Are there marketing restrictions for consumer report sharing under FACTA?

• A. No restrictions on sharing.
• B. Marketing allowed without consent.
• C. Consumers have no opt-out rights.
• D. Yes; consumers may opt out of affiliate sharing for marketing purposes.

Answer: (D)

Under FACTA, which builds on the FCRA, there are protections around sharing consumer reports for marketing. Specifically, when a consumer reporting agency shares information with affiliated companies for marketing purposes, the consumer must be given the option to opt out of that affiliate sharing. If the consumer opts out, the information cannot be shared with affiliates for marketing; if they don’t opt out, sharing for marketing may proceed. This is why the correct idea is that consumers may opt out of affiliate sharing for marketing purposes. The other statements ignore these opt-out protections or imply there are no restrictions, which isn’t accurate.