SB52
sponsored by Senator Forehand of Montgomery County, would allow
consumers to place ‘freezes’ on their credit reports and allow only
parties authorized by the consumer to access his/her sensitive
financial information.
“All
consumers deserve the right to put a security freeze on their credit
report so they can prevent thieves from hurting their credit in the
first place,” said Johanna Neumann, policy advocate for Maryland PIRG.
“At a time when identity theft has become so common, this safeguard
offers consumers a powerful tool to keep crooks from damaging their
financial futures.”
Identity
theft is the fastest growing crime in America and Maryland ranks 11th
in the country according to the Office of the Attorney General. In
2005, over 686,000 Americans filed complaints of consumer fraud and
identity theft with the Federal Trade Commission and the number has
been growing steadily. In Maryland, 4,848 people were defrauded an
average of $1600 in 2005.
“One
of the biggest headaches that identity theft victims have to deal with
is cleaning up the damage done to their credit records when crooks
steal and use their personal information and ruin their credit,” said
Andy Galli, executive director with the Maryland Consumer Rights
Coalition. “Studies have determined it takes about 200 hours and close
to $1,000 out of pocket to make things right. If access to the
consumer’s credit files is frozen, the identity thief is stopped cold.”
Twenty-five
other states have passed security freeze laws, including Florida,
Hawaii, Illinois, Kentucky, Minnesota, New Hampshire, New York,
Oklahoma, Rhode Island, South Dakota, Utah and Wisconsin last year.
“Identity
theft has become an epidemic that ruins the credit records of
countless older Marylanders – and Marylanders of all ages – every
year,” said Darrin Brown with AARP Maryland. “We hope Maryland joins
the majority of states in the country who have given their citizens
this important tool to protect themselves from this crime.”
