We can stop identity theft -- by making credit report freezes the default option

Imagine this scenario: You hear about a big data breach at a major credit bureau on the news. Millions of people have had their financial data compromised.

The next thing you know, someone is opening lines of credit in your name and you’re on the hook for a big purchase you didn’t make. You’ve just had your identity stolen.

If your credit reports had been frozen, the identity thief wouldn’t have been able to do much with your information. So doesn’t it make sense that all Americans’ credit reports be frozen as the default setting, until they choose to unfreeze them for a legitimate transaction?

The answer is yes -- credit report freezes stop identity thieves in their tracks. Tell your senators to support legislation to prevent identity thieves from accessing your credit.

The story above wasn’t hypothetical. When Capital One was hacked last year, and Equifax in 2017, untold amounts of sensitive information were exposed to identity thieves. Breaches like these will happen again, and having credit reports frozen by default is the best way to ensure they don’t put your identity at risk.

Here's how it works: When you (or an identity thief posing as you) apply for a new line of credit, such as a new credit card or loan, the lender checks your credit reports. If your credit reports are frozen, the lender can’t access them, and won’t issue you (or an identity thief) a new line of credit.

You can still use your existing credit cards. Your credit score won't be affected. You'll just be safer from identity thieves. And you can unfreeze your credit reports to legitimately apply for new line of credit at any time -- for just a few days, or a few weeks, or even forever.

We’ve already seen some progress. After the public called for it, Congress passed a law to make opt-in credit report freezes free for everyone.

Now, we need to take it a step further. We need to make credit report freezes the default setting from the start, so you can choose when you want to make your own credit reports accessible.

There’s a bill in the Senate that would do just that. Add your name: Tell your senators to support the Consumer Credit Control Act to freeze your credit reports by default.

Our credit reporting system is backward, with too much control over our credit reports resting in the hands of credit bureaus that don't take adequate precautions to protect it. It's time to reverse that. Our credit reports should only be accessible if, and when, we give our consent.

Tell your senators that your credit reports should be frozen until you need them.