Use naming that is unambiguous, consistent with the codebase, and semantically accurate.

Apply:

Example (shadowing + rename):

function isValidCreditCard(cardNumber: string): boolean {
  const isLuhnAlgo = (sanitizedCardNumber: string): boolean => {
    // ...
    return true;
  };

  return isLuhnAlgo(cardNumber);
}

Example (terminology + semantics):