Conclusion: Fair Credit Reporting Act

The Fair Credit Reporting Act regulates consumer reporting agencies, users of consumer reports, and persons who provide information to consumer reporting agencies. Most financial institutions will not be within the definition of consumer reporting agency and are not, therefore, subject to rules affecting such agencies. Many financial institutions are, however, users of consumer reports and providers of information to consumer reporting agencies and must meet the obligations imposed on them. Users are restricted in the purposes for which they can obtain consumer reports and must give consumers notice of adverse action in some circumstances. Providers are required to make sure the information they provide is accurate and investigate possible inaccuracies.

Persons who violate the Fair Credit Reporting Act are subject to administrative, civil, and criminal liability.

The Fair Credit Reporting Act can be found at 15 USC 1681 et seq. The FTC Commentary can be found at 16 CFR § 600, Appendix.