Why stores ask for zip code

When paired with your name, it can help the merchant figure out your mailing address, phone number and specific demographic information, Stephens noted. Now, the store can send you a catalog or even sell your profile to a data broker. It happens all the time, but most people have no idea of the implications of revealing their ZIP, he said.

The Massachusetts ruling last week followed a complaint brought against Michaels Stores by a customer who said she received marketing materials from the craft store chain after employees asked her to provide her ZIP code during purchases. The California decision involved a Williams-Sonoma customer who alleged the company used her ZIP code to locate her home address. In a brief filed in the Massachusetts case, the Retail Litigation Center also argued that stores collect ZIP codes for important business purposes, like analyzing demographics.

Still, Stephens said there should be no need to provide a ZIP code when asked by a clerk in a brick-and-mortar store. But be aware that a credit card issuer sometimes asks for that information.

American Express, for example, may prompt you to key in your ZIP code at some stores for security purposes. If the cashier gets snippy or says they don't know how to ring up your purchase without a zip code, either make one up or give a zip code that isn't connected to your bank or credit card. Jude Obits Traci Taylor Published: March 15, Share on Facebook Share on Twitter.

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