Fair Credit Reporting Act
5 ways the FCRA protects your rights to credit report accuracy and privacy.
The Fair Credit Reporting Act (FCRA for short) is a crucial piece of legislation when it comes to your credit rights, because it protects your rights to both credit report accuracy and privacy. In other words, it helps ensure that the information contained in your publicly available credit profile represents your creditworthiness accurately. It also helps prevent just anyone from requesting and accessing your credit report, since only certain people are legally permitted to view an individual’s personal credit information.
The information below is designed to help you understand what the FCRA really says in simple terms, and how this protects your rights as a consumer. If you have questions about your credit or how your credit report may be used during the credit counseling call Consolidated Credit today at (844) 276-1544 to speak with a certified credit counselor.
A little history of the Fair Credit Reporting Act
The FCRA was originally passed in 1970, but it’s updated regularly because it’s such an important piece of legislation when it comes to consumer credit rights. The most recent revision came in 2011, although several new proposals and bills to revise the FCRA have been issued in Congress since then – one major overhaul in 2014 and then again in 2015, this time focusing on credit checks by employers.
As you can see, the FCRA is still a big deal even almost 50 years since it was first written. It’s also constantly evolving – or Congress is at least regularly looking into ways to improve it to better protect consumers from unfair reporting practices. Basically, the FCRA is the federal government’s way of regulating what private credit bureaus like Experian, Equifax, and TransUnion can put in your credit report and who they can and can’t give it out to when it’s requested. It also ensures the accuracy of the information contained in your report.