§ 601. Short title
This title may be cited as the Fair Credit Reporting Act.
§ 602. Congressional findings and statement
of purpose [15 U.S.C. § 1681]
(a) Accuracy and fairness of credit reporting. The Congress makes the
following findings:
| (1) The banking system is dependent upon fair
and accurate credit reporting. 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.
(2) An elaborate mechanism has been developed for investigating
and evaluating the credit worthiness, credit standing, credit
capacity, character, and general reputation of consumers.
(3) Consumer reporting agencies have assumed a vital role in assembling
and evaluating consumer credit and other information on consumers.
(4) There is a need to insure that consumer reporting agencies
exercise their grave responsibilities with fairness, impartiality,
and a respect for the consumer's right to privacy. |
(b) Reasonable procedures. It is the purpose of this title to require
that consumer reporting agencies adopt reasonable procedures for meeting
the needs of commerce for consumer credit, personnel, insurance, and
other information in a manner which is fair and equitable to the consumer,
with regard to the confidentiality, accuracy, relevancy, and proper
utilization of such information in accordance with the requirements
of this title.
§ 603. Definitions; rules of construction [15
U.S.C. § 1681a]
(a) Definitions and rules of construction set forth in this section
are applicable for the purposes of this title.
(b) The term "person" means any individual, partnership,
corporation, trust, estate, cooperative, association, government or
governmental subdivision or agency, or other entity.
(c) The term "consumer" means an individual.
(d) Consumer report.
(1) In general. The term "consumer report"
means any written, oral, or other communication of any information
by a consumer reporting agency bearing on a consumer's credit worthiness,
credit standing, credit capacity, character, general reputation,
personal characteristics, or mode of living which is used or expected
to be used or collected in whole or in part for the purpose of serving
as a factor in establishing the consumer's eligibility for
(A) credit or insurance to be used primarily
for personal, family, or household purposes;
(B) employment purposes; or
(C) any other purpose authorized under section 604 [§ 1681b].
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(2) Exclusions. The term "consumer report" does not include
(A) any
(i) report containing information
solely as to transactions or experiences between the
consumer and the person making the report;
(ii) communication of that information among persons
related by common ownership or affiliated by corporate
control; or
(iii) communication of other information among persons
related by common ownership or affiliated by corporate
control, if it is clearly and conspicuously disclosed
to the consumer that the information may be communicated
among such persons and the consumer is given the opportunity,
before the time that the information is initially communicated,
to direct that such information not be communicated
among such persons; |
(B) any authorization or approval of a specific extension
of credit directly or indirectly by the issuer of a credit
card or similar device;
(C) any report in which a person who has been requested by
a third party to make a specific extension of credit directly
or indirectly to a consumer conveys his or her decision with
respect to such request, if the third party advises the consumer
of the name and address of the person to whom the request
was made, and such person makes the disclosures to the consumer
required under section 615 [§ 1681m]; or
(D) a communication described in subsection (o). |
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(e) The term "investigative consumer report" means a consumer
report or portion thereof in which information on a consumer's character,
general reputation, personal characteristics, or mode of living is obtained
through personal interviews with neighbors, friends, or associates of
the consumer reported on or with others with whom he is acquainted or
who may have knowledge concerning any such items of information. However,
such information shall not include specific factual information on a consumer's
credit record obtained directly from a creditor of the consumer or from
a consumer reporting agency when such information was obtained directly
from a creditor of the consumer or from the consumer.
(f) The term "consumer reporting agency" means any person
which, for monetary fees, dues, or on a cooperative nonprofit basis,
regularly engages in whole or in part in the practice of assembling
or evaluating consumer credit information or other information on consumers
for the purpose of furnishing consumer reports to third parties, and
which uses any means or facility of interstate commerce for the purpose
of preparing or furnishing consumer reports.
(g) The term "file," when used in connection with information
on any consumer, means all of the information on that consumer recorded
and retained by a consumer reporting agency regardless of how the information
is stored.
(h) The term "employment purposes" when used in connection
with a consumer report means a report used for the purpose of evaluating
a consumer for employment, promotion, reassignment or retention as an
employee.
(i) The term "medical information" means information or records
obtained, with the consent of the individual to whom it relates, from
licensed physicians or medical practitioners, hospitals, clinics, or
other medical or medically related facilities.
(j) Definitions relating to child support obligations.
(1) Overdue support. The term "overdue support"
has the meaning given to such term in section 666(e) of title 42
[Social Security Act, 42 U.S.C. § 666(e)].
(2) State or local child support enforcement agency. The term "State
or local child support enforcement agency" means a State or
local agency which administers a State or local program for establishing
and enforcing child support obligations. |
(k) Adverse action.
(1) Actions included. The term "adverse
action"
(A) has the same meaning as in section
701(d)(6) of the Equal Credit Opportunity Act; and
(B) means
(i) a denial or cancellation of,
an increase in any charge for, or a reduction or other
adverse or unfavorable change in the terms of coverage
or amount of, any insurance, existing or applied for,
in connection with the underwriting of insurance;
(ii) a denial of employment or any other decision for
employment purposes that adversely affects any current
or prospective employee;
(iii) a denial or cancellation of, an increase in any
charge for, or any other adverse or unfavorable change
in the terms of, any license or benefit described in
section 604(a)(3)(D) [§ 1681b]; and
(iv) an action taken or determination that is
(I) made in connection with
an application that was made by, or a transaction
that was initiated by, any consumer, or in connection
with a review of an account under section 604(a)(3)(F)(ii)[§
1681b]; and
(II) adverse to the interests of the consumer. |
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(2) Applicable findings, decisions, commentary, and orders.
For purposes of any determination of whether an action is
an adverse action under paragraph (1)(A), all appropriate
final findings, decisions, commentary, and orders issued under
section 701(d)(6) of the Equal Credit Opportunity Act by the
Board of Governors of the Federal Reserve System or any court
shall apply. |
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(l) Firm offer of credit or insurance. The term "firm offer of
credit or insurance" means any offer of credit or insurance to
a consumer that will be honored if the consumer is determined, based
on information in a consumer report on the consumer, to meet the specific
criteria used to select the consumer for the offer, except that the
offer may be further conditioned on one or more of the following:
(1) The consumer being determined, based on information
in the consumer's application for the credit or insurance, to meet
specific criteria bearing on credit worthiness or insurability,
as applicable, that are established
(A) before selection of the consumer for
the offer; and
(B) for the purpose of determining whether to extend credit
or insurance pursuant to the offer. |
2) Verification
(A) that the consumer continues to meet
the specific criteria used to select the consumer for the
offer, by using information in a consumer report on the consumer,
information in the consumer's application for the credit or
insurance, or other information bearing on the credit worthiness
or insurability of the consumer; or
(B) of the information in the consumer's application for the
credit or insurance, to determine that the consumer meets
the specific criteria bearing on credit worthiness or insurability. |
(3) The consumer furnishing any collateral that is a requirement
for the extension of the credit or insurance that was
(A) established before selection of the
consumer for the offer of credit or insurance; and
(B) disclosed to the consumer in the offer of credit or insurance. |
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(m) Credit or insurance transaction that is not initiated by the consumer.
The term"credit or insurance transaction that is not initiated
by the consumer" does not include the use of a consumer report
by a person with which the consumer has an account or insurance policy,
for purposes of
(1) reviewing the account or insurance policy;
or
(2) collecting the account. |
(n) State. The term "State" means any State, the Commonwealth
of Puerto Rico, the District of Columbia, and any territory or possession
of the United States.
(o) Excluded communications. A communication is described in this subsection
if it is a communication
(1) that, but for subsection (d)(2)(D), would
be an investigative consumer report;
(2) that is made to a prospective employer for the purpose of
(A) procuring an employee for the employer;
or
(B) procuring an opportunity for a natural person to work
for the employer; |
(3) that is made by a person who regularly performs such procurement;
(4) that is not used by any person for any purpose other than a
purpose described in subparagraph (A) or (B) of paragraph (2); and
(5) with respect to which
(A) the consumer who is the subject of
the communication
(i) consents orally or in writing
to the nature and scope of the communication, before
the collection of any information for the purpose of
making the communication;
(ii) consents orally or in writing to the making of
the communication to a prospective employer, before
the making of the communication; and
(iii) in the case of consent under clause (i) or (ii)
given orally, is provided written confirmation of that
consent by the person making the communication, not
later than 3 business days after the receipt of the
consent by that person; |
(B) the person who makes the communication does not, for the
purpose of making the communication, make any inquiry that
if made by a prospective employer of the consumer who is the
subject of the communication would violate any applicable
Federal or State equal employment opportunity law or regulation;
and
(C) the person who makes the communication
(i) discloses in writing to the consumer
who is the subject of the communication, not later than
5 business days after receiving any request from the
consumer for such disclosure, the nature and substance
of all information in the consumer's file at the time
of the request, except that the sources of any information
that is acquired solely for use in making the communication
and is actually used for no other purpose, need not
be disclosed other than under appropriate discovery
procedures in any court of competent jurisdiction in
which an action is brought; and
(ii) notifies the consumer who is the subject of the
communication, in writing, of the consumer's right to
request the information described in clause (i). |
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(p) Consumer reporting agency that compiles and maintains files on consumers
on a nationwide basis. The term "consumer reporting agency that compiles
and maintains files on consumers on a nationwide basis" means a consumer
reporting agency that regularly engages in the practice of assembling
or evaluating, and maintaining, for the purpose of furnishing consumer
reports to third parties bearing on a consumer's credit worthiness, credit
standing, or credit capacity, each of the following regarding consumers
residing nationwide:
(1) Public record information.
(2) Credit account information from persons who furnish that information
regularly and in the ordinary course of business. |
§ 604. Permissible purposes of consumer reports
[15 U.S.C. § 1681b]
(a) In general. Subject to subsection (c), any consumer reporting agency
may furnish a consumer report under the following circumstances and
no other
(1) In response to the order of a court having
jurisdiction to issue such an order, or a subpoena issued in connection
with proceedings before a Federal grand jury.
(2) In accordance with the written instructions of the consumer
to whom it relates.
(3) To a person which it has reason to believe
(A) intends to use the information in connection
with a credit transaction involving the consumer on whom the
information is to be furnished and involving the extension
of credit to, or review or collection of an account of, the
consumer; or
(B) intends to use the information for employment purposes;
or
(C) intends to use the information in connection with the
underwriting of insurance involving the consumer; or
(D) intends to use the information in connection with a determination
of the consumer's eligibility for a license or other benefit
granted by a governmental instrumentality required by law
to consider an applicant's financial responsibility or status;
or
(E) intends to use the information, as a potential investor
or servicer, or current insurer, in connection with a valuation
of, or an assessment of the credit or prepayment risks associated
with, an existing credit obligation; or
(F) otherwise has a legitimate business need for the information
(i) in connection with a business
transaction that is initiated by the consumer; or
(ii) to review an account to determine whether the consumer
continues to meet the terms of the account. |
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(4) In response to a request by the head of a State or local child
support enforcement agency (or a State or local government official
authorized by the head of such an agency), if the person making
the request certifies to the consumer reporting agency that
(A) the consumer report is needed for the
purpose of establishing an individual's capacity to make child
support payments or determining the appropriate level of such
payments;
(B) the paternity of the consumer for the child to which the
obligation relates has been established or acknowledged by
the consumer in accordance with State laws under which the
obligation arises (if required by those laws);
(C) the person has provided at least 10 days' prior notice
to the consumer whose report is requested, by certified or
registered mail to the last known address of the consumer,
that the report will be requested; and
(D) the consumer report will be kept confidential, will be
used solely for a purpose described in subparagraph (A), and
will not be used in connection with any other civil, administrative,
or criminal proceeding, or for any other purpose. |
(5) To an agency administering a State plan under Section 454 of
the Social Security Act (42 U.S.C. § 654) for use to set an initial
or modified child support award. |
(b) Conditions for furnishing and using consumer reports for employment
purposes.
(1) Certification from user. A consumer reporting
agency may furnish a consumer report for employment purposes only
if
(A) the person who obtains such report
from the agency certifies to the agency that
(i) the person has complied with
paragraph (2) with respect to the consumer report, and
the person will comply with paragraph (3) with respect
to the consumer report if paragraph (3) becomes applicable;
and
(ii) information from the consumer report will not be
used in violation of any applicable Federal or State
equal employment opportunity law or regulation; and |
(B) the consumer reporting agency provides with the report,
or has previously provided, a summary of the consumer's rights
under this title, as prescribed by the Federal Trade Commission
under section 609(c)(3) [§ 1681g]. |
(2) Disclosure to consumer.
(A) In general. Except as provided in subparagraph
(B), a person may not procure a consumer report, or cause
a consumer report to be procured, for employment purposes
with respect to any consumer, unless--
(i) a clear and conspicuous disclosure
has been made in writing to the consumer at any time
before the report is procured or caused to be procured,
in a document that consists solely of the disclosure,
that a consumer report may be obtained for employment
purposes; and
(ii) the consumer has authorized in writing (which authorization
may be made on the document referred to in clause (i))
the procurement of the report by that person. |
(B) Application by mail, telephone, computer, or other similar
means. If a consumer described in subparagraph (C) applies
for employment by mail, telephone, computer, or other similar
means, at any time before a consumer report is procured or
caused to be procured in connection with that application--
(i) the person who procures the consumer
report on the consumer for employment purposes shall
provide to the consumer, by oral, written, or electronic
means, notice that a consumer report may be obtained
for employment purposes, and a summary of the consumer's
rights under section 615(a)(3); and
(ii) the consumer shall have consented, orally, in writing,
or electronically to the procurement of the report by
that person. |
(C) Scope. Subparagraph (B) shall apply to a person procuring
a consumer report on a consumer in connection with the consumer's
application for employment only if--
(i) the consumer is applying for
a position over which the Secretary of Transportation
has the power to establish qualifications and maximum
hours of service pursuant to the provisions of section
31502 of title 49, or a position subject to safety regulation
by a State transportation agency; and
(ii) as of the time at which the person procures the
report or causes the report to be procured the only
interaction between the consumer and the person in connection
with that employment application has been by mail, telephone,
computer, or other similar means. |
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(3) Conditions on use for adverse actions.
(A) In general. Except as provided in subparagraph
(B), in using a consumer report for employment purposes, before
taking any adverse action based in whole or in part on the
report, the person intending to take such adverse action shall
provide to the consumer to whom the report relates--
(i) a copy of the report; and
(ii) a description in writing of the rights of the consumer
under this title, as prescribed by the Federal Trade
Commission under section 609(c)(3). |
(B) Application by mail, telephone, computer, or other similar
means.
(i) If a consumer described in subparagraph
(C) applies for employment by mail, telephone, computer,
or other similar means, and if a person who has procured
a consumer report on the consumer for employment purposes
takes adverse action on the employment application based
in whole or in part on the report, then the person must
provide to the consumer to whom the report relates,
in lieu of the notices required under subparagraph (A)
of this section and under section 615(a), within 3 business
days of taking such action, an oral, written or electronic
notification--
(I) that adverse action has
been taken based in whole or in part on a consumer
report received from a consumer reporting agency;
(II) of the name, address and telephone number
of the consumer reporting agency that furnished
the consumer report (including a toll-free telephone
number established by the agency if the agency
compiles and maintains files on consumers on a
nationwide basis);
(III) that the consumer reporting agency did not
make the decision to take the adverse action and
is unable to provide to the consumer the specific
reasons why the adverse action was taken; and
(IV) that the consumer may, upon providing proper
identification, request a free copy of a report
and may dispute with the consumer reporting agency
the accuracy or completeness of any information
in a report. |
(ii) If, under clause (B)(i)(IV), the consumer requests
a copy of a consumer report from the person who procured
the report, then, within 3 business days of receiving
the consumer's request, together with proper identification,
the person must send or provide to the consumer a copy
of a report and a copy of the consumer's rights as prescribed
by the Federal Trade Commission under section 609(c)(3). |
(C) Scope. Subparagraph (B) shall apply to a person procuring
a consumer report on a consumer in connection with the consumer's
application for employment only if--
(i) the consumer is applying for
a position over which the Secretary of Transportation
has the power to establish qualifications and maximum
hours of service pursuant to the provisions of section
31502 of title 49, or a position subject to safety regulation
by a State transportation agency; and
(ii) as of the time at which the person procures the
report or causes the report to be procured the only
interaction between the consumer and the person in connection
with that employment application has been by mail, telephone,
computer, or other similar means. |
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(4) Exception for national security investigations.
(A) In general. In the case of an agency
or department of the United States Government which seeks
to obtain and use a consumer report for employment purposes,
paragraph (3) shall not apply to any adverse action by such
agency or department which is based in part on such consumer
report, if the head of such agency or department makes a written
finding that--
(i) the consumer report is relevant
to a national security investigation of such agency
or department;
(ii) the investigation is within the jurisdiction of
such agency or department;
(iii) there is reason to believe that compliance with
paragraph (3) will--
(I) endanger the life or physical
safety of any person;
(II) result in flight from prosecution;
(III) result in the destruction of, or tampering
with, evidence relevant to the investigation;
(IV) result in the intimidation of a potential
witness relevant to the investigation;
(V) result in the compromise of classified information;
or
(VI) otherwise seriously jeopardize or unduly
delay the investigation or another official proceeding. |
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(B) Notification of consumer upon conclusion of investigation.
Upon the conclusion of a national security investigation described
in subparagraph (A), or upon the determination that the exception
under subparagraph (A) is no longer required for the reasons
set forth in such subparagraph, the official exercising the
authority in such subparagraph shall provide to the consumer
who is the subject of the consumer report with regard to which
such finding was made--
(i) a copy of such consumer report
with any classified information redacted as necessary;
(ii) notice of any adverse action which is based, in
part, on the consumer report; and
(iii) the identification with reasonable specificity
of the nature of the investigation for which the consumer
report was sought. |
(C) Delegation by head of agency or department. For purposes
of subparagraphs (A) and (B), the head of any agency or department
of the United States Government may delegate his or her authorities
under this paragraph to an official of such agency or department
who has personnel security responsibilities and is a member
of the Senior Executive Service or equivalent civilian or
military rank.
(D) Report to the congress. Not later than January 31 of each
year, the head of each agency and department of the United
States Government that exercised authority under this paragraph
during the preceding year shall submit a report to the Congress
on the number of times the department or agency exercised
such authority during the year.
(E) Definitions. For purposes of this paragraph, the following
definitions shall apply:
(i) Classified information. The term
`classified information' means information that is protected
from unauthorized disclosure under Executive Order No.
12958 or successor orders.
(ii) National security investigation. The term `national
security investigation' means any official inquiry by
an agency or department of the United States Government
to determine the eligibility of a consumer to receive
access or continued access to classified information
or to determine whether classified information has been
lost or compromised. |
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(c) Furnishing reports in connection with credit or insurance transactions
that are not initiated by the consumer.
(1) In general. A consumer reporting agency may
furnish a consumer report relating to any consumer pursuant to subparagraph
(A) or (C) of subsection (a)(3) in connection with any credit or
insurance transaction that is not initiated by the consumer only
if
(A) the consumer authorizes the agency
to provide such report to such person; or
(B)
(i) the transaction consists of a
firm offer of credit or insurance;
(ii) the consumer reporting agency has complied with
subsection (e); and
(iii) there is not in effect an election by the consumer,
made in accordance with subsection (e), to have the
consumer's name and address excluded from lists of names
provided by the agency pursuant to this paragraph. |
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(2) Limits on information received under paragraph (1)(B). A person
may receive pursuant to paragraph (1)(B) only
(A) the name and address of a consumer;
(B) an identifier that is not unique to the consumer and that
is used by the person solely for the purpose of verifying
the identity of the consumer; and
(C) other information pertaining to a consumer that does not
identify the relationship or experience of the consumer with
respect to a particular creditor or other entity |
(3) Information regarding inquiries. Except as provided in section
609(a)(5) [§ 1681g], a consumer reporting agency shall not furnish
to any person a record of inquiries in connection with a credit
or insurance transaction that is not initiated by a consumer. |
(d) Reserved.
(e) Election of consumer to be excluded from lists.
(1) In general. A consumer may elect to have
the consumer's name and address excluded from any list provided
by a consumer reporting agency under subsection (c)(1)(B) in connection
with a credit or insurance transaction that is not initiated by
the consumer, by notifying the agency in accordance with paragraph
(2) that the consumer does not consent to any use of a consumer
report relating to the consumer in connection with any credit or
insurance transaction that is not initiated by the consumer.
(2) Manner of notification. A consumer shall notify a consumer reporting
agency under paragraph (1)
(A) through the notification system maintained
by the agency under paragraph (5); or
(B) by submitting to the agency a signed notice of election
form issued by the agency for purposes of this subparagraph. |
(3) Response of agency after notification through system. Upon receipt
of notification of the election of a consumer under paragraph (1)
through the notification system maintained by the agency under paragraph
(5), a consumer reporting agency shall
(A) inform the consumer that the election
is effective only for the 2-year period following the election
if the consumer does not submit to the agency a signed notice
of election form issued by the agency for purposes of paragraph
(2)(B); and
(B) provide to the consumer a notice of election form, if
requested by the consumer, not later than 5 business days
after receipt of the notification of the election through
the system established under paragraph (5), in the case of
a request made at the time the consumer provides notification
through the system. |
(4) Effectiveness of election. An election of a consumer under paragraph
(1)
(A) shall be effective with respect to
a consumer reporting agency beginning 5 business days after
the date on which the consumer notifies the agency in accordance
with paragraph (2);
(B) shall be effective with respect to a consumer reporting
agency
(i) subject to subparagraph (C),
during the 2-year period beginning 5 business days after
the date on which the consumer notifies the agency of
the election, in the case of an election for which a
consumer notifies the agency only in accordance with
paragraph (2)(A); or
(ii) until the consumer notifies the agency under subparagraph
(C), in the case of an election for which a consumer
notifies the agency in accordance with paragraph (2)(B); |
(C) shall not be effective after the date on which the consumer
notifies the agency, through the notification system established
by the agency under paragraph (5), that the election is no
longer effective; and
(D) shall be effective with respect to each affiliate of the
agency. |
(5) Notification system.
(A) In general. Each consumer reporting
agency that, under subsection (c)(1)(B), furnishes a consumer
report in connection with a credit or insurance transaction
that is not initiated by a consumer, shall
(i) establish and maintain a notification
system, including a toll-free telephone number, which
permits any consumer whose consumer report is maintained
by the agency to notify the agency, with appropriate
identification, of the consumer's election to have the
consumer's name and address excluded from any such list
of names and addresses provided by the agency for such
a transaction; and
(ii) publish by not later than 365 days after the date
of enactment of the Consumer Credit Reporting Reform
Act of 1996, and not less than annually thereafter,
in a publication of general circulation in the area
served by the agency
(I) a notification that information
in consumer files maintained by the agency may
be used in connection with such transactions;
and
(II) the address and toll-free telephone number
for consumers to use to notify the agency of the
consumer's election under clause (I). |
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(B) Establishment and maintenance as compliance. Establishment
and maintenance of a notification system (including a toll-free
telephone number) and publication by a consumer reporting
agency on the agency's own behalf and on behalf of any of
its affiliates in accordance with this paragraph is deemed
to be compliance with this paragraph by each of those affiliates. |
(6) Notification system by agencies that operate nationwide. Each
consumer reporting agency that compiles and maintains files on consumers
on a nationwide basis shall establish and maintain a notification
system for purposes of paragraph (5) jointly with other such consumer
reporting agencies. |
(f) Certain use or obtaining of information prohibited. A person shall
not use or obtain a consumer report for any purpose unless
(1) the consumer report is obtained for a purpose
for which the consumer report is authorized to be furnished under
this section; and
(2) the purpose is certified in accordance with section 607 [§ 1681e]
by a prospective user of the report through a general or specific
certification. |
(g) Furnishing reports containing medical information. A consumer reporting
agency shall not furnish for employment purposes, or in connection with
a credit or insurance transaction, a consumer report that contains medical
information about a consumer, unless the consumer consents to the furnishing
of the report.
§ 605. Requirements relating to information contained
in consumer reports [15 U.S.C. § 1681c]
(a) Information excluded from consumer reports. Except as authorized
under subsection (b) of this section, no consumer reporting agency may
make any consumer report containing any of the following items of information:
(1) Cases under title 11 [United States Code]
or under the Bankruptcy Act that, from the date of entry of the
order for relief or the date of adjudication, as the case may be,
antedate the report by more than 10 years.
(2) Civil suits, civil judgments, and records of arrest that from
date of entry, antedate the report by more than seven years or until
the governing statute of limitations has expired, whichever is the
longer period.
(3) Paid tax liens which, from date of payment, antedate the report
by more than seven years.
(4) Accounts placed for collection or charged to profit and loss
which antedate the report by more than seven years.*
(5) Any other adverse item of information, other than records of
convictions of crimes which antedates the report by more than seven
years.** |
(b) Exempted cases. The provisions of subsection (a) of this section are
not applicable in the case of any consumer credit report to be used in
connection with
(1) a credit transaction involving, or which
may reasonably be expected to involve, a principal amount of $150,000
or more;
(2) the underwriting of life insurance involving, or which may reasonably
be expected to involve, a face amount of $150,000 or more; or
(3) the employment of any individual at an annual salary which equals,
or which may reasonably be expected to equal $75,000, or more. |
(c) Running of reporting period.
(1) In general. The 7-year period referred to
in paragraphs (4) and (6)(2) of subsection (a) shall begin, with
respect to any delinquent account that is placed for collection
(internally or by referral to a third party, whichever is earlier),
charged to profit and loss, or subjected to any similar action,
upon the expiration of the 180-day period beginning on the date
of the commencement of the delinquency which immediately preceded
the collection activity, charge to profit and loss, or similar action.
(2) Effective date. Paragraph (1) shall apply only to items of information
added to the file of a consumer on or after the date that is 455
days after the date of enactment of the Consumer Credit Reporting
Reform Act of 1996. |
(d) Information required to be disclosed. Any consumer reporting agency
that furnishes a consumer report that contains information regarding any
case involving the consumer that arises under title 11, United States
Code, shall include in the report an identification of the chapter of
such title 11 under which such case arises if provided by the source of
the information. If any case arising or filed under title 11, United States
Code, is withdrawn by the consumer before a final judgment, the consumer
reporting agency shall include in the report that such case or filing
was withdrawn upon receipt of documentation certifying such withdrawal.
(e) Indication of closure of account by consumer. If a consumer reporting
agency is notified pursuant to section 623(a)(4) [§ 1681s-2] that a
credit account of a consumer was voluntarily closed by the consumer,
the agency shall indicate that fact in any consumer report that includes
information related to the account.
(f) Indication of dispute by consumer. If a consumer reporting agency
is notified pursuant to section 623(a)(3) [§ 1681s-2] that information
regarding a consumer who was furnished to the agency is disputed by
the consumer, the agency shall indicate that fact in each consumer report
that includes the disputed information.
§ 606. Disclosure of investigative consumer reports
[15 U.S.C. § 1681d]
(a) Disclosure of fact of preparation. A person may not procure or
cause to be prepared an investigative consumer report on any consumer
unless
(1) it is clearly and accurately disclosed to
the consumer that an investigative consumer report including information
as to his character, general reputation, personal characteristics
and mode of living, whichever are applicable, may be made, and such
disclosure
(A) is made in a writing mailed, or otherwise
delivered, to the consumer, not later than three days after
the date on which the report was first requested, and
(B) includes a statement informing the consumer of his right
to request the additional disclosures provided for under subsection
(b) of this section and the written summary of the rights
of the consumer prepared pursuant to section 609(c) [§ 1681g];
and |
(2) the person certifies or has certified to the consumer reporting
agency that
| (A) the person has made the disclosures
to the consumer required by paragraph (1); and
(B) the person will comply with subsection (b). |
|
(b) Disclosure on request of nature and scope of investigation. Any person
who procures or causes to be prepared an investigative consumer report
on any consumer shall, upon written request made by the consumer within
a reasonable period of time after the receipt by him of the disclosure
required by subsection (a)(1) of this section, make a complete and accurate
disclosure of the nature and scope of the investigation requested. This
disclosure shall be made in a writing mailed, or otherwise delivered,
to the consumer not later than five days after the date on which the request
for such disclosure was received from the consumer or such report was
first requested, whichever is the later.
(c) Limitation on liability upon showing of reasonable procedures for
compliance with provisions. No person may be held liable for any violation
of subsection (a) or (b) of this section if he shows by a preponderance
of the evidence that at the time of the violation he maintained reasonable
procedures to assure compliance with subsection (a) or (b) of this section.
(d) Prohibitions.
| (1) Certification. A consumer reporting agency
shall not prepare or furnish investigative consumer report unless
the agency has received a certification under subsection (a)(2)
from the person who requested the report.
(2) Inquiries. A consumer reporting agency shall not make an
inquiry for the purpose of preparing an investigative consumer
report on a consumer for employment purposes if the making of
the inquiry by an employer or prospective employer of the consumer
would violate any applicable Federal or State equal employment
opportunity law or regulation.
(3) Certain public record information. Except as otherwise provided
in section 613 [§ 1681k], a consumer reporting agency shall not
furnish an investigative consumer report that includes information
that is a matter of public record and that relates to an arrest,
indictment, conviction, civil judicial action, tax lien, or outstanding
judgment, unless the agency has verified the accuracy of the information
during the 30-day period ending on the date on which the report
is furnished.
(4) Certain adverse information. A consumer reporting agency
shall not prepare or furnish an investigative consumer report
on a consumer that contains information that is adverse to the
interest of the consumer and that is obtained through a personal
interview with a neighbor, friend, or associate of the consumer
or with another person with whom the consumer is acquainted or
who has knowledge of such item of information, unless
| (A) the agency has followed reasonable
procedures to obtain confirmation of the information, from
an additional source that has independent and direct knowledge
of the information; or
(B) the person interviewed is the best possible source
of the information.
|
|
§ 607. Compliance procedures [15 U.S.C. § 1681e]
(a) Identity and purposes of credit users. Every consumer
reporting agency shall maintain reasonable procedures designed to avoid
violations of section 605 [§ 1681c] and to limit the furnishing of consumer
reports to the purposes listed under section 604 [§ 1681b] of this title.
These procedures shall require that prospective users of the information
identify themselves, certify the purposes for which the information
is sought, and certify that the information will be used for no other
purpose. Every consumer reporting agency shall make a reasonable effort
to verify the identity of a new prospective user and the uses certified
by such prospective user prior to furnishing such user a consumer report.
No consumer reporting agency may furnish a consumer report to any person
if it has reasonable grounds for believing that the consumer report
will not be used for a purpose listed in section 604 [§ 1681b] of this
title.
(b) Accuracy of report. Whenever a consumer reporting agency prepares
a consumer report it shall follow reasonable procedures to assure maximum
possible accuracy of the information concerning the individual about
whom the report relates.
(c) Disclosure of consumer reports by users allowed. A consumer reporting
agency may not prohibit a user of a consumer report furnished by the
agency on a consumer from disclosing the contents of the report to the
consumer, if adverse action against the consumer has been taken by the
user based in whole or in part on the report.
(d) Notice to users and furnishers of information.
(1) Notice requirement. A consumer reporting
agency shall provide to any person
| (A) who regularly and in the ordinary course
of business furnishes information to the agency with respect
to any consumer; or
(B) to whom a consumer report is provided by the agency; |
a notice of such person's responsibilities under this title.
(2) Content of notice. The Federal Trade Commission shall prescribe
the content of notices under paragraph (1), and a consumer reporting
agency shall be in compliance with this subsection if it provides
a notice under paragraph (1) that is substantially similar to
the Federal Trade Commission prescription under this paragraph. |
(e) Procurement of consumer report for resale.
(1) Disclosure. A person may not procure a consumer
report for purposes of reselling the report (or any information
in the report) unless the person discloses to the consumer reporting
agency that originally furnishes the report
(A) the identity of the end-user of the
report (or information); and
(B) each permissible purpose under section 604 [§ 1681b] for
which the report is furnished to the end-user of the report
(or information). |
(2) Responsibilities of procurers for resale. A person who procures
a consumer report for purposes of reselling the report (or any information
in the report) shall
(A) establish and comply with reasonable
procedures designed to ensure that the report (or information)
is resold by the person only for a purpose for which the report
may be furnished under section 604 [§ 1681b], including by
requiring that each person to which the report (or information)
is resold and that resells or provides the report (or information)
to any other person
(i) identifies each end user of the
resold report (or information);
(ii) certifies each purpose for which the report (or
information) will be used; and
(iii) certifies that the report (or information) will
be used for no other purpose; and |
(B) before reselling the report, make reasonable efforts to
verify the identifications and certifications made under subparagraph
(A). |
(3) Resale of consumer report to a federal agency or department.
Notwithstanding paragraph (1) or (2), a person who procures a consumer
report for purposes of reselling the report (or any information
in the report) shall not disclose the identity of the end-user of
the report under paragraph (1) or (2) if--
(A) the end user is an agency or department
of the United States Government which procures the report
from the person for purposes of determining the eligibility
of the consumer concerned to receive access or continued access
to classified information (as defined in section 604(b)(4)(E)(i));
and
(B) the agency or department certifies in writing to the person
reselling the report that nondisclosure is necessary to protect
classified information or the safety of persons employed by
or contracting with, or undergoing investigation for work
or contracting with the agency or department. |
|
§ 608. Disclosures to governmental agencies [15
U.S.C. § 1681f]
Notwithstanding the provisions of section
604 [§ 1681b] of this title, a consumer reporting agency may furnish
identifying information respecting any consumer, limited to his name,
address, former addresses, places of employment, or former places of
employment, to a governmental agency.
§ 609. Disclosures to consumers [15 U.S.C. § 1681g]
(a) Information on file; sources; report recipients. Every consumer
reporting agency shall, upon request, and subject to 610(a)(1) [§ 1681h],
clearly and accurately disclose to the consumer:
(1) All information in the consumer's file at
the time of the request, except that nothing in this paragraph shall
be construed to require a consumer reporting agency to disclose
to a consumer any information concerning credit scores or any other
risk scores or predictors relating to the consumer.
(2) The sources of the information; except that the sources of information
acquired solely for use in preparing an investigative consumer report
and actually used for no other purpose need not be disclosed: Provided,
That in the event an action is brought under this title, such sources
shall be available to the plaintiff under appropriate discovery
procedures in the court in which the action is brought.
(3)
(A) Identification of each person (including
each end-user identified under section 607(e)(1) [§ 1681e])
that procured a consumer report
(i) for employment purposes, during
the 2-year period preceding the date on which the request
is made; or
(ii) for any other purpose, during the 1-year period
preceding the date on which the request is made. |
(B) An identification of a person under subparagraph (A) shall
include
(i) the name of the person or, if
applicable, the trade name (written in full) under which
such person conducts business; and
(ii) upon request of the consumer, the address and telephone
number of the person. |
(C) Subparagraph (A) does not apply if--
(i) the end user is an agency or
department of the United States Government that procures
the report from the person for purposes of determining
the eligibility of the consumer to whom the report relates
to receive access or continued access to classified
information (as defined in section 604(b)(4)(E)(i));
and
(ii) the head of the agency or department makes a written
finding as prescribed under section 604(b)(4)(A). |
|
(4) The dates, original payees, and amounts of any checks upon which
is based any adverse characterization of the consumer, included
in the file at the time of the disclosure.
(5) A record of all inquiries received by the agency during the
1-year period preceding the request that identified the consumer
in connection with a credit or insurance transaction that was not
initiated by the consumer. |
(b) Exempt information. The requirements of subsection (a) of this section
respecting the disclosure of sources of information and the recipients
of consumer reports do not apply to information received or consumer reports
furnished prior to the effective date of this title except to the extent
that the matter involved is contained in the files of the consumer reporting
agency on that date.
(c) Summary of rights required to be included with disclosure.
(1) Summary of rights. A consumer reporting agency
shall provide to a consumer, with each written disclosure by the
agency to the consumer under this section
| (A) a written summary of all of the rights
that the consumer has under this title; and
(B) in the case of a consumer reporting agency that compiles
and maintains files on consumers on a nationwide basis,
a toll-free telephone number established by the agency,
at which personnel are accessible to consumers during normal
business hours. |
(2) Specific items required to be included. The summary of rights
required under paragraph (1) shall include
| (A) a brief description of this title and
all rights of consumers under this title;
(B) an explanation of how the consumer may exercise the
rights of the consumer under this title;
(C) a list of all Federal agencies responsible for enforcing
any provision of this title and the address and any appropriate
phone number of each such agency, in a form that will assist
the consumer in selecting the appropriate agency;
(D) a statement that the consumer may have additional rights
under State law and that the consumer may wish to contact
a State or local consumer protection agency or a State attorney
general to learn of those rights; and
(E) a statement that a consumer reporting agency is not
required to remove accurate derogatory information from
a consumer's file, unless the information is outdated under
section 605 [§ 1681c] or cannot be verified. |
(3) Form of summary of rights. For purposes of this subsection and
any disclosure by a consumer reporting agency required under this
title with respect to consumers' rights, the Federal Trade Commission
(after consultation with each Federal agency referred to in section
621(b) [§ 1681s]) shall prescribe the form and content of any such
disclosure of the rights of consumers required under this title.
A consumer reporting agency shall be in compliance with this subsection
if it provides disclosures under paragraph (1) that are substantially
similar to the Federal Trade Commission prescription under this
paragraph.
(4) Effectiveness. No disclosures shall be required under this subsection
until the date on which the Federal Trade Commission prescribes
the form and content of such disclosures under paragraph (3). |
§ 610. Conditions and form of disclosure to consumers
[15 U.S.C. § 1681h]
(a) In general.
| (1) Proper identification. A consumer reporting
agency shall require, as a condition of making the disclosures required
under section 609 [§ 1681g], that the consumer furnish proper identification.
(2) Disclosure in writing. Except as provided in subsection (b),
the disclosures required to be made under section 609 [§ 1681g]
shall be provided under that section in writing. |
(b) Other forms of disclosure.
(1) In general. If authorized by a consumer,
a consumer reporting agency may make the disclosures required under
609 [§ 1681g]
(A) other than in writing; and
(B) in such form as may be
(i) specified by the consumer in
accordance with paragraph (2); and
(ii) available from the agency. |
|
(2) Form. A consumer may specify pursuant to paragraph (1) that
disclosures under section 609 [§ 1681g] shall be made
(A) in person, upon the appearance of the
consumer at the place of business of the consumer reporting
agency where disclosures are regularly provided, during normal
business hours, and on reasonable notice;
(B) by telephone, if the consumer has made a written request
for disclosure by telephone;
(C) by electronic means, if available from the agency; or
(D) by any other reasonable means that is available from the
agency. |
|
(c) Trained personnel. Any consumer reporting agency shall provide trained
personnel to explain to the consumer any information furnished to him
pursuant to section 609 [§ 1681g] of this title.
(d) Persons accompanying consumer. The consumer shall be permitted
to be accompanied by one other person of his choosing, who shall furnish
reasonable identification. A consumer reporting agency may require the
consumer to furnish a written statement granting permission to the consumer
reporting agency to discuss the consumer's file in such person's presence.
(e) Limitation of liability. Except as provided in sections 616 and
617 [§§ 1681n and 1681o] of this title, no consumer may bring any action
or proceeding in the nature of defamation, invasion of privacy, or negligence
with respect to the reporting of information against any consumer reporting
agency, any user of information, or any person who furnishes information
to a consumer reporting agency, based on information disclosed pursuant
to section 609, 610, or 615 [§§ 1681g, 1681h, or 1681m] of this title
or based on information disclosed by a user of a consumer report to
or for a consumer against whom the user has taken adverse action, based
in whole or in part on the report, except as to false information furnished
with malice or willful intent to injure such consumer.
§ 611. Procedure in case of disputed accuracy [15
U.S.C. § 1681i]
(a) Reinvestigations of disputed information.
(1) Reinvestigation required.
(A) In general. If the completeness or
accuracy of any item of information contained in a consumer's
file at a consumer reporting agency is disputed by the consumer
and the consumer notifies the agency directly of such dispute,
the agency shall reinvestigate free of charge and record the
current status of the disputed information, or delete the
item from the file in accordance with paragraph (5), before
the end of the 30-day period beginning on the date on which
the agency receives the notice of the dispute from the consumer.
(B) Extension of period to reinvestigate. Except as provided
in subparagraph (C), the 30-day period described in subparagraph
(A) may be extended for not more than 15 additional days if
the consumer reporting agency receives information from the
consumer during that 30-day period that is relevant to the
reinvestigation.
(C) Limitations on extension of period to reinvestigate. Subparagraph
(B) shall not apply to any reinvestigation in which, during
the 30-day period described in subparagraph (A), the information
that is the subject of the reinvestigation is found to be
inaccurate or incomplete or the consumer reporting agency
determines that the information cannot be verified. |
(2) Prompt notice of dispute to furnisher of information.
(A) In general. Before the expiration of
the 5-business-day period beginning on the date on which a
consumer reporting agency receives notice of a dispute from
any consumer in accordance with paragraph (1), the agency
shall provide notification of the dispute to any person who
provided any item of information in dispute, at the address
and in the manner established with the person. The notice
shall include all relevant information regarding the dispute
that the agency has received from the consumer.
(B) Provision of other information from consumer. The consumer
reporting agency shall promptly provide to the person who
provided the information in dispute all relevant information
regarding the dispute that is received by the agency from
the consumer after the period referred to in subparagraph
(A) and before the end of the period referred to in paragraph
(1)(A). |
(3) Determination that dispute is frivolous or irrelevant.
(A) In general. Notwithstanding paragraph
(1), a consumer reporting agency may terminate a reinvestigation
of information disputed by a consumer under that paragraph
if the agency reasonably determines that the dispute by the
consumer is frivolous or irrelevant, including by reason of
a failure by a consumer to provide sufficient information
to investigate the disputed information.
(B) Notice of determination. Upon making any determination
in accordance with subparagraph (A) that a dispute is frivolous
or irrelevant, a consumer reporting agency shall notify the
consumer of such determination not later than 5 business days
after making such determination, by mail or, if authorized
by the consumer for that purpose, by any other means available
to the agency.
(C) Contents of notice. A notice under subparagraph (B) shall
include
| (i) the reasons for the determination
under subparagraph (A); and
(ii) identification of any information required to
investigate the disputed information, which may consist
of a standardized form describing the general nature
of such information. |
|
(4) Consideration of consumer information. In conducting any reinvestigation
under paragraph (1) with respect to disputed information in the
file of any consumer, the consumer reporting agency shall review
and consider all relevant information submitted by the consumer
in the period described in paragraph (1)(A) with respect to such
disputed information.
(5) Treatment of inaccurate or unverifiable information.
(A) In general. If, after any reinvestigation
under paragraph (1) of any information disputed by a consumer,
an item of the information is found to be inaccurate or incomplete
or cannot be verified, the consumer reporting agency shall
promptly delete that item of information from the consumer's
file or modify that item of information, as appropriate, based
on the results of the reinvestigation.
(B) Requirements relating to reinsertion of previously deleted
material.
(i) Certification of accuracy of
information. If any information is deleted from a consumer's
file pursuant to subparagraph (A), the information may
not be reinserted in the file by the consumer reporting
agency unless the person who furnishes the information
certifies that the information is complete and accurate.
(ii) Notice to consumer. If any information that has
been deleted from a consumer's file pursuant to subparagraph
(A) is reinserted in the file, the consumer reporting
agency shall notify the consumer of the reinsertion
in writing not later than 5 business days after the
reinsertion or, if authorized by the consumer for that
purpose, by any other means available to the agency.
(iii) Additional information. As part of, or in addition
to, the notice under clause (ii), a consumer reporting
agency shall provide to a consumer in writing not later
than 5 business days after the date of the reinsertion
| (I) a statement that the disputed
information has been reinserted;
(II) the business name and address of any furnisher
of information contacted and the telephone number
of such furnisher, if reasonably available,
or of any furnisher of information that contacted
the consumer reporting agency, in connection
with the reinsertion of such information; and
(III) a notice that the consumer has the right
to add a statement to the consumer's file disputing
the accuracy or completeness of the disputed
information. |
|
(C) Procedures to prevent reappearance. A consumer reporting
agency shall maintain reasonable procedures designed to prevent
the reappearance in a consumer's file, and in consumer reports
on the consumer, of information that is deleted pursuant to
this paragraph (other than information that is reinserted
in accordance with subparagraph (B)(i)).
(D) Automated reinvestigation system. Any consumer reporting
agency that compiles and maintains files on consumers on a
nationwide basis shall implement an automated system through
which furnishers of information to that consumer reporting
agency may report the results of a reinvestigation that finds
incomplete or inaccurate information in a consumer's file
to other such consumer reporting agencies. |
(6) Notice of results of reinvestigation.
(A) In general. A consumer reporting agency
shall provide written notice to a consumer of the results
of a reinvestigation under this subsection not later than
5 business days after the completion of the reinvestigation,
by mail or, if authorized by the consumer for that purpose,
by other means available to the agency.
(B) Contents. As part of, or in addition to, the notice under
subparagraph (A), a consumer reporting agency shall provide
to a consumer in writing before the expiration of the 5-day
period referred to in subparagraph (A)
(i) a statement that the reinvestigation
is completed;
(ii) a consumer report that is based upon the consumer's
file as that file is revised as a result of the reinvestigation;
(iii) a notice that, if requested by the consumer, a
description of the procedure used to determine the accuracy
and completeness of the information shall be provided
to the consumer by the agency, including the business
name and address of any furnisher of information contacted
in connection with such information and the telephone
number of such furnisher, if reasonably available;
(iv) a notice that the consumer has the right to add
a statement to the consumer's file disputing the accuracy
or completeness of the information; and
(v) a notice that the consumer has the right to request
under subsection (d) that the consumer reporting agency
furnish notifications under that subsection. |
|
(7) Description of reinvestigation procedure. A consumer reporting
agency shall provide to a consumer a description referred to in
paragraph (6)(B)(iii) by not later than 15 days after receiving
a request from the consumer for that description.
(8) Expedited dispute resolution. If a dispute regarding an item
of information in a consumer's file at a consumer reporting agency
is resolved in accordance with paragraph (5)(A) by the deletion
of the disputed information by not later than 3 business days after
the date on which the agency receives notice of the dispute from
the consumer in accordance with paragraph (1)(A), then the agency
shall not be required to comply with paragraphs (2), (6), and (7)
with respect to that dispute if the agency
| (A) provides prompt notice of the deletion
to the consumer by telephone;
(B) includes in that notice, or in a written notice that
accompanies a confirmation and consumer report provided
in accordance with subparagraph (C), a statement of the
consumer's right to request under subsection (d) that the
agency furnish notifications under that subsection; and
(C) provides written confirmation of the deletion and a
copy of a consumer report on the consumer that is based
on the consumer's file after the deletion, not later than
5 business days after making the deletion. |
|
(b) Statement of dispute. If the reinvestigation does not resolve the
dispute, the consumer may file a brief statement setting forth the nature
of the dispute. The consumer reporting agency may limit such statements
to not more than one hundred words if it provides the consumer with assistance
in writing a clear summary of the dispute.
(c) Notification of consumer dispute in subsequent consumer reports.
Whenever a statement of a dispute is filed, unless there is reasonable
grounds to believe that it is frivolous or irrelevant, the consumer
reporting agency shall, in any subsequent consumer report containing
the information in question, clearly note that it is disputed by the
consumer and provide either the consumer's statement or a clear and
accurate codification or summary thereof.
(d) Notification of deletion of disputed information. Following any
deletion of information which is found to be inaccurate or whose accuracy
can no longer be verified or any notation as to disputed information,
the consumer reporting agency shall, at the request of the consumer,
furnish notification that the item has been deleted or the statement,
codification or summary pursuant to subsection (b) or (c) of this section
to any person specifically designated by the consumer who has within
two years prior thereto received a consumer report for employment purposes,
or within six months prior thereto received a consumer report for any
other purpose, which contained the deleted or disputed information.
§ 612. Charges for certain disclosures [15 U.S.C.
§ 1681j]
(a) Reasonable charges allowed for certain disclosures.
(1) In general. Except as provided in subsections
(b), (c), and (d), a consumer reporting agency may impose a reasonable
charge on a consumer
(A) for making a disclosure to the consumer
pursuant to section 609 [§ 1681g], which charge
(i) shall not exceed $8; ***
and
(ii) shall be indicated to the consumer before making
the disclosure; and |
(B) for furnishing, pursuant to 611(d) [§ 1681i], following
a reinvestigation under section 611(a) [§ 1681i], a statement,
codification, or summary to a person designated by the consumer
under that section after the 30-day period beginning on the
date of notification of the consumer under paragraph (6) or
(8) of section 611(a) [§ 1681i] with respect to the reinvestigation,
which charge
| (i) shall not exceed the charge that
the agency would impose on each designated recipient
for a consumer report; and
(ii) shall be indicated to the consumer before furnishing
such information. |
|
(2) Modification of amount. The Federal Trade Commission shall increase
the amount referred to in paragraph (1)(A)(I) on January 1 of each
year, based proportionally on changes in the Consumer Price Index,
with fractional changes rounded to the nearest fifty cents. |
(b) Free disclosure after adverse notice to consumer. Each consumer reporting
agency that maintains a file on a consumer shall make all disclosures
pursuant to section 609 [§ 1681g] without charge to the consumer if, not
later than 60 days after receipt by such consumer of a notification pursuant
to section 615 [§ 1681m], or of a notification from a debt collection
agency affiliated with that consumer reporting agency stating that the
consumer's credit rating may be or has been adversely affected, the consumer
makes a request under section 609 [§ 1681g].
(c) Free disclosure under certain other circumstances. Upon the request
of the consumer, a consumer reporting agency shall make all disclosures
pursuant to section 609 [§ 1681g] once during any 12-month period without
charge to that consumer if the consumer certifies in writing that the
consume
(1) is unemployed and intends to apply for employment
in the 60-day period beginning on the date on which the certification
is made;
(2) is a recipient of public welfare assistance; or
(3) has reason to believe that the file on the consumer at the agency
contains inaccurate information due to fraud. |
(d) Other charges prohibited. A consumer reporting agency shall not impose
any charge on a consumer for providing any notification required by this
title or making any disclosure required by this title, except as authorized
by subsection (a).
§ 613. Public record information for employment purposes
[15 U.S.C.§1681k]
(a) In general. A consumer reporting agency which furnishes a consumer
report for employment purposes and which for that purpose compiles and
reports items of information on consumers which are matters of public
record and are likely to have an adverse effect upon a consumer's ability
to obtain employment shall
(1) is unemployed and intends to apply for employment
in the 60-day period beginning on the date on which the certification
is made;
(1) at the time such public record information is reported to the
user of such consumer report, notify the consumer of the fact that
public record information is being reported by the consumer reporting
agency, together with the name and address of the person to whom
such information is being reported; or
(2) maintain strict procedures designed to insure that whenever
public record information which is likely to have an adverse effect
on a consumer's ability to obtain employment is reported it is complete
and up to date. For purposes of this paragraph, items of public
record relating to arrests, indictments, convictions, suits, tax
liens, and outstanding judgments shall be considered up to date
if the current public record status of the item at the time of the
report is reported. |
(b) Exemption for national security investigations. Subsection (a) does
not apply in the case of an agency or department of the United States
Government that seeks to obtain and use a consumer report for employment
purposes, if the head of the agency or department makes a written finding
as prescribed under section 604(b)(4)(A).
§ 614. Restrictions on investigative consumer reports
[15 U.S.C. § 1681l]
Whenever a consumer reporting agency prepares an investigative consumer
report, no adverse information in the consumer report (other than information
which is a matter of public record) may be included in a subsequent
consumer report unless such adverse information has been verified in
the process of making such subsequent consumer report, or the adverse
information was received within the three-month period preceding the
date the subsequent report is furnished.
§ 615. Requirements on users of consumer reports
[15 U.S.C. § 1681m]
(a) Duties of users taking adverse actions on the basis of information
contained in consumer reports. If any person takes any adverse action
with respect to any consumer that is based in whole or in part on any
information contained in a consumer report, the person shall
(1) provide oral, written, or electronic notice
of the adverse action to the consumer;
(2) provide to the consumer orally, in writing, or electronically
(A) the name, address, and telephone number
of the consumer reporting agency (including a toll-free telephone
number established by the agency if the agency compiles and
maintains files on consumers on a nationwide basis) that furnished
the report to the person; and
(B) a statement that the consumer reporting agency did not
make the decision to take the adverse action and is unable
to provide the consumer the specific reasons why the adverse
action was taken; and |
(3) provide to the consumer an oral, written, or electronic notice
of the consumer's right
(A) to obtain, under section 612 [§ 1681j],
a free copy of a consumer report on the consumer from the
consumer reporting agency referred to in paragraph (2), which
notice shall include an indication of the 60-day period under
that section for obtaining such a copy; and
(B) to dispute, under section 611 [§ 1681i], with a consumer
reporting agency the accuracy or completeness of any information
in a consumer report furnished by the agency. |
|
(b) Adverse action based on information obtained from third parties other
than consumer reporting agencies.
| (1) In general. Whenever credit for personal,
family, or household purposes involving a consumer is denied or
the charge for such credit is increased either wholly or partly
because of information obtained from a person other than a consumer
reporting agency bearing upon the consumer's credit worthiness,
credit standing, credit capacity, character, general reputation,
personal characteristics, or mode of living, the user of such information
shall, within a reasonable period of time, upon the consumer's written
request for the reasons for such adverse action received within
sixty days after learning of such adverse action, disclose the nature
of the information to the consumer. The user of such information
shall clearly and accurately disclose to the consumer his right
to make such written request at the time such adverse action is
communicated to the consumer.
(2) Duties of person taking certain actions based on information
provided by affiliate.
(A) Duties, generally. If a person takes
an action described in subparagraph (B) with respect to a
consumer, based in whole or in part on information described
in subparagraph (C), the person shall
| (i) notify the consumer of the action,
including a statement that the consumer may obtain the
information in accordance with clause (ii); and
(ii) upon a written request from the consumer received
within 60 days after transmittal of the notice required
by clause (I), disclose to the consumer the nature
of the information upon which the action is based
by not later than 30 days after receipt of the request.
|
(B) Action described. An action referred to in subparagraph
(A) is an adverse action described in section 603(k)(1)(A)
[§ 1681a], taken in connection with a transaction initiated
by the consumer, or any adverse action described in clause
(i) or (ii) of section 603(k)(1)(B) [§ 1681a].
(C) Information described. Information referred to in subparagraph
(A)
(i) except as provided in clause
(ii), is information that
(I) is furnished to the person
taking the action by a person related by common
ownership or affiliated by common corporate control
to the person taking the action; and
(II) bears on the credit worthiness, credit standing,
credit capacity, character, general reputation,
personal characteristics, or mode of living of
the consumer; and |
(ii) does not include
(I) information solely as to
transactions or experiences between the consumer
and the person furnishing the information; or
(II) information in a consumer report. |
|
|
|
(c) Reasonable procedures to assure compliance. No person shall be held
liable for any violation of this section if he shows by a preponderance
of the evidence that at the time of the alleged violation he maintained
reasonable procedures to assure compliance with the provisions of this
section.
(d) Duties of users making written credit or insurance solicitations
on the basis of information contained in consumer files.
(1) In general. Any person who uses a consumer
report on any consumer in connection with any credit or insurance
transaction that is not initiated by the consumer, that is provided
to that person under section 604(c)(1)(B) [§ 1681b], shall provide
with each written solicitation made to the consumer regarding the
transaction a clear and conspicuous statement that
(A) information contained in the consumer's
consumer report was used in connection with the transaction;
(B) the consumer received the offer of credit or insurance
because the consumer satisfied the criteria for credit worthiness
or insurability under which the consumer was selected for
the offer;
(C) if applicable, the credit or insurance may not be extended
if, after the consumer responds to the offer, the consumer
does not meet the criteria used to select the consumer for
the offer or any applicable criteria bearing on credit worthiness
or insurability or does not furnish any required collateral;
(D) the consumer has a right to prohibit information contained
in the consumer's file with any consumer reporting agency
from being used in connection with any credit or insurance
transaction that is not initiated by the consumer; and
(E) the consumer may exercise the right referred to in subparagraph
(D) by notifying a notification system established under
section 604(e) [§ 1681b]. |
(2) Disclosure of address and telephone number. A statement under
paragraph (1) shall include the address and toll-free telephone
number of the appropriate notification system established under
section 604(e) [§ 1681b].
(3) Maintaining criteria on file. A person who makes an offer of
credit or insurance to a consumer under a credit or insurance transaction
described in paragraph (1) shall maintain on file the criteria used
to select the consumer to receive the offer, all criteria bearing
on credit worthiness or insurability, as applicable, that are the
basis for determining whether or not to extend credit or insurance
pursuant to the offer, and any requirement for the furnishing of
collateral as a condition of the extension of credit or insurance,
until the expiration of the 3-year period beginning on the date
on which the offer is made to the consumer.
(4) Authority of federal agencies regarding unfair or deceptive
acts or practices not affected. This section is not intended to
affect the authority of any Federal or State agency to enforce a
prohibition against unfair or deceptive acts or practices, including
the making of false or misleading statements in connection with
a credit or insurance transaction that is not initiated by the consumer. |
§ 616. Civil liability for willful noncompliance
[15 U.S.C. § 1681n]
(a) In general. Any person who willfully
fails to comply with any requirement imposed under this title with respect
to any consumer is liable to that consumer in an amount equal to the
sum of
(1)
(A) any actual damages sustained by the
consumer as a result of the failure or damages of not less
than $100 and not more than $1,000; or
(B) in the case of liability of a natural person for obtaining
a consumer report under false pretenses or knowingly without
a permissible purpose, actual damages sustained by the consumer
as a result of the failure or $1,000, whichever is greater; |
(2) such amount of punitive damages as the court may allow; and
(3) in the case of any successful action to enforce any liability
under this section, the costs of the action together with reasonable
attorney's fees as determined by the court. |
(b) Civil liability for knowing noncompliance. Any person who obtains
a consumer report from a consumer reporting agency under false pretenses
or knowingly without a permissible purpose shall be liable to the consumer
reporting agency for actual damages sustained by the consumer reporting
agency or $1,000, whichever is greater.
(c) Attorney's fees. Upon a finding by the court that an unsuccessful
pleading, motion, or other paper filed in connection with an action
under this section was filed in bad faith or for purposes of harassment,
the court shall award to the prevailing party attorney's fees reasonable
in relation to the work expended in responding to the pleading, motion,
or other paper.
§ 617. Civil liability for negligent noncompliance
[15 U.S.C. § 1681o]
(a) In general. Any person who is negligent in failing to comply with
any requirement imposed under this title with respect to any consumer
is liable to that consumer in an amount equal to the sum of
(1) any actual damages sustained by the consumer
as a result of the failure;
(2) in the case of any successful action to enforce any liability
under this section, the costs of the action together with reasonable
attorney's fees as determined by the court. |
(b) Attorney's fees. On a finding by the court that an unsuccessful pleading,
motion, or other paper filed in connection with an action under this section
was filed in bad faith or for purposes of harassment, the court shall
award to the prevailing party attorney's fees reasonable in relation to
the work expended in responding to the pleading, motion, or other paper.
§ 618. Jurisdiction of courts; limitation of
actions [15 U.S.C. § 1681p]
An action to enforce any liability created under this title may be
brought in any appropriate United States district court without regard
to the amount in controversy, or in any other court of competent jurisdiction,
within two years from the date on which the liability arises, except
that where a defendant has materially and willfully misrepresented any
information required under this title to be disclosed to an individual
and the information so misrepresented is material to the establishment
of the defendant's liability to that individual under this title, the
action may be brought at any time within two years after discovery by
the individual of the misrepresentation.
§ 619. Obtaining information under false pretenses
[15 U.S.C. § 1681q]
Any person who knowingly and willfully obtains information on a consumer
from a consumer reporting agency under false pretenses shall be fined
under title 18, United States Code, imprisoned for not more than 2 years,
or both.
§ 620. Unauthorized disclosures by officers
or employees [15 U.S.C.§1681r]
Any officer or employee of a consumer reporting agency who knowingly
and willfully provides information concerning an individual from the
agency's files to a person not authorized to receive that information
shall be fined under title 18, United States Code, imprisoned for not
more than 2 years, or both.
§ 621. Administrative enforcement [15 U.S.C.
§ 1681s]
(a)
(1) Enforcement by Federal Trade Commission.
Compliance with the requirements imposed under this title shall
be enforced under the Federal Trade Commission Act [15 U.S.C. §§
41 et seq.] by the Federal Trade Commission with respect to consumer
reporting agencies and all other persons subject thereto, except
to the extent that enforcement of the requirements imposed under
this title is specifically committed to some other government agency
under subsection (b) hereof. For the purpose of the exercise by
the Federal Trade Commission of its functions and powers under the
Federal Trade Commission Act, a violation of any requirement or
prohibition imposed under this title shall constitute an unfair
or deceptive act or practice in commerce in violation of section
5(a) of the Federal Trade Commission Act [15 U.S.C. § 45(a)] and
shall be subject to enforcement by the Federal Trade Commission
under section 5(b) thereof [15 U.S.C. § 45(b)] with respect to any
consumer reporting agency or person subject to enforcement by the
Federal Trade Commission pursuant to this subsection, irrespective
of whether that person is engaged in commerce or meets any other
jurisdictional tests in the Federal Trade Commission Act. The Federal
Trade Commission shall have such procedural, investigative, and
enforcement powers, including the power to issue procedural rules
in enforcing compliance with the requirements imposed under this
title and to require the filing of reports, the production of documents,
and the appearance of witnesses as though the applicable terms and
conditions of the Federal Trade Commission Act were part of this
title. Any person violating any of the provisions of this title
shall be subject to the penalties and entitled to the privileges
and immunities provided in the Federal Trade Commission Act as though
the applicable terms and provisions thereof were part of this title.
(2)
(A) In the event of a knowing violation,
which constitutes a pattern or practice of violations of this
title, the Commission may commence a civil action to recover
a civil penalty in a district court of the United States against
any person that violates this title. In such action, such
person shall be liable for a civil penalty of not more than
$2,500 per violation.
(B) In determining the amount of a civil penalty under subparagraph
(A), the court shall take into account the degree of culpability,
any history of prior such conduct, ability to pay, effect
on ability to continue to do business, and such other matters
as justice may require.
|
(3) Notwithstanding paragraph (2), a court may not impose any civil
penalty on a person for a violation of section 623(a)(1) [§ 1681s-2]
unless the person has been enjoined from committing the violation,
or ordered not to commit the violation, in an action or proceeding
brought by or on behalf of the Federal Trade Commission, and has
violated the injunction or order, and the court may not impose any
civil penalty for any violation occurring before the date of the
violation of the injunction or order. |
(b) Enforcement by other agencies. Compliance with the requirements imposed
under this title with respect to consumer reporting agencies, persons
who use consumer reports from such agencies, persons who furnish information
to such agencies, and users of information that are subject to subsection
(d) of section 615 [§ 1681m] shall be enforced under
(1) section 8 of the Federal Deposit Insurance
Act [12 U.S.C. § 1818], in the case of
| (A) national banks, and Federal branches
and Federal agencies of foreign banks, by the Office of the
Comptroller of the Currency;
(B) member banks of the Federal Reserve System (other than
national banks), branches and agencies of foreign banks
(other than Federal branches, Federal agencies, and insured
State branches of foreign banks), commercial lending companies
owned or controlled by foreign banks, and organizations
operating under section 25 or 25(a) [25A] of the Federal
Reserve Act [12 U.S.C. §§ 601 et seq., §§ 611 et seq], by
the Board of Governors of the Federal Reserve System; and
(C) banks insured by the Federal Deposit Insurance Corporation
(other than members of the Federal Reserve System) and insured
State branches of foreign banks, by the Board of Directors
of the Federal Deposit Insurance Corporation; |
(2) section 8 of the Federal Deposit Insurance Act [12 U.S.C. §
1818], by the Director of the Office of Thrift Supervision, in the
case of a savings association the deposits of which are insured
by the Federal Deposit Insurance Corporation;
(3) the Federal Credit Union Act [12 U.S.C. §§ 1751 et seq.],
by the Administrator of the National Credit Union Administration
[National Credit Union Administration Board] with respect to any
Federal credit union;
(4) subtitle IV of title 49 [49 U.S.C. §§ 10101 et seq.], by the
Secretary of Transportation, with respect to all carriers subject
to the jurisdiction of the Surface Transportation Board;
(5) the Federal Aviation Act of 1958 [49 U.S.C. Appx §§ 1301 et
seq.], by the Secretary of Transportation with respect to any
air carrier or foreign air carrier subject to that Act [49 U.S.C.
Appx §§ 1301 et seq.]; and
(6) the Packers and Stockyards Act, 1921 [7 U.S.C. §§ 181 et seq.]
(except as provided in section 406 of that Act [7 U.S.C. §§ 226
and 227]), by the Secretary of Agriculture with respect to any
activities subject to that Act.
|
The terms used in paragraph (1) that are not defined in this title or
otherwise defined in section 3(s) of the Federal Deposit Insurance Act
(12 U.S.C. §1813(s)) shall have the meaning given to them in section 1(b)
of the International Banking Act of 1978 (12 U.S.C. § 3101).
(c) State action for violations.
(1) Authority of states. In addition to such
other remedies as are provided under State law, if the chief law
enforcement officer of a State, or an official or agency designated
by a State, has reason to believe that any person has violated or
is violating this title, the State
(A) may bring an action to enjoin such
violation in any appropriate United States district court
or in any other court of competent jurisdiction;
(B) subject to paragraph (5), may bring an action on behalf
of the residents of the State to recover
| (i) damages for which the person
is liable to such residents under sections 616 and 617
[§§ 1681n and 1681o] as a result of the violation;
(ii) in the case of a violation of section 623(a)
[§ 1681s-2], damages for which the person would, but
for section 623(c) [§ 1681s-2], be liable to such
residents as a result of the violation; or
(iii) damages of not more than $1,000 for each willful
or negligent violation; and |
(C) in the case of any successful action under subparagraph
(A) or (B), shall be awarded the costs of the action and reasonable
attorney fees as determined by the court. |
(2) Rights of federal regulators. The State shall serve prior written
notice of any action under paragraph (1) upon the Federal Trade
Commission or the appropriate Federal regulator determined under
subsection (b) and provide the Commission or appropriate Federal
regulator with a copy of its complaint, except in any case in which
such prior notice is not feasible, in which case the State shall
serve such notice immediately upon instituting such action. The
Federal Trade Commission or appropriate Federal regulator shall
have the right
(A) to intervene in the action;
(B) upon so intervening, to be heard on all matters arising
therein;
(C) to remove the action to the appropriate United States
district court; and
(D) to file petitions for appeal. |
(3) Investigatory powers. For purposes of bringing any action under
this subsection, nothing in this subsection shall prevent the chief
law enforcement officer, or an official or agency designated by
a State, from exercising the powers conferred on the chief law enforcement
officer or such official by the laws of such State to conduct investigations
or to administer oaths or affirmations or to compel the attendance
of witnesses or the production of documentary and other evidence.
(4) Limitation on state action while federal action pending. If
the Federal Trade Commission or the appropriate Federal regulator
has instituted a civil action or an administrative action under
section 8 of the Federal Deposit Insurance Act for a violation of
this title, no State may, during the pendency of such action, bring
an action under this section against any defendant named in the
complaint of the Commission or the appropriate Federal regulator
for any violation of this title that is alleged in that complaint.
(5) Limitations on state actions for violation of section 623(a)(1)
[§ 1681s-2].
(A) Violation of injunction required. A
State may not bring an action against a person under paragraph
(1)(B) for a violation of section 623(a)(1) [§ 1681s-2], unless
(i) the person has been enjoined
from committing the violation, in an action brought
by the State under paragraph (1)(A); and
(ii) the person has violated the injunction. |
(B) Limitation on damages recoverable. In an action against
a person under paragraph (1)(B) for a violation of section
623(a)(1) [§ 1681s-2], a State may not recover any damages
incurred before the date of the violation of an injunction
on which the action is based. |
|
(d) Enforcement under other authority. For the purpose of the exercise
by any agency referred to in subsection (b) of this section of its powers
under any Act referred to in that subsection, a violation of any requirement
imposed under this title shall be deemed to be a violation of a requirement
imposed under that Act. In addition to its powers under any provision
of law specifically referred to in subsection (b) of this section, each
of the agencies referred to in that subsection may exercise, for the purpose
of enforcing compliance with any requirement imposed under this title
any other authority conferred on it by law.
(e) Regulatory authority
(1) The Federal banking agencies referred to
in paragraphs (1) and (2) of subsection (b) shall jointly prescribe
such regulations as necessary to carry out the purposes of this
Act with respect to any persons identified under paragraphs (1)
and (2) of subsection (b), and the Board of Governors of the Federal
Reserve System shall have authority to prescribe regulations consistent
with such joint regulations with respect to bank holding companies
and affiliates (other than depository institutions and consumer
reporting agencies) of such holding companies.
(2) The Board of the National Credit Union Administration shall
prescribe such regulations as necessary to carry out the purposes
of this Act with respect to any persons identified under paragraph
(3) of subsection (b). |
§ 622. Information on overdue child support obligations
[15 U.S.C.§1681s-1]
Notwithstanding any
other provision of this title, a consumer reporting agency shall include
in any consumer report furnished by the agency in accordance with section
604 [§ 1681b] of this title, any information on the failure of the consumer
to pay overdue support which
(1) is provided
(A) to the consumer reporting agency by
a State or local child support enforcement agency; or
(B) to the consumer reporting agency and verified by any local,
State, or Federal government agency; and |
(2) antedates the report by 7 years or less. |
§ 623. Responsibilities of furnishers of information
to consumer reporting agencies [15 U.S.C. § 1681s-2]
(a) Duty of furnishers of information to provide accurate information.
(1) Prohibition.
(A) Reporting information with actual knowledge
of errors. A person shall not furnish any information relating
to a consumer to any consumer reporting agency if the person
knows or consciously avoids knowing that the information is
inaccurate.
(B) Reporting information after notice and confirmation of
errors. A person shall not furnish information relating to
a consumer to any consumer reporting agency if
(i) the person has been notified
by the consumer, at the address specified by the person
for such notices, that specific information is inaccurate;
and
(ii) the information is, in fact, inaccurate. |
(C) No address requirement. A person who clearly and conspicuously
specifies to the consumer an address for notices referred
to in subparagraph (B) shall not be subject to subparagraph
(A); however, nothing in subparagraph (B) shall require a
person to specify such an address. |
(2) Duty to correct and update information. A person who
(A) regularly and in the ordinary course
of business furnishes information to one or more consumer
reporting agencies about the person's transactions or experiences
with any consumer; and
(B) has furnished to a consumer reporting agency information
that the person determines is not complete or accurate, shall
promptly notify the consumer reporting agency of that determination
and provide to the agency any corrections to that information,
or any additional information, that is necessary to make the
information provided by the person to the agency complete
and accurate, and shall not thereafter furnish to the agency
any of the information that remains not complete or accurate. |
(3) Duty to provide notice of dispute. If the completeness or accuracy
of any information furnished by any person to any consumer reporting
agency is disputed to such person by a consumer, the person may
not furnish the information to any consumer reporting agency without
notice that such information is disputed by the consumer.
(4) Duty to provide notice of closed accounts. A person who regularly
and in the ordinary course of business furnishes information to
a consumer reporting agency regarding a consumer who has a credit
account with that person shall notify the agency of the voluntary
closure of the account by the consumer, in information regularly
furnished for the period in which the account is closed.
(5) Duty to provide notice of delinquency of accounts. A person
who furnishes information to a consumer reporting agency regarding
a delinquent account being placed for collection, charged to profit
or loss, or subjected to any similar action shall, not later than
90 days after furnishing the information, notify the agency of the
month and year of the commencement of the delinquency that immediately
preceded the action. |
(b) Duties of furnishers of information upon notice of dispute.
(1) In general. After receiving notice pursuant
to section 611(a)(2) [§ 1681i] of a dispute with regard to the completeness
or accuracy of any information provided by a person to a consumer
reporting agency, the person shall
(A) conduct an investigation with respect
to the disputed information;
(B) review all relevant information provided by the consumer
reporting agency pursuant to section 611(a)(2) [§ 1681i];
(C) report the results of the investigation to the consumer
reporting agency; and
(D) if the investigation finds that the information is incomplete
or inaccurate, report those results to all other consumer
reporting agencies to which the person furnished the information
and that compile and maintain files on consumers on a nationwide
basis. |
(2) Deadline. A person shall complete all investigations, reviews,
and reports required under paragraph (1) regarding information provided
by the person to a consumer reporting agency, before the expiration
of the period under section 611(a)(1) [§ 1681i] within which the
consumer reporting agency is required to complete actions required
by that section regarding that information. |
(c) Limitation on liability. Sections 616 and 617 [§§ 1681n and 1681o]
do not apply to any failure to comply with subsection (a), except as provided
in section 621(c)(1)(B) [§ 1681s].
(d) Limitation on enforcement. Subsection (a) shall be enforced exclusively
under section 621 [§ 1681s] by the Federal agencies and officials and
the State officials identified in that section.
§ 624. Relation to State laws [15 U.S.C. § 1681t]
(a) In general. Except as provided in subsections (b) and (c), this
title does not annul, alter, affect, or exempt any person subject to
the provisions of this title from complying with the laws of any State
with respect to the collection, distribution, or use of any information
on consumers, except to the extent that those laws are inconsistent
with any provision of this title, and then only to the extent of the
inconsistency.
(b) General exceptions. No requirement or prohibition may be imposed
under the laws of any State
(1) with respect to any subject matter regulated
under
(A) subsection (c) or (e) of section 604
[§ 1681b], relating to the prescreening of consumer reports;
(B) section 611 [§ 1681i], relating to the time by which a
consumer reporting agency must take any action, including
the provision of notification to a consumer or other person,
in any procedure related to the disputed accuracy of information
in a consumer's file, except that this subparagraph shall
not apply to any State law in effect on the date of enactment
of the Consumer Credit Reporting Reform Act of 1996;
(C) subsections (a) and (b) of section 615 [§ 1681m], relating
to the duties of a person who takes any adverse action with
respect to a consumer;
(D) section 615(d) [§ 1681m], relating to the duties of persons
who use a consumer report of a consumer in connection with
any credit or insurance transaction that is not initiated
by the consumer and that consists of a firm offer of credit
or insurance;
(E) section 605 [§ 1681c], relating to information contained
in consumer reports, except that this subparagraph shall not
apply to any State law in effect on the date of enactment
of the Consumer Credit Reporting Reform Act of 1996; or
(F) section 623 [§ 1681s-2], relating to the responsibilities
of persons who furnish information to consumer reporting agencies,
except that this paragraph shall not apply
(i) with respect to section 54A(a)
of chapter 93 of the Massachusetts Annotated Laws (as
in effect on the date of enactment of the Consumer Credit
Reporting Reform Act of 1996); or
(ii) with respect to section 1785.25(a) of the California
Civil Code (as in effect on the date of enactment of
the Consumer Credit Reporting Reform Act of 1996); |
|
(2) with respect to the exchange of information among persons affiliated
by common ownership or common corporate control, except that this
paragraph shall not apply with respect to subsection (a) or (c)(1)
of section 2480e of title 9, Vermont Statutes Annotated (as in effect
on the date of enactment of the Consumer Credit Reporting Reform
Act of 1996); or
(3) with respect to the form and content of any disclosure required
to be made under section 609(c) [§ 1681g]. |
(c) Definition of firm offer of credit or insurance. Notwithstanding any
definition of the term "firm offer of credit or insurance" (or
any equivalent term) under the laws of any State, the definition of that
term contained in section 603(l) [§ 1681a] shall be construed to apply
in the enforcement and interpretation of the laws of any State governing
consumer reports. (d) Limitations. Subsections (b) and (c)
(1) do not affect any settlement, agreement,
or consent judgment between any State Attorney General and any consumer
reporting agency in effect on the date of enactment of the Consumer
Credit Reporting Reform Act of 1996; and
(2) do not apply to any provision of State law (including any provision
of a State constitution) that
(A) is enacted after January 1, 2004;
(B) states explicitly that the provision is intended to supplement
this title; and
(C) gives greater protection to consumers than is provided
under this title. |
|
§ 625. Disclosures to FBI for counterintelligence
purposes [15 U.S.C. § 1681u]
(a) Identity of financial institutions.
Notwithstanding section 604 [§ 1681b] or any other provision of this
title, a consumer reporting agency shall furnish to the Federal Bureau
of Investigation the names and addresses of all financial institutions
(as that term is defined in section 1101 of the Right to Financial Privacy
Act of 1978 [12 U.S.C. § 3401]) at which a consumer maintains or has
maintained an account, to the extent that information is in the files
of the agency, when presented with a written request for that information,
signed by the Director of the Federal Bureau of Investigation, or the
Director's designee in a position not lower than Deputy Assistant Director
at Bureau headquarters or a Special Agent in Charge of a Bureau field
office designated by the Director, which certifies compliance with this
section. The Director or the Director's designee may make such a certification
only if the Director or the Director's designee has determined in writing,
that such information is sought for the conduct of an authorized investigation
to protect against international terrorism or clandestine intelligence
activities, provided that such an investigation of a United States person
is not conducted solely upon the basis of activities protected by the
first amendment to the Constitution of the United States.
(b) Identifying information. Notwithstanding the provisions of section
604 [§ 1681b] or any other provision of this title, a consumer reporting
agency shall furnish identifying information respecting a consumer,
limited to name, address, former addresses, places of employment, or
former places of employment, to the Federal Bureau of Investigation
when presented with a written request, signed by the Director or the
Director's designee, which certifies compliance with this subsection.
The Director or the Director's designee in a position not lower than
Deputy Assistant Director at Bureau headquarters or a Special Agent
in Charge of a Bureau field office designated by the Director may make
such a certification only if the Director or the Director's designee
has determined in writing that such information is sought for the conduct
of an authorized investigation to protect against international terrorism
or clandestine intelligence activities, provided that such an investigation
of a United States person is not conducted solely upon the basis of
activities protected by the first amendment to the Constitution of the
United States.
(c) Court order for disclosure of consumer reports. Notwithstanding
section 604 [§ 1681b] or any other provision of this title, if requested
in writing by the Director of the Federal Bureau of Investigation, or
a designee of the Director in a position not lower than Deputy Assistant
Director at Bureau headquarters or a Special Agent in Charge of a Bureau
field office designated by the Director, a court may issue an order
ex parte directing a consumer reporting agency to furnish a consumer
report to the Federal Bureau of Investigation, upon a showing in camera
that the consumer report is sought for the conduct of an authorized
investigation to protect against international terrorism or clandestine
intelligence activities, provided that such an investigation of a United
States person is not conducted solely upon the basis of activities protected
by the first amendment to the Constitution of the United States.
The terms of an order issued under this subsection shall not disclose
that the order is issued for purposes of a counterintelligence investigation.
(d) Confidentiality. No consumer reporting agency or officer, employee,
or agent of a consumer reporting agency shall disclose to any person,
other than those officers, employees, or agents of a consumer reporting
agency necessary to fulfill the requirement to disclose information
to the Federal Bureau of Investigation under this section, that the
Federal Bureau of Investigation has sought or obtained the identity
of financial institutions or a consumer report respecting any consumer
under subsection (a), (b), or (c), and no consumer reporting agency
or officer, employee, or agent of a consumer reporting agency shall
include in any consumer report any information that would indicate that
the Federal Bureau of Investigation has sought or obtained such information
or a consumer report.
(e) Payment of fees. The Federal Bureau of Investigation shall, subject
to the availability of appropriations, pay to the consumer reporting
agency assembling or providing report or information in accordance with
procedures established under this section a fee for reimbursement for
such costs as are reasonably necessary and which have been directly
incurred in searching, reproducing, or transporting books, papers, records,
or other data required or requested to be produced under this section.
(f) Limit on dissemination. The Federal Bureau of Investigation may
not disseminate information obtained pursuant to this section outside
of the Federal Bureau of Investigation, except to other Federal agencies
as may be necessary for the approval or conduct of a foreign counterintelligence
investigation, or, where the information concerns a person subject to
the Uniform Code of Military Justice, to appropriate investigative authorities
within the military department concerned as may be necessary for the
conduct of a joint foreign counterintelligence investigation.
(g) Rules of construction. Nothing in this section shall be construed
to prohibit information from being furnished by the Federal Bureau of
Investigation pursuant to a subpoena or court order, in connection with
a judicial or administrative proceeding to enforce the provisions of
this Act. Nothing in this section shall be construed to authorize or
permit the withholding of information from the Congress.
(h) Reports to Congress. On a semiannual basis, the Attorney General
shall fully inform the Permanent Select Committee on Intelligence and
the Committee on Banking, Finance and Urban Affairs of the House of
Representatives, and the Select Committee on Intelligence and the Committee
on Banking, Housing, and Urban Affairs of the Senate concerning all
requests made pursuant to subsections (a), (b), and (c).
(i) Damages. Any agency or department of the United States obtaining
or disclosing any consumer reports, records, or information contained
therein in violation of this section is liable to the consumer to whom
such consumer reports, records, or information relate in an amount equal
to the sum of
(1) $100, without regard to the volume of consumer
reports, records, or information involved;
(2) any actual damages sustained by the consumer as a result of
the disclosure;
(3) if the violation is found to have been willful or intentional,
such punitive damages as a court may allow; and
(4) in the case of any successful action to enforce liability under
this subsection, the costs of the action, together with reasonable
attorney fees, as determined by the court. |
(j) Disciplinary actions for violations. If a court determines that any
agency or department of the United States has violated any provision of
this section and the court finds that the circumstances surrounding the
violation raise questions of whether or not an officer or employee of
the agency or department acted willfully or intentionally with respect
to the violation, the agency or department shall promptly initiate a proceeding
to determine whether or not disciplinary action is warranted against the
officer or employee who was responsible for the violation. (k) Good-faith
exception. Notwithstanding any other provision of this title, any consumer
reporting agency or agent or employee thereof making disclosure of consumer
reports or identifying information pursuant to this subsection in good-faith
reliance upon a certification of the Federal Bureau of Investigation
pursuant to provisions of this section shall not be liable to any person
for such disclosure under this title, the constitution of any State,
or any law or regulation of any State or any political subdivision of
any State.
(l) Limitation of remedies. Notwithstanding any other provision of
this title, the remedies and sanctions set forth in this section shall
be the only judicial remedies and sanctions for violation of this section.
(m) Injunctive relief. In addition to any other remedy contained in
this section, injunctive relief shall be available to require compliance
with the procedures of this section. In the event of any successful
action under this subsection, costs together with reasonable attorney
fees, as determined by the court, may be recovered.
§ 626. Disclosures to governmental agencies
for counterterrorism purposes [15 U.S.C. §1681v]
(a) Disclosure. Notwithstanding section 604 or any other provision
of this title, a consumer reporting agency shall furnish a consumer
report of a consumer and all other information in a consumer's file
to a government agency authorized to conduct investigations of, or intelligence
or counterintelligence activities or analysis related to, international
terrorism when presented with a written certification by such government
agency that such information is necessary for the agency's conduct or
such investigation, activity or analysis.
(b) Form of certification. The certification described in subsection
(a) shall be signed by a supervisory official designated by the head
of a Federal agency or an officer of a Federal agency whose appointment
to office is required to be made by the President, by and with the advice
and consent of the Senate.
(c) Confidentiality. No consumer reporting agency, or officer, employee,
or agent of such consumer reporting agency, shall disclose to any person,
or specify in any consumer report, that a government agency has sought
or obtained access to information under subsection (a).
(d) Rule of construction. Nothing in section 625 shall be construed
to limit the authority of the Director of the Federal Bureau of Investigation
under this section.
(e) Safe harbor. Notwithstanding any other provision of this title,
any consumer reporting agency or agent or employee thereof making disclosure
of consumer reports or other information pursuant to this section in
good-faith reliance upon a certification of a governmental agency pursuant
to the provisions of this section shall not be liable to any person
for such disclosure under this subchapter, the constitution of any State,
or any law or regulation of any State or any political subdivision of
any State.
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