Do you know EXACTLY who has your personal data?
I recently dueted a TikTok video about “hidden credit bureaus' or places you might not know your info is being reported. A ton of people watched and I got so many questions about how to use a credit freeze to control your personal info.
That’s why I’m sharing everything you need to know about freezing your credit to protect yourself.
In the 20 years since releasing my first credit repair software, I've helped thousands of businesses scale from the ground up.
During that time, I’ve also heard a lot of misconceptions and realized there is a lot that most people don’t know about their credit score!
Like you might not have known, there are credit agencies sharing your info beyond the big three. TransUnion, Experian, and Equifax.
But there are!
Innovis, PRBC, SageStream, and ARS are all consumer reporting agencies (CRAs) that gather, maintain, and distribute your credit information. People were shocked to learn that in the video I shared…
Now, you can opt out of some of these hidden credit bureaus by visiting their website or contacting them by phone or email.
You can also freeze your information BUT this might not have the impact you expect.
I’ve heard a lot of rumors that you can use a credit freeze as a sneaky way to trick the credit bureaus.
The story is that if you have something nasty coming up, like bankruptcy, you can freeze your credit with the company that supplies the public record. Then, because it’s frozen, the bureaus can’t verify it.
But if it sounds too good to be true, it usually is FAKE!
And this rumor is FAKE! So you gotta know exactly when to leverage a credit freeze and when it’s not gonna help you at all.
HERE'S THE THING TO REMEMBER…
A credit freeze is a powerful tool you can use to protect yourself from identity theft and credit fraud. It temporarily stops access to your credit report.
This means that most lenders and service providers won’t be able to see your credit report. You won’t be able to apply for new credit or get new accounts. And that’s a really good thing if your identity has been stolen.
A credit freeze will stop the thief from being able to take out any more credit in your name.
BUT it only stops lenders from ACCESSING your reports. It won’t stop a dispute process or wipe anything from your record.
A credit freeze actually doesn’t affect your credit score at all and I’m sorry to break it to you but it doesn’t help with credit repair.
HERE'S WHY THIS IS IMPORTANT…
Identity theft sucks! It creates a really big mess, and it can be really scary.
In 2017, hackers breached Equifax and made off with the personal data of 147 million people. And I was one of those people.
After the breach, I had my identity stolen a whole bunch of times. I kept getting notices that new accounts under my name were being opened, and I didn’t recognize any of them.
I was able to close all of the fake accounts, but it took a while and was a big hassle.
Have you ever had your identity stolen? It’s really common actually. In fact, in 2021 over 42 million Americans were the victims of identity fraud.
And if you’re working hard to repair your credit, bogus accounts are only going to make it harder to reach your goals.
HERE'S WHAT YOU NEED TO KNOW…
Credit freezes are a powerful tool when applied to the right situations - like if your identity has been stolen or you think it might happen because of a data breach, stolen purse or sketchy online activity.
To start, you gotta understand the options available:
Once you’ve decided that a credit freeze is right for you, it’s a fairly straightforward process across the major credit bureaus and other entities like those four hidden bureaus that I mentioned earlier.
Just remember that while a freeze is an important protective measure, it won’t impact your credit score.
There are some differences between the processes each bureau uses, but here’s the four steps you always need to follow.
It’s very easy. It takes just 5 minutes…and then you have peace of mind. I keep my credit frozen all the time.
And remember to be proactive in checking your credit report and managing your credit information.
Check out our integrated credit monitoring within Credit Repair Cloud to know immediately when accounts are being added in your name… and we make it easy to import credit reports, tag errors and send disputes.
HERE'S MY FINAL POINT…
The battle to stay informed and on top of your credit information is constant. Knowing how to use a credit freeze to protect your credit score and when it won’t help is critical to your financial health!
I'LL END BY SAYING
If you still need a Credit Repair Cloud account, check it out. It's the software that most Credit Repair businesses in America run on. Sign up here for a Free Trial!
And if you'd like to change lives and grow your Credit Repair business, check out our Credit Hero Challenge!
It's an amazing program, and we've got another challenge starting in a few days, so grab your spot right now at CreditHeroChallenge.com!
So take care, Credit Hero!
And Keep Changing Lives!