NCJ Number
102108
Journal
Journal of Criminal Law and Criminology Volume: 76 Issue: 3 Dated: (Fall 1985) Pages: 746-763
Date Published
1985
Length
18 pages
Annotation
The 1984 Federal Credit Card Fraud Act, a section of the 1984 Comprehensive Crime Control Act, corrects many of the weaknesses in the old Federal statutes and should help reduce credit card fraud.
Abstract
Federal prosecutors often use section 1644 of the Truth in Lending Act and the mail fraud and wire fraud statutes to prosecute credit card fraud. Only section 1644 is specifically intended for credit card fraud. Prior to the enactment of the 1984 Credit Card Fraud Act, the Federal scheme for prosecuting credit card fraud was flawed because it did not encompass persons who fraudulently used the credit card number but not the card itself. Section 1644 also prohibits only transactions with an aggregate value of $1,000 or more in a 1-year period. It also specifies that the use of another person's credit card must be through having fraudulently obtained it, which is underinclusive. The use of mail and wire fraud statutes to prosecute credit card fraud is difficult, and the financial privacy statute limits investigations. The 1984 Credit Card Fraud Act corrects most of these problems. The new statute punishes fraudulent use of an account number, eliminates the 'fraudulently obtained' loophole, punishes mere possession of illegal credit cards, clarifies the aggregation requirement, and punishes the counterfeiting of credit cards and possession of counterfeiting equipment. Two flaws in the act, however, are the broad definition of 'credit card' and its unequal treatment of similarly situated persons. 134 footnotes.