McKenna’s bill allows any resident — not just victims — to put a security freeze on their accounts to lower the risk of unauthorized credit or bank account transactions. Unlike a fraud alert, which places a statement on a consumer’s credit report, a security freeze means that that consumer’s credit file cannot be shared with potential creditors.
Under SSB 5826 a credit reporting agency is prohibited from furnishing a consumer’s credit report to a third party. Those lenders generally use the credit report for determining the consumer’s eligibility for credit. Identity thieves often use those reports to establish fraudulent accounts.
Consumers still have flexibility, however. If they are making a significant purchase that requires a credit check, the consumer can pay a $10 fee to authorize a temporary lift of the security freeze.
Sounds like a good idea but shouldn't it be standard practice for a sovereign to authorise credit checks?