 In the 2007 legislative session, the 86th General Assembly approved Act 391-“An Act to Permit Placing a Security Freeze on a Person’s Consumer Report." Effective January 1, 2008, Arkansans have the right to place a “security freeze” on their credit reports, which will prohibit a consumer reporting agency from releasing information in their credit reports without express authorization. A security freeze is designed to prevent credit, loans, and services from being approved in one's name without consent. However, consumers should be aware that using a security freeze to take control over who gets access to the personal and financial information in their credit reports may delay, interfere with, or prohibit the timely approval of any subsequent request or application made regarding a new loan, credit, mortgage, government services or payments, rental housing, employment, investment, license, cellular phone, utilities, digital signature, Internet credit card transaction, or other services, including an extension of credit at point of sale.
When a security freeze is placed on a credit report, the consumer will receive a personal identification number or password to use if she chooses to remove the security freeze or authorize the release of her credit report for a period of time after the security freeze is in place. To provide that authorization, the consumer must contact the consumer reporting agency by one (1) of the required methods and provide all of the following:
- Personal identification number or password;
- Proper identification to verify identity;
- The proper information regarding the period of time for which the consumer report shall be available; and
- Payment of the appropriate fee, if any.
A consumer reporting agency must authorize the release of the credit report no later than three (3) business days after receiving all of the above items by any method that the consumer reporting agency allows.
A security freeze does not apply to a person or an entity, or its affiliates, or collection agencies acting on behalf of the person or entity with which you have an existing account that requests information in a consumer's credit report for the purposes of reviewing or collecting the account. Reviewing the account includes activities related to account maintenance, monitoring, credit line increases, and account upgrades and enhancements.
Arkansans have a right to bring a civil action against anyone, including a consumer reporting agency, that willfully or negligently fails to comply with any requirement of the Arkansas Consumer Report Security Freeze Act.
A consumer reporting agency has the right to charge consumers up to ten dollars ($10.00) to place a security freeze on their credit report, up to ten dollars ($10.00) to temporarily lift a security freeze on their credit report, and up to ten dollars ($10.00) to remove a security freeze from their credit report. An exception will be made for any consumer who furnishes at the time the security freeze is requested, a copy of a valid police report or complaint with a law enforcement agency about the unlawful use of the consumers identifying information by another person.
To place a security freeze, affected Arkansans should contact the three national credit bureaus.
- TransUnion 1-800-680-7289, www.transunion.com; Fraud Victim assistance Division, P.O. Box 6790, Fullerton, CA 92834-6790
- Experian 1-888-397-3742, www.experian.com; P.O. Box 9532, Allen, TX 75013
- Equifax 1-800-525-6285, www.equifax.com; P.O. Box 740241, Atlanta, GA 30374-0241
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