Security Freeze

• If you’re concerned about identity theft, you can place a security freeze on your credit report with all three major credit reporting agencies: Equifax, Experian and TransUnion. With a security freeze in place, only you and existing creditors can access your credit report for financial purposes. However, depending on the state you live in, other non-financially related entities may be able to access your credit report if they have cause -- such as potential employers.
  
  

Confirmation or PIN

• When you place a security freeze on your credit report, each credit reporting agency provides you with a confirmation or PIN. This allows you to give access to your credit report to companies that otherwise would be locked out by your security freeze. For example, if you have a security freeze in place but are trying to take out a home loan, you can provide a potential lender with your confirmation number so your credit report can be accessed. You can also do this with potential employers to allow them access to your report.
  
  

Geography

• In the U.S., 47 states have adopted laws that require the three credit reporting agencies to offer security freeze options to residents of those states. The District of Columbia also has such a law on the books. Of these states, Arkansas, Mississippi, Kansas and South Dakota laws limit the security freeze option only to those who have been identity theft victims. However, the three credit reporting agencies offer voluntary availability of security freezes to residents of all 50 states as of Nov. 1, 2007. In some states, a fee may be required to establish a security freeze (see Resources).
  
  

Considerations

• Since the three credit reporting agencies are separate from one another, you have to file a separate security freeze request with each one. That means that if you’re supplying potential employers with your PIN number, you need to provide the correct PIN for each credit report. It also means that if you live in a state where the credit reporting agencies can legally charge a fee to establish a security freeze, you’ll have to pay a separate fee to each agency rather than pay just once.