Entries in Retailers (1)


California Retailers Can't Ask Credit Card Customers for ZIP Codes

Photo Courtesy - Getty Images(SAN DIEGO) -- The California Supreme Court ruled Thursday that retailers in the state can no longer ask customers for their ZIP codes during credit card transactions, citing the request violates a law enacted in 1971.

The high court ruled that ZIP codes constitute "personal identification information," which, according to the state's Song-Beverly Credit Card Act, cannot be asked of from customers who are making purchases with credit cards.

The judgement states the act is "intended to provide robust consumer protections by prohibiting retailers from soliciting and recording information about the cardholder that is unnecessary to the credit card transaction." 

It goes on to say that, "Thus, in light of the statutory language, as well as the legislative history and evident purpose of the statute, we hold that personal identification information...includes a cardholder’s ZIP code."

Retailers usually ask customers for their ZIP codes for marketing purposed and to determine where their shoppers are located.

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