Fair Credit Reporting Act (FCRA)

The Fair Credit Reporting Act, or FCRA, is a federal law regulating how credit reporting agencies handle your credit information. The law is designed to protect your credit information.

Credit reporting agencies – such as Transunion, Equifax, and Experian, among many others – collect and provide credit information about consumers from banks, creditors, financial institutions, and public records resources (such as bankruptcies).

These agencies are now required to:

  • Provide you with its information concerning you upon request, often for free
  • Provide you with your credit score upon request
  • Look into disputed credit information in your file
  • Correct or delete incorrect or incomplete information within 30 days of the dispute
  • Keep from reporting old credit information, usually more than seven to ten years old
  • Limit disclosure of your credit file to third parties to only those with a “valid need”
  • Withhold disclosure of credit information from employers without your consent

The FCRA forces your creditors to abstain from reporting to a credit reporting agency any information about you that it knows is untrue. The FCRA also requires creditors to promptly update and correct any inaccurate information it has previously supplied about you to a credit reporting agency.

If you contact your creditor and dispute inaccurate information with them, they are not allowed to continue reporting wrong information to the credit reporting agency until an investigation takes place. They must also inform the agency of the dispute.

Any individual or entity who violates the rules of the FCRA can be sued in state or federal court for damages.

If you suspect your rights according to the FCRA have been violated, do not hesitate to speak with Fischer & Associates, LLC.