Customer's use of KYC identity verification services is restricted to GLBA-permitted purposes and explicitly prohibited from FCRA permissible purpose use cases, adverse action decisions, and DPPA-restricted data uses. Customer is also prohibited from using KYC service outputs in violation of any applicable law governing PII use.
This analysis describes what Marqeta's agreement states, permits, or reserves. It does not constitute a legal determination about enforceability. Regulatory applicability and practical outcomes may vary by jurisdiction, enforcement context, and individual circumstances. Read our methodology
This provision establishes that KYC service outputs cannot be used as a basis for FCRA adverse action decisions, which means Customer cannot use identity verification results to deny credit, employment, housing, or other FCRA-covered determinations. Violations of these restrictions would constitute Customer indemnification triggers under Section B(7)(b) and could expose Customer to direct regulatory liability under the FCRA, GLBA, and DPPA.
The agreement restricts Customer's use of KYC verification outputs to identity and age verification for card program purposes only, and prohibits using the outputs to take adverse action as defined under the FCRA. Customer's failure to observe these restrictions is treated as a material breach and triggers the Customer's indemnification obligations under the agreement.
Cross-platform context
See how other platforms handle KYC Services Usage Restrictions and similar clauses.
Compare across platforms →"Customer will use the KYC Services only to the extent permitted under an exception to the Gramm-Leach-Bliley Act and its implementing regulations. Customer will not use the KYC Services for any "permissible purpose" as defined under the Federal Credit Reporting Act ("FCRA") and its implementing regulations or use any of the information it receives through the KYC Services to take any "adverse action," as defined in the FCRA. Customer will not use the KYC Services in violation of the Driver's Privacy Protection Act and its implementing regulations. Customer will not use the KYC Services in violation of any other Applicable Law, whether now or hereafter in effect, that limits the use of the KYC Services or PII.Excerpt from Marqeta's Terms of Use
1.
Enforcement risk, jurisdiction flags, contract triggers, and due diligence action items.
Get the research letter
Companies change their terms quietly. We read every version and catch what actually changed. One email a week on the changes that matter and what they mean.
This provision establishes that KYC service outputs cannot be used as a basis for FCRA adverse action decisions, which means Customer cannot use identity verification results to deny credit, employment, housing, or other FCRA-covered determinations. Violations of these restrictions would constitute Customer indemnification triggers under Section B(7)(b) and could expose Customer to direct regulatory liability under the FCRA, GLBA, and …
The agreement restricts Customer's use of KYC verification outputs to identity and age verification for card program purposes only, and prohibits using the outputs to take adverse action as defined under the FCRA. Customer's failure to observe these restrictions is treated as a material breach and triggers the Customer's indemnification obligations under the agreement.
No. ConductAtlas is an independent monitoring service. We are not affiliated with, endorsed by, or sponsored by Marqeta.