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Federal Legislative Activity in 2023 Amend Section 604(c) of the FCRA to address the treatment of pre-screening report requests. Section 604(c) governs the furnishing of reports in connection with credit or insurance transactions that are not initiated by the consumer. [1]
Section 623(a)(1)(B). If a consumer notifies a furnisher that the consumer disputes the completeness or accuracy of any information reported by the furnisher, the furnisher may not subsequently report that information to a CRA without providing notice of the dispute.
Section 609 of the FCRA gives consumers the right to request all information in their credit files and the source of that information. Consumers also have the right to know any prospective employer who has accessed their credit report within the last two years.
The FCRA specifies those with a valid need for access. ? You must give your consent for reports to be provided to employers. A consumer. reporting agency may not give out information about you to your employer, or a potential employer, without your written consent given to the employer.
The Dodd-Frank Act also amended two provisions of the FCRA to require the disclosure of a credit score and related information when a credit score is used in taking an adverse action or in risk-based pricing.
Under the Act, all credit reporting agencies are required to: Only collect and report accurate credit information. Maintain accurate files. Provide individuals with a copy of their credit file upon request and free of charge if a report is inaccurate.
Four Basic Steps to FCRA Compliance Step 1: Disclosure & Written Consent. Before requesting a consumer or investigative report, an employer must: ... Step 2: Certification To The Consumer Reporting Agency. ... Step 3: Provide Applicant With Pre-Adverse Action Documents. ... Step 4: Notify Applicant Of Adverse Action.
[15 U.S.C. § 1681] (1) The banking system is dependent upon fair and accurate credit report- ing. Inaccurate credit reports directly impair the efficiency of the banking system, and unfair credit reporting methods undermine the public confidence which is essential to the continued functioning of the banking system.