Consumer Report Security Freeze 2014 Legislation

Heather Morton 9/23/2014

Security BreachA consumer report security freeze limits a consumer reporting agency from releasing a credit report or any information from the report without authorization from the consumer.

 If a person suspects that he or she has been victimized by identity theft, a consumer report security freeze can help the person track whether an identity thief is using the person’s information to set up bogus accounts.

The chart below lists state legislation introduced or pending during the 2014 legislative session relating to consumer report security freezes.

Seven states have enacted legislation in the 2014 session. Florida, Georgia, Indiana, Iowa, Louisiana, South Carolina and Virginia enacted legislation authorizing security freezes for protected consumers.

The box allows you to conduct a full text search or type the state name.

State Bill Number Bill Summary
Consumer Report Security Freeze 2014 Legislation
Alabama

H.B. 541

Indefinitely postponed 4/1/14
This bill authorizes a representative to freeze the consumer credit information of a minor under the age of 17 or of an individual who is incapacitated or for whom a court or other authority has appointed a guardian or conservator.
Alaska None  
Arizona None  
Arkansas None  
California None  
Colorado None  
Connecticut None  
Delaware None  
District of Columbia None  
Florida

H.B. 151

Substituted 4/21/14

S.B. 242

Signed by governor 6/13/14, Chapter 66

Cites this act as the “Keeping I.D. Safe (KIDS) Act"; authorizes the representative of a protected consumer to place a security freeze on a protected consumer’s consumer report or record; prohibits a consumer reporting agency from stating or implying that a security freeze reflects a negative credit history or rating; requires a consumer reporting agency to remove a security freeze under specified conditions.
Georgia

H.B. 915

Signed by governor 4/24/14, Act 611
Provides for security freezes for minors; provides for definitions; provides for requirements for requesting and executing such security freezes; provides for removal of such security freezes; provides for fees; provides for exceptions; provides for penalties.
Guam Not available  
Hawaii

H.B. 712

Passed House 2/27/14
Enables a credit reporting agency to place a security freeze on the record for a protected consumer, who is a minor or incapacitated person, upon the request of the protected consumer's representative.
Idaho None  
Illinois None  
Indiana H.B. 1312 Defines "protected consumer" as: (1) an individual who is less than 16 years of age; or (2) an incapacitated person for whom the court has appointed a guardian. Allows a representative who has authority to act on behalf of a protected consumer to place a security freeze on the protected consumer's consumer report or, if the protected consumer does not have a consumer report, a record created by the consumer reporting agency. Establishes requirements concerning security freezes similar to those in the security freeze law for consumers.
Indiana

S.B. 394

Signed by governor 3/24/14, Public Law 85
Makes various changes to consumer protection provisions enforced by the attorney general, including: (1) enforcement of investigative demands by the attorney general; (2) acceptance of written assurance of voluntary compliance for certain violations concerning nonprofit corporations; and (3) changes to the definition of "consumer transaction" and to acts, omissions, and practices by a supplier that are prohibited in connection with consumer transactions for purposes of the deceptive consumer sales law.
Iowa

H.F. 2368

Signed by governor 3/26/14, Chapter 1041
Extends security freeze protection to persons designated as protected consumers; relates to a person under 16 years of age at the time of a security freeze request or an incapacitated person or a protected person for whom a guardian or conservator has been appointed; relates to sufficient proof of authority that shows a representative has power of attorney; provides that sufficient proof of a protected person's identity includes a driver license, identification card or other government issued document.
Kansas None  
Kentucky None  
Louisiana

H.B. 844

Signed by governor 5/22/14, Act 201
Provides for credit reporting agencies to place a security freeze on protected persons' credit reports; defines protected person as an individual under a specified age, an interdicted person for whom a curator has been appointed, or an incapacitated or protected person for whom a guardian or conservator has been appointed.
Maine None  
Maryland H.B. 1272 Requires the administrative head of a specified institution or a designee of the administrative head or the secretary of Health and Mental Hygiene to provide a specified notice relating to security freezes to the mother, father, or legal guardian of a child under specified circumstances; requires the secretary to provide a specified notice relating to security freezes on a specified form provided by the secretary; requires the Consumer Protection Division to prepare a specified notice.
Massachusetts H.B. 298

Relates to the protection of personal information in consumer transactions.

Michigan None  
Minnesota None  
Mississippi None  
Missouri None  
Montana No regular 2014 session  
Nebraska None  
Nevada No regular 2014 session  
New Hampshire None  
New Jersey None  
New Mexico None  
New York

A.B. 8955

Passed Senate 6/17/14

S.B. 6682

Substituted 6/17/14

Requires a consumer credit reporting agency to place a security freeze for a protected minor consumer if the agency receives a request from the protected consumer's representative for the placement of the freeze and if the representative submits specified documents and fees.
New York S.B. 3278 Amends the General Business Law; implements provisions to protect credit reports of certain consumers.
North Carolina None  
North Dakota No regular 2014 session  
N. Mariana Islands Not available  
Ohio None  
Oklahoma None  
Oregon None  
Pennsylvania H.B. 713 Amends the Credit Reporting Agency Act, provides for findings and intent; and further provides for definitions, for security freeze, for consumer reporting agency, for temporary access or removal of security freeze and for fees.
Pennsylvania H.B. 1982 Amends the act of Nov. 29, 2006 (P.L.1463, No.163), known as the Credit Reporting Agency Act; further provides for security freeze.
Puerto Rico None  
Rhode Island H.B. 7519 This bill imposes additional requirements upon a notice of breach and disclosure to affected Rhode Island residents of the contact information for consumer reporting agencies and the Federal Trade Commission; a statement that an individual can obtain information from these sources regarding fraud alerts and security freezes; and a statement that warns against possible imposters who attempt to fraudulently notify individuals of security breaches in an attempt to obtain personal identity information. The bill also provides that the breached entity provide the affected resident with one year of credit monitoring services at no cost to the resident.
Rhode Island S.B. 2640 This bill imposes additional requirements upon a notice of breach and disclosure to affected Rhode Island residents of the contact information for consumer reporting agencies and the Federal Trade Commission; a statement that an individual can obtain information from these sources regarding fraud alerts and security freezes; and a statement that warns against possible imposters who attempt to fraudulently notify individuals of security breaches in an attempt to obtain personal identity information. The bill also provides that the breached entity provide the affected resident with one year of credit monitoring services at no cost to the resident.
South Carolina

S.B. 148

Signed by governor 4/7/14, Act 145
Adds §37-20-161 so as to provide circumstances in which consumer reporting agencies shall place a security freeze on the consumer report of a protected consumer, to provide for the duration of the freeze and circumstances for its removal, to provide consumer reporting agencies shall not release certain information from frozen accounts, to prohibit consumer reporting agencies from charging related fees, and to define necessary terms.
South Dakota None  
Tennessee None  
Texas No regular 2014 session  
Utah

S.B. 239

Enacting clause struck 3/13/14
This bill defines terms; upon request and in accordance with the provisions of this bill, requires a credit reporting agency to place a security freeze for: an individual who is less than 16 years of age; an incapacitated adult; or a protected person; provides a procedure by which an individual or an individual's representative may remove a security freeze; allows, under certain circumstances, a credit reporting agency to charge a reasonable fee of $5 or less for the placement or removal of a security freeze; provides that the attorney general may enforce the provisions of this bill; and makes technical and conforming changes.
Vermont None  
Virginia

H.B. 543

Signed by governor 4/4/14, Chapter 570
Establishes a procedure by which a protected consumer's representative may request that a consumer reporting agency place a security freeze on the protected consumer's credit report. A protected consumer is an individual resident of the commonwealth who is (i) younger than age 16 at the time a request for the placement of a security freeze is made or (ii) an incapacitated person for whom a guardian or conservator has been appointed. If a freeze is established for a protected consumer, a consumer reporting agency is prohibited from releasing the protected consumer's credit report, any information derived from it, or any record created for the protected consumer, unless the freeze is removed. A fee of up to $10 may be charged for placing or removing a freeze, except identity theft victims and persons under age 16 for whom the agency has a credit report are not required to pay a fee. Willful violations are subject to a civil penalty of up to $1,000. The measure will become effective Jan. 1, 2015.
Virginia H.B. 934 Establishes a procedure by which a protected consumer's representative may request that a consumer reporting agency place a security freeze on the protected consumer's credit report. A protected consumer is an individual resident of the commonwealth who is (i) younger than age 16 at the time a request for the placement of a security freeze is made or (ii) an incapacitated person for whom a guardian or conservator has been appointed. If a freeze is established for a protected consumer, a consumer reporting agency is prohibited from releasing the protected consumer's credit report, any information derived from it, or any record created for the protected consumer, unless the freeze is removed. A fee of up to $5 may be charged for placing or removing a freeze, except identity theft victims and persons under age 16 for whom the agency has a credit report are not required to pay a fee. Penalties and enforcement mechanisms are identical to those provided for nonprotected consumers under the existing security freeze statute.
Virgin Islands Not available  
Washington None  
West Virginia None  
Wisconsin

A.B. 628

Failed to pass pursuant to Senate Joint Resolution 1 4/8/14
This bill prohibits the possession, by a person who is imprisoned or otherwise in the custody of or supervised by the Department of Corrections, or who is a patient at a mental health facility or who resides in a mental health facility, of a correctional employee’s or health services employee’s personal identifying information or a document relating to the employee’s personal identifying information. A person who violates this prohibition is guilty of a Class H felony. Under the bill, a correctional employee or health services employee who is the victim of an unauthorized possession of his or her personal identifying information or documents may obtain a security freeze on his or her credit reports free of charge, if he or she submits proof to a credit reporting agency that he or she reported the unauthorized possession to a law enforcement agency.
Wisconsin

S.B. 283

Failed to pass pursuant to Senate Joint Resolution 1 4/8/14
This bill allows a “representative” of a “protected individual” to obtain a security freeze on the protected individual’s credit report. A “protected individual” is an individual: 1) who is less than 18 years of age (minor); 2) for whom a guardian of the estate or a conservator has been appointed; or 3) who has executed a durable power of attorney. A “representative” is:  1) a parent who has legal custody of a minor, the guardian or legal custodian of a minor, or a person delegated care and custody of a minor; 2) a guardian of the estate or conservator appointed for a protected individual; or 3) an agent of an individual under a durable power of attorney. In general, the same procedures and requirements apply to a representative acting on behalf of a protected individual as apply when an individual acts on his or her own behalf. Under the bill, if a protected individual does not have a credit report, the representative may request that a credit reporting agency create a record for the protected individual and treat that record in the same manner as a credit report for purposes of placing a security freeze. If a representative of a minor requests a security freeze for the minor, when the minor reaches age 18, the credit reporting agency must remove the security freeze and may thereafter honor requests only from the individual who was formerly a minor, not from the representative. If any other representative makes a request for a security freeze for a protected individual, and the guardianship, conservatorship, or durable power of attorney with respect to the protected individual is terminated, the representative must notify the credit reporting agency. Upon receiving this notice, or if the credit reporting agency’s own records show such a termination, the credit reporting agency may not honor requests from the representative and any further requests or actions with respect to the individual who was formerly a protected individual must be made by that individual or, if there is a successor representative, by the successor representative. If there is no successor guardianship, conservatorship, or durable power of attorney, the credit reporting agency must remove the security freeze when the credit reporting agency has information that the guardianship, conservatorship, or durable power of attorney is terminated.
Wisconsin

S.B. 472

Failed to pass pursuant to Senate Joint Resolution 1 4/8/14
This bill prohibits the possession, by a person who is imprisoned or otherwise in the custody of or supervised by the Department of Corrections, or who is a patient at a mental health facility or who resides in a mental health facility, of a correctional employee’s or health services employee’s personal identifying information or a document relating to the employee’s personal identifying information. A person who violates this prohibition is guilty of a Class H felony. Under the bill, a correctional employee or health services employee who is the victim of an unauthorized possession of his or her personal identifying information or documents may obtain a security freeze on his or her credit reports free of charge, if he or she submits proof to a credit reporting agency that he or she reported the unauthorized possession to a law enforcement agency.
Wyoming None  

 

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Heather Morton is a program principal in NCSL's Fiscal Affairs Program. She covers financial services, alcohol production and sales, and medical malpractice issues for NCSL.

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