FACTA Attorney

Unfortunately, identity theft continues to be a major issue impacting millions of American adults each year. As more information and a greater number of transactions move online, that problem is likely to grow.

The Fair and Accurate Credit Transactions Act (FACTA) was enacted by the U.S. Congress in 2003 to enhance existing protection for consumers under the Fair Credit Reporting Act (FCRA), specifically including identity theft protection. FACTA has requirements that lenders and payment processors must follow, and provides mechanisms designed to allow individuals to better manage their credit profiles.

What Does a FACTA Attorney Do?

While FACTA imposes obligations on lenders and other businesses, the reality is that some of them do not follow the law as required. By taking shortcuts or failing to implement adequate policies and procedures, these lenders are putting consumer information at risk.

The consumer protection attorneys at Stein Saks, PLLC assist victims of FACTA violations — holding businesses accountable and helping individuals obtain the compensation they are entitled to receive. Our FACTA litigation team has significant experience, understands the intricacies of FACTA legislation, and is adept at protecting consumers’ rights.

Frequently Asked Questions About FACTA

Q: What constitutes identity theft?

A: When someone else uses your personal information such as your name, Social Security number and birthdate, and attempts to gain from such use, you are the victim of identity theft. Identity theft comes in many forms — including criminal or medical identity theft, spoofing or cloning your identity, accessing and taking over your accounts without your authorization, opening new accounts using your identity, and more.

Q: How does FACTA protect individual consumers from becoming victims of identity theft?

A: There are several FACTA identity theft provisions for consumers, including a mechanism for individuals to request copies of their credit reports from each of the three major credit bureaus (Equifax, Experian and TransUnion) once each year. FACTA also allows individuals to place fraud alerts on their credit files, potentially helping limit the damage that can occur as a result of identity theft by preventing further losses.

Q: What obligations does FACTA place on lenders?

A: FACTA includes a requirement that lenders provide borrowers with “risk-based-pricing” notices and, if an application for credit is denied or is approved under less favorable terms, lenders must provide borrowers with their credit score along with the factors that impacted the lending decision.

Q: Does FACTA include provisions for businesses outside of financial services?

A: Yes. In addition to the provisions applicable to lenders, as outlined above, FACTA provides details about the types of information businesses may include on credit card receipts. Receipts must not include the full credit card number (only the last five digits are allowed) and may not include the card’s expiration date or the three-digit CVV code. Companies that violate these rules by including prohibited information may be liable for resulting losses.

If you believe you are the victim of a violation of one or more of FACTA’s provisions, contact Stein Saks, PLLC today to schedule a consultation.