Financial Update (Third Quarter 2009)

New Rules Promote Accuracy of Consumers' Credit Reports

credit report graphicThe federal financial regulatory agencies and the Federal Trade Commission have published final rules and guidelines to promote the accuracy and integrity of information furnished to credit bureaus and other consumer reporting agencies. This information is widely used to determine consumers' eligibility for credit, employment, insurance, and rental housing.

Information regarding credit limits mandated
Under the rules, entities that furnish information about consumers to consumer reporting agencies generally must include a consumer's credit limit in the information provided. The federal agencies are also proposing a rule to identify possible additions to the information that furnishers must provide to consumer reporting agencies, such as the account opening date.

Press release off-site image
Federal Register notice of final rules off-site image

Disputed information must be investigated
Also, under the rules, if a consumer believes his or her credit report includes inaccurate information, the consumer may submit a dispute directly to the entity that provided the information to the consumer reporting agency, and that entity must investigate the dispute. The rules do not change a consumer's ability to submit a dispute to a consumer reporting agency or a furnisher's duty to investigate a dispute referred by a reporting agency.

The Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation, the Federal Trade Commission, the National Credit Union Administration, the Office of the Comptroller of the Currency, and the Office of Thrift Supervision are publishing these final rules and guidelines, with an effective date of July 1, 2010. Their publication is required by the Fair and Accurate Credit Transactions Act (the FACT Act).

July 30, 2009