The Fair Credit Reporting Act (FCRA) provides consumers with a strong legal claim for inaccurate consumer reporting and other events related to consumer reports. Fair Credit claims can be asserted against, credit reporting agencies, background screening agencies, banks, credit card companies, and collection agencies. Consumers can recover economic and non-economic damages, punitive damages and attorney fees. You can get a copy of your credit report at www.annualcreditreport.com. You can get a report if you are denied for a loan or credit. Your credit score determines how much you pay for things like insurance, loans and credit. Check your report for inaccuracies.
A consumer reporting agency (CRA) must follow “reasonable procedures to assure maximum possible accuracy of the information” it reports.
CRAs must block reporting of any information that the consumer identifies as resulting from an alleged Identity theft upon receipt of:
The information must be blocked within four business days after receipt.
The CRA must promptly notify the furnisher of the blocking.
CRAs are companies that compile consumer credit information or other information for the purpose of furnishing consumer report to third parties.15 USC §1681a(f).
The Big 3 are: Equifax, TransUnion, Experian. There are employment screening companies that obtain public records. Specialty CRAs compile and maintain records for medical records, residential and tenant history, employment history and insurance claims. 15 USC §1681a(p) and (w).
Are Background Check Companies “Consumer Reporting Agencies?” YES, most qualify because they:
A copy of the report, and a description of the consumer’s rights under the FCRA 15 USC §1681b(b)(3). Failure to give notice violates “Conditions on use for adverse action.” “Adverse Action” includes: Job denial, firing, demotions, and reassignment.
How far in advance must documents be sent?
It must be sufficient to allow consumer to resolve inaccuracies before any decision is made.
You must file an action the earlier of two years after discovery of the violation, or 5 years after the date of the violation. 15 USC §1681p.
Actual damages include: