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I think you already live in that... Credit card networks already know everything you buy, and will happily hand that info over to government.

At least this way you get the benefits of it.



Not quite, card networks only know transaction level information if the merchant processing the card transaction passes back level 3 data. Merchants only pass level 3 data to secure a processing % discount on network fees. This data can be used to mine user behavior by the card companies, and unless you opt-out of Visa/Mastercard's data mining program at the card level, they do this.


I was under the impression that the vast majority of merchants do this though...

And any that don't still need to keep records for tax purposes, and the authorities could still request that anytime and without your knowledge.

It is frequent that news reports say "attacked with a hammer purchased by the defendants credit card earlier the same day". So it appears the facility to search card payments is fairly widely used.


>It is frequent that news reports say "attacked with a hammer purchased by the defendants credit card earlier the same day". So it appears the facility to search card payments is fairly widely used.

Not really, because the search could have happened in the opposite direction (eg. they ask the store for a list of transactions that were made with the suspect's card). I doubt they're asking visa/mastercard to give them a list of all hammers sold in the past month.


Most merchants do _not_ send level 3 data. For the most part it’s only sent on travel related transactions or for government vendors.


> Credit card networks already know everything you buy

I didn’t know this.

Let’s say I buy advil, condoms, and dish soap with my capital one Visa card at Walgreens. What information does Walgreens share with visa and/or capital one? I just assumed the name of merchant and the total amount charged was all they needed?

I remember back when I was younger, I’d often see adults requesting the cashier to charge this much on one card, this much on another, bringing out four or five cards. Do all these banks/ card processors get a full list of items sold?


There are 3 levels of data shared from the merchant to the card networks. Level 3 is the highest which does contain item level detail.

That tends to only be sent on hotel or airline transactions or when working with government accounts.

Generally speaking the merchants and card networks have very antagonistic relationships. The big merchants know that their sales data is valuable and won’t share it without incentives. The credit card networks do offer lower interchange rates for sending level 3 data but it still hasn’t seen a lot of uptake.


Somehow I doubt it - I would honestly consider it a feature if I could look on my credit card statement and have an explanation around why I spent $22 at 7/11 on the 12th.


If the retailer keeps a record of the receipts, the government can ask for them since they have the payment reference from the credit card company.




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