If someone steals your personal information, the real damage isn’t the theft itself — it’s what they open in your name afterward. New credit cards, loans, accounts you never asked for. You often won’t find out until the bills or collection notices arrive. The single most effective way to stop that is a credit freeze. Since 2018, it’s been completely free at all three credit bureaus. This guide explains what a freeze does, how it differs from a fraud alert, and exactly how to set one up. It also covers what to do if you’re already dealing with identity theft.
This is general educational information, not personalized financial advice. It describes rights under U.S. federal law and current as of 2026; procedures and contact details can change.
What a credit freeze actually does
A credit freeze — the law calls it a “security freeze” — restricts access to your credit report. Freeze your report and lenders can’t pull it. Almost no lender will approve new credit without seeing your report. That means a thief can’t open new accounts in your name. That’s the whole point: it blocks the step that turns stolen information into real financial damage.
A few things a freeze does not do, which trip people up:
A freeze does not lower or affect your credit score. Freezing or unfreezing your report doesn’t change your score— freezing simply controls who can see the report, not what’s in it.
Your existing accounts keep working, too — a freeze doesn’t stop you from using cards, loans, or bank accounts you already have. A freeze only blocks new credit applications that require a fresh report pull.
Nor is it permanent or one-and-done. You can lift it temporarily — say, when applying for a loan or a new card — and put it back afterward. You can also lift it permanently whenever you want.
Freeze vs. fraud alert: which one you need
People confuse these two tools constantly, but they do different jobs.
A credit freeze blocks access to your report entirely — it’s the stronger protection. No one can pull your frozen report to approve new credit until you lift the freeze yourself. The trade-off is that you have to remember to lift it (and re-freeze) each time you apply for credit.
A fraud alert is lighter: it stays out of the way but flags your file. With an alert in place, a business must take extra steps to verify your identity before issuing credit in your name. But your report stays accessible, which makes it less airtight than a freeze. The upside is convenience: you don’t have to lift anything when you apply for credit yourself.
Under the Fair Credit Reporting Act (FCRA), there are three kinds of fraud alert:
An initial fraud alert lasts one year and is free. Anyone who suspects they may become a victim of identity theft can place one. (This used to last only 90 days; a 2018 federal law extended it to a full year.)
An extended fraud alert lasts seven years. It’s available to confirmed identity theft victims who’ve filed an identity theft report.
An active duty alert lasts one year and protects service members while they’re deployed, protecting their credit while they’re away.
A useful rule of thumb: A useful rule of thumb: use a freeze for real protection. Use a fraud alert when you want a lighter safeguard or can’t manage the freeze-and-lift routine. Many people who’ve been through identity theft use both.
How to place a credit freeze (step by step)
You must freeze your credit separately at each of the three nationwide credit bureaus. A freeze at one does not carry over to the others. All three are free:
- Equifax — freeze online, by phone, or by mail.
- Experian — freeze online, by phone, or by mail.
- TransUnion — freeze online, by phone, or by mail.
1. Contact each bureau and verify your identity. You’ll provide your name, address, date of birth, Social Security number, and answer some questions to prove it’s really you.
2. Set up a PIN or account credentials. The bureau gives you a PIN or lets you create a login. You’ll need this to lift the freeze later, so store it somewhere safe.
3. Confirm the freeze is in place.The bureau must place your freeze quickly. By law, the bureau must act fast: it has one business day to place a freeze requested online or by phone.
When you later need to lift it — say, for a car loan — the bureau must act just as fast. It has to lift the freeze within one hour of an online or phone request. That speed is what makes a freeze practical: you’re not locked out of borrowing, you just control the door.
What to do if you’re already a victim of identity theft
If someone has already opened accounts in your name, or you’ve spotted unauthorized charges on your card or unfamiliar entries when you read your credit report, move quickly and in order:
1. Report it at IdentityTheft.gov. This is the Federal Trade Commission’s official identity theft site. It walks you through reporting the theft, and generates an FTC Identity Theft Report plus a recovery plan tailored to what the thief took.
2. Place a fraud alert or freeze immediately. A fraud alert is the fast first move: one phone call or online request to any one of the three bureaus. That bureau must notify the other two. For stronger protection, freeze all three.
3. Get your free credit reports and review them. You get free copies of your credit reports. Reviewing them shows you exactly which accounts and inquiries are fraudulent so you can dispute them.
4. Dispute and block the fraudulent information. The FCRA gives identity theft victims the right to block fraudulent information from their credit reports. Your FTC Identity Theft Report is the document that unlocks these rights with the bureaus and businesses involved.
The order matters: report first at IdentityTheft.gov. The report it generates is what gives you leverage for every step that follows.
Should you freeze your credit even if nothing has happened?
For most people, yes — and it costs nothing. A freeze is free and reversible. The main “cost” is the minor inconvenience of lifting it when you apply for new credit. If you rarely open new accounts, that trade is heavily in your favor. It’s a small, occasional hassle in exchange for closing off the most damaging kind of identity theft.
The people who benefit most from a standing freeze are those who don’t open new credit often, and anyone who’s been part of a data breach — which at this point is nearly everyone. Parents who want to protect a child’s credit file benefit too. If you apply for credit frequently, you might prefer a fraud alert instead, so you’re not constantly freezing and thawing.
Frequently asked questions
Does freezing my credit hurt my credit score? No. A freeze has no effect on your score whatsoever. It only controls who can access your report, not what the report says.
Does a freeze cost anything? No. Since a 2018 federal law, placing and lifting a credit freeze is free at all three nationwide bureaus, for everyone.
Can I still use my existing credit cards with a freeze on? Yes. A freeze only affects new credit applications that require a report pull. Your existing accounts are unaffected.
Do I have to freeze all three bureaus? Yes, to be fully protected. A freeze at one bureau doesn’t apply to the others, and a lender might pull any one of them. So freeze Equifax, Experian, and TransUnion separately.
How fast can I unfreeze when I need to apply for credit? Fast. By law the bureau must lift a freeze within one hour of an online or phone request. You can time it to a loan or card application without much delay.
What’s the difference between a freeze and locking my credit? Federal law guarantees the right to freeze, and it’s always free. The bureaus themselves offer “credit lock” products, which may work faster or through an app. But they’re a business service, not a legal right, and some versions carry fees or terms. The freeze is the one the law guarantees.
Is a fraud alert enough on its own? It’s a reasonable lighter option, but it’s weaker than a freeze. Your report is still accessible, and a business only has to take extra verification steps. If you want to actually block new-account fraud, the freeze is stronger.
The bottom line
Identity theft does its real damage after someone steals your information and opens new accounts in your name. A credit freeze is the tool that shuts that door. It’s free, it’s reversible, and by law it locks quickly and unlocks within an hour when you need it. For most people, freezing all three bureaus is the smart default. If you open credit often, a one-year fraud alert is the lighter alternative instead.
And if identity theft has already happened, start at IdentityTheft.gov. The recovery report it generates is what powers every step that follows. Protecting your credit file costs nothing. It’s one of the few financial moves that prevents one of the most stressful, time-consuming problems a person can face.
Related reading: If you’ve spotted a charge you didn’t make, see unauthorized charge on your card, and to learn what belongs on your file in the first place, read how to read your credit report. Building or rebuilding after fraud? Start with building credit from scratch.
Sources
Federal Trade Commission — What To Know About Credit Freezes and Fraud Alerts: https://consumer.ftc.gov/articles/what-know-about-credit-freezes-fraud-alerts
CFPB — Fraud alerts and credit freezes: https://www.consumerfinance.gov/ask-cfpb/what-is-a-credit-freeze-en-4-1215/
Also from the CFPB — Identity theft protection: https://www.consumerfinance.gov/consumer-tools/fraud/
General educational information, not personalized financial advice. This article describes rights and procedures under U.S. federal law (the Fair Credit Reporting Act) current as of 2026; bureau contact methods and specific steps can change over time. If you are dealing with identity theft, IdentityTheft.gov provides an official, personalized recovery plan.
