R3 wants to bring your attention to a critical cybersecurity incident that may affect you and your loved ones. National Public Data (NPD), a major background check firm, has recently disclosed one of the largest data breaches in U.S. history. This breach was detected in December of 2023, however it was only just now disclosed to the public. Here’s what you need to know:
The Breach: Unprecedented in Scale
- 2.7 billion records leaked, including nearly 900 million unique Social Security numbers (SSNs). For perspective, there are only approximately 327 million US residents according to the census.
- Exposed data includes names, addresses, email addresses, phone numbers, and decades of address history.
- The breach affects a majority of individuals with SSNs in the United States.
Why This Matters to You
- Increased Risk of Identity Theft: With such comprehensive personal data now in circulation, the risk of identity theft and fraud has skyrocketed.
- Long-Term Impact: The effects of this breach could be felt for years to come, as the leaked data spans several decades.
- Multiple Records Per Individual: Many people have multiple records exposed due to address changes over time, compounding the risk.
What You Can Do to Protect Yourself
- Freeze Your Credit: Contact all three major credit bureaus (Equifax, Experian, and TransUnion) to place a freeze on your credit reports.
- Monitor Your Accounts: Keep a close eye on your financial statements and credit reports for any suspicious activity.
- Use Identity Monitoring Services: Consider using reputable services to check if your data has been compromised.
- Stay Vigilant: Be extra cautious of phishing attempts and unsolicited communications asking for personal information.
What is Freezing Your Credit?
A credit freeze, also known as a security freeze, is a free tool that restricts access to your credit report. When your credit is frozen, potential creditors can’t access your credit report, making it much harder for identity thieves to open new accounts in your name.
Why You Should Freeze Your Credit at Each of the Bureaus
- Enhanced Protection: By freezing your credit at all three major bureaus (Equifax, Experian, and TransUnion), you create a comprehensive shield against identity theft.
- Prevention of New Account Fraud: With a freeze in place, criminals can’t open new credit accounts using your information, even if they’ve stolen your personal data.
- Peace of Mind: Knowing your credit is locked down can provide significant peace of mind in an era of frequent data breaches.
- No Impact on Credit Score: A credit freeze doesn’t affect your credit score or prevent you from getting your free annual credit report.
- It’s Free: Federal law requires all credit bureaus to offer free credit freezes and unfreezes.
What’s the Difference Between Freezing and Locking Your Credit?
While both freezing and locking your credit restrict access to your credit report, there are some key differences:
- Legal Protections: Credit freezes are regulated by federal law, which provides certain guarantees and protections. Credit locks are voluntary services offered by credit bureaus.
- Ease of Use: Credit locks are often easier to lift temporarily, usually through a mobile app or website. Unfreezing your credit might take a bit more time and effort.
- Cost: Credit freezes are always free by law. Some bureaus charge for credit locks, especially after an initial free period.
- Availability: Credit freezes are available from all credit bureaus. Not all bureaus offer credit locks.
In general, a credit freeze offers stronger protections and is the recommended choice for most consumers looking to secure their credit.
How to Freeze Your Credit
To freeze your credit, you’ll need to contact each credit bureau individually:
- Equifax: [Equifax Freeze Page](https://www.equifax.com/personal/credit-report-services/credit-freeze/)
- Experian: [Experian Freeze Page](https://www.experian.com/freeze/center.html)
- TransUnion: [TransUnion Freeze Page](https://www.transunion.com/credit-freeze)
Remember, you can easily lift a freeze temporarily when you need to apply for credit, and then refreeze your credit afterward.
Protecting your financial identity is an essential part of modern life. At this point there is a very strong likelihood that some or all of your Personally identifiable Information (PII) and other sensitive information like Personal Health Information (PHI) are leaked and exposed on the Internet and darkweb. From here out, you should always assume that this is the case and operate accordingly using the tips from above to ensure you are doing everything in your power to protect yourself.
