Anti-ID theft measures fought by credit industry

PetManimal writes: "Brian Krebs of the Washington Post has a very interesting article about the credit industry's fight against consumer rights measures that would force credit bureaus, credit card companies, retailers, banks and even private investigators to protect citizens from having their credit data accessed, by taking measures such as restricting access to credit reports and freezing new lines of credit. While several states have tried to enact consumer-friendly laws, the industry has lobbied hard on the state and national level to water down, eliminate, or reverse them and keep open access to easy credit.

'The banks, the insurance companies, credit bureaus and retailers really came out of the woodwork and fought hard against it,' [activist George Fitzgerald] said. 'I thought it was good for them and the banks. I thought with all the ID theft going on, people might even get to the point where they'd be afraid of using the [banking] system. I thought that since the credit bureaus were making a bundle of money off of trading consumers' information ... that they should offer a way to protect that information.'

The article says that the industry has backed down in some states and some credit-freeze laws have passed, but with conditions and business-friendly exceptions — for instance, Delaware had to eliminate a provision that included fines for merchants that failed to secure customer data, before the law could be passed."