What is a credit freeze?

A credit freeze, sometimes referred to as a security freeze, is a tool used to protect consumers from identity theft and unauthorized access to their credit information. It is a way to "lock" or restrict access to your credit reports, making it more difficult for potential identity thieves to open new accounts in your name. When a credit freeze is in place, it prevents lenders from checking your credit report, which means that they won’t be able to offer you a loan or a credit card. Credit freezes are regulated by the North Carolina Credit Card Dispute Resolution Law. In North Carolina, consumers may place a security freeze on their credit report free of charge. This freeze will remain in place until you decide to lift or remove it. When you place a credit freeze, you’ll receive a personal identification number (PIN) so that you can manage it. You also must provide proof of identity, such as a driver’s license or social security number, when placing a security freeze. Consumers should consider a credit freeze to protect themselves from identity theft, as it makes it much more difficult for potential identity thieves to open new accounts in the consumer’s name. It is important to keep in mind that when a credit freeze is in place, it is still possible to borrow money, but lenders may require additional verification steps.

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What is a credit freeze?

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