ITIF’s Castro Says Consumers Should Have Greater Data Control With Credit Agencies

It’s a “significant problem” that consumers lack the ability to opt out of doing business with credit reporting agencies like Equifax, which collect data indirectly, Information Technology and Innovation Foundation Vice President Daniel Castro said during an interview on C-SPAN's The Communicators to be televised Saturday and posted here Friday. There are legitimate questions about government oversight for credit entities, he said. Castro believes policymakers should consider ways to make certain types of consumer data less valuable. Social Security numbers, one of the most valuable pieces of information, shouldn’t be the sole input for verifying identity, he said. Castro was asked about ITIF’s study on the cost of the U.S. adopting a federal privacy law mirroring laws in the EU or California (see 1908050058). The key is to create a privacy law at reasonable cost, he said: Consumers should have enhanced privacy, but they should retain access to innovative products and services. On data breaches, such as those that Capital One, Equifax and Target have suffered, the analyst said that companies could offer customers a "menu of options" such as password-storage or other services rather than frequent credit monitoring at no cost. He noted that such monitoring is often provided for free, anyway. Equifax didn't comment right away Thursday.