A prominent privacy rights watchdog is asking the Federal Trade Commission to investigate a new Google advertising program that ties consumers’ online behavior to their purchases in brick-and-mortar stores.
The legal complaint from the Electronic Privacy Information Center, to be filed with the FTC on Monday, alleges that Google is newly gaining access to a trove of highly sensitive information — the credit and debit card purchase records of the majority of U.S. consumers — without revealing how they got the information or giving consumers meaningful ways to opt out. Moreover, the group claims that the search giant is relying on a secretive technical method to protect the data — a method that should be audited by outsiders and is likely vulnerable to hacks or other data breaches.
Google also would not disclose which companies were providing it with the transaction records. When asked if users had consented to having their credit and debit transactions shared, Google would not specifically say. The company replied it requires that its unnamed partners have “the rights necessary” to use this data.
In its complaint, reviewed by The Washington Post, the privacy group alleges that if consumers don’t know how Google gets its purchase data, then they cannot make an informed decision about which cards not to use or where not to shop if they don’t want their purchases tracked. The organization points out that purchases can reveal medical conditions, religious beliefs and other intimate information.
Google also told The Post that it does not have access to the names or other personal information of the credit and debit card users, and that it does not share any information about individual Google users with partners.
Advertisers receive aggregate information. For example, for an ad campaign for sneakers that received 10,000 clicks, the advertiser learns that 12 percent of the clickers made a purchase.
Users can opt out anytime, Google says. To do so, users of Google’s products can go to their My Activity Page, click on Activity Controls, and uncheck “Web and Web Activity,” Google says.
The privacy group says the opt-out settings and the descriptions of what users are opting out of are confusing and opaque. The group says the company continues to store server and click data even when Web and App Activity is turned off, and that to opt out of everything requires a labyrinthine process of going to a number of third-party sites. Meanwhile, opting out of location-tracking requires going to a separate button and interface. None of the opt out descriptions specifically describes credit card data.
In 2011 and 2012, Google paid multi-million-dollar fines to settle FTC charges on privacy issues. In 2011, in response to a case brought by the Electronic Privacy Information Center, Google settled FTC charges that it used deceptive tactics and violated its own privacy promises when it launched its social network, Google Buzz. In the 2012 case, for $22.5 million, Google was charged with misrepresenting its privacy promises to users of Apple’s Safari browser, who were under the impression that they could opt out of ad tracking.