Tag Archives: credit privacy number

All About Credit Privacy Numbers

Credit Privacy Number (CPN) is a 9-digit identification number that caused for reporting financial information with the credit bureaus. CPN is available for use in the United States where it can be used in place of a Social Security Number (SSN) for various types of credit transactions. It is however not an equivalent substitute for the SSN in all instances.

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You cannot use a CPN to conduct transactions that include registering a vehicle, documents submitted to the IRS, and information you give to an employer. You cannot also use the CPN for applying for government sponsored home loan options. However, you can still use it when obtaining non-government funding as well as credit cards.

 

One of the common myths surrounding CPN is that you can use it to avoid paying outstanding debt. In reality, you are still liable for any debt incurred on credit accounts that reference a CPN or SSN. Obtaining a CPN does not establish new credit to replace bad credit you have generated under a SSN.

 

The reality is that many United States citizens regularly use the CPN. Celebrities often use the CPN to protect their identity with regards to loans, credit cards, and various other financial transactions. Members of Congress also use CPNs sometimes to lower the chances of the leaking of their financial details to the public without their authorization. People under the witness protection program are also issued with CPNs since they are harder to track than traditional SSN.

 

Any United States citizen can obtain either a CPN or SSN. However, you can only receive one CPN. Some resident aliens, dependents, or spouses can also apply for a CPN but only if they have an Individual Taxpayer Identification Number. The number usually stays the same from the date it is issued and is connected to its owner for the rest of his or her life.

 

As with a SSN, the owner of the CPN is responsible for its prudent use just as is the case with a Social Security Number (SSN). This means that the owner should be aware of the type of transactions that require use of a CCN and those that require use of a SSN.

 

In case of a bankruptcy, it is required that all outstanding debts listed under a Credit Privacy Number as well as the person’s Social Security Number be declared to be included in the debt relief.

 

Finally…

 

Now that you are aware of what a CPN is, you can determine whether it is right for you.