Debit Card Numbers on Receipts Can Lead to Identity Theft

Debit card numbers on receipts can potentially put consumers at risk for identity theft and financial fraud, which is why businesses must adhere to strict federal regulations when processing debit and credit card numbers.

Under the Fair and Accurate Credit Transactions Act (FACTA), only a certain number of credit and debit card numbers on receipts can be printed. FACTA requires businesses and merchants to limit the amount of information on credit or debit card receipts, to prevent fraudsters from stealing vital personal financial information from consumers.

Credit and debit card numbers on receipts are one of the most important pieces of information fraudsters need to access bank accounts and credit lines. They can either use the information themselves or sell it to the highest bidder.

Each card number consists of 16 digits, which is the personal account number (PAN) of the consumer. These cards also show the consumer’s name and expiration date, both of which are vital pieces of the consumer’s identity.

If fraudsters or identity thieves were to get all 16 digits on the debit card number, they could essentially have unlimited access to their primary or second accounts of the consumer.

Overview of FACTA Policy

Under FACTA, businesses and merchants must have update purchase transaction software that omits all but the last five digits of the credit or debit card number and completely leave off the expiration date. The process of limiting the debit card numbers on receipts is called truncation, which is supposed to help lower the chances of fraud and theft.

These rules apply to all electronic printed receipts, including those produced at restaurants, self service kiosks, and retail stores. An exception to the truncation rule makes it inapplicable to handwritten receipts and those made using a carbon paper imprint of the card.

FACTA was enacted in 2003, but businesses were given until 2006 to update their transaction software to meet federal requirements.

Any an all receipts the customer collects should be examined thoroughly to confirm FACTA compliance. Consumers who notice any expiration date or more than the last five credit or debit card numbers on receipts could be in a position to bring a FACTA lawsuit against the business. If the business does not update their transaction software to be FACTA compliant, they could face statutory damages of up to $1,000 per faulty receipt.

The statutory damages provision of FACTA is what makes it such a strong tool for consumer protection. A single receipt that is not FACTA compliant may be a sign that the business has printed many more noncompliant receipts. When that happens, there could be grounds for a FACTA class action lawsuit.

Consumers who want to file a FACTA lawsuit should collect any documentation that reflects the debit card numbers on receipts. Potential claimants can seek a consultation with a knowledgeable FACTA lawyer to determine eligibility for a FACTA lawsuit.

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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