Monday, October 22, 2018

CREDIT FREEZES, CREDIT SCORES, AND IDENTITY THEFT


CFPB FinEx News and Updates

In this e-newsletter, you’ll find the latest tools and resources for financial educators from the Bureau of Consumer Financial Protection.

Featured topic:  CREDIT FREEZES, CREDIT SCORES, AND IDENTITY THEFT
Identity theft occurs when someone steals a consumer’s identity to commit fraud, by using personal information without permission. Identity theft and fraud affect many Americans.  According to the Justice Department, over 36 million people, or nearly 15% of all U.S. residents age 16 or older have experienced at least one incident of identity theft during their lifetime.[1]  To protect against identity theft and fraud, a consumer can seek a security freeze (also known as “credit freeze”), and regularly check credit reports and scores to look for[2] possible fraudulent actions.  The Bureau and other federal agencies have tools and resources to help consumers keep an eye on their credit profile and avoid identity theft.2 

A new federal law allows consumers nationwide to get free credit freezes.  A credit freeze restricts access to a consumer’s credit file, making it harder for identity thieves to open fraudulent accounts.  The Federal Trade Commission has information on credit freezes here.

IdentityTheft.gov is the federal government’s one-stop resource for identity theft victims. The site provides streamlined checklists and sample letters to guide consumers through the recovery process.  You can access this website here.

3.  Access to free credit scores: Insights from the Bureau’s request for information (RFI) The Bureau recently reviewed responses to a request for information (RFI) entitled, “RFI regarding consumers’ experience with free access to credit scores.” The Bureau sought to learn more about the experiences consumers are having with access to free credit scores and the experience of companies, and non-profits, offering their customers and the general public free access to their credit scores. Fifty-nine percent of respondents found access to no-cost credit information (scores and reports) to be a powerful and engaging tool in enhancing consumer financial literacy.  Seventeen percent of respondents were concerned about the marketing practices of some entities that offer free credit scores.  Industry respondents expressed support for providing access to free credit scores, but cautioned against creating policies or legislation that mandated free credit score programs.  You can hear more on the results of this RFI and learn ways to use credit information to enhance consumer’s financial literacy at our October 24, 2018 webinar from 2-3 pm EST.

The Bureau released a list of companies that told us they offer their existing credit card customers free access to one of their credit scores. This list also includes information on other ways to get credit scores for free. You can access the list of free credit score providers here and additional information that explains credit scores in more detail here.

The Bureau’s portal helps consumers find information and learn about credit scores and reports and also provides links to additional resources. It includes sections on “The difference between credit scores and credit reports,” “What to look for and how to dispute errors on credit reports,” and “Tips for building and keeping a good credit score.” You can access the portal here.

6. Upcoming Webinar
Credit Freezes, Credit Scores, and Identity Theft
October 24, 2018 (Wednesday) 2:00-3:00 p.m. (Eastern Time)
Join us for a webinar to learn from the Federal Trade Commission (FTC) about recent changes to the law allowing consumers to get free credit freezes and longer fraud alerts. The webinar will also present what respondents told us about the experiences consumers are having with access to free credit scores and the experience of companies, and non-profits, offering their customers and the general public free access to their credit scores. 

Step 1:  To join the October 24, 2018 webinar, please go to the following link at the time of the webinar: For Participants:
URL:
https://www.mymeetings.com/nc/join/  Conference number: PWXW8216343
Audience passcode: 3538575

Participants can join the event directly at:
https://www.mymeetings.com/nc/join.php?i=PWXW8216343&p=3538575&t=c

This webinar link will not be live until the day of the webinar.

Step 2:  Listen to the audio by dialing 888-677-1833   and entering participant passcode: 3538575

You must dial in via the conference line. There is no audio available via Webex.

7.   Missed previous webinars? Watch the recording!

If you have missed any Bureau webinars, you can watch them or read the transcripts:

Your Money Your Goals resources

Measuring youth financial capability

Fraud prevention for older adults

Financial well-being national survey results

Disaster preparedness and recovery

Workplace financial education

Youth financial literacy and savings behavior

Principles for effective financial education

Resources for servicemembers and veterans

Accessing credit scores and reports

Managing spending

Debt collection resources

Light-touch financial education on credit card debt

Libraries as a financial education resource

Helping youth to build financial capability

Financial coaching

Financial education programs serving immigrant communities

Federal financial education resources
  
Financial Rules to Live By

Evidence-based insights: tips for strengthening financial education curriculum

Money as You Grow

Financial Caregivers Tools and Resources

Measuring Financial Well-Being

Owning a Home
           
Tax Time Savings
           
Your Money, Your Goals Toolkit

Bureau Consumer Complaint System
           
Consumer Credit Reports and Scores

Financial Well-Being: The Goal of Financial Education 
           
Questions or comments?  Want to unsubscribe?  Email us at CFPB_FinEx@cfpb.gov.
Our Financial Education Exchange network currently has over 3,000 members!


[1] U.S. Department of Justice, Office of Justice Programs, Bureau of Justice Statistics, Victims of Identity Theft, 2014, at 8 (Nov. 13, 2017) (“2014 Report”), available at http://www.bjs.gov/content/pub/pdf/vit14.pdf.

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