Credit Freeze Vs. Credit Locks

MoneyTips

Thanks to large data breaches in recent years, both credit freezes and credit locks are gaining in popularity. What's the difference between these two important identity protection tools, and which one is the best for you?

Both tools stop lenders from accessing your credit information – and lenders won't extend credit if they can't assess the risk that you won't pay them back. In both cases, you can remove the tool to make legitimate credit applications and reapply the tool when you're done. You have to apply either tool with each of the three credit bureaus (Equifax, Experian, and TransUnion) to receive full protection.

However, there are a few significant differences between credit freezes and locks.

Credit bureaus are required by federal law to offer credit freezes. Each freeze and thaw at each credit bureau used to have a fee set by individual state laws – but as of September 21, all credit freezes are