CIPP-US Question #143: Real Exam Question with Answer & Explanation

The correct answer is B. The truncation of account numbers on credit card receipts. The Fair and Accurate Credit Transactions Act (FACTA) is a U.S. federal law enacted in 2003 that amended the Fair Credit Reporting Act (FCRA). It introduced a variety of provisions designed to combat identity theft and protect consumer information. One of the key consumer protect

Question

What consumer protection did the Fair and Accurate Credit Transactions Act (FACTA) require?

Options

AThe ability to correct inaccurate credit report information
BThe truncation of account numbers on credit card receipts
CThe right to request removal from email lists.
DThe issuing of notice when third-party data is used in an adverse decision

Explanation

The Fair and Accurate Credit Transactions Act (FACTA) is a U.S. federal law enacted in 2003 that amended the Fair Credit Reporting Act (FCRA). It introduced a variety of provisions designed to combat identity theft and protect consumer information. One of the key consumer protections required by FACTA is the truncation of credit and debit card numbers on receipts to prevent Details of the Truncation Requirement: FACTA Section 113 (15 U.S.C. ?1681c(g)): Retailers are prohibited from printing more than the last five digits of a credit or debit card number on electronically generated receipts. Additionally, the card's expiration date must also be excluded. This requirement applies to point-of-sale and other electronically printed receipts and aims to reduce the risk of credit card fraud and identity theft.

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