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The Benefits of Credit Freeze

By Ruth Racey
Published: Friday, January 29th, 2010

Credit freeze is like a lock in your house. In this case, though, it is not your house that is locked, but your credit card account. Remember that your credit card account is used by a lot of people, obviously aside from yourself. Remember that whenever you are making your purchases, accountants and sales clerks and cashiers are in fact also using your credit card account to cash out your expenses. In this case, whenever you decide to have a credit freeze, none oft these [persons can be bale to access your credit card account. This also includes you.

In this case, you may ask the question: Why are people bothering to have a credit freeze? Here then are two of the top benefits that you may enjoy whenever you decide to have a credit freeze:

  1. Credit Freeze against Identity Theft
    One of the most dreaded crimes that you may experience is identity theft. In this case, identity theft is actually a crime that is all about thieves being able to access your financial accounts, and use it to steal your money. The sad fact is that this crime is actually one of the fastest growing crimes in the US. Whenever you become a victim of identity theft, surely, dried up finances plus a tarnished reputation are the things in which you may end up.
    One of the most common forms of identity theft is credit card identity theft. In this crime, identity thieves are actually able to access your credit card account by having possession of your credit card number. Then, identity thieves would use your credit card account to pay for all of the purchases that they would want. However, when you have a credit freeze, thieves may not be bale to access your credit card account. This makes your credit card account safe, even though thieves may have possession of it.
  2. Credit Freeze against Spending Over Your Credit Limit
    Also, whenever you do your credit freeze, it is true that you yourself may not be able to use your credit card. However, this may be every beneficial when you are a very impulsive spender. In this case, having a credit freeze helps you not to spend out of budget, or spending way beyond your credit limit. Remember that whenever you are spending way beyond your credit card limit, it may hurt your credit ratings, so better be sure.

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