. Your creditors can still access your report to monitor your account, but new creditors cannot.
• Free to place and lift: Following federal legislation, security freezes are free to place, lift, and remove, giving consumers financial control without cost.

Limitations of a Security Freeze

Although a security freeze effectively blocks new accounts from being opened in your name, it does not protect against all forms of identity theft, like unauthorized charges on existing accounts, medical identity theft, or tax fraud. For full protection, consider pairing a freeze with other actions like monitoring bank accounts, regularly reviewing your credit report, and setting fraud alerts.

We Can Help You Protect Your Identity

A security freeze is a powerful tool for safeguarding your credit and personal information. If you are concerned about identity theft, consider placing a freeze on your credit. This extra step can provide lasting protection and peace of mind.

If you have questions about credit freezes or need help with identity theft issues, contact our team at Sharmin & Sharmin for guidance on securing your financial future.