Can you protect your ID for free?

Here's how it works. You send a letter to each credit agency, requesting a freeze. You'll also have to send a utility bill, to prove you're you. There will also be a small charge. If everything's in order, your report will be frozen for several years.

There's really not much to it. This is about as foolproof as possible. Companies that regularly check your credit, like auto insurers, can still see it. Only new creditors will be blocked.

But there's a catch. What happens when you decide to change cell phone service providers? The new guys will want to check your credit. Or, say you're at the store. You're offered a great deal on the store's credit card. But the store needs to check your credit.

The hassle begins. You must find out which credit agency the business uses. Then you must call and give the agency a PIN. At the very least, this is not going to be smooth. You have real problems if you can't remember the PIN.

Personally, I'd rather split the difference. It's true that ProtectMyID is not free. It runs $99.95 per year. That's a price I'm willing to pay. It doesn't get in your way as a freeze does. And it offers solid protection.

Should someone open an account in your name, you'll be notified. You'll have time to stop it before they can do any damage. That may not be the case if you're only checking credit reports. If your identity is stolen, you'll have a specialist to help you.

Overall, I think ProtectMyID gives me the best deal. That's why I use it.