FACTA Provides You Credit Card Fraud Protection

The Fair and Accurate Credit Transactions Act of 2003 (FACTA) provides consumers with credit card fraud protection.

According to these laws, retailers can print only the last five digits of your credit or debit card on your electronic receipt. These receipts should not show the card’s expiration date.

FACTA-compliant receipts show enough information to make the transaction identifiable to the consumer and to the retailer in the event a return or refund is required, but not enough information to benefit a would-be fraudster.

Always look at your receipt to be sure the retailer is following FACTA’s guidelines. Staying alert helps you take an active role in your own credit card fraud protection.

FACTA also gives consumers the right to one free credit report a year from the three main credit bureaus, Equifax, Experian and TransUnion. This enables you to keep an eye on your credit situation so that you can spot fraud early before it snowballs into a big problem.

In addition, FACTA enables creditors and financial institutions to make a coordinated response with the Red Flags Rule. They use this communication to indicate when a consumer’s credit has become the target of possible fraudulent activity.

How FACTA Enforces Credit Card Fraud Protection

The Bureau of Consumer Protection, a division of the Federal Trade Commission (FTC), says compliance with FACTA laws are important because “credit card numbers on sales receipts are a ‘golden ticket’ for fraudsters and identity thieves.”

Businesses that do not comply with FACTA receipt rules can face law enforcement action by the FTC. Both civil penalties and injunctive relief have been applied in various cases. Injunctive relief means the court orders the defendant to cease a specified act rather than ordering the defendant to make a monetary payment.

A merchant is more apt to be found he has “willfully” violated FACTA receipt laws if the retailer “knew or should have known” of FACTA’s regulations and was made aware of the statute’s requirements. FACTA takes credit card fraud protection seriously.

If the consumer can prove that the merchant willfully violated FACTA, the consumer could recover statutory damages ranging from $100 to $1000 per violation.

Credit Card Fraud Protection Measures to Use Daily

Here are some tips for avoiding credit card fraud:

1. Only shop online if the website is secure, which means the ‘URL’ will start with https instead of just ‘HTTP’. Also look for the Better Business Bureau logo or other merchant validation.
2. Check your bank account and your credit card activity online to see if you used your card at any store that has recently been hacked.
3. Beware phishing scams, which means there are hackers who will email or call you under the guise of being your bank or credit card issuer. They will try to trick you into giving up passwords, your date of birth, Social Security number or other private information.
4. If your credit card is fraudulently used or even attempted to be used, call your credit card company or bank and demand a new replacement card immediately.
5. Keep a list of your credit card numbers and their customer service numbers somewhere safe inside your home. That way, if your wallet or purse are stolen, you will be able to contact the correct companies right away.

If credit card fraud protection has failed you because of a FACTA violation, speak with a lawyer regarding your rights and options for compensation.

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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