What is the Fair and Accurate Credit Transactions Act (FACTA)?
FACTA is the Fair and Accurate Credit Transaction Act. This is federal legislation that is applicable to every business in the state of Missouri and every other state throughout the U.S. FACTA was implemented to reduce the threat of fraud and identity theft occurrences. Any organization that disposes of private information unsafely could face substantial fines of up to $2500 per record.
Who is subject to FACTA Compliance?
This federal law applies to every organization in St. Louis and throughout the United States. All businesses in St. Louis are mandated by law to comply with FACTA. If you’re the owner of a business, it is your responsibility to ensure that confidential information about your employees and customers remains 100% secure. Systems that print payment card receipts are required to use a PAN truncation (personal account number truncation) in an effort to protect the consumer’s entire account number from being seen on the slip. There are considerable penalties in place for merchants who fail to follow through with these laws, revealing private credit card information as a result
What are my Rights Under FACTA?
This legislation offers consumers with effective resources to fight identity theft and also supplies consumers with consistent access to the most dynamic credit markets across the world. You are welcome to request credit reports from the three prominent credit reporting agencies, and retrieve these at no cost to you. Consumers also have the ability to put an alert message on their account if they think they may have been affected by fraud. Under FACTA, organizations are required to safely dispose of private information to secure your identity, and to reduce the risk of unwanted exposure. You’re also entitled to immediate notification should there be any unusual activity that is deemed suspicious, or if there has been information theft on your account.
Who does FACTA Protect?
FACTA (Fair and Accurate Credit Transactions Act) is an amendment to FCRA (Fair Credit Reporting Act ) that was created to protect consumers from the dangers of identity theft.
Why is FACTA Important?
Credit is essential to meet the requirements for a mortgage because it dictates the specific terms of your mortgage. Good credit can have a positive impact on the process, whether you are financing a home or buying a new home. There’s a reason you hear a lot about the importance of your credit score, and that is one of the main aspects that lenders inspect to determine whether or not you qualify for a loan. If you are affected by identity theft, this can have a considerable impact on your credit score and could dictate whether or not you obtain financial support. Due to discovering this negative impact, a new law was established in 2003 to combat identity theft; The Fair and Accurate Credit Transactions Act. (FACTA). Since in place, FACTA has adopted a series of rules meant to protect you, the consumer.
Where can I find more information about FACTA?
To learn more about FACTA, visit this link: https://www.ftc.gov/enforcement/statutes/fair-accurate-credit-transactions-act-2003
For information about all compliance laws, visit our compliance page.