HARRISBURG—On
Monday, the Pennsylvania State House of Representatives passed a bill
offering consumers strong protection against identity theft. SB 180,
sponsored by Senator Jake Corman (representing parts of Centre,
Mifflin, and Perry counties), gives consumers the ability to
proactively freeze access to their credit reports.
“A
security freeze is an efficient and sensible way to protect
Pennsylvanians before they become victims,” said Jim Swoyer, a Public
Interest Advocate with the Pennsylvania Public Interest Research Group
(PennPIRG). “Simply stated, it is the single most effective tool
consumers can use to prevent identity theft.”
Security
freezes allow consumers to prevent anyone from looking at his or her
own credit reporting file for the purposes of granting credit unless
they authorize a particular business to do so. When an imposter seeks
credit in a consumer’s name, the creditor checks the credit reporting
file. If the file is frozen, the creditor will deny the thief’s credit
application. Consumers legitimately applying for credit can lift the
freeze so particular creditors can see their files. When the consumer
is not seeking credit, the security freeze effectively prevents anyone
else from getting credit in the consumer’s name.
Although
SB 180 had already been unanimously passed by the Senate in June, it
must go back to the Senate for concurrence because amendments were
added to the bill in the House. Unfortunately one of these amendments
weakens SB 180 by building in a seven year expiration date for a
freeze. To make matters worse, there is no accompanying requirement
that consumers be notified that their freezes have expired.
Nonetheless, SB 180 offers consumers critical protection from identity
theft.
“We
applaud Senator Corman for his leadership on identity theft,” continued
Swoyer, “It will be a huge victory for consumers statewide if his
legislation becomes law. We urge the Senate to pass this important bill
before the end of session.”
