House passes legislation that removes fees for security freezes and increases access to credit reports
In response to recent breaches like the one at Equifax, which jeopardized the personal information of more than 140 million Americans, State Representative Nick Collins joined his colleagues in the House to pass legislation providing added protections and resources for consumers. Under this legislation, credit freezes, lifts, or removals must be provided to consumers without a charge, and credit agencies or businesses must also provide one year of free credit monitoring after any breach.
The legislation updates the framework for the implementation of a freeze and related communications including:
- Modernizes the current law by allowing consumers to request credit freezes electronically or by telephone.
- Implements a 24-hour online notification from the Office of Consumer Affairs
- Requires clear and accurate disclosure to consumers of basic information about credit freezes.
- In the event of a security breach, mandates credit agencies place a security freeze on a consumer report within one day of an electronic or telephone request, and within three days of receipt of a written request.
- Credit agencies must send confirmation of the security freeze within three days.
“I am proud to support this legislation that protects Massachusetts residents and modernizes the way we deal with this sensitive information” said Rep. Collins. “Especially after these high-profile breaches and in these times of increased cyber-security concerns, it is imperative that every resident, especially our seniors, have more control over their credit protections and that victims can more easily respond to these sorts of violations.”
For the first time in Massachusetts, this legislation also establishes specific guidelines for parents and guardians to freeze accounts of children under the age of 16 and incapacitated individuals. The bill now moves to the Senate for consideration.
