Freeze your credit? It's one way to cut out the con artist

Benefits of credit freezeMany Americans these days are understandably worried about the prospect of identity theft in which a scammer opens up a credit card or other loan in the victim's name, runs up all kinds of charges and then disappears. The victim is left with the huge headache of trying to clear his or her good name with lenders and credit bureaus alike. This scary prospect may have you considering a credit freeze, but there are some important considerations to keep in mind before you take this step.

When your credit is frozen, you can't take out a loan, apply for a credit card, refinance your house or open a new financial account of any kind. Plus, you may have trouble landing a job if a prospective employer checks your credit history, which many do. The advantage is that nobody else can do any of these things, either; a thief can't say she's really you and open a credit card behind your back.
Freezes can cost up to $20 each (for a total of $60 to freeze your credit at each of the three major bureaus.) The amounts vary by state; this article at has a table at the bottom listing the costs in more populous states. If you have proof that your identity's been stolen before, bureaus will waive the fee.

Previous victims of ID theft are good candidates for credit freezes; since their information has already been compromised once, this move prevents it from happening again. Beverly Harzog, spokeswoman for, suggests that senior citizens -- because they have fewer credit needs than younger adults -- may be more susceptible to scams and con artists. Parties in messy divorces may also want to consider freezing their credit, since the former spouse probably has enough personal information to open an account in the other person's name.

Despite its obvious uses, though, freezing your credit does have drawbacks. "Before requesting a credit freeze, the consumer should know that if they need to apply for credit, they'll have to unfreeze their credit file so the new lender can look at their credit report," Harzog told WalletPop via email. Contrary to what some believe, freezing doesn't stop any identity theft that's already taken place with an existing account. It's also not a successful way to keep a lender from seeing or documenting a negative credit score mark like an unpaid bill, since lenders with whom you have an existing relationship can still access your report, Harzog points out.

What's more, getting your credit unfrozen takes some patience and some money. You have to pay to unfreeze your credit, and requests typically take a few days to process. This means you can't sign up for a store credit card at the point of purchase (although opening a card, especially a retail card, on a whim isn't really a good idea in the first place).

You can elect for a permanent unfreeze or a temporary one. If you're shopping for a car or a home, or expect to open any new accounts or begin a job search, a freeze is likely to be more inconvenient than helpful to you. "Freezing an account is not something most consumers would opt to do as simply a precautionary measure against identity theft," Harzog points out. "The best option short of freezing your credit file is to monitor your credit card statements so you know if someone is using your card," she advises.

It's a tactic that won't cost you a dime, but could save you many times that in fees, fraud and frenetic scrambling.

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Do yourself a "HUGE FAVOR" and carefully read this:

The 21st Century Act: Final Amendments to Regulation CC Section:
"Prohibits" reimbursement of Credit, Loan, and Finance Balances to a "Bank Entity" leaving only "Nonbank Consumers" able to receive reimbursement, as specified on Pages 85 and 86.

The 21st Century Act states on pg. 85 and 86 that "Only Nonbank Consumers can suffer losses and File for
Re-credit or Re-claim on any Accounts under the Federal Reserve System" also “Any Second or Third Party Presenters utilizing a Banks Documentation, Contracts and/or Agreements to seek Claims shall be considered to be that Bank under the Rules and Regulations”, the Expanded Definitions also includes Credit Cards and Home Equity Lines of Credit.
Also on Pages 100 and 101 "In any Financial Claims the Indemifying Bank (Parent Bank) must be Identified".

(Left-Click to Search Link)
21st Century Act: Final Amendments to Regulation CC

This Federal Law signed January 1, 2006 makes it "Fraudulent" and therefore "Illegal" for the 3 Major Personal Credit Reporting Agencies: Equifax, Experian, and TrasUnion to allow the Banks and the Banks "Third Party Presenters" to place any claim of "Negative" or "Potentially Negative" Accounts on your Personal Credit Based upon the fact that they have no "Legal Grounds or Claim" to the Money.

This is an "Unfair Practice" that diminishes our Financial ability to support ourselves and adversely affects our ability to gain work in many areas which breaks "Antitrust Laws".

These Rules also back claims of: "Aiding and Abetting" Racketeering and Extortion (of Finance Accounts and Personal Credit Reports), Pandering (of Credit and Loan Accounts, and Conspiracy to wit), Theft, Fraud, Federal Mail Fraud, and Telephone Harassment. Also "Threatening of the U.S. Financial Infrastructure", which is a "Capital Crime".

In order to engage the Federal Trade Commission to act against this injustice we must File many Claims, as these Reports must be Filed by a large number of people in order for the Federal Trade Commission to pursue
"Legal Action".

(Left -Click to engage Email Address)

This is way easier than "Occupying Wall Street"!

March 11 2012 at 5:00 PM Report abuse rate up rate down Reply