What Is a CPN for an Apartment Application?

Many individuals seeking housing often encounter challenges related to their credit history, prompting some to explore alternative solutions. In this search, the term “Credit Privacy Number” or CPN might appear as a potential way to navigate rental applications. This information aims to clarify what a CPN is and how it relates to the process of applying for an apartment.

Understanding a Credit Privacy Number

A Credit Privacy Number (CPN) is a nine-digit number that resembles a Social Security Number (SSN). Companies market CPNs for individuals seeking to build credit or conceal a negative financial history. These numbers are sometimes referred to by other names, such as a credit profile number or a secondary credit number.

CPNs are not issued by any government agency and lack official legal standing. They are distinct from legitimate government-issued identification numbers like a Social Security Number (SSN) or an Individual Taxpayer Identification Number (ITIN). CPNs originate from private entities, unlike SSNs from the Social Security Administration or ITINs from the IRS.

The creation of CPNs involves questionable practices. Some CPNs are stolen Social Security Numbers, frequently belonging to individuals less likely to have active credit files, such as children, the elderly, or incarcerated individuals. Other CPNs are synthetically generated numbers designed to mimic the SSN format.

Companies selling CPNs might falsely claim their legality, sometimes referencing the Privacy Act of 1974. However, this Act does not endorse or authorize the use of CPNs as legitimate identifiers for financial or credit purposes. Marketing CPNs as a “fresh start” or a way to protect privacy is misleading.

CPNs in Apartment Applications

CPNs are marketed to individuals as a method to bypass standard tenant screening processes. The idea is that a CPN can provide a clean financial slate, allowing applicants to secure housing despite a history of poor credit, evictions, or other issues. This approach attempts to circumvent checks performed by landlords and property management companies.

Landlords require a prospective tenant’s Social Security Number (SSN) to conduct background and credit checks. These checks assess an applicant’s financial responsibility, payment history, and any past evictions or criminal records. The SSN allows landlords to access legitimate credit reports from agencies like Experian, Equifax, and TransUnion.

Presenting a CPN instead of a legitimate SSN will not fulfill these requirements. CPNs are not linked to official credit files, meaning that credit bureaus and screening services will not recognize them. Consequently, any application submitted with a CPN will likely be flagged as fraudulent or incomplete.

The use of CPNs in rental applications poses significant risks for both the applicant and the property owner. For applicants, it leads to application rejection, as it signals misrepresentation of identity or financial standing. For property managers, CPNs contribute to increased application fraud, leading to substantial financial losses from unpaid rent and eviction costs.

Legal Status and Consequences of Misuse

Using a Credit Privacy Number (CPN) for financial transactions is illegal and carries severe legal consequences. CPNs are not recognized by federal or state authorities as legitimate identifiers for credit or financial activities. Presenting a CPN to obtain goods or services under false pretenses constitutes fraud.

A primary legal risk associated with CPNs is identity theft. If a CPN is derived from a stolen Social Security Number, using it can lead to charges under federal identity theft laws, such as 18 U.S.C. § 1028. Convictions can result in significant fines and imprisonment, with sentences up to 15 years for general offenses, and longer for aggravated forms.

Using a CPN can also fall under federal fraud statutes, particularly if electronic communications or mail services are involved. Wire fraud (18 U.S.C. § 1343) prohibits schemes to defraud using interstate electronic transmissions. Penalties include imprisonment for up to 20 years and substantial fines, increasing to $1 million and 30 years if a financial institution is affected.

Similarly, mail fraud (18 U.S.C. § 1341) applies if the fraudulent scheme involves the use of the U.S. postal service or private interstate carriers. Penalties are comparable to wire fraud, including imprisonment for up to 20 years and significant fines. Both wire and mail fraud are broadly defined federal crimes used to prosecute various deceptive schemes.

Furthermore, making false statements to federal agencies or in matters under federal jurisdiction can lead to charges under 18 U.S.C. § 1001. This statute prohibits knowingly and willfully making false or fraudulent statements, or concealing material information, within the jurisdiction of the executive, legislative, or judicial branch of the U.S. government. A conviction can result in imprisonment for up to five years and fines.

Individuals who use CPNs to misrepresent their financial standing or identity face severe repercussions beyond criminal penalties. They may encounter permanent difficulties in obtaining legitimate housing, credit, and other financial services. The attempt to defraud can leave a lasting mark on their record, making it challenging to establish trust with financial institutions and property owners.