The Federal Communications Commission (FCC) is considering new regulations that could make buying a phone without linking it to your identity more difficult. This initiative, known as the “know your customer” proposal, would require phone companies to gather and store more personal information before providing services to new or returning customers. The required details could include your name, physical address, a government-issued ID number, and an alternate phone number.

The FCC aims to complicate the efforts of scammers, robocallers, and criminals who exploit phone networks. Although reducing scam calls sounds beneficial, it poses a significant privacy question: How much personal privacy is sacrificed to combat scam calls?

Details of the FCC Phone ID Proposal

The proposed changes would apply to originating voice providers, the companies that enable calls to enter the network. Currently, providers are expected to verify customer identity and prevent illegal calls. The new proposal specifies these responsibilities, suggesting that providers obtain and retain certain customer information before granting service. This could include:

• Name
• Physical address
• Government-issued identification number
• Alternate telephone number

The proposal also considers how these regulations should apply to “new and renewing” customers, potentially impacting those who switch plans or continue with their current provider. Additionally, for high-volume customers, such as businesses or foreign clients, the FCC considers collecting more data including the intended use of the service and the IP address when available.

Another consideration is whether providers should maintain records for four years after the customer relationship ends, aligning with the statute of limitations for certain illegal call violations.

Rationale Behind the Stricter Identity Checks

Scammers often use phone calls and texts to defraud individuals and remain untraceable. Tougher identity checks could deter them from gaining access to phone networks. Enhanced customer record-keeping could assist investigations into scam-related crimes.

This proposal extends its reach to address issues beyond robocalls, such as national security threats and misuse within text messaging networks. Consequently, the phone service framework may evolve toward a more comprehensive identity verification model.

Impact on Burner Phones

Though the FCC proposal doesn’t explicitly ban burner phones, it could impact their availability. Burner phones, typically prepaid devices without a clear identity connection, are portrayed in media as tools for illicit activity. However, individuals have various legitimate reasons for using these phones, such as privacy needs or lack of a stable address.

Collecting government ID numbers and physical addresses before service could make anonymous prepaid services less accessible. Privacy advocates view this as a more profound shift in accessing basic phone services, not merely a measure against robocalls.

Effect on Prepaid Phone Plans

The proposal’s impact on prepaid services is significant. While some choose prepaid phones for cost savings, others prefer them for spending control or to avoid complex sign-ups.

The FCC queries whether prepaid customers should face the same identity checks as postpaid customers. A restrictive rule could transform the prepaid service acquisition into a process akin to opening a bank account, affecting individuals who require privacy or simplicity.

Privacy and Security Risks

The proposal introduces concerns about privacy and cybersecurity. Phone companies already manage sensitive customer data, and adding government ID numbers and physical addresses increases the risk in the event of a breach. Such data could become a lucrative target for criminals, facilitating identity theft, phishing, or SIM-swap attacks.

The FCC seeks input on safeguarding customer data and the retention period for records. Effective security measures are necessary to mitigate risks associated with collecting sensitive information.

Definition of Physical Address

A critical detail is the definition of “physical address.” Some individuals use P.O. boxes or shared addresses for safety or privacy reasons. Restrictions on what qualifies as a physical address could create barriers for accessing phone service, especially for those with safety concerns.

Next Steps for the FCC Proposal

The FCC is accepting public comments on the proposal until June 25, 2026, with replies due by July 27, 2026. The agency will consider feedback from various stakeholders before finalizing the rule, potentially revising the requirements or adding privacy safeguards.

Steps to Reduce Scam Calls and Texts

• Let unknown calls go to voicemail, allowing legitimate callers to leave messages while dodging scammers who rely on quick answers.
• Enable phone spam protection using your device settings to filter unknown or potentially harmful calls.
• Avoid clicking on links in unexpected texts, using official apps or websites instead to avoid scams.
• Limit the personal information available online, potentially using data removal services to reduce exposure to scammers.
• Block and report suspicious text messages directly through your device’s messaging application.
• Utilize antivirus software and password managers to protect against phishing and malicious activities.
• Activate account alerts from banks, credit cards, and phone carriers to quickly detect unauthorized actions.

Your phone is a repository for sensitive data. Secure it using recommended settings and practices to minimize exposure to scams and maintain personal privacy.