Your personal information can be used fraudulently to open new credit accounts in your name. Recently (Apr 2021) it was widely reported that Facebook experienced a large leak of user data. It’s not the first data breach and won’t be the last.
Is it time for a Credit Freeze?
Credit freezes, also known as security freezes, restrict access to your credit file even by valid creditors until you “Unfreeze” or “Thaw” your report. In 2018, Federal Law guarantees that you can freeze and unfreeze your credit file for free. You can also put freezes in place for minors. If you’re ready to put a freeze in place, simply contact each of the credit reporting bureaus (Experian, Equifax & Transunion), and follow their process.
One more tip brought to you by the Consumer Financial Protection Bureau (CFPB), don’t confuse freezes with locks. They work in a similar way, but freezes are free, but locks may have monthly fees. (The CFPB is the U.S. Government’s regulatory agency charged with overseeing financial products and services that are offered to consumers.)
CFPB Credit Freeze Info: https://www.consumerfinance.gov/about-us/blog/free-credit-freezes-are-here/
Credit Freezes are not fool-proof protections, so it is still important to check your Credit Reports routinely.