Equifax hack exposes personal info of 143 million people (1 Viewer)

[skol asylum]

Do I need to freeze my kids as well? Like will someone open a card in my 10 year old's name?

Just came to ask the same question. I have a 12 yr old and 8 yr old. I guess I should try run their credit reports too. Haven't done any freezing etc yet. Will probably get everything set up this weekend.

 

[GregR]

From a 2016 article:

A child’s Social Security number can be used by identity thieves to apply for government benefits, open bank and credit card accounts, apply for a loan or utility service, or rent a place to live. Why would ID thieves wish to assume a child’s identity? Because that child is (likely) a clean slate, which translates to plenty of available credit down the road. In addition, minors generally aren’t in the habit of checking their credit reports or even the existence of one, and most parents don’t find out about the crime until the child approaches the age of 18 (or well after).

A 2012 report on child identity theft from the Carnegie Mellon University CyLab delves into the problem of identity thieves targeting children for unused Social Security numbers. The study looked at identity theft protection scans done on some 40,000 children, and found that roughly 10 percent of them were victims of ID theft.

The Protect Children from Identity Theft Act, introduced in the House of Representatives in March 2015, would give parents and guardians the ability to create a protected, frozen credit file for their children. However, GovTrack currently gives the bill a two percent chance of passage in this Congress.

So for now, there is no federal law for minors regarding credit freezes. This has left it up to the states to establish their own policies.

Credit bureau Equifax offers a free service that will allow parents to create a credit report for a minor and freeze it regardless of the state requirement. The minor also does not have to be a victim of identity theft. Equifax has more information on this offering here.

Experian told me that company policy is not to create a file for a minor upon request unless mandated by state law. “However, if a file exists for the minor we will provide a copy free to the parent or legal guardian and will freeze it,” said Experian spokesperson Susan Henson.

Henson added that depending on state law, there may be a fee ranging from $3 to $10 associated with the minor’s freeze. However, if the minor is a victim of identity theft and the applicant submits a copy of a valid police or incident report or complaint with a law enforcement agency or the Department of Motor Vehicles (DMV), the fee will be waived.

Trans Union has a form on its site that lets parents and guardians check for the presence of a credit file on their dependents. But it also only allows freezes in states that reserve that right for minors and their parents or guardians, and applicable fees may apply.

Innovis, often referred to as the fourth major consumer credit bureau, allows parents or guardians to place a freeze on their dependent’s file regardless of state laws.

 

[Jobber]

The lenders and credit card companies are going to hate this. I think a majority of Americans will end up freezing their credit. Making it more trouble than it's worth for someone to open up new lines of credit.

Like my wife will no longer easily open up a new account at Banana Hammock Republic when the cashier waves a 20% off incentive in her face.

 

[mquinnjr]

Freezing all 3 bureaus. I'm all set with the credit I have and need for awhile until this shakes out. :finger: to Equifax for making this mess, I will do whatever it takes to avoid dealing with identity theft and tarnishing my good credit.

 

[Johnny Rock]

We need federal legislation authorizing free credit freezes/thaws/cancels, double authentication and immediate processing of said actions when the above are requested. 

Oh, and give me a new SS#. 

 

[shady inc]

Any thoughts on fraud alerts vs freezing your credit?  If fraud alerts require authorization from you via phone/e-mail to open a new account, shouldn't that theoretically protect you (though not as well) as freezing your credit?  

I was looking at my credit card that does alerts.  If they find any new credit cards, mortgages, car loans or other accounts opened on your Experian credit report they'll alert you.

However, the fine print says "To provide you with identity alerts, you authorize them to obtain information from your personal credit report or other information from one or more credit reporting agencies (including Experian®) on a regular basis".  So a freeze basically negates Discover's access to my Experian report and defeats the purpose of the alert, I think...

 

[Leeroy Jenkins]

So we really all need to freeze on all 3 bureaus?

 

[mquinnjr]

So we really all need to freeze on all 3 bureaus?

TU making it hard to freeze your file while slapping you in the face at every click with ads to buy a product which specifically does not freeze your credit file tells me with 100% certainty freezing your credit file is the only play here.

 

[Juxtatarot]

TU making it hard to freeze your file while slapping you in the face at every click with ads to buy a product which specifically does not freeze your credit file tells me with 100% certainty freezing your credit file is the only play here.

It just tells me that TransUnion is a for-profit business looking to make as much money as they can.  (Although I agree that credit freezes make sense for many people.)

 

[mquinnjr]

It just tells me that TransUnion is a for-profit business looking to make as much money as that can.  (Although I agree that credit freezes make sense for many people.)

Yep agree, not for anyone that might need credit soon, but good for a majority of Americans in light of the Equifax data breach.

 

[Courtjester]

This whole thing sucks. I know I should freeze but I also know I will be applying for my daughter's student loans every year, so I will be unfreezing for that and in essence paying them extra money for something they caused. 

 

[Juxtatarot]

This whole thing sucks. I know I should freeze but I also know I will be applying for my daughter's student loans every year, so I will be unfreezing for that and in essence paying them extra money for something they caused. 

Technically you can just give the lender the freeze PIN and not "unfreeze".

 

[gianmarco]

Do I need to freeze my kids as well?

Seems a little drastic.  Timeouts typically work just fine when they misbehave.

 

[Leeroy Jenkins]

So if I am not moving, buying a car, or opening a new credit card, I should freeze?

What if I want to open a new checking/savings account at my bank, an ira, a 529 plan etc?

 

[Juxtatarot]

What if I want to open a new checking/savings account at my bank, an ira, a 529 plan etc?

I doubt they'd pull a credit report for most of those.  (Nobody can speak for the procedures of every bank in the country.)  Maybe checking/debit but not always.

 

[Gawain]

I wrote to my junior senator. Figure if they can mandate free copies of credit reports they can mandate cost free freezing of accounts.

 

[Juxtatarot]

I wrote to my junior senator. Figure if they can mandate free copies of credit reports they can mandate cost free freezing of accounts.

You might want to consider writing to a rep at the state level too.    

 

[Jobber]

Right. But they will mail you your pin. You can get the freeze put on right away. 

No, my wife and mine fail to do it online and it throws up a screen with mail-in instructions.

 

[TheFanatic]

No, my wife and mine fail to do it online and it throws up a screen with mail-in instructions.

Ouch. Sorry. 

 

[arrow1]

Is it worth getting LifeLock or something similar?

 

[Tom Skerritt]

So if I am not moving, buying a car, or opening a new credit card, I should freeze?

What if I want to open a new checking/savings account at my bank, an ira, a 529 plan etc?

I read somewhere that freezing credit reports does not affect/prevent the ability to open new accounts. I'll see if I can find a link.

ETA: (looks you do have to unfreeze)

https://www.consumer.ftc.gov/articles/0497-credit-freeze-faqs

Does a credit freeze affect my credit score?

No. A credit freeze does not affect your credit score.

A credit freeze also does not:

prevent you from getting your free annual credit report

keep you from opening a new account, applying for a job, renting an apartment, or buying insurance. But if you’re doing any of these, you’ll need to lift the freeze temporarily, either for a specific time or for a specific party, say, a potential landlord or employer. The cost and lead times to lift a freeze vary, so it’s best to check with the credit reporting company in advance.

prevent a thief from making charges to your existing accounts. You still need to monitor all bank, credit card and insurance statements for fraudulent transactions.

 

[audiophile]

Any thoughts on fraud alerts vs freezing your credit?  If fraud alerts require authorization from you via phone/e-mail to open a new account, shouldn't that theoretically protect you (though not as well) as freezing your credit?  I have a real philosophical problem with paying to freeze my credit with bureaus to which I never even authorized data transmission due to a breach at one of them. 

Similar question to the bolded:  If I already have fraud alerts in place at all 3 bureaus, do I also need to put a freeze on?  What additional protection does a freeze offer beyond what the fraud alert provides?

 

[Polish Hammer]

So let's pretend that I've basically been largely ignoring this whole debacle.  Let's say I went on the Equifax site and found out I was affected and signed up for the free credit monitoring stuff, but haven't done anything else.  Can someone tell me specifically what I should be doing now to be safe?  I don't need to go crazy overboard, but want a reasonable level of safety.  Will likely be buying a car before the year is out.

 

[arrow1]

So let's pretend that I've basically been largely ignoring this whole debacle.  Let's say I went on the Equifax site and found out I was affected and signed up for the free credit monitoring stuff, but haven't done anything else.  Can someone tell me specifically what I should be doing now to be safe?  I don't need to go crazy overboard, but want a reasonable level of safety.  Will likely be buying a car before the year is out.

 

[Johnnymac]

Suppose someone steals my identity due to this hack and ruins my credit.  Shouldn't I be able to sue Equifax?

 

[Juxtatarot]

Similar question to the bolded:  If I already have fraud alerts in place at all 3 bureaus, do I also need to put a freeze on?  What additional protection does a freeze offer beyond what the fraud alert provides?

A fraud alert is a message on the credit report.  It can be overridden and possibly even ignored by a lender (in error or otherwise).  A freeze won't let them get the report at all.  It's really a matter of how much risk you're willing to accept for the inconvenience.

 

[DallasDMac]

I read somewhere that freezing credit reports does not affect/prevent the ability to open new accounts. I'll see if I can find a link.

ETA: (looks you do have to unfreeze)

https://www.consumer.ftc.gov/articles/0497-credit-freeze-faqs

The bank where I work does not pull any bureau info when you open an account (checking, savings, CD, etc). This article seems to make a blanket statement that you can't open an account with a freeze on. Just pointing out it isn't necessarily correct.

 

[DallasDMac]

Similar question to the bolded:  If I already have fraud alerts in place at all 3 bureaus, do I also need to put a freeze on?  What additional protection does a freeze offer beyond what the fraud alert provides?

Without a freeze, someone could get a new credit card, car loan or even a mortgage (yes, it's happened) in your name. A fraud alert will let you know it happened after the fact and help you when you inevitably have to fight it and get it fixed. A freeze will stop them from being able to open the account in the first place.

A freeze will NOT prevent account take-overs of already-existing accounts. So no matter what, keep an eye on your bank accounts, existing cards, etc.

 

[Juxtatarot]

. A fraud alert will let you know it happened after the fact and help you when you inevitably have to fight it and get it fixed.

No, he is referring to an alert showing on his credit report requesting lenders be extra careful including by calling him at a number he provides for the alert.  If I see one today, I'll post a sample.

 

[NutterButter]

Suppose someone steals my identity due to this hack and ruins my credit.  Shouldn't I be able to sue Equifax?

How would you prove they got your info from this hack?

 

[Johnnymac]

How would you prove they got your info from this hack?

I dont know.  I suppose I probably couldn't prove it.  Just another case where the little guy gets screwed at the expense of big business.  That is what needs to change.

 

[skol asylum]

The bank where I work does not pull any bureau info when you open an account (checking, savings, CD, etc). This article seems to make a blanket statement that you can't open an account with a freeze on. Just pointing out it isn't necessarily correct.

Why would a bank need to run a credit check if you are giving them money in a deposit or investment situation? Wouldn't a credit report only be accessed if you were applying for credit?

 

[skycriesmary]

My god, you still can't use their site. I hope these hapless ####s get sued to oblivion. Another bunch of incompetent idiots running a company valued in the billions, trusted with our most valuable financial information.  

 

[Pipes]

Do I need to freeze my kids as well? Like will someone open a card in my 10 year old's name?

Absolutely yes.  I just heard Frank Abagnale speak on Wed (he's the guy Catch Me if you Can was based after) and he said children's ID's are worth way more on the black market than an adult.  Scammers can go for years with children before it's caught since it's children. 

 

[Pipes]

I guess in today's day and age it just makes sense to factor Life Lock costs into your monthly budget.  Not sure how you can go without it anymore.

 

[mquinnjr]

My god, you still can't use their site. I hope these hapless ####s get sued to oblivion. Another bunch of incompetent idiots running a company valued in the billions, trusted with our most valuable financial information.  

Was able to freeze on Equifax during the lunch hour EST yesterday. TU had problems all day but was able to freeze online around 11PM EST. Experian wouldn't let me process my freeze online, and is requiring me to mail in my proof of identity documentation to process my freeze, which I dropped in the mail at lunch today. :finger: to these companies.

ETA: Also have paid monitoring through the ARAG legal service that I subscribe to via work, which works very nicely as a detective control. It's $8 a paycheck for the work provided legal service, and identity monitoring was a throw-in which I really appreciate now. I helped my sister with a co-sign for a student loan last weekend and got a ping within like 30 minutes that a hard check was done on my credit, so covered there. Also monitors and alerts on all accounts that I've loaded into the site to be monitored in the dark web for trading activity, so covers active accounts as well. I'm lucky my service is included through my work legal plan, but would recommend something that extensive to pretty much everyone.

Preventative: Freeze credit file with Equifax, Experian, TU to keep new accounts from being opened.

Detective: Get a reputable monitoring service that you can enter all account information into for monitoring of current accounts with open credit.

 

[Juxtatarot]

Why would a bank need to run a credit check if you are giving them money in a deposit or investment situation? Wouldn't a credit report only be accessed if you were applying for credit?

It's most common for checking and a debit card since there are many ways you can overdraw your account/commit fraud with those. 

 

[NutterButter]

Why would a bank need to run a credit check if you are giving them money in a deposit or investment situation? Wouldn't a credit report only be accessed if you were applying for credit?

If there's no risk for the bank,  what's the risk for the person who's identity is being used to open the account?

 

[skol asylum]

It's most common for checking and a debit card since there are many ways you can overdraw your account/commit fraud with those. 

I guess that makes sense.

 

[DallasDMac]

It's most common for checking and a debit card since there are many ways you can overdraw your account/commit fraud with those. 

Fraud checks are different than credit bureau pulls though. We definitely check for possible fraudulent accounts. But we don't pull a bureau report.

 

[DallasDMac]

No, he is referring to an alert showing on his credit report requesting lenders be extra careful including by calling him at a number he provides for the alert.  If I see one today, I'll post a sample.

Sorry, I misread him. If he actually puts a fraud alert on his account, you are dead on. I was thinking he was referring to just one of those "we'll watch for funky activity" type things that are being offered.

 

[NutterButter]

Fraud checks are different than credit bureau pulls though. We definitely check for possible fraudulent accounts. But we don't pull a bureau report.

I asked this earlier b/c I'm curious, but what risk is there to the someone if someone else uses your identity to open a bank account?   I'd imagine you'd check credit before giving out any form of loan right?

 

[DallasDMac]

I asked this earlier b/c I'm curious, but what risk is there to the someone if someone else uses your identity to open a bank account?   I'd imagine you'd check credit before giving out any form of loan right?

Correct. A loan definitely gets a bureau pull. A checking or savings account which take capital to open does not. The protection there comes from hold times based on the type of collateral you open the account with. Deposit cash you have access to it right away. Use a check, it will be held until the check clears. Well, it actually will be held a set number of days. But that number is based on the average time it takes a check to clear. You'd be surprised how many millions are still lost each month to fraud though. Fraudsters are smart. They are very good at probing, finding the holes, and striking quickly.

 

[Juxtatarot]

Fraud checks are different than credit bureau pulls though. We definitely check for possible fraudulent accounts. But we don't pull a bureau report.

Sure. Some pull credit, some don't. 

 

[GregR]

So let's pretend that I've basically been largely ignoring this whole debacle.  Let's say I went on the Equifax site and found out I was affected and signed up for the free credit monitoring stuff, but haven't done anything else.  Can someone tell me specifically what I should be doing now to be safe?  I don't need to go crazy overboard, but want a reasonable level of safety.  Will likely be buying a car before the year is out.

Unless it changed since the last I heard, by signing up for the free credit monitoring you also limited your ability to be part of any class action suit that may end up being filed.

You should probably go to the three credit bureaus and put a freeze on your credit. With this, if someone tries to use your identity to get, say, a credit card, then the credit card company is going to try to check your credit report, but the bureaus won't sell them one since it is frozen, so the scammer's application for the card would get denied because of the lack of info.

It also means if you want to legitimately get credit, you either need to remove the freeze, or have them make an exception for whoever it is you are getting credit from.  There are some other times (like getting a new job) that someone may legitimately check your credit and you'd need to unfreeze/exception for them.   Freezing at the two bureaus that didn't have the breach costs $10, and it possibly can cost again if/when you want to unfreeze.  If you're not doing a ton of getting new credit frequently, probably worth the money.

Instructions on freezing your credit here:  http://clark.com/personal-finance-credit/credit-freeze-and-thaw-guide/

@arrow1

 

[Juxtatarot]

I asked this earlier b/c I'm curious, but what risk is there to the someone if someone else uses your identity to open a bank account?   I'd imagine you'd check credit before giving out any form of loan right?

Someone could use your stolen info to open a bank account in your name and try to commit fraud on the account by depositing counterfeit checks or something. Ultimately you wouldn't be responsible but it would be a big PITA to deal with. Financial institutions have procedures to try to stop this like they do in lending but there can be vulnerabilities.

i'm not sure how much this is happening currently. Certainly there are much, much more common types of fraud.

 

[dickey moe]

This should be reassuring: their Chief Security Officer (who conveniently just "retired") held degrees in "Music Composition."

http://www.marketwatch.com/story/equifax-ceo-hired-a-music-major-as-the-companys-chief-security-officer-2017-09-15/print

Seriously, #### these people

 

[TheFanatic]

Suppose someone steals my identity due to this hack and ruins my credit.  Shouldn't I be able to sue Equifax?

Your data is stored in all sorts of places. Can you prove that Equifax was the only place it was compromised? My data has been stolen at Home Depot, Target and the local grocery store before Equifax

 

[TheFanatic]

The bank where I work does not pull any bureau info when you open an account (checking, savings, CD, etc). This article seems to make a blanket statement that you can't open an account with a freeze on. Just pointing out it isn't necessarily correct.

But don't all those accounts require money to be put in. We're talking about getting credit extended

 

[NutterButter]

Someone could use your stolen info to open a bank account in your name and try to commit fraud on the account by depositing counterfeit checks or something. Ultimately you wouldn't be responsible but it would be a big PITA to deal with. Financial institutions have procedures to try to stop this like they do in lending but there can be vulnerabilities.

i'm not sure how much this is happening currently. Certainly there are much, much more common types of fraud.

Since freezing your credit seems to be the only proactive defense at one's disposal, it would seem to me that requiring a bank to do a credit check before opening an account would make sense.