Federal Law Provides FACTA Privacy Protections For Consumers

Former President George W. Bush signed into law an amendment to the Fair Credit Reporting Act in 2003. This amendment provided for several new Fair and Accurate Credit Transactions Act (FACTA) privacy protections which have since become so commonplace in our everyday commercial transactions that we may fail to notice them.

FACTA privacy protections are evident on most receipts given during day-to-day retail transactions for consumers. They are designed to discourage fraudulent determination of an individual’s credit card number through a process of elimination.

The amendment allows retail establishments to print only the last five digits of a credit card number on sales receipts. It does not allow for the printing of just any non-sequential five digits. In addition, FACTA privacy protections do not allow for the printing of credit card expiration dates in any form on said receipts.

The use of placeholder symbols where digits would otherwise be on commercial receipts such as the number sign (#) or the star sign (*) have been used for some time. These placeholder symbols are designed to obscure key data that criminals could use in identity theft.

Nevertheless, there are still many instances of non-compliance in violation of this important federal law. Identity theft is serious business, and commercial entities that fail to protect you as a consumer need to be held accountable.

The Specifics and Exceptions of the Law

FACTA privacy protections do not allow for a lack of diligence when it comes to giving out too much information. The law is very specific about what may and may not be printed, and consumers are encouraged to take a few minutes to review their receipts for accuracy in the name of their own security. Violations can be very subtle and numerous in their variation.

FACTA does allow exceptions for receipts generated by a card imprint machine. Card imprint machines are sometimes still used by small businesses, so an exception is made in this case. There is also exception made for handwritten receipts, also common in small business transactions.

Violations of the last five-digit rule can be as simple as having the last six digits printed to having the first two and last four digits printed. The law is very specific as to its requirements.

The same can be said of the no expiration date rule. Any date reference in combination with placeholder and real digits of credit card numbers regardless of whether dashes or backslashes are used are prohibited. That could include anything from a two-digit month and two-digit day combination to a complete month, day, and year reference.

The Financial Consequences Can Add Up for Violators and Consumers Alike

Violations of the FACTA privacy protections can come with some expensive consequences for commercial retailer, especially if those violations become the subject of a FACTA class action lawsuit. Each violation can cost a company between $100 and $1,000 in statutory damages. Consumers are encouraged to be on the lookout for offenses because identity theft is real, its damage is long-standing, and its recovery is substantially difficult.

Free FACTA Class Action Lawsuit Investigation

If you made one or more purchases and the retailer provided you with a receipt that contained more than the last five digits of your credit or debit card number or the expiration date, you may be eligible for a free class action lawsuit investigation and to pursue compensation for these FACTA violations.

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