Ads
related to: permissible purpose for pulling credit reportsIncrease your Credit Scores & Get Credit for the Bills You're Already Paying. 100% Free! New Credit Scores Take Effect Immediately. Free Credit Monitoring and Alerts Included.
- Experian® Credit Lock
Lock Your Credit Report &
Help Prevent Identity Theft
- Official Site
Take Control Of Your Credit
Get Free Credit Report & FICO Score
- Experian® Credit Lock
Check Your Credit Score & See Any Recent Changes. Get Credit Score Monitoring Today! Protect. Detect. Correct.
Get a Better Credit Score before You Apply for Your Next Credit Card or Loan. Get An In-Depth Look At The Different Types Of Scores You Have And See Where You Stand
Life Changes Fast. Your Credit Can Too. Get Score Planning & Report Protection Tools Now! Discover Your Credit Potential. Protect with Powerful Tools. See Your Score & Report Now.
Search results
People also ask
What are permissible purposes for pulling a credit report?
What happens if someone pulls your credit report?
What are the permissible purposes of a consumer report?
Can a user request a report about a consumer?
Jul 7, 2022 · Permissible Purposes for Furnishing, Using, and Obtaining Consumer Reports. The Consumer Financial Protection Bureau (Bureau) is issuing this advisory opinion to outline certain obligations of consumer reporting agencies and consumer report users under section 604 of the Fair Credit Reporting Act (FCRA). This advisory opinion explains that the ...
Jan 1, 2001 · 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)
Permissible purpose is defined in Section 604 of the Fair Credit Reporting Act (FCRA). [15 U.S.C. § 1681b] In general. Subject to subsection (c), any consumer reporting agency may furnish a consumer report under the following circumstances and no other: In response to the order of a court having jurisdiction to issue such an order, or a ...
- Overview
- Permissible Purposes of Consumer Reports – Section 604; 15 U.S.C. 1681b Investigative Consumer Reports – Section 606; 15 U.S.C. 1681d
- Overview
- Other Exceptions
- Credit Decision to Third Party (for example, auto dealer). The term consumer report also does
- Obtaining and Using Unsolicited Medical Information (12 CFR 1022.30(c)). A creditor does not
- Financial Information Exception (12 CFR 1022.30(d)). The rules allow a creditor to obtain and
- Specific Exceptions for Obtaining and Using Medical Information (12 CFR 1022.30(e)). In
- Limits on redisclosure of information (12 CFR 1022.31(b)). If a creditor subject to the medical
- Initial Notice and Opt-Out Requirement – 12 CFR 1022.21(a), 1022.24, and 1022.25
- Making Solicitations – 12 CFR 1022.21(b)15
- Delivery of the Opt-Out Notice – 12 CFR 1022.21(a)(3) and 1022.2617
- Time, Duration, and Renewal of Opt-Out – 12 CFR 1022.22(b) and (c) and 1022.27
- Short and Long Notice – 12 CFR 1022.54(c)
- Sample Short Notice:
- Credit score
- Covered transactions
- Specific required notice
- Credit score and key factors disclosed
- Information Obtained From a Consumer Reporting Agency
- Key Definitions – 12 CFR 1022.71
- Specific type of product (sampling approach). A person must calculate the cutoff score by
- New entrants or new products (secondary approach in limited circumstances). For new
- Examples.
- Rules of Construction – 12 CFR 1022.75
- Overview
- Requirement to furnish a consumer’s address to an NCRA – 12 CFR 1022.82(d)
- Key Definitions – 12 CFR 1022.41
- Duties of Furnishers to Provide Accurate Information – Section 623(a); 15 U.S.C. 1681s-2(a)
- Reasonable policies and procedures concerning the accuracy and integrity of furnished information (12 CFR 1022.42) and Interagency Guidelines (Appendix E)
- Duties upon notice of dispute from a consumer (direct disputes) – Section 623(a)(8); 15 U.S.C. 1681s-2(a)(8); 12 CFR 1022.43
- Key Definitions
- Overview
- Examination Objectives1 2
- Initial Examination Procedures
- Permissible Purposes of Consumer Reports – Section 604; 15 U.S.C. 1681b Investigative Consumer Reports – Section 606; 15 U.S.C. 1681d
- Risk-based pricing notices and account review risk-based pricing notices
- Credit score disclosures for loans not secured by residential real property
- Credit score exception notices when no credit score is available
- Application to certain automobile lending transactions
- Fraud and Active Duty Alerts – Section 605A(h); 15 U.S.C. 1681c-1(h)
- Information Available to Victims – Section 609(e); 15 U.S.C. 1681g(e)
Consumer reporting agencies have a significant amount of personal information about consumers. This information is invaluable in assessing a consumer’s creditworthiness for a variety of products and services, including loan and deposit accounts, insurance, and utility services, among others. The FCRA governs access to this information to ensure tha...
Legally Permissible Purposes. The FCRA allows a consumer reporting agency to furnish a consumer report for the following circumstances and no other: In response to a court order or Federal Grand Jury subpoena. In accordance with the written instructions of the consumer. To a person, including a financial institution, that the agency has reason to b...
The FCRA contains many substantive compliance requirements for consumer reporting agencies designed to help ensure the accuracy and integrity of the consumer reporting system. As noted in the definitions section, a consumer reporting agency is a person that generally furnishes consumer reports to third parties. By their very nature, such third part...
Specific Extensions of Credit. In addition, the term consumer report does not include the communication of a specific extension of credit directly or indirectly by the issuer of a credit card or similar device. For example, this exception allows a lender to communicate an authorization through the credit card network to a retailer, to enable a cons...
not include any report in which a person, including a financial institution, who has been requested by a third party to make a specific extension of credit directly or indirectly to a consumer, conveys the decision with respect to the request. The third party must advise the consumer of the name and address of the person, such as a financial instit...
violate the prohibition on obtaining medical information if it receives the medical information pertaining to a consumer in connection with any determination of the consumer’s eligibility, or continued eligibility, for credit without specifically requesting medical information. However, the creditor may only use this medical information in connecti...
use medical information pertaining to a consumer in connection with any determination of the consumer’s eligibility or continued eligibility for credit, so long as: The information is the type of information routinely used in making credit eligibility determinations, such as information relating to debts, expenses, income, benefits, assets, collate...
addition to the financial information exception, the rules also provide for the following nine specific exceptions under which a creditor can obtain and use medical information in its determination of the consumer’s eligibility, or continued eligibility for credit: To determine whether the use of a power of attorney or legal representative that i...
information rules receives medical information about a consumer from a consumer reporting agency or its affiliate, the creditor must not disclose that information to any other person, except as necessary to carry out the purpose for which the information was initially disclosed, or as otherwise permitted by statute, regulation, or order.
person, such as a financial institution, and its subsidiaries generally may not use eligibility information about a consumer that it receives from an affiliate to make a solicitation for marketing purposes to the consumer, unless: It is clearly and conspicuously disclosed to the consumer in writing or, if the consumer agrees, electronically, in a c...
person, such as a financial institution, (or a service provider acting on behalf of the person) makes a solicitation for marketing purposes if: The person receives eligibility information from an affiliate, including when the affiliate places that information into a common database that the person may access; The person uses that eligibility inform...
An affiliate that has or previously had a pre-existing business relationship with the consumer must provide the notice either individually or as part of a joint notice from two or more members of an affiliated group of companies. The opt-out notice must be provided so that each consumer can reasonably be expected to receive actual notice. A consume...
A consumer may opt out at any time. The opt-out must be effective for a period of at least five years beginning when the consumer’s opt-out election is received and implemented, unless the consumer later revokes the opt-out in writing or, if the consumer agrees, electronically. An opt-out period may be set at more than five years, including an opt-...
Entities must provide a “short” notice and a “long” notice of the prescreened opt-out information with each written solicitation made to consumers using prescreened consumer reports. They must also comply with specific requirements concerning the content and appearance of these notices. The short notice must be a clear and conspicuous, simple, an...
You can choose to stop receiving “prescreened” offers of (credit or insurance) from this and other companies by calling toll-free (toll-free number). See PRESCREEN & OPT-OUT NOTICE on other side (or other location) for more information about prescreened offers.
For purposes of this section, the term “credit score” is defined as a numerical value or a categorization derived from a statistical tool or modeling system used by a person who makes or arranges a loan to predict the likelihood of certain credit behaviors, including default (and the numerical value or the categorization derived from such analysis ...
The disclosure requirement applies to both closed-end and open-end loans that are for consumer purposes and are secured by one- to four-family residential real properties, including purchase and refinance transactions. This requirement will not apply in circumstances that do not involve a consumer purpose, such as when a borrower obtains a loan sec...
Financial institutions in covered transactions that use credit scores must provide a disclosure containing the following specific language, which is contained in 609(g)(1)(D): Notice to The Home Loan Applicant In connection with your application for a home loan, the lender must disclose to you the score that a consumer reporting agency distribute...
In addition to the notice, a creditor, such as a financial institution, must also disclose the credit score, the range of possible scores, the date that the score was created, and the “key factors” used in the score calculation. “Key factors” are all relevant elements or reasons adversely affecting the credit score for the particular individual, li...
Section 615(a), Duties of Users Taking Adverse Actions on the Basis of Information Contained in Consumer Reports, provides that when adverse action is taken with respect to any consumer based in whole or in part on any information contained in a consumer report, the person, such as financial institution, must: provide oral, written, or electronic n...
The following definitions pertain to the rules governing the risk-based pricing regulation: Material terms means in general: for open-end credit (except as provided in (b) and (d) below), the annual percentage rate (APR) required to be disclosed in the account opening disclosures required under Regulation Z. This does not include a temporary init...
considering the credit scores of all, or a representative sample of, the consumers who have received credit for a specific type of credit product.
entrants into the credit business or for new products subject to risk-based pricing, a person may determine the cutoff score based on information from market research or other third-party sources for a specific type of credit product. For a newly acquired credit portfolio, a person may determine the cutoff score from information obtained from the p...
A person that uses consumer reports to set the material terms of credit cards granted, extended, or provided to consumers regularly requests credit scores from several consumer reporting agencies and uses the low score when determining the material terms it will offer to the consumer. That person must disclose the low score in the risk-based pricin...
The rules clarify that, in general, only one risk-based pricing notice or one credit score disclosure exception notice is required to be provided per credit extension (however, an account review would still be required, if applicable). In a transaction involving two or more consumers who are granted, extended, or otherwise provided credit, a pers...
The FCRA contains many responsibilities for persons, such as financial institutions, that furnish information to consumer reporting agencies. These requirements generally involve ensuring the accuracy of the data that is placed in the consumer reporting system. This examination module includes reviews of the various areas associated with furnishers...
Review the entity’s policies, procedures, and/or practices to determine whether identities and claims of fruadulent transactions are verified and whether information is properly disclosed to victims of identity theft and/or appropriately authorized law enforcement agents. If procedural weaknesses or other risks requiring further investigation are n...
Review the entity’s policies, procedures, and/or practices to determine whether identities and claims of fruadulent transactions are verified and whether information is properly disclosed to victims of identity theft and/or appropriately authorized law enforcement agents. If procedural weaknesses or other risks requiring further investigation are n...
Review the entity’s policies, procedures, and/or practices to determine whether identities and claims of fruadulent transactions are verified and whether information is properly disclosed to victims of identity theft and/or appropriately authorized law enforcement agents. If procedural weaknesses or other risks requiring further investigation are n...
Review the entity’s policies, procedures, and/or practices to determine whether identities and claims of fruadulent transactions are verified and whether information is properly disclosed to victims of identity theft and/or appropriately authorized law enforcement agents. If procedural weaknesses or other risks requiring further investigation are n...
Review the entity’s policies, procedures, and/or practices to determine whether identities and claims of fruadulent transactions are verified and whether information is properly disclosed to victims of identity theft and/or appropriately authorized law enforcement agents. If procedural weaknesses or other risks requiring further investigation are n...
Review the entity’s policies, procedures, and/or practices to determine whether identities and claims of fruadulent transactions are verified and whether information is properly disclosed to victims of identity theft and/or appropriately authorized law enforcement agents. If procedural weaknesses or other risks requiring further investigation are n...
Review the entity’s policies, procedures, and/or practices to determine whether identities and claims of fruadulent transactions are verified and whether information is properly disclosed to victims of identity theft and/or appropriately authorized law enforcement agents. If procedural weaknesses or other risks requiring further investigation are n...
Review the entity’s policies, procedures, and/or practices to determine whether identities and claims of fruadulent transactions are verified and whether information is properly disclosed to victims of identity theft and/or appropriately authorized law enforcement agents. If procedural weaknesses or other risks requiring further investigation are n...
Review the entity’s policies, procedures, and/or practices to determine whether identities and claims of fruadulent transactions are verified and whether information is properly disclosed to victims of identity theft and/or appropriately authorized law enforcement agents. If procedural weaknesses or other risks requiring further investigation are n...
Review the entity’s policies, procedures, and/or practices to determine whether identities and claims of fruadulent transactions are verified and whether information is properly disclosed to victims of identity theft and/or appropriately authorized law enforcement agents. If procedural weaknesses or other risks requiring further investigation are n...
Review the entity’s policies, procedures, and/or practices to determine whether identities and claims of fruadulent transactions are verified and whether information is properly disclosed to victims of identity theft and/or appropriately authorized law enforcement agents. If procedural weaknesses or other risks requiring further investigation are n...
Review the entity’s policies, procedures, and/or practices to determine whether identities and claims of fruadulent transactions are verified and whether information is properly disclosed to victims of identity theft and/or appropriately authorized law enforcement agents. If procedural weaknesses or other risks requiring further investigation are n...
Review the entity’s policies, procedures, and/or practices to determine whether identities and claims of fruadulent transactions are verified and whether information is properly disclosed to victims of identity theft and/or appropriately authorized law enforcement agents. If procedural weaknesses or other risks requiring further investigation are n...
Review the entity’s policies, procedures, and/or practices to determine whether identities and claims of fruadulent transactions are verified and whether information is properly disclosed to victims of identity theft and/or appropriately authorized law enforcement agents. If procedural weaknesses or other risks requiring further investigation are n...
Review the entity’s policies, procedures, and/or practices to determine whether identities and claims of fruadulent transactions are verified and whether information is properly disclosed to victims of identity theft and/or appropriately authorized law enforcement agents. If procedural weaknesses or other risks requiring further investigation are n...
Review the entity’s policies, procedures, and/or practices to determine whether identities and claims of fruadulent transactions are verified and whether information is properly disclosed to victims of identity theft and/or appropriately authorized law enforcement agents. If procedural weaknesses or other risks requiring further investigation are n...
- 430KB
- 86
Jul 12, 2022 · The permissible purposes for which consumer reports are most commonly sought are those identified in FCRA section 604 (a) (3), including for purposes related to credit, employment, insurance, and rental housing.
What Are Permissible Purposes for Pulling a Credit Report? As described in more detail above, the FCRA lists permissible purposes for pulling a credit report, which include the following: when you apply for credit or when a creditor is reviewing or taking collection action on your existing account
Ad
related to: permissible purpose for pulling credit reportsexperian.com has been visited by 100K+ users in the past month
Increase your Credit Scores & Get Credit for the Bills You're Already Paying. 100% Free! New Credit Scores Take Effect Immediately. Free Credit Monitoring and Alerts Included.
