Credit Score Basics > How a credit freeze works

How a credit freeze works

Wollit Team2 minute read · Updated 15th September 2024

A credit freeze is one of the most important ways to protect your personal financial information from identity theft. In the UK, it allows you to stop lenders from seeing your credit report, which makes it harder for someone to open new accounts in your name without permission.

Here is how credit freezes work, how they affect your credit score, and when you should use them.

What is a credit freeze?

A credit freeze is a security measure that basically tells credit reporting agencies to stop sharing your credit report with others.

This is especially useful if you think your personal information has been stolen or if you have been a victim of identity theft.

When you freeze your credit, lenders cannot access your credit report, making it impossible for fraudsters to open new accounts using your information.

How does a credit freeze work?

To request a credit freeze, you simply need to get in touch with each of the three major credit reference agencies in the UK: Experian, Equifax, and TransUnion.

Here’s how it works:

Contact the credit reference agencies. You can do this online, by phone, or by mail. Each agency has its own process, but they are usually easy to follow. For example, Experian offers a service called CreditLock, which lets you turn access to your credit report on and off easily.
You will need to prove your identity. This involves providing your name, address, date of birth, and possibly some additional ID to verify who you are.
After your request is processed, you will receive a confirmation that your credit report is frozen.
While your credit report is frozen, fraudsters are “locked out”. They can’t apply for new accounts in your name.
If you want to apply for credit, you can temporarily lift the freeze. This can usually be done online or by phone, and it often takes just a few minutes.

Do credit freezes hurt my credit score?

Many people worry that freezing their credit will hurt their credit score. The good news is that a credit freeze does not affect your credit score at all. It is simply a way to protect your information.

You can still check your credit score and access your credit reports without any problems while your credit is frozen.

When should I get a credit freeze?

There are several reasons to think about getting a credit freeze:

If you think your personal information has been stolen, a credit freeze can help stop further misuse of your credit profile.
Knowing that lenders cannot access your credit report can make you feel safer, especially after a data breach or other security issue.
A credit freeze gives you more control over who can see your credit information, allowing you to manage your financial security better.

How long does a credit freeze last?

A credit freeze stays in place until you decide to lift it. You can temporarily lift it for a specific time or remove it completely whenever you want.

Can I still apply for credit with a freeze in place?

Yes, but you need to lift the freeze first. This can usually be done quickly online or by phone, allowing you to apply for credit when you need it.

Are there any fees for freezing my credit?

Technically freezing your credit is free in the UK. The credit reference agencies must comply with your request at no cost to you.

However, this depends on how you freeze your credit. Experian’s CreditLock service, for example, requires you to have a paid Experian CreditExpert subscription (£14.50 a month). You can still ask Experian to freeze your credit for free, however – it just won’t be as easy as through CreditLock.