The INFORM Consumers Act is a new law that requires online marketplaces to collect, verify, and disclose certain information from high-volume sellers to make sure their customers are fully informed. Congress passed this act in an effort to create a safe and transparent environment for online shoppers. This new law’s effective date is June 27, 2023.
As a part of this act, certain high-volume sellers on SidelineSwap will be required to provide some identification and contact information to SidelineSwap so that we can verify it and, in some cases, disclose the required information to our buyers.
What is a high-volume seller?
To be considered a high-volume seller, you must have, in any continuous 12-month period during the previous 24 months, made 200 or more sales of new products resulting in $5,000 or more in revenue.
What information will be collected?
The requirements vary depending on if you are an individual seller or a business account. Please note, SidelineSwap has already collected some of the requested information throughout your time as a seller. For information we have already collected, you will simply be asked to certify your information is correct rather than provide that information again. The information you will be required to provide or certify is:
- Bank account number
- Tax identification number
- Phone number
- Email address
If you’re a business seller, we’ll also need to collect and verify a copy of your government-issued ID.
And once you reach $20,000 in annual SidelineSwap revenue, we’re required to include your name (or company name) and full physical address in purchase confirmation emails and order details, but there are some exceptions.
What are the exceptions to disclosing my information?
There is an exception to sharing your full physical address for the INFORM Consumers Act – If your address is your residential address, only your state and country will be shown. Before the INFORM Consumers Act becomes effective, you’ll be able to certify whether you’re eligible for an exception.
The collection, processing, and sharing of your personal information will continue to be governed by our User Privacy Notice, including as required by other laws and regulations.
When do I have to submit this information?
Once you’ve reached the high-volume seller thresholds noted above, SidelineSwap will prompt you to submit the required information from the Seller Dashboard. Once you receive the notice, you will have to provide, update, or certify the required information. If you do not comply with the requirements within the specified timeframe, we will need to put your account on hold until all of your information can be collected and verified.
Is there anything else I need to do once I’ve submitted the information?
Annually, sellers will be prompted to certify that the information they had previously provided is still correct. If it is not, the seller will be required to make any relevant changes.