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A White House memo ordering a broad freeze on federal grants and loans by 5 p.m. Tuesday has ordinary Americans who depend on such aid, as well as seasoned budget experts, scratching their heads.
It also means bad actors cannot take out loans or open credit cards, since the freeze locks the data at the consumer reporting agency until the individual gives permission for the release of said ...
"A credit freeze means potential creditors cannot get your credit report. That makes it less likely that an identity thief can open new accounts in your name," NPD said.
The Trump administration paused federal grants, loans, and other financial assistance in a late-night move - that could have big impacts for everyday Americans.
This means that once you freeze your credit, no one can access your credit report or open a new line of credit without your permission. If you want to apply for a new credit card or personal loan ...
The first state to pass a credit freeze law was California, with SB 1386 sponsored by Debra Bowen in 2002, effective 2003. [17] In late 2007, all three of the major credit bureaus (following TransUnion's lead) announced that they would let consumers freeze their credit reports, regardless of the state of residency. [18]
While the freeze was set to take effect Tuesday at 5 p.m., a federal district judge granted an administrative stay in a case challenging it, pausing the plan for a week.
Additionally, over 40 million Americans rely on federal student loans to help them finance their higher education, and those loans will continue to be disbursed during the funding freeze.
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