The U.S. Federal Trade Commission (FTC) has cracked down on data brokers for allegedly hawking sensitive personal details of unsuspecting consumers to scammers.
In a lawsuit (PDF) against LeapLab filed in U.S. District Court for the District of Arizona in 2014, the FTC charged the data broker with buying payday loan applications of financially strapped consumers and then reselling that information to marketers whom it knew had no legitimate need for it.
At least one of the marketers who purchased the sensitive personal details, Ideal Financial Solutions of Las Vegas, used the information to siphon millions of dollars from consumers’ accounts without authorization, the FTC charges.
FTC Charges Brokers for Selling Personal Data Collected from PayDay Loan Companies
Posted by lyceum under Raising CapitalFrom http://smallbiztrends.com 3160 days ago
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