Credit freezes have been free at Equifax, Experian and TransUnion since 2018. They block one of the most common frauds: new credit applications opened in your name. But the latest numbers show why a freeze cannot be your only line of defense.
Javelin Strategy & Research's 2026 Identity Fraud Study found traditional identity fraud losses reached $27.3 billion last year, affecting 18 million victims. New-account fraud saw the sharpest rise, with victims jumping 31% from 2024 to 2025.
The problem is that not every fraud attempt comes through your existing credit file. The Federal Reserve has flagged synthetic identity fraud as one major gap. This type of fraud pairs a real Social Security number with a fabricated name and date of birth, which can bypass a freeze entirely.
Synthetic identity fraud builds a person who doesn't exist. A scammer takes an SSN stolen in a breach, attaches a name that has never been on a credit file, adds a fabricated birth date and address, and submits it as a new credit application. The bureaus, seeing an SSN they recognize and a name they don't, open a fresh file under the new combination. By the end of 2024, U.S. lenders faced more than $3.3 billion in exposure from synthetic identity fraud, the highest level TransUnion has reported.
Beyond synthetic identity, any fraud not requiring a bureau pull bypasses a freeze. Account takeover, fraudulent tax returns, medical identity theft, and 401(k) scams can all happen without a credit check.
A freeze is a point-in-time control. It must be placed separately at each bureau and can be lifted quickly, leaving a window for fraud. Credit monitoring and identity theft protection services offer continuous alerts and dark web scanning that a freeze cannot provide.
A credit freeze is worth having, but it works best when paired with protections that watch the places a freeze cannot see. Keep freezes active at all three bureaus, then add account alerts, strong passwords with two-factor authentication, regular credit report checks, and identity protection that monitors outside your frozen credit file.