Credit Report Accuracy - Fair Credit Reporting Act

The Fair Credit Reporting Act (FCRA), is enforced by the Federal Trade Commission and designed to insure accuracy and privacy of the information used in consumer credit reports. Recent amendments expand your rights and place additional requirements on your information and how it is used. Any company that supplies information about you to credit reporting agencies and those that use consumer reports must abide by these rules.

Here are your rights under the Fair Credit Reporting Act

1) Credit reporting agencies must tell you everything in your report, including medical information, and in most cases, the sources of the information. They must also provide you with a list of everyone who has requested your report within the past year.

2) There's no charge for a credit report if a company takes adverse action against you, such as denying your application for credit, insurance or employment. Under the FCRA rules you must request your report within 60 days of receiving the notice of the action. The notice will give you the name, address, and phone number of the credit reporting agency.

3) The FCR act requires credit agencies responsibility for correcting inaccurate or incomplete information in your report. Contact the credit agency if you find information you believe is inaccurate. They must reinvestigate the items you believe are wrong. Also must send all data you provide about the dispute to the information provider. After the information provider receives notice of a dispute it must investigate the information provided and report the results to the credit agency. If the information provider finds the disputed information to be inaccurate they are required to notify all credit agencies so they can correct this information in your file. After the investigation is complete the agency must give you the written results and a free copy of your report if the dispute results in a change.

4) Investigative consumer reports are detailed reports that involve interviews with your neighbors or acquaintances about your lifestyle, character, and reputation. They may be used in connection with insurance and employment applications. You'll be notified in writing when a company orders such a report. The notice will explain your right to request certain information about the report from the company you applied to. If you apply for credit and your application is rejected, you may get additional information from the credit agency. However, they do not have to reveal the sources of the information.

5) Here is how long information stays on your credit report.

A) Most credit information stays on your report for seven years.
B) Information about criminal convictions may be reported without any time limitation.
C) Bankruptcy information may be reported for 10 years.
D) Information reported in response to an application for a job with a salary of more than $75,000 has no time limit.
E) Information reported because of an application for more than $150,000 worth of credit or life insurance has no time limit.
F) Information about a lawsuit or an unpaid judgment against you can be reported for seven years or until the statute of limitations runs out.