How a credit freeze can shield you from identity theft

You can request a credit freeze online with any of the credit bureaus like CIBIL, Experian, or CRIF High Mark.

When it comes to identity theft, prevention is always cheaper than repair. A credit freeze — also called a credit lock — is one of the most effective tools to protect your credit score and personal data. It blocks lenders from accessing your credit report, making it nearly impossible for anyone to open new loans or credit cards in your name without your consent.

What a credit freeze actually does

A credit freeze restricts access to your credit information. So even if a fraudster has your PAN, Aadhaar, or bank details, lenders can’t process any new credit application because they can’t verify your report. You can temporarily “unfreeze” your file anytime you need to apply for credit — and lock it again once the process is done.

Why it’s becoming more relevant

With rising cases of data leaks and cyber fraud, even careful users are at risk. Identity theft doesn’t always mean a stolen wallet — sometimes it starts with a leaked KYC record or a compromised online form. Freezing your credit ensures no one can misuse your identity to take loans or credit cards without you knowing.

How to place a freeze

You can request a credit freeze online with any of the credit bureaus like CIBIL, Experian, or CRIF High Mark. The process is free and usually takes a few minutes. You’ll receive a PIN or password to unlock your file when you need access again. Always store this PIN safely — losing it can delay your future applications.

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Does it affect your credit score?

No, freezing your credit doesn’t hurt your score. It simply pauses access. Your existing accounts, EMIs, and repayments continue as usual, and they still influence your score. It’s a security tool, not a credit decision.

When a credit freeze makes sense

If you’ve recently been a victim of fraud, lost important documents, or just don’t plan to apply for new credit soon, a freeze can give you peace of mind. It’s also useful for retirees or students who aren’t active borrowers but want to protect their identity.

The takeaway

A credit freeze is like putting a lock on your financial front door. You might not need it every day, but once it’s in place, it can prevent a lot of trouble. As digital fraud becomes more sophisticated, freezing your credit is one of the simplest ways to keep your identity — and your credit score — safe.