By Kelly Youngblood
As if parents don’t have enough to worry about these days, here’s one more concern you could add to the list.
Should you put a freeze on your child’s credit report to prevent identity theft?
Opinions vary on whether or not there’s a true need.
I know what you’re thinking. “Um, how can I freeze my 5-year-old’s credit? She doesn’t have any.” (Unless you count that Gymboree credit card in your name.)
And you’re right. Your child shouldn’t have a credit report or credit history. If she does, that’s a red flag her identity may have been compromised.
Kathy Sweedler, a consumer economics educator at the University of Illinois Extension, says she wouldn’t recommend doing a “preemptive” credit freeze without any evidence of identity theft — such as bills or credit card offers in your child’s name, or debt collection calls coming to your house.
“I talk about credit freezes but I usually suggest they freeze it if they know they’ve been a victim of identity theft,” Sweedler said. “In general, I wouldn’t recommend it because I’m not sure it’s necessary.”
“Parents have a lot of different things they can do to nurture and protect their children. This is not a high priority,” she added.
Sweedler said while there’s not necessarily a downside to doing it, it’s a time-consuming task that requires a lot of paperwork.
And, in order for it to be effective, parents have to complete the credit freezing process at all three credit bureau agencies: Equifax, Experian, and TransUnion.
Despite the hassles, some parents will still choose to freeze their child’s credit.
And that may be a good idea, according to Amy Lynn, an assistant branch manager at Busey Bank.
Lynn said it’s becoming more common for children’s information to be compromised, noting children are 35 times more likely than adults to be victims of identity theft.
“It often goes undetected until the child reaches age 18 or older, possibly allowing years of fraudulent activity,” Lynn said.
Lynn says freezing your child’s credit would give added security and reduce the chance of identity theft. It’s also affordable, with the current charge being $5-$10 depending on the credit agency.
If parents do decide to put a freeze on their child’s credit, they need to remember to “thaw” it before the child turns 18.
Even if parents don’t decide to freeze their child’s credit information, both Sweedler and Lynn agree it’s important to keep children’s personal information safe.
Sweedler said parents should be more vigilant about protecting their child’s social security number.
“Only give it out when it’s really needed to do certain things,” she said.
Besides not carrying social security cards in your wallet or leaving them in open sight, you should always check to see if other forms of ID are acceptable, she said.
Lynn also offers these tips to keeping your personal information safe:
If mailing documents with sensitive information, drop them in a secure mailbox.
Shred documents with personal information.
Store important documents such as birth certificates, social security cards and other information in a secure location like a safe or safe deposit box.
Write down personal information at the bank or doctor’s office instead of reciting it out loud.
Monitor suspicious activity.
For more information about freezing a minor’s credit from each of three credit bureaus, go to:
Click here for more information about identity theft.