Virginia Gov. Timothy Kaine plans to propose legislation aimed at protecting state consumers from identity theft and credit fraud.
The proposal, which he wants state legislators to take up this year, would require companies to notify consumers if Social Security, driver’s license, credit card and bank account numbers and other personal data are in danger of getting in the hands of people not authorized to have them.
If they do, state residents would be able to freeze credit reports with Experian, Transunion and Equifax until identity theft or fraud issues are resolved.
Under the proposal, companies will be exempt from disclosing a data breach if they can prove there is no risk of harm should the information be disclosed without authorization.
In addition, credit-reporting agencies would be allowed to charge a $5 fee for starting or lifting a freeze on consumer credit reports. The fee, however, would be waived if the consumer can show the likelihood of becoming a fraud victim.
These ideas came from a 26-member working group, chaired by Secretary of Agriculture and Forestry Robert S. Bloxom. The group included members of the Virginia General Assembly, business leaders and consumer advocates.
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