Debit Card Class Action Lawsuit May Be Filed for FACTA Violations

Many consumers may not be aware that the receipt they are handed at a retail establishment may be in violation of FACTA, a federal law. Retailers may violate this law by printing sensitive payment card information on customer receipts. If a customer receives such a receipt, he or she may choose to become part of a debit card class action lawsuit.

FACTA Violations

The Fair and Accurate Credit Transactions Act, or FACTA, among other things, regulates what kind of information may be printed on a credit card or debit card receipt, such as account numbers and expiration dates. The reason why this information is limited is in order to protect the customer from both identity theft and fraud.

FACTA primarily does three things:

1. Obligates the three major credit reporting agencies (Experian, EquiFax and TransUnion) to provide free credit reports to Americans yearly free of charge if requested.
2. Allows consumers to put a credit alert on their files if they think they may have been a victim of fraud.
3. Limits what information a retailer can print on a customer receipt that has been made with a debit card or credit card.

If certain pieces of financial information were to get into the hands of some people, that information could be stolen or the identity of the customer could be compromised. If a retailer has printed unlawful information on a customer’s receipt, that customer could participate in a debit card class action lawsuit.

FACTA allows retailers to print certain parts of a credit or debit card number on a receipt, but not others. The last five digits of a debit card or a credit card number may be printed on a customer receipt. But the retailer may not print more than those five digits of the account number. Additionally, the retailer may not print the expiration date of the credit or debit card on the receipt.

FACTA states “no person that accepts credit cards or debit cards for the transaction of business shall print more than the last 5 digits of the card number or the expiration date upon any receipt provided to the cardholder at the point of the sale or transaction.”

If the expiration date is printed on the receipt or more than the last five digits of the credit or debit card is printed, that retailer may be in violation of federal consumer protection laws. That retailer may be subject to high fines and the customer may be able to participate in a credit card or debit card class action lawsuit.

This applies to all electronically printed receipts. Most retailers these days have electronic credit card readers and point of sale systems that print receipts electronically. Each violation of FACTA can bring fines of up to $1,000. If a large retailer prints hundreds of receipts each day and those receipts are in violation of FACTA, these fines can be extensive.

Many retailers and POS systems truncate the credit and debit card numbers and replace them with stars or hashtags (“*” or “#”). A lawful way to print a credit card number might look like this: **** **** ***4  4444. An unlawful way to print a debit or credit card number may look like this: **** **22 **** 4444 or **** **** **33 ****. Even if less than five digits are represented, but they are not comprised of the last five digits, the retailer may still be in violation of federal law. And printing any part of the expiration date is also illegal, no matter what format.

If you believe that your sensitive information has been printed on a retail receipt, you may be eligible for a debit card class action lawsuit. Filing a debit card class action lawsuit may help you reap financial compensation, as well as protect others who may have suffered the same violations by making the business aware.

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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