Credit Freeze

I was recently reading an editorial in Money Magazine (October 2006) "How Not To Fight Identity Theft." It seems congress has been debating HR 3997. A bill that was to have been voted on in July 2006, but has been on hold ever since. The problem is this bill would actually eaken current laws, making it easier for ID thieves to access your information. For example according to the article some 20 states have laws that would allow anyone to ask the 3 credit bureaus for a credit freeze.
According to BankRate.com, those states are

California, New Jersey, Louisiana, Texas, Vermont, Washington, Nevada, Connecticut, Illinois, Maine, North Carolina and Colorado. However, Texas, Vermont, Illinois and Washington.

What is a Creit Freeze? Again according to Bankrate.com,

With a credit freeze, no one can open any form of credit in your name. Your credit file is off limits to potential lenders, insurers and even potential employers. Here's how it works.

When you apply for a loan, credit card or cell phone, the company issuing credit contacts one of the three credit reporting agencies and requests to see your credit file. If you have a freeze on your account, the company will be told that it cannot see your credit file because your account is frozen. At this point, most companies would not allow the loan, issue the credit card or activate the cell phone.

But this does not mean that you won't be able to get credit for yourself or allow potential employers to run a background check. The three credit bureaus assign a personal identification number for you when you freeze your report. Using this PIN, you can lift the freeze when necessary.

With a credit lock-down, a criminal can have your name, birthday and Social Security number -- but it won't matter. No credit will be issued.

What Congress wants to do is only allow those that have had their identities stolen to freeze their credit. Anyone that is in a state like California, that allows a consumer be proactive would be out of luck. Not only that but if a company suffers a Data Breach, this law would not require them to notify the consumers.

The sponser of the bill is, Rep LaTourette, Steve C. [OH-14] (introduced 10/6/2005) and the co-sponsers (and the dates they signed on) are listed below alphabetically.

Rep Bean, Melissa L. [IL-8] - 3/29/2006

Rep Biggert, Judy [IL-13] - 11/17/2005

Rep Castle, Michael N. [DE] - 10/6/2005

Rep Cleaver, Emanuel [MO-5] - 3/29/2006

Rep Foley, Mark [FL-16] - 4/4/2006

Rep Gillmor, Paul E. [OH-5] - 10/26/2005

Rep Harris, Katherine [FL-13] - 10/26/2005

Rep Hinojosa, Ruben [TX-15] - 5/25/2006

Rep Holden, Tim [PA-17] - 5/25/2006

Rep Hooley, Darlene [OR-5] - 10/6/2005

Rep Jones, Walter B., Jr. [NC-3] - 10/26/2005

Rep Kennedy, Mark R. [MN-6] - 10/26/2005

Rep McCotter, Thaddeus G. [MI-11] - 4/4/2006

Rep McHugh, John M. [NY-23] - 3/29/2006

Rep Moore, Dennis [KS-3] - 10/6/2005

Rep Ney, Robert W. [OH-18] - 2/15/2006

Rep Pearce, Stevan [NM-2] - 11/17/2005

Rep Price, Tom [GA-6] - 3/29/2006

Rep Pryce, Deborah [OH-15] - 10/6/2005

Rep Renzi, Rick [AZ-1] - 11/3/2005

Rep Scott, David [GA-13] - 3/29/2006

Rep Shays, Christopher [CT-4] - 3/2/2006

Rep Tiberi, Patrick J. [OH-12] - 10/26/2005

Rep Wolf, Frank R. [VA-10] - 4/4/2006

What I want to know is why haven't we heard more about this before now? Overall, that's 18 Republicans (RINO's really) and t Democrats, including Dennis Moore fr down the road in the next congressional district. So does mean that now that Democratic controlled Congress will now pass the bill and hurt us consumers, while helping out the theives who prey on us?

We need to make sure congress kills this bill. Or at least make so the consumer can be proactive, like the California and Colorado laws, allowing everyone to have the ability to freeze their credit, regardless if their idenity has been stolen or not.