The US Federal Trade Commission recently identified ten data brokers that were willing to sell consumer information without adhering to US laws and regulations. The ten companies are: 4Nannies, Brokers Data, Case Breakers, ConsumerBase, Crimcheck.com, People Search Now, U.S. Information Search, US Data Corporation and USA People Search. In warning letters issued to the ten data brokers, the FTC informed that the data brokers must at a minimum verify the identify of customers/clients that request the data in order to ensure the legitimacy of the purpose for which the data is being requested. Information collected and issued to customers/clients were used to: pre-screen lists of consumers for making offers of credit; use of personal information for making insurance decisions; and or use of information for employment related purposes. In no case did the data brokers obtain the consent of the individuals to whom the information related, nor did they ensure the accuracy of the information. The brokers in question did not implement any measures to ensure the information was protected.
The FTC warning letters were issued on May 2, 2013, in conjunction with the international privacy sweep conducted by the Global Privacy Enforcement Network, which connects privacy enforcement authorities to promote and support cooperation in cross-border enforcement of privacy laws.
Related articles
- Watch out, the FTC says sneaky data brokers may illegally sell your data (digitaltrends.com)
- FTC Warns Data Broker Operations of Possible Privacy Violations (ftc.gov)
- FTC sends warning letters to 10 data brokers (pcworld.com)
- FTC Sends Warning Letters To 10 Data Brokers (consumerist.com)
