CPN Scams Exposed: The Truth Behind Credit Privacy Numbers

A Credit Privacy Number (CPN) is often marketed as a legal way to create a new credit identity, bypass bad credit, or protect personal information. Scammers claim that these nine-digit numbers—structured like Social Security Numbers (SSNs)—can be used in place of an SSN for credit applications.

But here’s the truth: CPNs are not legitimate replacements for SSNs, and using one on a credit application can be a federal crime.

The Federal Trade Commission (FTC) and the Social Security Administration (SSA) have repeatedly warned that these numbers are often stolen or fabricated, putting users at risk of identity theft and fraud charges.

How CPN Fraud Works

The mechanics of CPN fraud follow a disturbing pattern:

1. Scammers sell CPNs as a credit repair hack. Fraudsters advertise CPNs as a way to erase bad credit and start fresh. They claim the government issues these numbers to celebrities and people in witness protection (which is false).
2. The numbers are often stolen or fabricated. Many CPNs are stolen SSNs, often belonging to children, the deceased, or incarcerated individuals. Some are completely made up, but still used fraudulently.
3. Buyers use CPNs to apply for credit. People who purchase CPNs use them on credit applications, thinking they are legal. In reality, they’re committing fraud by providing false identifying information.
4. Financial and legal consequences follow. Banks and credit bureaus flag CPNs as fraudulent. Using one can lead to loan denials, credit damage, and even federal charges for identity theft or fraud.

Why You Should Care About CPN Fraud

Even if you’ve never considered using a CPN, understanding this fraud is important for several reasons:

Protect Your Identity

Many stolen SSNs used as CPNs belong to children, meaning their credit can be destroyed before they even become adults. Checking your own credit report and monitoring for unusual activity can prevent identity theft.

Avoid Criminal Charges

Using a CPN in place of an SSN is a federal crime under 18 U.S. Code § 1028 (Identity Fraud). Even if you purchased a CPN unknowingly, you could still be held responsible.

Recognize Credit Repair Scams

Legitimate credit repair involves working with creditors and credit bureaus, not buying fake identities. If a company claims it can “erase” your bad credit with a CPN, run in the opposite direction.

Understand Legal Alternatives

If you’re struggling with bad credit, there are legal solutions:

• Credit counseling services can help you negotiate debts.
• Secured credit cards can rebuild credit over time.
• Disputing errors on your credit report can fix inaccuracies.

Stay Informed, Stay Safe

CPN fraud is a dangerous scam that preys on financially vulnerable individuals. Instead of falling for fraudulent shortcuts, focus on legitimate credit-building strategies that protect your financial future.

If you’ve encountered a CPN scam, report it to the FTC at ReportFraud.ftc.gov or contact the Consumer Financial Protection Bureau (CFPB).

Citations

• Federal Trade Commission (FTC): CPN Fraud Warning
• Social Security Administration (SSA): Social Security Number Fraud
• Consumer Financial Protection Bureau (CFPB): Credit Repair Scams