YOUR DATA’S NOT FOR SALE — CFPB Cracks Down on Brokers Selling to Scammers and Stalkers
In a bold move to strengthen consumer privacy and digital safety
The Consumer Financial Protection Bureau (CFPB) has unveiled a proposed rule that directly targets data brokers — companies that collect, package, and sell personal information to the highest bidder.
This rule, if finalized, would stop these brokers from selling highly sensitive personal data to stalkers, scammers, and even foreign spies.
At R23 Law, our California Consumer Protection Attorneys are closely monitoring this development to help protect your digital footprint and hold data brokers accountable for misuse.
Why the CFPB Proposal Matters to Californians
Data brokers profit by trafficking in our personal and financial data — including Social Security numbers, precise location histories, and transaction records. But not all buyers are harmless. According to CFPB Director Rohit Chopra, brokers have been found selling personal data to people with harmful intentions, including criminals and international espionage agents.
Director Chopra highlighted the severity of the threat, referencing a chilling case where a federal judge’s son was murdered by someone who bought the family’s address from a data broker.
Key Highlights of the CFPB’s Proposed Rule
Applying the Fair Credit Reporting Act (FCRA) to Data Brokers
The proposal would classify data brokers as consumer reporting agencies, meaning they must comply with the same rules as credit bureaus. This includes:
Ensuring data accuracy
Limiting use to “permissible purposes”
Giving consumers the right to access, dispute, and control their data
Banning the Sale of Sensitive Information
Brokers would no longer be allowed to sell Social Security numbers, geolocation data, or detailed financial histories unless specific consent is given. The goal is to stop the circulation of data that could put consumers at risk of identity theft or personal harm.
Requiring Consumer Consent
Before a broker could sell or share your data, they would need to obtain clear consent — especially for uses beyond the original purpose of collection.
What the Rule Means for You
Increased Privacy and Control
If enacted, the rule would empower consumers by giving them greater control over how their personal data is collected, used, and sold.
Legal Recourse for Violations
By bringing data brokers under FCRA, this rule opens the door for R23 Law’s California Consumer Protection Attorneys to pursue legal action against brokers who mishandle or exploit your information.
Protection From Abuse
This proposed change would prevent sensitive personal information from falling into the hands of individuals who may use it for stalking, harassment, or fraud.
Who Needs to Pay Attention?
Anyone concerned about identity theft, online privacy, or data misuse should take note. This rule is particularly relevant to:
Victims of stalking or domestic violence
Individuals whose personal or financial data has been compromised
Consumers looking to reclaim control over how their information is handled
What You Can Do Right Now
Whether or not the rule becomes law, there are steps you can take to safeguard your personal data today:
Audit Your Privacy Settings — Regularly check privacy settings on social media, apps, and other platforms where personal data is shared.
Get Legal Help If You’ve Been Harmed — If you suspect your personal information has been sold or misused, you may have legal rights under the FCRA or California’s consumer protection laws.
Stay Informed — This proposed rule is still in development. R23 Law will continue to provide updates and guidance as the rule progresses.
How R23 Law Can Help You
At R23 Law, we fight for consumers across California whose data has been misused by third parties — including data brokers, background check companies, and corporations that violate privacy rights.
If you believe your personal data has been sold or shared without your consent, contact our experienced team of R23 Law California Consumer Protection Attorneys for a free consultation.
We have the tools and experience to help you:
Investigate the misuse of your personal information
Hold data brokers accountable under the FCRA and state law
Pursue compensation for any harm or distress caused
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Your privacy is your right — not a product for sale. Let’s work together to make sure it stays that way.
