You must give careful thought to the process of freezing a credit report. It is an action that you will need to take with each different credit bureau separately and usually involves a fee. When you place your credit report under a freeze you are restricting all new creditors from being able to view it. This may have various ramifications.
You have essentially taken yourself out of the creditors view and they will not be able to view your credit report till you remove the credit freeze using the PIN number and requesting the release of the security freeze with the credit bureau.
You will not be able to receive offers that involve automated credit approvals such as preapproved car or home loans. If you have not lifted the freeze on your credit report before applying for credit, it can cause delays in freeze having to be lifted. Similarly alerts also require the creditor to check the details of the applicant manually often requiring physical examination of additional documents to verify identity of the person.
If you forget or misplace the PIN for the security freeze, it can take time before the procedure for issuing of the new PIN can be completed. For this reason you should not place a security freeze of you are going to be Appling for a loan in the near future. Loans like home loans and automobile loans usually result in multiple enquiries on a credit report. Presence of a security freeze or a security alert can slow down the approval process.
Placing and removing a freeze with all the three credit bureaus can cost you money. Freezing a credit file is usually a good option for someone who is facing repeated problems with or is stand a huge risk of credit fraud. It is not a good solution for someone and should not be viewed as a measure against credit fraud. So think carefully before placing a security freeze on your credit report.