Credit freeze vs. credit lock vs. fraud alert
All three sound alike, but they work differently. Here's how to choose.
Credit freeze
- Set by federal law and free at Equifax, Experian, and TransUnion.
- Blocks new lenders from pulling your report until you lift it.
- No effect on your credit score.
- Your rights are protected by law: online or phone freezes take effect within one business day, and online or phone lifts within one hour.
- Downside: you manage it separately at each bureau, with three accounts.
Credit lock
- A product each bureau offers, governed by that bureau's terms rather than the freeze law.
- Works like a freeze day to day: new lenders can't pull your report while it's locked.
- Some locks are free and some come bundled in paid subscriptions, and terms can change.
- Downside: fewer legal guarantees, and often an upsell attached.
Fraud alert
- Asks lenders to verify your identity before opening credit, but doesn't stop them from pulling your report.
- Free. You contact one bureau and it tells the other two.
- An initial alert lasts one year; an extended alert for identity theft victims lasts seven years, according to the FTC.
- Downside: weaker than a freeze. Lenders are asked to check, not blocked.
Which should you use?
For most people, a freeze at all three bureaus is the best protection: it's free, guaranteed by law, and the strongest block. A fraud alert can sit on top of a freeze if you've been a victim of identity theft.
The only real cost of freezing is the hassle of three accounts. That's the part CreditYeti handles.
Sources
Questions
Is a credit lock the same as a freeze?
No. A freeze is set by federal law and free. A lock is a bureau product governed by its own terms, sometimes bundled in a paid subscription.
Is a fraud alert enough?
A fraud alert asks lenders to verify your identity but doesn’t stop them from pulling your report. A freeze is stronger.