Credit Freeze or Credit Lock?

[nomadic_triathlete]

So last night someone opened a bank account in my name.  I got the emails as it was happening.  I called the bank right after and they closed the account. I went and changed my passwords and so forth on my various online banking accounts.

I was a bit surprised though since I have a credit freeze set up with all the credit bureaus.  I realize that that stops anyone from opening a credit card in my name but I thought in theory it would stop anything as else as well.  But according to the bank that doesn't stop the bank from verifying my identity which is basically all they do when a new checking account is open.

I'm curious do others pay for a credit lock at all 3 burueas? 

[mortimerwereback]

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@nomadic_triathlete wrote:

So last night someone opened a bank account in my name.  I got the emails as it was happening.  I called the bank right after and they closed the account. I went and changed my passwords and so forth on my various online banking accounts.

I was a bit surprised though since I have a credit freeze set up with all the credit bureaus.  I realize that that stops anyone from opening a credit card in my name but I thought in theory it would stop anything as else as well.  But according to the bank that doesn't stop the bank from verifying my identity which is basically all they do when a new checking account is open.

I'm curious do others pay for a credit lock at all 3 burueas? 

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Freezing is free, so I choose to freeze vs. lock. I can freeze and thaw all three CBs within a few minutes using their online portals.

Regarding how the culprits opened up an account in your name. You may want to freeze ChexSystems. Many (not all) banks, especially credit unions, will hard pull your Chex report to verify your identity and banking history before approving a new account.

https://www.chexsystems.com/security-freeze/information

https://www.chexsystems.com/security-freeze/place-freeze

Very easy to do online as well. Best of luck.

[coldfusion]

A credit lock is essentially a private agreement between the CRA and yourself but a credit freeze is a federal legally-defined construct. That boils down to an inappropriate release of a locked credit report violating a contract whereas an inappropriate release of a frozen credit report is a regulatory violation, which is one reason why credit freezes are so commonly recommended instead of a credit lock.

[SouthJamaica]

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@nomadic_triathlete wrote:

So last night someone opened a bank account in my name.  I got the emails as it was happening.  I called the bank right after and they closed the account. I went and changed my passwords and so forth on my various online banking accounts.

I was a bit surprised though since I have a credit freeze set up with all the credit bureaus.  I realize that that stops anyone from opening a credit card in my name but I thought in theory it would stop anything as else as well.  But according to the bank that doesn't stop the bank from verifying my identity which is basically all they do when a new checking account is open.

I'm curious do others pay for a credit lock at all 3 burueas? 

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In addition to freezes on TU EQ and EX, you can also freeze Chex, LexisNexis, and Innovis.

[nomadic_triathlete]

So I didn't realize about ChexSystems until the bank mentioned it.  I put a freeze on Chex.  I also put a fraud alert for 1 year on all three credit bureaus. All three were already frozen.  But you're saying I can freeze at LexisNexus and Innovis? I've never heard of those.

It occured to me that the only reason I even knew about the bank account being opened was because I had a bank account at this bank in the past (I closed that account in 2019 and don't have one there at all anymore) and so I had a online user account there, which was empty, no bank account linked to it. So when the fraudster opened the account in my name it was automatically linked to my online user account and the bank emailed me to congratulate me on opening a new account.

With credit cards and other credit accounts you can see them in credit reports and get alerted when accounts are opened, but how would one know if a bank account had been opened in their name at a bank they have never done business with? 

[MrFiah]

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Was this the only fraudulent activity done with the identity theft? I ask because I have to question whether this account was actual fraud or a bank error of some kind.  Let's say this was was fraud, it seems to me that even if your name and SSN were used that the bank would have asked for an email address and not automatically linked it to your past email from several years ago as email addresses change all the time.  I don't think the fraudster would have used your known good email if trying to do something malicious.

@nomadic_triathlete wrote:

So I didn't realize about ChexSystems until the bank mentioned it.  I put a freeze on Chex.  I also put a fraud alert for 1 year on all three credit bureaus. All three were already frozen.  But you're saying I can freeze at LexisNexus and Innovis? I've never heard of those.

It occured to me that the only reason I even knew about the bank account being opened was because I had a bank account at this bank in the past (I closed that account in 2019 and don't have one there at all anymore) and so I had a online user account there, which was empty, no bank account linked to it. So when the fraudster opened the account in my name it was automatically linked to my online user account and the bank emailed me to congratulate me on opening a new account.

With credit cards and other credit accounts you can see them in credit reports and get alerted when accounts are opened, but how would one know if a bank account had been opened in their name at a bank they have never done business with? 

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[805orbust]

I froze Sagestream also. There was a nice thread about this a while back that gave me the idea. I couldn't it quick search just now but you may be able to.

[OmarR]

Chexsystems:

https://www.chexsystems.com/security-freeze/place-freeze

Sagestream/LexisNexis:

https://www.sagestreamllc.com/

Innovis:

https://www.innovis.com/home/aboutInnovis

ARS:

https://www.ars-consumeroffice.com/

CLARITY:

https://www.clarityservices.com/support/security-freeze

[nomadic_triathlete]

@OmarR 

This is helpful thank you.  I'm curious if I goto open a new bank account do I need to unfreeze all of these?  Or do I try to open the checking account and then see which one they use and unfreeze that one?

[805orbust]

@nomadic_triathlete it depends. The only issue I've had is when I apped with Truist a year ago. They couldn't verify my identity. So I decided not to continue applying.  I've never frozen Chex tho.