Washington, DC – Today, the Chair and Ranking Member of the Subcommittee on Financial Institutions and Consumer Credit, Congresswoman Carolyn B. Maloney (D-NY), and Congressman Paul Gillmor (R-OH), introduced bipartisan legislation (H.R. 3316) that would allow consumers to freeze their credit reports and prevent identity thieves from opening new lines of credit in their name. 

“Consumers should have every available tool at their disposal to fend off identity theft,” said Maloney.  “In today’s hi-tech age, file freeze is an effective tool that can stop identity thieves cold in their tracks.  Some states have already stepped up to the plate and enacted strong file freeze laws – it’s time the federal government gave all Americans protection and control over their personal credit information.” 

“In Ohio and elsewhere, identity theft is no longer an abstract threat.  When used wisely, a file freeze is the most powerful way to prevent fraudulent access to credit.  This bill will provide all Americans with a significant weapon to protect themselves against con artists and thieves,” Gillmor said.  “Just one month ago, a tape containing the social security numbers of close to one million Ohioans was stolen from the car of an intern in the Governor’s Office of Management and Budget.  Thankfully most data breaches do not end with sensitive financial information being compromised, but the threat remains very real.”

Consumers in 39 states and the District of Columbia - including New York - currently have the ability to “freeze” access to their credit reports whenever they so choose.  The legislation Maloney and Gillmor introduced today would guarantee that all Americans are afforded the same credit protection. 

The bill would also create a central source where consumers can interact with the three national credit bureaus, similar to the one-stop-file-freeze-shop Congresswoman Maloney and Congressman Gillmor helped create through the FACT Act with www.annualcreditreport.com.  

Among other provisions, H.R. 3318 would:

-Allow consumers to thaw and remove their freeze within 15-minutes if using the phone or the internet.

-Provide a free file freeze option to victims of identity theft and those that have received a notice of a data breach.  The party liable for the breach would be liable for the costs of the freeze. 

-Give consumers the power to thaw and remove their file freeze for free.  

Background:

Maloney introduced similar legislation (H.R. 5482) in the last Congress: http://maloney.house.gov/documents/financial/consumer/HR5482.pdf.

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