Chairman Rockefeller Presses Data Brokers for Details on Vulnerability-Based Marketing Tools

Senate Commerce Committee Chairman John (Jay) Rockefeller IV is asking six data brokers for information on the compilation and sale of products that identify consumers based on their financial vulnerability or health status.

Chairman Rockefeller brought attention to this industry practice during the Committee’s December 18, 2013, hearing titled, “What Information Do Data Brokers Have on Consumers, and How Do They Use It?”, and it was also highlighted in the majority staff report released at the hearing. “I am concerned that data brokers are categorizing vulnerable consumers based on their economic and health challenges, and selling that information without consumer knowledge or consent,” Chairman Rockefeller said. “As I said during the hearing in December, I want to know which companies are buying these types of products to target their marketing to these groups of consumers.” Chairman Rockefeller sent letters to six companies, including two -- NextMark and MEDbase200 -- that were highlighted in testimony presented at the hearing as data brokers that produce lists of consumers exhibiting certain financial and health characteristics, such as “Empty Wallets,” “African American Pay Day Loan Responders,” and “Dementia Sufferers”. Four other letters were issued to Acxiom, Epsilon, Experian, and Lexis Nexis -- companies that were part of Chairman Rockefeller’s initial inquiry into data brokers that sell products focused on consumers’ financial circumstances. Chairman Rockefeller noted that the letters sought information “necessary for the Committee’s assessment of the potential consumer harms and benefits associated with data broker practices.” The Chairman pointed out that despite repeated requests, three of the largest data brokers -- Acxiom, Experian, and Epsilon -- have refused to provide information related to both purchasers and sources of their consumer data.