In today's digitally connected world, safeguarding our personal and financial data is of paramount importance. With cybercrime on the rise, it has become crucial to take proactive measures to protect ourselves from potential fraud and identity theft. One such powerful tool in the fight against credit fraud is the credit freeze. In this article, we will delve into what a credit freeze is and how you can use it to secure your financial identity.
What is the TransUnion credit freeze?
A credit freeze is a security measure that allows individuals to restrict access to their credit reports. By freezing your credit, you effectively block any unauthorised attempts to open new credit accounts or loans in your name. It acts as a protective shield, making it extremely challenging for identity thieves to misuse your personal information for fraudulent purposes.
How to request a TransUnion credit freeze
While credit freezes are not currently available in India from TransUnion CIBIL, there are a number of ways you can protect your credit information:
- Avoid public wi-fi for transactions: Refrain from conducting financial transactions when connected to public Wi-Fi. Hackers can exploit vulnerabilities in such networks to intercept sensitive information.
- Be cautious about sharing personal details online: Exercise caution when sharing personal documents (such as PAN, Aadhaar Card) or sensitive information (such as your bank account or credit card numbers) on social media platforms. Scammers can misuse this information to open fraudulent accounts or commit identity theft.
- Embrace encryption and tokenisation: Utilise services like tokenisation, which encrypts your card information during online transactions, minimising the risk of data breaches.
- Regularly monitor your credit score: Keep a close eye on your credit score and report to promptly detect any suspicious activity or unauthorised accounts.
Steps for responding to credit fraud or identity theft
If you ever find yourself falling victim to credit fraud or identity theft, taking immediate action is crucial. Even though a credit block is not available, here are the steps you can follow:
- Contact your lender immediately to notify them of the fraud and freeze your credit card to prevent further misuse.
- Register a First Information Report or FIR with the police to establish an official record of the crime, which may be required when dealing with authorities and financial institutions.
- Follow up with your lender and credit bureau to ensure that the fraudulent transaction is promptly removed from your Credit Information Report (CIR)
Dealing with credit fraud can be distressing, but it is essential to remain vigilant and proactive in protecting your financial interests. Consider the Bajaj Finserv Credit Pass for regularly monitoring your credit score and report to detect any potential red flags. Its personalised dashboard gives you a complete and comprehensive overview of all your credit accounts in one place so you can easily track your Credit Health Report in real time alongside the factors that impact it. With the Credit Pass, you will always be up to date about your credit standing with the monthly CIBIL Score checks, allowing you to easily identify discrepancies and take timely action to protect your financial well-being.
