A credit lock and a credit freeze are similar, they both protect your credit file. According to Consumer Affairs there were 1,108,609 total identity theft reports in 2022. One of the most important steps you can take to protect yourself is to safeguard your credit file.
When access to your credit file is restricted, credit card companies, banks, stores, rental agencies, and everyone else will be unable to pull your credit.
Credit Lock
A credit lock prevents lenders from accessing your credit reports. This is important because criminals can open accounts in your name leading to identity theft.
A credit lock almost always costs money, you can go through the three major credit bureaus, Experian, Equifax and Transunion to request a lock.
To fully protect yourself you must lock your credit at all three bureaus.
If you need to apply for credit, you can temporarily unlock your reports so that creditors can access your information.
Credit Freeze
A federal law called the Economic Growth, Regulatory Relief, and Consumer Protection Act that went into effect on September 21, 2018, mandates that all Americans can freeze their credit reports for free.
A credit freeze is a better option not only because it is free but because it is guaranteed by law and offers more legal protection, where a credit lock is simply an agreement between you and the credit agencies.
A credit freeze restricts access to your credit reports. When your credit reports are frozen creditors cannot access your reports, this prevents new lines of credit from being opened in your name. To allow lenders and creditors access to your reports you can lift the freeze temporarily.
You can freeze your credit with all three major credit bureaus online or by phone.
Credit freezes and credit locks basically do the same thing, they prevent the credit bureaus from releasing your credit reports. The main difference is federal law requires credit bureaus to offer free credit freezes while credit locks are offered as an optional service.
Everyone should freeze their credit.
The Federal Trade Commission (FTC) offers resources and tips for preventing identity theft.
If you believe your information has been compromised, you can report it and get help with a recovery plan at identitytheft.gov
The Tech Minimalist 