Identity thieves have been exploiting a glaring security weakness in the website of Experian, one of the big three consumer credit reporting bureaus. Normally, Experian requires that those seeking a copy of their credit report successfully answer several multiple choice questions about their financial history. But until the end of 2022, Experian’s website allowed anyone to bypass these questions and go straight to the consumer’s report. All that was needed was the person’s name, address, birthday and Social Security number.
It is now free in every U.S. state to freeze and unfreeze your credit file and that of your dependents, a process that blocks identity thieves and others from looking at private details in your consumer credit history. If you’ve been holding out because you’re not particularly worried about ID theft, here’s another reason to reconsider: The credit bureaus profit from selling copies of your file to others, so freezing your file also lets you deny these dinosaurs a valuable revenue stream.
Almost 20 percent of Americans froze their credit file with one or more of the big three credit bureaus in the wake of last year’s data breach at Equifax, costing consumers an estimated $1.4 billion, according to a new study. The findings come as lawmakers in Congress are debating legislation that would make credit freezes free in every state.
The figures, commissioned by small business loan provider Fundera and conducted by Wakefield Research, surveyed some 1,000 adults in the U.S. Respondents were asked to self-report how much they spent on the freezes; 32 percent said the freezes cost them $10 or less, but 38 percent said the total cost was $30 or more. The average cost to consumers who froze their credit after the Equifax breach was $23.
A credit freeze blocks potential creditors from being able to view or “pull” your credit file, making it far more difficult for identity thieves to apply for new lines of credit in your name.
A recent consumer survey suggests that half of all Americans still haven’t checked their credit report since the Equifax breach last year exposed the Social Security numbers, dates of birth, addresses and other personal information on nearly 150 million people. If you’re in that fifty percent, please make an effort to remedy that soon.
Credit reports from the three major bureaus — Equifax, Experian and Trans Union — can be obtained online for free at annualcreditreport.com — the only Web site mandated by Congress to serve each American a free credit report every year.
The Internal Revenue Service (IRS) disclosed today that identity thieves abused a feature on the agency’s Web site to pull sensitive data on more than 330,000 potential victims as part of a scheme to file fraudulent tax refund requests. The new figure is far larger than the number of Americans the IRS said were potentially impacted when it first acknowledged the vulnerability in May 2015 — two months after KrebsOnSecurity first raised alarms about the weakness.
In the wake of one data breach after another, millions of Americans each year are offered credit monitoring services that promise to shield them from identity thieves. Although these services can help true victims step out from beneath the shadow of ID theft, the sad truth is that most services offer little in the way of real preventative protection against the fastest-growing crime in America.
The recent data breach at Adobe that exposed user account information and prompted a flurry of password reset emails impacted at least 38 million users, the company now says. It also appears that the already massive source code leak at Adobe is broadening to include the company’s Photoshop family of graphical design products.
Following the online publication of Social Security numbers and other sensitive data on high-profile Americans, the three major credit reporting bureaus say they’ve uncovered cases where hackers gained access to users’ information, Bloomberg reports. The disclosure, while probably discomforting for many, offers but a glimpse of the sensitive data available to denizens of the cybercrime underworld, which hosts several storefronts that sell cheap, illegal access to consumer credit reports.
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