Do FACTA provisions apply to foreigners or only U.S. residents?

• A. FACTA applies to all individuals regardless of residency.
• B. FACTA primarily applies to U.S. residents; foreign coverage depends on data and applicable law.
• C. FACTA applies only to tourists.
• D. FACTA applies only to businesses, not individuals.

Answer: (B)

FACTA’s reach is tied to the U.S. credit reporting system. It primarily covers individuals who have a U.S. consumer file or who reside in the United States. If a foreign national never has a U.S. credit file, FACTA protections don’t automatically apply. If a foreigner does have U.S. credit activity and a U.S. credit bureau maintains a file on them, FACTA protections attach to that file. Data that remains entirely outside U.S. systems falls outside FACTA’s reach, with other countries’ laws governing it. So the best answer is that FACTA primarily applies to U.S. residents; foreign coverage depends on whether there is a U.S. file and the data involved.