The court orders impose a fine of $525,000 against Instant Checkmate and $1 million against InfoTrack and its owner. “Data brokers that operate as consumer reporting agencies have a responsibility to ensure the accuracy of the information they sell for decisions about whether to hire someone, extend them credit, rent them an apartment, or insure them.” “Consumers shouldn’t have to worry that they’ll be turned down for a job or an apartment because of false information in a consumer report,” said Jessica Rich, Director of the FTC’s Bureau of Consumer Protection. According to the complaint against Instant Checkmate, that company failed to require that users of its reports identify themselves or certify the purpose for which they were seeking consumers’ information. The FTC charged, among other things, that in many instances InfoTrack provided inaccurate information suggesting that job applicants potentially were registered sex offenders, possibly causing employers to reject their job application. According to the FTC’s complaints, both companies operated as consumer reporting agencies under the law but failed to abide by the FCRA. Instant Checkmate and InfoTrack sell public record information about consumers. In separate cases, the two companies – Instant Checkmate, Inc., and InfoTrack Information Services – have agreed to pay civil penalties and will be prohibited from continuing their alleged illegal practices. Two data brokers have agreed to settle Federal Trade Commission charges that they violated the Fair Credit Reporting Act (FCRA) by providing reports about consumers to users such as prospective employers and landlords without taking reasonable steps to make sure that they were accurate, or without making sure their users had a permissible reason to have them. About the FTC Show/hide About the FTC menu items.News and Events Show/hide News and Events menu items.Advice and Guidance Show/hide Advice and Guidance menu items.
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