SAN ANTONIO – With 143 million Americans’ data stolen during the Equifax hack, many are worried identity thieves will open accounts in their name and cause a financial nightmare, but there are some protective tools available.
USAA’s Mikel Van Cleave said a fraud alert can make it difficult to open accounts in your name.
“A fraud alert basically allows you to flag your credit report for a period of time,” he said.
If someone tried to open a credit account under your name, the lender should contact you to verify. To set it up, contact one credit bureau and it will notify the other two. It typically last 90 days and it’s free.
A credit freeze offers more protection. Lenders can’t access your credit report at all unless you lift the freeze.
“If you go out and try to apply for any new credit, it's going to get declined because they are not able to access our credit,” Van Cleave said.
To set up credit freeze, contact all three credit bureaus. Fees are $10 per agency, but Equifax is waiving it for now. There are also similar fees to lift the freeze.
All three credit bureaus also offer some sort of credit lock, which is similar to a freeze but more convenient. However, locks are subscription-based and can have fees as high as $25 per month.
Alerts, freezes and locks aside, experts warn consumers to be vigilant and keep close tabs on financial accounts.
