Exam CIPP-US topic 1 question 81 discussion

The Fair and Accurate Credit Transactions Act (FACTA) of 2003 amended the Fair Credit Reporting Act (FCRA) to enhance consumer protections and reduce identity theft risks. One of its key provisions was the Disposal Rule, which mandates organizations to dispose of consumer data securely to prevent unauthorized access or misuse. Other FACTA provisions include free annual credit reports and protections against identity theft.

The Fair and Accurate Credit Transactions Act (FACTA), which was passed in 2003, is an amendment to the Fair Credit Reporting Act (FCRA). One of its key provisions is the requirement for businesses and organizations to take appropriate measures to safely dispose of consumer information derived from consumer reports, such as credit reports, to prevent unauthorized access to the data. This provision is part of the efforts to reduce the risk of identity theft and other types of fraud involving personal information.

B. Facta disposal rule D is way to narrow "internal investigations", and if right, is less right

Consumer reports may always be shared with written permission from a consumer. Without consumer consent, reports may only be shared for limited other “permissible purposes,” In 2003, the Fair and Accurate Credit Transactions Act (FACTA) amended. FCRA the amendments pre-empted a wide range of state laws on credit reporting, identity theft and other areas within the FCRA FACTA, however, specifically left some existing state laws in effect, notably the California Investigative Consumer Reporting Agencies Act (ICRAA). Under the ICRAA, employers must notify applicants and employees of their intention to obtain and use a consumer report. Once disclosure is made, the employer must obtain the applicant or employee’s written authorization prior to requesting the report.

“n 2003, the Fair and Accurate Credit Transactions Act (FACTA) amended FCRA. The amendments preempted a wide range of state laws on credit reporting, identity theft and other areas within the FCRA.61 FACTA, however, specifically left some existing state laws in effect, notably the California Investigative Consumer Reporting Agencies Act (ICRAA).62 Under the ICRAA, employers must notify applicants and employees of their intention to obtain and use a consumer report. Once disclosure is made, the employer must obtain the applicant or employee’s written authorization prior to requesting the report” Excerpt From: “IAPP_US_Private_Sector_Privacy_3E.” Apple Books.