What is the difference btw a fraud alert and a credit freeze? I might want to get credit in the near future.?

Question

BUT I'm a victim of indentity theft right now. Will a fraud alert prevent them from doing it again, OR do I HAVE to put a credit freeze on my accounts?

Answer 1

Along with what the first poster said -

If you are a victim of ID theft than you can freeze your credit free of charge.

You might read the information in the links I've included to the FTC concerning ID theft, fraud alerts and freezing reports (I've noticed that the following links are a tiny bit dated since, just recently, all states are allowing credit freezing now)

https://www.annualcreditreport.com/cra/helpfaq
http://www.ftc.gov/bcp/edu/microsites/idtheft/consumers/defend.html

Answer 2

The freeze is positive, yet understand that you wont be able to open any new credit prompt. Please note that in case your identity is stolen you at the prompt are not responsible for it. All it takes is a dispute, a telephone call or a letter to wipe this fraud off your alert. by ability of regulation, you do not ought to pay a penny when you're the sufferer of credit fraud. yet when you try to purchase a house on your destiny and also you experience that you want this danger-free practices a freeze. A fraud alert might want to correctly be undesirable when you're searching for for a activity, and a fraud calls for a letter to have it bumped off which takes time.

Answer 3

You don't HAVE to put a credit freeze on your credit. It is the most secure way to protect yourself. But it's also the most inconvenient form of protection if you're trying to get credit. I guess it depends on your level of anxiety after your id theft.

Starting on Nov. 1, all states allow a credit freeze. Identity theft victims get it set for free. There's a fee to unfreeze it.

The link below is from a blog and gives the difference between a fraud alert and a credit freeze.

Answer 4

A fraud alert is just a flag telling credit granters to use caution when opening new lines of creit.

A credit freeze is a password-protection on your credit file that prevents establishment of new lines of credit until your file is unfrozen (I believe by mail only). Cost of the freeze $10 per credit bureau. Cost to unfreeze is also $10 per bureau.