Credit freezes and fraud alerts protect in different ways

A credit freeze restricts new-account access

A freeze makes it harder for someone to open a new credit account in your name because prospective creditors generally cannot access the frozen report. Placing or lifting a freeze is free and does not affect your credit score.

You must contact all three nationwide credit bureaus to freeze all three reports. You can temporarily lift a freeze when you legitimately need a lender or another authorized party to access a report.

A fraud alert adds identity verification

A fraud alert tells businesses to verify your identity before opening new credit. Unlike a freeze, it does not block access to the report. Contacting one nationwide bureau is enough for an initial or extended alert because that bureau must notify the other two.

• Initial alert: for someone who suspects identity theft; lasts one year
• Extended alert: for an identity-theft victim with the required report; lasts seven years
• Active-duty alert: for eligible servicemembers; lasts one year and can be renewed

Respond to evidence of identity theft

An account or hard inquiry you do not recognize deserves prompt investigation. Contact the listed company, review all three reports, secure affected accounts, and use IdentityTheft.gov for a federally supported recovery plan when identity theft is suspected.

A freeze does not prevent misuse of an existing account, so continue monitoring statements and report suspicious transactions directly to the financial institution.