FACTA: Furnishers Cannot Sell Off ID Theft Accounts

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David A. Szwak
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Joined: Tue Jul 26, 2005 4:15 am

FACTA: Furnishers Cannot Sell Off ID Theft Accounts

Post by David A. Szwak »

[u35][b35]Furnishers may not sell or place for collection identity theft debt. [/b35][/u35]

Once a furnisher has been notified that an agency has blocked a consumer’s information as having resulted from identity theft, the furnisher may not sell or transfer the debt or place it for collection. This is not limited to third-party collectors. In addition, an exception exists for securitization, but securitizing known identity theft debt will likely be a UDAP violation. States are preempted from regulating this conduct.
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Return to “FCRA Statute And Amendments: 15 U.S.C. 1681, et. seq.”