How Rules For Credit Card Receipts Prevent Identity Theft

When most of us are handed a receipt from a retailer, we may check the accuracy to make sure we were not over charged for something, but we may not realize that there are certain rules for credit card receipts in place that govern what kind of information may appear on credit card receipts.

However, once you become aware of the rules designed to protect you from becoming a victim of identity theft, you will want to check your receipts to make sure they are in compliance and that your identity is not at risk of theft.

Rules for credit card receipts were developed in 2003 under legislation known as FACTA, the Fair and Accurate Credit Transactions Act. Many consumers are aware of the part of this act that allows each citizen to receive a free copy of their credit report annually to check for any potential identity theft issues.

The rules for credit card receipts are a very important part of this legislation, as before the law was passed, retailers were printing out entire account numbers and expiration dates on credit card receipts given to customers.

The customer might simply toss the receipt in the garbage, or a customer might lose the receipt without really thinking much of it.

Identity thieves, on the other hand, could find a gold mine in these receipts that had full credit card or debit card account numbers printed along with the expiration dates. They could make purchases in the card holder’s name, or with some more advanced digging, they may be able to find out more information and completely steal a consumer’s identity.

What Are the Rules for Credit Card Receipts?

There are two main rules that businesses must follow when providing an electronically printed receipt directly to a consumer.

First, a credit card receipt may contain no more then the last five digits of a credit card or debit card holder’s account. Second, no part of the credit or debit card expiration date may appear on the receipt. FACTA requires that credit card information be truncated in order to comply with rules for credit card receipts.

It is important to note that certain receipts are not covered under FACTA. Handwritten receipts or those that use and imprinted credit card machine are not covered, and neither are receipts kept by the retailer as part of business transaction records.

What Happens if These Rules For Credit Card Receipts are Violated?

If these rules for credit card receipts are violated, companies may face serious penalties for placing more than the last five debit or credit card account numbers on the receipt or for placing and part of the expiration date on the receipt.

Violations of these rules for credit card receipts carry a penalty between $100 and $1,000 for each receipt printed in violation of FACTA. Consumers can seek damages against businesses by filing a FACTA lawsuit.

As one can imagine, if a big business has engaged in FACTA violations, just a few days or a week’s worth of transactions that violated rules for credit card receipts can amount to millions of dollars for the company.

Most credit card companies are generally in compliance, however, when a business switches to a new credit card processing system. If it is not correctly programmed, it could put customer identity at stake and violate rules for credit card receipts.

What to Do if Your Receipt Violates FACTA Rules

If you are in possession of a receipt that includes more than the last five digits of your credit card or debit account number electronically printed, or your receipt contains the expiration date of your credit card or debit card account, you may be eligible to file a FACTA lawsuit over violation of rules for credit card receipts.

A FACTA attorney is available to provide you with a free case review and can discuss your legal options with you if you qualify.

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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