54-15-2. Security freeze defined.

For the purposes of this chapter, a security freeze is a notice placed in a consumer's credit report, at the request of the consumer and subject to certain exceptions, that prohibits the consumer reporting agency from releasing the consumer's credit report, relating to the extension of credit involving that consumer's report, without the express authorization of the consumer. If a security freeze is in place, information from a consumer's credit report may not be released to a third party without prior express authorization from the consumer.

Source: SL 2006, ch 246, § 2.

54-15-3. Request to consumer reporting agency for security freeze.

A person may place a security freeze on that person's credit report by making a request to a consumer reporting agency in a manner designated by the consumer reporting agency to receive a request for a security freeze. This section does not prevent a consumer reporting agency from advising a third party that a security freeze is in effect with respect to the consumer's credit report.

Source: SL 2006, ch 246, § 3; SL 2018, ch 273, § 1.

54-15-4. Time for placing security freeze.

A consumer reporting agency shall place a security freeze on a consumer's credit report no later than five business days after receiving a written request from the consumer.

Source: SL 2006, ch 246, § 4.

54-15-5. Written confirmation of security freeze.

The consumer reporting agency shall send a written confirmation of the security freeze to the consumer within ten business days and shall provide the consumer with a unique personal identification number or password to be used by the consumer when providing authorization for the release of the consumer's credit report for a specific period of time.

Source: SL 2006, ch 246, § 5.

54-15-6. Request for temporary lifting of security freeze.

If any consumer wishes to allow the consumer's credit report to be accessed for a specific period of time while a freeze is in place, the consumer shall contact the consumer reporting agency at a point of contact designated by the agency to receive such requests, request that the freeze be temporarily lifted, and provide the following:

(1)    Proper identification, which means that information generally deemed sufficient to identify a consumer. Only if the consumer is unable to sufficiently identify himself or herself, may a consumer reporting agency require additional information concerning the consumer's employment and personal or family history in order to verify the consumer's identity;

(2)    The unique personal identification number or password provided by the credit reporting agency pursuant to § 54-15-5; and

(3)    The proper information regarding the time period for which the report is available to users of the credit report.

Any consumer reporting agency that receives a request to temporarily lift a freeze on a credit report pursuant to this section shall comply with the request no later than three business days after receiving the request.

Source: SL 2006, ch 246, § 6.

54-15-7. Expedited procedures for temporary lifting of security freeze.

A consumer reporting agency may develop procedures involving the use of telephone, fax, the internet, or other electronic media to receive and process a request from a consumer to temporarily lift a freeze on that consumer's credit report in an expedited manner.

Source: SL 2006, ch 246, § 7.

54-15-8. Conditions for removing or temporarily lifting security freeze.

A consumer reporting agency shall remove or temporarily lift a freeze placed on a consumer's credit report only in the following cases:

(1)    Upon a consumer's request pursuant to § 54-15-6 or 54-15-11; or

(2)    When the consumer's credit report was frozen due to a material misrepresentation of fact by the consumer. When a consumer reporting agency intends to remove a freeze upon a consumer's credit report under this subdivision, the consumer reporting agency shall notify the consumer in writing prior to removing the freeze on the consumer's credit report.

Source: SL 2006, ch 246, § 8.

54-15-9. Treatment of credit or other application as incomplete for denial of limited access to credit information.

If a third party requests access to a consumer credit report on which a security freeze is in effect, and this request is in connection with an application for credit or any other use, and the consumer does not allow the consumer's credit report to be accessed for that specific party or period of time, the third party may treat the application as incomplete.

Source: SL 2006, ch 246, § 9.

54-15-10. Disclosure of process for placing and temporarily lifting security freeze or allowing limited access to information.

If a consumer requests a security freeze, the consumer reporting agency shall disclose the process of placing and temporarily lifting a freeze, and the process for allowing access to information from the consumer's credit report for a specific party or period of time while the freeze is in place.

Source: SL 2006, ch 246, § 10.

54-15-11. Removal of security freeze--Request for removal.

A security freeze under § 54-15-4 shall remain in place until the consumer reporting agency receives a request from the consumer to remove the freeze. A consumer reporting agency shall remove a security freeze within three business days of receiving a request for removal from the consumer. If making a request under this section, a consumer shall provide to the consumer reporting agency:

(1)    Proper identification, as defined in subdivision 54-15-6(1); and

(2)    The unique personal identification number or password provided by the consumer reporting agency pursuant to § 54-15-5.

Any request for removal under this section shall be made to a point of contact designated by the consumer reporting agency to receive the request.

Source: SL 2006, ch 246, § 11; SL 2018, ch 274, § 1.

54-15-12. Use of credit report by certain persons and entities not subject to chapter.

This chapter does not apply to the use of a consumer credit report by any of the following:

(1)    A person, or a subsidiary, affiliate, or agent of that person, or an assignee of a financial obligation owed by the consumer to that person or entity, or a prospective assignee of a financial obligation owed by the consumer to that person in conjunction with the proposed purchase of the financial obligation, with which the consumer has or had prior to assignment an account or contract, including a demand deposit account, or to whom the consumer issued a negotiable instrument for the purposes of reviewing the account or collecting the financial obligation owed for the account, contract, or negotiable instrument. The term, reviewing the account, includes activities related to account maintenance, monitoring, credit line increases, and account upgrades and enhancements;

(2)    A subsidiary, affiliate, agent, assignee, or prospective assignee of a person to whom access has been granted under § 54-15-6 for purposes of facilitating the extension of credit or other permissible use;

(3)    Any federal, state, or local entity, including a law enforcement agency or court;

(4)    A private collection agency acting under a court order, warrant, or subpoena;

(5)    A child support agency acting under Title IV-D of the Social Security Act (42 U.S.C. et seq.);

(6)    The Department of Social Services acting to fulfill any of its statutory responsibilities;

(7)    The Internal Revenue Service acting to investigate or collect delinquent taxes or unpaid court orders or to fulfill any of its other statutory responsibilities;

(8)    The use of credit information for the purposes of prescreening as provided for by the federal Fair Credit Reporting Act;

(9)    Any person or entity administering a credit file monitoring subscription service to which the consumer has subscribed;

(10)    Any person or entity for the purpose of providing a consumer with a copy of the consumer's credit report upon the consumer's request; and

(11)    Any person or entity for use in setting or adjusting a rate, adjusting a claim, or underwriting for insurance purposes.

Source: SL 2006, ch 246, § 12.

54-15-13. Written confirmation of changes to report while security freeze in place.

If a security freeze is in place, a consumer reporting agency may not change any name, date of birth, social security number, or address in a consumer credit report without sending a written confirmation of the change to the consumer within thirty days of the change being posted to the consumer's file. Written confirmation is not required for technical modifications of a consumer's official information, including name and street abbreviations, complete spellings, or transposition of numbers or letters. In the case of an address change, the written confirmation shall be sent to both the new address and to the former address.

Source: SL 2006, ch 246, § 13.

54-15-14. Resellers of credit information not required to place security freeze.

No consumer reporting agency is required to place a security freeze in a consumer credit report if the consumer reporting agency acts only as a reseller of credit information by assembling and merging information contained in the data base of another consumer reporting agency or multiple consumer reporting agencies, and does not maintain a permanent data base of credit information from which new consumer credit reports are produced. However, a consumer reporting agency shall honor any security freeze placed on a consumer credit report by another consumer reporting agency.

Source: SL 2006, ch 246, § 14.

54-15-15. Certain entities not required to place security freeze.

The following entities are not required to place a security freeze in a consumer credit report pursuant to this chapter:

(1)    A check services or fraud prevention services company, which issues reports on incidents of fraud or authorizations for the purpose of approving or processing negotiable instruments, electronic funds transfers, or similar methods of payments; and

(2)    A deposit account information service company, which issues reports regarding account closures due to fraud, substantial overdrafts, ATM abuse, or similar negative information regarding a consumer, to inquiring banks or other financial institutions for use only in reviewing a consumer request for a deposit account at the inquiring bank or financial institution.

Source: SL 2006, ch 246, § 15.

54-15-16. Furnishing of information to governmental agency when security freeze in place.

A consumer reporting agency may furnish to a governmental agency a consumer's name, address, former address, places of employment, or former places of employment even if a security freeze is in place.

Source: SL 2006, ch 246, § 16.

54-15-17. Fee for placement or removal of security freeze prohibited.

A consumer reporting agency is prohibited from charging a fee for a placement or removal of a security freeze under this chapter.

Source: SL 2018, ch 273, § 2.