Fair Credit Reporting Act Enforcement - Explained
Who enforces the Fair Credit Reporting Act?
- Marketing, Advertising, Sales & PR
- Accounting, Taxation, and Reporting
- Professionalism & Career Development
Law, Transactions, & Risk Management
Government, Legal System, Administrative Law, & Constitutional Law Legal Disputes - Civil & Criminal Law Agency Law HR, Employment, Labor, & Discrimination Business Entities, Corporate Governance & Ownership Business Transactions, Antitrust, & Securities Law Real Estate, Personal, & Intellectual Property Commercial Law: Contract, Payments, Security Interests, & Bankruptcy Consumer Protection Insurance & Risk Management Immigration Law Environmental Protection Law Inheritance, Estates, and Trusts
- Business Management & Operations
- Economics, Finance, & Analytics
How is the Fair Credit Reporting Act enforced?
The FTC and CFBP enforce the provisions of the FCRA. Further, individuals may bring a cause of action against creditor reporting agencies or credit providers. In a civil action, a creditor may recover actual damages, attorneys fees, court costs, and punitive damages (if the conduct is intentional).
Note: A consumer must file a civil action within two years of when the violation is discovered or within five years of when the violation occurred.
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How do you feel about the regulation of all individuals involved in the use of a credit report? Do you find any of the obligations too relaxed or overly stringent? Why?Delete
Eric has a small business selling farm equipment. He routinely finances pieces of equipment for his customers. In this process, he pulls customer credit reports and also contacts other suppliers in the community to learn more about the customers credit worthiness. He is in need of help in his business, so he is looking for someone to handle the equipment financing. When posting the position publicly, he requires applicants submit to a credit report. What procedures must Eric undertake to comply with the requirements of the FCRA?Delete