Be FACTA Savvy: Consumers Advised to Monitor Credit

Identity theft and credit card fraud are some of the most common and devastating risks for consumers across America.

While there are various rules in place to protect consumers from these dangers, experts advise that consumers can start by protecting themselves using the Fair and Accurate Credit Transaction Act (FACTA).

FACTA was enacted in 2003, to help protect consumers against the growing problem of identity theft and credit card fraud.

Identity theft has been epidemic problem in America since the 1990s, with collective surveys suggesting no signs of the problem slowing down. According to a 2003 report released by the Federal Trade Commission (FTC), it was estimated that 10 million Americans were victims of identity theft in 2002, alone.

In a more recent report released in February 2014 by the Javelin Strategy and Research, it was estimated that 13.1 million people suffered identity theft in 2013. With such devastating numbers, consumers may need all the help they can get to protect their financial assets from predators.

However as experts stated, if the consumers is able to act as the first line of defense against this crime, it could serve as an effective prevention measure.

Experts encourage consumers to monitor their credit reports for any sign of suspicious or unrecognizable spending behavior, which can be obtained from each of the three national credit bureaus: Experian, TransUnion, and Equifax; experts advise consumers do this at least once a year. FACTA policy allows consumers to block certain items on their credit report, which could indicate identity theft; this federal regulation has been hailed as a vital tool for American consumers.

Overview of FACTA Policy

FACTA policy provides a number of provisions to help consumers monitor their credit scores, and also requires merchants to take necessary measures to decrease the chances of identity theft. The rules of FACTA surround credit and debit card receipts of the consumer, which revolve around the information that is not supposed to be present on the paper.

According to FACTA policy, no electronic debit or credit card receipt shall show the expiration date of the card, and only show the last five numbers of the card number, a process called truncation.

The rest of the debit or credit card numbers are often just omitted or replaced with symbols such as * or #. FACTA policy mandates that the electronic receipts from either debit or credit card transactions can show any more than the last five numbers of the card, and cannot show the expiration date at all times during the sale or transaction.

While this policy does not apply to receipts meant for handwritten or imprinted recording credit or debit card transactions, merchants are still encouraged to use as much discretion as possible for the sake of the consumer.

If a merchant has been found to commit FACTA violations, consumers are encouraged to seek legal action for potentially putting them at risk for identity theft.

FACTA policy applies to all electronically printed receipts produced from cash registers, self-service kiosks, and restaurant bills. Merchants who are found in willful violation of FACTA, can face up to $1000 per fine; this can add up to substantial damage if the company is not careful.

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.

Get Started