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  • Screenings FAQ's

  • How do I order services from other vendors such as Drug Screening, Physical Assessments, Tax Credit Surveys, Etc…?

    In your workflow, the menus now include additional options from our services suite. By selecting these services the questions will be automatically integrated into the workflow.

  • Why use USAFact?

    You should use USAFact because your satisfaction is not enough...we are driven to exceed your expectations.

  • Is USAFact Part of the National Association of Background Screeners?

    USAFact, Inc is a current financial sponsor, member-in-good-standing, and a founding company of the NAPBS.

  • Is USAFact accredited?

    Out of over 40,000 recognized background screening agencies in the U.S. in 2012, 22 small companies are Accredited. The number in 2010, was also only 22.

    USAFact is a founding member of the National Association of Background Screening Providers, and as one of the first 5 companies in existence, is more comparable to enterprise level groups you may be considering, as opposed to the full list of accredited providers detailed here.

    In fairness, accreditation is a great concept, but is truly something a handful of small companies tried to make stick as an inner-industry requirement a few years ago. It has not caught on. It is important to recognize that screening companies (CRAs) like USAFact are not on this list, because our industry is not governed by the NAPBS. It is our association, more akin to a fraternity than a governing body. We are regulated by the FCRA, FTC, and EEOC. NAPBS is a highly respected and valued conference of industry experts working together to advance our industry. We are active and recognized participants and financial sponsors of the organization.

    If accreditation is a requirement for your company, let us know...we'll be happy to gain another stamp for our accomplishment page.

  • What are the training options through USAFact? Onsite or online?

    Our training opportunities begin Online, through personally guided webinar trainings. We share screens, and can dynamically observe and guide clients through real-time data entry and on an as-needed basis thereafter. Your USAFact account managers will personally train end-users on how to use our system online. Initial, onsite training is also available in group settings upon request.

    We offer training in the following:

    -Our Primary Report request process with specific areas of interest including
    -Core Data entry for Background Screening
    -Simultaneous launches of Drug Screen Requests
    -Simultaneous FREE Tax Credit Eligibility Candidate questionnaires
    -ShadowMatch Employee Assessments
    -Ongoing Fleet Driver MVR record monitoring
    -Custom training needs

  • Are other languages available at USAFact?

    Yes, some of the languages provided in house are English, Spanish, Russian, Polish, and Tagalog. Language Translation line services are utilized in all other cases.

  • Does USAFact have international screening options?

    Yes. Our current network of active international screening sources includes the following countries:
    Afghanistan
    Albania
    Algeria
    Angola
    Armenia
    Australia
    Azerbaijan
    The Bahamas
    Bahrain
    Bangladesh
    Barbados
    Belarus
    Belize
    Bermuda
    Bolivia
    Bosnia & Herzegovina
    Botswana
    Brazil
    Cameroon
    Canada (Local Provincial)
    Canada (Nationwide CPIC)
    The Cayman Islands
    Chad
    Chile
    China
    Colombia
    Congo
    Costa Rica
    Croatia
    Dominica
    Dominican Republic
    Ecuador
    Egypt
    El Salvador
    Ethiopia
    Fiji
    Grenada
    Guam
    Guatemala
    Guinea
    Guyana
    Haiti
    Honduras
    India
    Indonesia
    Israel
    Italy
    Jamaica
    Jordan
    Kenya
    Lebanon
    Macedonia
    The Marshall Islands
    Mauritania
    Mexico
    Morocco
    New Zealand
    Nicaragua
    Nigeria
    Pakistan
    Panama
    Paraguay
    Peru
    Philippines
    Puerto Rico
    Qatar
    Russia
    Rwanda
    Saudi Arabia
    Serbia
    South Africa
    Tanzania
    Togo
    Trinidad & Tobago
    Turkey
    Uganda
    The United Arab Emirates
    The United Kingdom
    Venezuela
    The Virgin Islands (U.S)
    Zambia
    USAFact can establish additional international resources as needed for any client’s custom needs.

  • How is confidentiality treated?

    Our company was established as a corporate investigation firm at its core, having established a reputation for discretion and security for both our clients and their candidates.

    Client confidentiality is maintained under strict Mutual NDA parameters. We do not list our client list, for marketing or sales purposes.

  • Worldwide screening (work in different countries)?

    Our offices (currently California & Colorado) support a nationwide network of clientele screening candidates from all over the world.

    We do not have offices outside of the United States, but we do maintain a network of global investigation connections for customized needs on an as-needed basis. USAFact background screens for the only company in the world that has locations on both poles. Not only does USAFact process background screening in all 50 states and Washington DC, we can access criminal records from nearly 200 countries and can obtain verification of employment or education from just about anywhere in the world.

  • Does USAFact provide SSN verification or trace?

    USAFact offers both of these services within our expanded suite of "Identity Verification, Address History and AKA Locator" products. We can determine the purpose you are hoping to accomplish with these searches, and recommend the proper inclusion for your packaged needs.

  • Does USAFact provide SSN verification or trace?

    USAFact offers both of these services within our expanded suite of "Identity Verification, Address History and AKA Locator" products. We can determine the purpose you are hoping to accomplish with these searches, and recommend the proper inclusion for your packaged needs.

    NOTE: As of July 2011, the Social Security Administration has changed the process by which SS Numbers are issued to new US Citizens. Although 565-65-xxxx still does designate a number that was issued in CA in 1974, it is now just as likely to have been issued in New York in November of 2011. As such, SSNV searches will begin to have a diminishing level of accuracy forever more going forward. As such, USAFact is connected with multiple alternatives to achieve the history and employment validity, eligibility, and credibility of your hiring pool.

  • RapidFACT FAQ's

  • What is the RapidFACT customer platform?

    RapidFACT is, simply put, an enhanced online interface that makes background screening simpler. It is a VERY powerful software engine that allows you do more online with USAFact. If you only want to order a simple background screen, you will really appreciate the clean, fast, and simplified workflow enhancements we have incorporated from end to end. With a simple click, you can also involve your candidate info into the data entry, which some of our largest clients have discovered can dramatically improve report turnaround times.

  • What does RapidFACT do?

    USAFact believes that you need both simplicity and efficiency. By recognizing that we are only one step in your hiring process, we better collaborate with you to help manage your onboarding process for new employees. You need a Vendor Management tool that puts you in charge and gives you the freedom to do more in your work day. Across every order we are saving recruiters time and money. RapidFACT gives you the flexibility to easily choose every facet of what you want included within your hiring and ordering workflow, review your invoices and make payments online, pay for individual orders as you go by credit card, manage your own account and environment related to users and security visibility from your own admin screens, and much more.

  • What makes RapidFACT better than other solutions on the market?

    The power of RapidFACT is that it is centered in USAFact’s core principles of providing the most successful balance for your company. You need to be focused on turnaround, budget, and accuracy . . . all while conducting your hiring process in an FCRA compliant workflow. The RapidFACT solution provides candidate engaged workflows with auto attached onboarding documents by default or customized to each order, electronic signature workflows that improve turnaround, dynamic candidate address and name histories returned in the order workflow (not after) . . . which means you have the power to expand or limit your search criteria prior to order submission, real time pricing upon order submission, removing the guess work of weekly and monthly invoice surprises, and much more.

  • How is the candidate involved?

    Many of USAFact’s largest customers have been utilizing custom candidate portals for years. So in 2010, we began offering new customers, of ANY size, the same type of flexibility in a STANDARD account set up … and do it for no additional charge. We’ve learned over the years that including the candidate directly into your workflow can save you time and money. RapidFACT supplies the candidate with more fields, and by requiring these up front your report can be back in-hand DAYS faster. In short, by just a few minutes of vital candidate research, RapidFACT can SAVE our customers days in report turnaround. This simple step has also allowed us to reduce overall pricing across many call center related services.

  • Will RapidFACT make my process more complicated?

    The answer is absolutely not! As you are used to the data entry on our traditional web-portal the new platform is essentially the same. This also applies to users wanting drug screens without having to log out or open a different site. RapidFACT has integrated everything you need directly into the overall flow, with only a single set of fields to populate. Testing on our new platform has shown that a recruiter can more than double the hourly completion rate. By using the candidate portal, candidates receive a single email for any/all services or vendors that you have grouped, and the entire platform CAN launch with a click from within your ATS…allowing you to benefit from less time, less error, less cost, & less confusion with our platform.

  • What changes will I have to make to my current background screening process?

    None. RapidFACT features are simple and user friendly. Expanded usability and brand new features are there only if you choose to take advantage of them.

  • What about turnaround times?

    RapidFACT is faster. Period. The platform will greatly benefit your turnaround times.

  • Why does involving the candidate expedite turnaround time?

    Through extensive platform testing USAFact has learned that by including the candidate directly into your data-entries reports can be back in-hand DAYS faster. In short, by adding just a few minutes of preliminary candidate interaction, RapidFACT helps you hire better and faster. The system also includes automatic email reminders for your candidates in order to prevent them from forgetting to complete their assigned work, set to your frequency preferences.

  • How do I order services from other vendors such as Drug Screening, Physical Assessments, Tax Credit Surveys, Etc…?

    In your workflow, the menus now include additional options from our services suite. By selecting these services the questions will be automatically integrated into the workflow.

  • What does RapidFACT cost compared to USAFact’s old service?

    There are no additional charge for using the new platform.
    No problem. With RapidFACT you will get the benefit of a system that is truly designed around you. Even if you don’t have an ATS, all the core benefits we incorporate into our customer platform are still available.

  • What if I already have an ATS (Applicant Tracking System)?

    RapidFACT is designed specifically to function seamlessly with the iCIMS ATS. However, our programmers can work with your ATS vendor to implement it seamlessly into any ATS application. Once inside an ATS, RapidFACT can extract candidate data directly from an existing application and thereby remove the errors associated with re-keying the data manually online.

  • FCRA FAQ's

  • Section 606. Disclosure of investigative consumer reports [15 U.S.C. ~ 1681d]

    (a) Disclosure of fact of preparation. A person may not procure or cause to be prepared an investigative consumer report on any consumer unless

    (1) it is clearly and accurately disclosed to the consumer that an investigative consumer report including information as to his character, general reputation, personal characteristics and mode of living, whichever are applicable, may be made, and such disclosure

    (A) is made in a writing mailed, or otherwise delivered, to the consumer, not later than three days after the date on which the report was first requested, and

    (B) includes a statement informing the consumer of his right to request the additional disclosures provided for under subsection (b) of this section and the written  summary of the rights of the consumer prepared pursuant to section 609(c) [§ 1681g]; and

    (2) the person certifies or has certified to the consumer reporting agency that

    (A) the person has made the disclosures to the consumer required by paragraph (1); and

    (B) the person will comply with subsection (b).31

    (b) Disclosure on request of nature and scope of investigation. Any person who procures or causes to be prepared an investigative consumer report on any consumer shall, upon written request made by the consumer within a reasonable period of time after the receipt by him of the disclosure required by subsection (a)(1) of this section, make a complete and accurate disclosure of the nature and scope of the investigation requested. This disclosure shall be made in a writing mailed, or otherwise delivered, to the consumer not later than five days after the date on which the request for such disclosure was received from the consumer or such report was first requested, whichever is the later.

    (c) Limitation on liability upon showing of reasonable procedures for compliance with provisions. No person may be held liable for any violation of subsection (a) or (b) of this section if he shows by a preponderance of the evidence that at the time of the violation he maintained reasonable procedures to assure compliance with subsection (a) or (b) of this section.

    (d) Prohibitions

    (1) Certification. A consumer reporting agency shall not prepare or furnish investigative consumer report unless the agency has received a certification under subsection  (a)(2) from the person who requested the report.

    (2)  Inquiries.  A consumer reporting agency shall not make an inquiry for the purpose of preparing an investigative consumer report on a consumer for employment purposes if the making of the inquiry by an employer or prospective employer of the consumer would violate any applicable Federal or State equal employment opportunity law or regulation.

    (3) Certain public record information. Except as otherwise provided in section 613 [§ 1681k], a consumer reporting agency shall not furnish an investigative consumer report that includes information that is a matter of public record and that relates to an arrest, indictment, conviction, civil judicial action, tax lien, or outstanding judgment, unless the agency has verified the accuracy of the information during the 30-day period ending on the date on which the report is furnished.

    (4) Certain adverse information. A consumer reporting agency shall not prepare or furnish an investigative consumer report on a consumer that contains information that is adverse to the interest of the consumer and that is obtained through a personal interview with a neighbor, friend, or associate of the consumer or with another person with whom the consumer is acquainted or who has knowledge of such item of information, unless

    (A) the agency has followed reasonable procedures to obtain confirmation of the information, from an additional source that has independent and direct knowledge of the information; or

    (B) the person interviewed is the best possible source of the information.

  • Section 607. Compliance procedures [15 U.S.C. ~ 1681e]

    (a)    Identity and purposes of credit users. Every consumer reporting agency shall maintain reasonable procedures designed to avoid violations of section 605 [§ 1681c] and to limit the furnishing of consumer reports to the purposes listed under section 604 [§ 1681b] of this title. These procedures shall require that prospective users of the information identify themselves, certify the purposes for which the information is sought, and certify that the information will be used for no other purpose. Every consumer reporting agency shall make a reasonable effort to verify the identity of a new prospective user and the uses certified by such prospective user prior to furnishing such user a consumer report. No consumer reporting agency may furnish a consumer report to any person if it has reasonable grounds for believing that the consumer report will not be used for a purpose listed in section 604 [§ 1681b] of this title.

    (b)   Accuracy of report. Whenever a consumer reporting agency prepares a consumer report it shall follow reasonable procedures to assure maximum possible accuracy of the information concerning the individual about whom the report relates.

    (c)    Disclosure of consumer reports by users allowed. A consumer reporting agency may not prohibit a user of a consumer report furnished by the agency on a consumer from disclosing the contents of the report to the consumer, if adverse action against the consumer has been taken by the user based in whole or in part on the report.

    (d)  Notice to Users and Furnishers of Information

    (1) Notice requirement. A consumer reporting agency shall provide to any person

    (A) who regularly and in the ordinary course of business furnishes information to the agency with respect to any consumer; or

    (B) to whom a consumer report is provided by the agency;  a notice of such person's responsibilities under this title.

    See also 16 CFR 698, App G-H  69 Fed. Reg. 69776 (11/30/04)

    (2) Content of notice. The Bureau shall prescribe the content of notices under paragraph (1), and a consumer reporting agency shall be in compliance with this subsection if it provides a notice under paragraph (1) that is substantially similar to the Bureau prescription under this paragraph.

    (e)  Procurement of Consumer Report for Resale

    (1) Disclosure. A person may not procure a consumer report for purposes of reselling the report (or any information in the report) unless the person discloses to the consumer reporting agency that originally furnishes the report

    (A) the identity of the end-user of the report (or information); and

    (B) each permissible purpose under section 604 [§ 1681b] for which the report is furnished to the end-user of the report (or information).

    (2)  Responsibilities of procurers for resale. A person who procures a consumer report for purposes of reselling the report (or any information in the report) shall

    (A) establish and comply with reasonable procedures designed to ensure that the report (or information) is resold by the person only for a purpose for which the report may be furnished under section 604 [§ 1681b], including by requiring that each person to which the report (or information) is resold and that resells or provides the report (or information) to any other person

          (i) identifies each end user of the resold report (or information);

          (ii) certifies each purpose for which the report (or information) will be used; and

          (iii) certifies that the report (or information) will be used for no other purpose; and

    (B) before reselling the report, make reasonable efforts to verify the identifications and certifications made under subparagraph (A).

    (3) Resale of consumer report to a federal agency or department. Notwithstanding paragraph (1) or (2), a person who procures a consumer report for purposes of reselling the report (or any information in the report) shall not disclose the identity of the end-user of the report under paragraph (1) or (2) if –

    (A) the end user is an agency or department of the United States Government which procures the report from the person for purposes of determining th eligibility of the consumer concerned to receive access or continued access to classified information (as defined in section 604(b)(4)(E)(i)); and

    (B) the agency or department certifies in writing to the person reselling the report that nondisclosure is necessary to protect classified information or the safety of

    persons employed by or contracting with, or undergoing investigation for work or contracting with the agency or department.

  • Section 609. Disclosures to consumers [15 U.S.C. ~ 1681g]

    (a)    Information on file; sources; report recipients. Every consumer reporting agency shall, upon request, and subject to 610(a)(1) [§ 1681h], clearly and accurately disclose to the consumer:

    (1) All information in the consumer's file at the time of the request except that--

          (A) if the consumer to whom the file relates requests that the first 5 digits of the social security number (or similar identification number) of the consumer   not be included in the disclosure and the consumer reporting agency has received appropriate proof of the identity of the requester, the consumer  reporting agency shall so truncate such number in such disclosure; and

          (B) nothing in this paragraph shall be construed to require a consumer reporting agency to disclose to a consumer any information concerning credit scores or any other risk scores or predictors relating to the consumer.

    (2) The sources of the information; except that the sources of information acquired solely for use in preparing an investigative consumer report and actually use for no other purpose need not be disclosed: Provided, That in the event an action is brought under this title, such sources shall be available to the plaintiff under appropriate discovery procedures in the court in which the action is brought.

    (3)        (A) Identification of each person (including each end-user identified under section 607(e)(1) [§ 1681e]) that procured a consumer report

                      (i) for employment purposes, during the 2-year period preceding the date on which the request is made; or

                      (ii) for any other purpose, during the 1-year period preceding the date on which the request is made.

    (B) An identification of a person under subparagraph (A) shall include

                      (i) the name of the person or, if applicable, the trade name (written in full) under which such person conducts business; and

                      (ii) upon request of the consumer, the address and telephone number of the person.

          (C) Subparagraph (A) does not apply if

                      (i) the end user is an agency or department of the United States Government that procures the report from the person for purposes of determining the eligibility of the consumer to whom the report relates to receive access or continued access to classified information (as defined in section  604(b)(4)(E)(i)); and

                      (ii) the head of the agency or department makes a written finding as prescribed under section 604(b)(4)(A).

    (4) The dates, original payees, and amounts of any checks upon which is based any adverse characterization of the consumer, included in the file at the time of  the disclosure.

    (5) A record of all inquiries received by the agency during the 1-year period preceding the request that identified the consumer in connection with a credit or insurance transaction that was not initiated by the consumer.

    (6) If the consumer requests the credit file and not the credit score, a statement that the consumer may request and obtain a credit score.

    (b) Exempt information. The requirements of subsection (a) of this section respecting the disclosure of sources of information and the  recipients of consumer reports do not apply to information received or consumer reports furnished prior to the effective date of this title except to the extent that the matter involved is contained in the files of the consumer reporting agency on that date.

    (c) Summary of Rights to Obtain and Dispute Information in Consumer Reports and to Obtain Credit Scores

    See also 16 CFR Part 698, App F (1) Bureau Summary of Rights Required 69 Fed. Reg. 69776 (11/30/04)

    (A)In general. The Bureau shall prepare a model summary of the rights of consumers under this title.

    (B)Content of summary. The summary of rights prepared under subparagraph(A) shall include a description of

    (i) the right of a consumer to obtain a copy of a consumer report under subsection (a) from each consumer reporting agency;

    (ii) the frequency and circumstances under which a consumer is entitled to receive a consumer report without charge under section 612;

    (iii) the right of a consumer to dispute information in the file of the consumer under section 611;

    (iv) the right of a consumer to obtain a credit score from a consumer reporting agency, and a description of how to obtain a credit score;

    (v) the method by which a consumer can contact, and obtain a consumer report from, a consumer reporting agency without charge, as provided in the regulations of the Bureau prescribed under section 211(c) of the Fair and Accurate Credit Transactions Act of 2003; and (vi) the method by which a consumer can contact, and obtain a consumer report from, a consumer reporting agency described in section 603(w), as provided in the regulations of the Bureau prescribed under section 612(a)(1)(C).

    (C) Availability of summary of rights.  The Bureau shall

    (i) actively publicize the availability of the summary of rights prepared under this paragraph;

    (ii) conspicuously post on its Internet website the availability of such summary of rights; and

    (iii) promptly make such summary of rights available to consumers, on request.

    (2) Summary of rights required to be included with agency disclosures. A consumer reporting agency shall provide to a consumer, with each written disclosure by the agency to the consumer under this section

    (A) the summary of rights prepared by the Bureau under paragraph (1);

    (B) in the case of a consumer reporting agency described in section 603(p), a toll-free telephone number established by the agency, at which personnel are accessible to consumers during normal business hours;

    (C) a list of all Federal agencies responsible for enforcing any provision of this title, and the address and any appropriate phone number of each  such agency, in a form that will assist the consumer in selecting the appropriate agency;

    (D) a statement that the consumer may have additional rights under State law, and that the consumer may wish to contact a State or local consumer protection agency or a State attorney general (or the equivalent thereof) to learn of those rights; and

    (E) a statement that a consumer reporting agency is not required to remove accurate derogatory information from the file of a consumer, unless the  information is outdated under section 605 or cannot be verified.

    (d) Summary of Rights of Identity Theft Victims

          See also 16 CFR Part 698, App E 69 Fed. Reg. 69776 (11/30/04)

    (1)   In general. The Bureau, in consultation with the Federal banking agencies and the National Credit Union Administration, shall prepare a model summary of the rights of consumers under this title with respect to the procedures for remedying the effects of fraud or identity theft involving credit, an electronic fund transfer, or an account or transaction at or with a financial institution or other creditor.

    (2)   Summary of rights and contact information.  Beginning 60 days after the date on which the model summary of rights is prescribed in final form by the Bureau pursuant to paragraph (1), if any consumer contacts a consumer reporting agency and expresses a belief that the consumer is a victim of fraud or identity theft involving credit, an electronic fund transfer, or an account or transaction at or with a financial institution or other creditor, the consumer reporting agency shall, in addition to any other action that the agency may take, provide the consumer with a summary of rights that contains all of the information required by the Bureau under paragraph (1), and information on how to contact the Bureau to obtain more detailed information.

    (e) Information Available to Victims

    (1) In general. For the purpose of documenting fraudulent transactions resulting from identity theft, not later than 30 days after the date of receipt of a request from a victim in accordance with paragraph (3), and subject to verification of the identity of the victim and the claim of identity theft in accordance with paragraph (2), a business entity that has provided credit to, provided for consideration products, goods, or services to, accepted payment from, or otherwise entered into a commercial transaction for consideration with, a person who has allegedly made unauthorized use of the means of identification of the victim, shall  provide a copy of application and business transaction records in the control of the business entity, whether maintained by the business entity or by another person on behalf of the business entity, evidencing any transaction alleged to be a result of identity theft to –

    (A) the victim;

          (B) any Federal, State, or local government law enforcement agency or officer specified by the victim in such a request; or

          (C) any law enforcement agency investigating the identity theft and authorized by the victim to take receipt of records provided under this subsection.

    (2) Verification of identity and claim. Before a business entity provides any information under paragraph (1), unless the business entity, at its discretion, otherwise has a high degree of confidence that it knows the identity of the victim making a request under paragraph (1), the victim shall provide to the business entity

          (A) as proof of positive identification of the victim, at the election of the business entity

                      (i) the presentation of a government-issued identification card;

                      (ii) personally identifying information of the same type as was provided to the business entity by the unauthorized person; or

                      (iii) personally identifying information that the business entity typically requests from new applicants or for new transactions, at the time of the

                      victim's request for information, including any documentation described in clauses (i) and (ii); and

          (B) as proof of a claim of identity theft, at the election of the business entity

                      (i) a copy of a police report evidencing the claim of the victim of identity theft; and

                      (ii) a properly completed

                                  (I) copy of a standardized affidavit of identity theft developed and made available by the Bureau; or

                                  (II) an affidavit of fact that is acceptable to the business entity for that purpose.

    (3) Procedures. The request of a victim under paragraph (1) shall

    (A) be in writing;

          (B) be mailed to an address specified by the business entity, if any; and

    (C) if asked by the business entity, include relevant information about any transaction alleged to be a result of identity theft to facilitate compliance with  this section including

                      (i) if known by the victim (or if readily obtainable by the victim), the date of the application or transaction; and

                      (ii) if known by the victim (or if readily obtainable by the victim), any other identifying information such as an account or transaction number.

    (4) No charge to victim. Information required to be provided under paragraph (1) shall be so provided without charge.

    (5) Authority to decline to provide information. A business entity may decline to provide information under paragraph (1) if, in the exercise of good faith, the  business entity determines that

          (A) this subsection does not require disclosure of the information;

          (B) after reviewing the information provided pursuant to paragraph (2), the business entity does not have a high degree of confidence in knowing the true  identity of the individual requesting the information;

          (C) the request for the information is based on a misrepresentation of fact by the individual requesting the information relevant to the request for  information; or

          (D) the information requested is Internet navigational data or similar information about a person's visit to a website or online service.

    (6) Limitation on liability.  Except as provided in section 621, sections 616 and 617 do not apply to any violation of this subsection.

    (7) Limitation on civil liability. No business entity may be held civilly liable under any provision of Federal, State, or other law for disclosure, made in good faith pursuant to this subsection.

    (8) No new recordkeeping obligation.  Nothing in this subsection creates an obligation on the part of a business entity to obtain, retain, or maintain information or records that are not otherwise required to be obtained, retained, or maintained in the ordinary course of its business or under other applicable law.

    (9) Rule of Construction

          (A) In general. No provision of subtitle A of title V of Public Law 106-102, prohibiting the disclosure of financial information by a business entity to third

    parties shall be used to deny disclosure of information to the victim under this subsection.

    (B) Limitation. Except as provided in subparagraph (A), nothing in this subsection permits a business entity to disclose information, including information to law enforcement under subparagraphs (B) and (C) of paragraph (1), that the business entity is otherwise prohibited from disclosing under any other applicable provision of Federal or State law.

    (10) Affirmative defense. In any civil action brought to enforce this subsection, it is an affirmative defense (which the defendant must establish by  preponderance of the evidence) for a business entity to file an affidavit or answer stating that–

          (A) the business entity has made a reasonably diligent search of its available business records; and

          (B) the records requested under this subsection do not exist or are not reasonably available.

    (11) Definition of victim. For purposes of this subsection, the term “victim‿ means a consumer whose means of identification or financial information has been used or transferred (or has been alleged to have been used or transferred) without the authority of that consumer, with the intent to commit, or to aid or abet, an identity theft or a similar crime.

    (12) Effective date.  This subsection shall become effective 180 days after the date of  enactment of this subsection.

    (13) Effectiveness study. Not later than 18 months after the date of enactment of this subsection, the Comptroller General of the United States shall submit a report to Congress assessing the effectiveness of this provision.

    (f) Disclosure of Credit Scores

    (1) In general. Upon the request of a consumer for a credit score, a consumer reporting agency shall supply to the consumer a statement indicating that the information and credit scoring model may be different than the credit score that may be used by the lender, and a notice which shall include

          (A) the current credit score of the consumer or the most recent credit score of the consumer that was previously calculated by the credit reporting agency  for a purpose related to the extension of credit;

          (B) the range of possible credit scores under the model used;

          (C) all of the key factors that adversely  affected the credit score of the consumer in the model used, the total number of which shall not exceed 4, subject to paragraph (9);

    (D) the date on which the credit score was created; and

          (E) the name of the person or entity that provided the credit score or credit file upon which the credit score was created.

    (2)Definitions.  For purposes of this subsection, the following definitions shall apply:

          (A) The term “credit score‿

                      (i) means 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 may also be referred to as a “risk predictor‿ or “risk score‿); and

                      (ii) does not include

                                  (I) any mortgage score or rating of an automated underwriting system that considers one or more factors in addition to credit information,   including the loan to value ratio, the amount of down payment, or the financial assets of a consumer; or

                                  (II) any other elements of the underwriting process or underwriting decision.

          (B) The term “key factors‿ means all relevant elements or reasons adversely affecting the credit score for the particular individual, listed in the order of their importance based on their effect on the credit score.

    (3)   Timeframe and manner of disclosure. The information required by this subsection shall be provided in the same timeframe and manner as the information described in subsection (a).

    (4)   Applicability to certain uses.  This subsection shall not be construed so as to compel a consumer reporting agency to develop or disclose a score if the agency does not

          (A) distribute scores that are used in connection with residential real property loans; or

          (B) develop scores that assist credit providers in understanding the general credit behavior of a consumer and predicting the future credit behavior of the  consumer.

    (5) Applicability to credit scores developed by another person.

          (A) In general. This subsection shall not be construed to require a consumer reporting agency that distributes credit scores developed by another person or entity to provide a further explanation of them, or to process a dispute arising pursuant to section 611, except that the consumer reporting agency shall provide the consumer with the name and address and website for contacting the person or entity who developed the score or developed the methodology of the score.

          (B)  Exception. This paragraph shall not apply to a consumer reporting agency that develops or modifies scores that are developed by another person or entity.

    (6) Maintenance of credit scores not required. This subsection shall not be construed to require a consumer reporting agency to maintain credit scores in its files.

    (7) Compliance in certain cases. In complying with this subsection, a consumer reporting agency shall

          (A) supply the consumer with a credit score that is derived from a credit scoring model that is widely distributed to users by that consumer reporting agency in connection with residential real property loans or with a credit score that assists the consumer in understanding the credit scoring assessment of the credit behavior of the consumer and predictions about the future credit behavior of the consumer; and (B) a statement indicating that the information and credit scoring model may be different than that used by the lender.

    (8) Fair and reasonable fee.  A consumer reporting agency may charge a fair and reasonable fee, as determined by the Bureau, for providing the information required under this subsection.

    See also 69 Fed. Reg. 64698 (11/08/04)

    (9) Use of enquiries as a key factor.  If a key factor that adversely affects the credit score of a consumer consists of the number of enquiries made with respect to  a consumer report, that factor shall be included in the disclosure pursuant to paragraph (1)(C) without regard to the numerical limitation in such paragraph.

    (g) Disclosure of Credit Scores by Certain Mortgage Lenders

    (1) In general. Any person who makes or arranges loans and who uses a consumer credit score, as defined in subsection (f), in connection with an application initiated or sought by a consumer for a closed end loan or the establishment of an open end loan for a consumer purpose that is secured by 1 to 4 units of residential real property (hereafter in this subsection referred to as the “lender‿) shall provide the following to the consumer as soon as reasonably practicable:

          (A) Information Required under Subsection (f)

                      (i) In general.  A copy of the information identified in subsection (f) that was obtained from a consumer reporting agency or was developed and used by the user of the information.

          (ii) Notice under subparagraph (D). In addition to the information provided to it by a third party that provided the credit score or scores, a lender is only required to provide the notice contained in subparagraph (D).

          (B) Disclosures in Case of Automated Underwriting System

                      (i) In general. If a person that is subject to this subsection uses an automated underwriting system to underwrite a loan, that person may satisfy the obligation to provide a credit score by disclosing a credit score and associated key factors supplied by a consumer reporting agency.

                      (ii) Numerical credit score.  However, if a numerical credit score is generated by an automated underwriting system used by an enterprise, and that score is disclosed to the person, the score shall be disclosed to the consumer consistent with subparagraph (c).

                      (iii) Enterprise defined.  For purposes of this subparagraph, the term “enterprise‿ has the same meaning as in paragraph (6) of section 1303 of the

                      Federal Housing Enterprises Financial Safety and Soundness Act of 1992.

          (C) Disclosures of credit scores not obtained from a consumer reporting agency.  A person that is subject to the provisions of this subsection and that uses a credit score, other than a credit score provided by a consumer reporting agency, may satisfy the obligation to provide a credit score by disclosing a  credit score and associated key factors supplied by a consumer reporting agency.

          (D) Notice to home loan applicants.  A copy of the following notice, which shall include the name, address, and telephone number of each consumer  reporting agency providing a credit score that was used: “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 distributed to users and the lender used in connection with your home loan, and the key factors affecting your credit scores.  “The credit score is a computer generated summary calculated at the time of the request and based on  information that a consumer reporting agency or lender has on file. The scores are based on data about your credit history and payment patterns. Credit scores are important because they are used to assist the lender in determining whether you will obtain a loan. They may also be used to determine what  interest rate you may be offered on the mortgage. Credit scores can change over time, depending on your conduct, how your credit history and payment patterns change, and how credit scoring technologies change. “Because the score is based on information in your credit history, it is very important that you review the credit-related information that is being furnished to make sure it is accurate. Credit records may vary from one company to another.

          “If you have questions about your credit score or the credit information that is furnished to you, contact the consumer reporting agency at the address and   telephone number provided with this notice, or contact the lender, if the lender developed or generated the credit score. The consumer reporting agency plays no part in the decision to take any action on the loan application and is unable to provide you with specific reasons for the decision on a loan application. “If you have questions concerning the terms of the loan, contact the lender.‿

    (E) Actions not required under this subsection.  This subsection shall not require any person to

                      (i) explain the information provided pursuant to subsection (f);

                      (ii) disclose any information other than a credit score or key factors, as de- fined in subsection (f);

                      (iii) disclose any credit score or related information obtained by the user after a loan has closed;

                      (iv) provide more than 1 disclosure per loan transaction; or

                      (v) provide the disclosure required by this subsection when another person has made the disclosure to the consumer for that loan transaction.

    (F) No Obligation for Content

                      (i) In general. The obligation of any person pursuant to this subsection shall be limited solely to providing a copy of the information that was received from the consumer reporting agency.

                      (ii) Limit on liability. No person has liability under this subsection for the content of that information or for the omission of any information  within the report provided by the consumer reporting agency.

          (G) Person defined as excluding enterprise.  As used in this subsection, the term “person‿ does not include an enterprise (as defined in paragraph (6) of section 1303 of the Federal Housing Enterprises Financial Safety and Soundness Act of 1992).

    (2) Prohibition on Disclosure Clauses Null and Void

          (A) In general.  Any provision in a contract that prohibits the disclosure of a credit score by a person who makes or arranges loans or a consumer reporting agency is void.

    (B)  No liability for disclosure under this subsection. A lender shall not have liability under any contractual provision for disclosure of a credit score pursuant to this subsection.

  • Section 610. Conditions and form of disclosure to consumers [15 U.S.C. ~ 1681h]

    (a) In General

    (1) Proper identification. A consumer reporting agency shall require, as a condition of making the disclosures required under section 609 [§ 1681g], that the consumer furnish proper identification.

    (2) Disclosure in writing.  Except as provided in subsection (b), the disclosures required to be made under section 609 [§ 1681g] shall be provided under that section in writing.

    (b) Other Forms of Disclosure

    (1) In general.  If authorized by a consumer, a consumer reporting agency may make the disclosures required under 609 [§ 1681g]

    (A) other than in writing; and

    (B) in such form as may be

          (i) specified by the consumer in accordance with paragraph (2); and

          (ii) available from the agency.

    (2) Form. A consumer may specify pursuant to paragraph (1) that disclosures under section 609 [§ 1681g] shall be made

    (A) in person, upon the appearance of the consumer at the place of business of the consumer reporting agency where disclosures are regularly provided, during normal business hours, and on reasonable notice;

    (B) by telephone, if the consumer has made a written request for disclosure by

    telephone;

    (C) by electronic means, if available from the agency; or

    (D) by any other reasonable means that is available from the agency.

    (c) Trained personnel. Any consumer reporting agency shall provide trained personnel to explain to the consumer any information furnished to him pursuant to section 609 [§ 1681g] of this title.

    (d) Persons accompanying consumer. The consumer shall be permitted to be accompanied by one other person of his choosing, who shall furnish reasonable identification. A consumer reporting agency may require the consumer to furnish a written statement granting permission to the consumer reporting agency to discuss the consumer's file in such person's presence.

    (e) Limitation of liability. Except as provided in sections 616 and 617 [§§1681n and 1681o] of this title, no consumer may bring any action or proceeding in the nature of defamation, invasion of privacy, or negligence with respect to the reporting of information against any consumer reporting agency, any user of information, or any person who furnishes information to a consumer reporting agency, based on information disclosed pursuant to section 609, 610, or 615 [§§ 1681g, 1681h, or 1681m] of this title or based on information disclosed by a user of a consumer report to or for a consumer against whom the user has taken adverse action, based in whole or in part on the report, except as to false information furnished with malice or willful intent to injure such consumer.

  • Section 611. Procedure in case of disputed accuracy [15 U.S.C. ~ 1681i]

    (a) Reinvestigations of Disputed Information

    (1) Reinvestigation Required

    (A) In general. Subject to subsection (f), if the completeness or accuracy of any item of information contained in a consumer's file at a consumer reporting

    agency is disputed by the consumer and the consumer notifies the agency directly, or indirectly through a reseller, of such dispute, the agency shall, free of charge, conduct a reasonable reinvestigation to determine whether the disputed information is inaccurate and record the current status of the disputed information, or delete the item from the file in accordance with paragraph (5), before the end of the 30-day period beginning on the date on which the agency receives the notice   of the dispute from the consumer or reseller.

    (B) Extension of period to reinvestigate. Except as provided in subparagraph (c),the 30-day period described in subparagraph (A) may be extended for not more  than 15 additional days if the consumer reporting agency receives information from the consumer during that 30-day period that is relevant to the reinvestigation.

    (C)  Limitations on extension of period to reinvestigate. Subparagraph (B) shall not apply to any reinvestigation in which, during the 30-day period described in  subparagraph (A), the information that is the subject of the reinvestigation is found to be inaccurate or incomplete or the consumer reporting agency determines  that the information cannot be verified.

    (2) Prompt Notice of Dispute to Furnisher of Information

    (A) In general. Before the expiration of the 5-business-day period beginning on  the date on which a consumer reporting agency receives notice of a dispute from any consumer or a reseller in accordance with paragraph (1), the agency shall provide notification of the dispute to any person who provided any item of information in dispute, at the address and in the manner established with the person. The notice shall include all relevant information regarding the dispute that the agency has received from the consumer or reseller.

    (B) Provision of other information.  The consumer reporting agency shall promptly provide to the person who provided the information in dispute all relevant  information regarding the dispute that is received by the agency from the consumer or the reseller after the period referred to in subparagraph (A) and before the  end of the period referred to in paragraph (1)(A).

    (3) Determination That Dispute Is Frivolous or Irrelevant

    (A) In general. Notwithstanding paragraph (1), a consumer reporting agency may terminate a reinvestigation of information disputed by a consumer under that paragraph if the agency reasonably determines that the dispute by the consumer is frivolous or irrelevant, including by reason of a failure by a consumer to provide sufficient information to investigate the disputed information.

    (B) Notice of determination. Upon making any determination in accordance with subparagraph (A) that a dispute is frivolous or irrelevant, a consumer reporting agency shall notify the consumer of such determination not later than 5 business days after making such determination, by mail or, if authorized by the consumer for that purpose, by any other means available to the agency.

    (C) Contents of notice. A notice under subparagraph (B) shall include

          (i) the reasons for the determination under subparagraph (A); and

          (ii) identification of any information required to investigate the disputed information, which may consist of a standardized form describing the general nature of such information.

    (4) Consideration of consumer information . In conducting any reinvestigation under  paragraph (1) with respect to disputed information in the file of any consumer, the consumer reporting agency shall review and consider all relevant information submitted by the consumer in the period described in paragraph (1)(A) with respect to such disputed information.

    (5) Treatment of Inaccurate or Unverifiable Information

    (A) In general. If, after any reinvestigation under paragraph (1) of any information disputed by a consumer, an item of the information is found to be inaccurate or incomplete or cannot be verified, the consumer reporting agency shall–

          (i) promptly delete that item of information from the file of the consumer, or modify that item of information, as appropriate, based on the results of the reinvestigation; and

    (ii) promptly notify the furnisher of that information that the information has been modified or deleted from the file of the consumer.

    (B) Requirements Relating to Reinsertion of Previously Deleted Material

          (i)  Certification of accuracy of information. If any information is deleted from a consumer's file pursuant to subparagraph (A), the information may

          not be reinserted in the file by the consumer reporting agency unless the person who furnishes the information certifies that the information is complete and accurate.

          (ii)  Notice to consumer.  If any information that has been deleted from a  consumer's file pursuant to subparagraph (A) is reinserted in the file, the consumer reporting agency shall notify the consumer of the reinsertion in writing not later than 5 business days after the reinsertion or, if authorized by the consumer for that purpose, by any other means available to the  agency.

          (iii) Additional information. As part of, or in addition to, the notice under clause (ii), a consumer reporting agency shall provide to a consumer in writing not later than 5 business days after the date of the reinsertion

                      (I) a statement that the disputed information has been reinserted;

                      (II) the business name and address of any furnisher of information contacted and the telephone number of such furnisher, if reasonably available, or of any furnisher of information that contacted the consumer reporting agency, in connection with the reinsertion of such information; and

                      (III) a notice that the consumer has the right to add a statement to the consumer's file disputing the accuracy or completeness of the disputed information.

    (C)  Procedures to prevent reappearance. A consumer reporting agency shall maintain reasonable procedures designed to prevent the reappearance in a consumer's file, and in consumer reports on the consumer, of information that is deleted pursuant to this paragraph (other than information that is reinserted

    in accordance with subparagraph (B)(i)).

    (D) Automated reinvestigation system. Any consumer reporting agency that compiles and maintains files on consumers on a nationwide basis shall implement an automated system through which furnishers of information to that consumer reporting agency may report the results of a reinvestigation that finds incomplete or inaccurate information in a consumer's file to other such consumer reporting agencies.

    (6) Notice of Results of Reinvestigation

    (A) In general. A consumer reporting agency shall provide written notice to a consumer of the results of a reinvestigation under this subsection not later than 5 business days after the completion of the reinvestigation, by mail or, if authorized by the consumer for that purpose, by other means available to the agency.

    (B) Contents. As part of, or in addition to, the notice under subparagraph (A), a consumer reporting agency shall provide to a consumer in writing before the expiration of the 5-day period referred to in subparagraph (A)

          (i) a statement that the reinvestigation is completed;

          (ii) a consumer report that is based upon the consumer's file as that file is revised as a result of the reinvestigation;

          (iii) a notice that, if requested by the consumer, a description of the procedure used to determine the accuracy and completeness of the information shall

    be provided to the consumer by the agency, including the business name and address of any furnisher of information contacted in connection with such information and the telephone number of such furnisher, if reasonably available;

    (iv) a notice that the consumer has the right to add a statement to the consumer's file disputing the accuracy or completeness of the information; and

          (v) a notice that the consumer has the right to request under subsection (d) that the consumer reporting agency furnish notifications under that subsection.

    (7) Description of reinvestigation procedure. A consumer reporting agency shall provide to a consumer a description referred to in paragraph (6)(B)(iii) by not later than 15 days after receiving a request from the consumer for that description.

    (8) Expedited dispute resolution. If a dispute regarding an item of information in a consumer's file at a consumer reporting agency is resolved in accordance with    paragraph (5)(A) by the deletion of the disputed information by not later than 3 business days after the date on which the agency receives notice of the dispute from the consumer in accordance with paragraph (1)(A), then the agency shall not be required to comply with paragraphs (2), (6), and (7) with  respect to that dispute if the agency

    (A) provides prompt notice of the deletion to the consumer by telephone;

    (B) includes in that notice, or in a written notice that accompanies a confirmation and consumer report provided in accordance with subparagraph (C), a statement of the consumer's right to request under subsection (d) that the agency furnish notifications under that subsection; and

    (C) provides written confirmation of the deletion and a copy of a consumer report on the consumer that is based on the consumer's file after the deletion, not later than 5 business days after making the deletion.

    (b) Statement of dispute. If the reinvestigation does not resolve the dispute, the consumer may file a brief statement setting forth the nature of the dispute. The consumer reporting agency may limit such statements to not more than one hundred words if it provides the consumer with assistance in writing a clear summary of the dispute.

    (c) Notification of consumer dispute in subsequent consumer reports.

    Whenever a statement of a dispute is filed, unless there is reasonable grounds to believe that it is frivolous or irrelevant, the consumer reporting agency shall, in any subsequent report containing the information in question, clearly note that it is disputed by the consumer and provide either the consumer's statement or a clear and accurate codification or summary thereof.

    (d) Notification of deletion of disputed information. Following any deletion of information which is found to be inaccurate or whose accuracy can no longer be verified or any notation as to disputed information, the consumer reporting agency shall, at the request of the consumer, furnish notification that the item has been deleted or the statement, codification or summary pursuant to subsection (b) or (c) of this section to any person specifically designated by the consumer who has within two years prior thereto received a consumer report for employment purposes, or within six months prior thereto received a consumer report for any other purpose, which contained the deleted or disputed information.

    (e) Treatment of Complaints and Report to Congress

    (1) In general. The Bureau shall

    (A) compile all complaints that it receives that a file of a consumer that is maintained by a consumer reporting agency described in section 603(p) contains incomplete or inaccurate information, with respect to which, the consumer appears to have disputed the completeness or accuracy with the consumer reporting                           agency or otherwise utilized the procedures provided by subsection (a); and

    (B) transmit each such complaint to each consumer reporting agency involved.

    (2) Exclusion.  Complaints received or obtained by the Bureau pursuant to its investigative authority under the Consumer Financial Protection Act of 2010 shall not be  subject to paragraph (1).

    (3) Agency responsibilities. Each consumer reporting agency described in section 603(p) that receives a complaint transmitted by the Bureau pursuant to paragraph (1)   shall

    (A) review each such complaint to determine whether all legal obligations imposed on the consumer reporting agency under this title (including any obligation  imposed by an applicable court or administrative order) have been met with respect to the subject matter of the complaint;

    (B) provide reports on a regular basis to the Bureau regarding the determinations of and actions taken by the consumer reporting agency, if any, in connection  with its review of such complaints; and

    (C) maintain, for a reasonable time period, records regarding the disposition of each such complaint that is sufficient to demonstrate compliance with this subsection.

    (4) Rulemaking authority. The Bureau may prescribe regulations, as appropriate to implement this subsection.

    (5) Annual report.  The Bureau shall submit to the Committee on Banking, Housing, and Urban Affairs of the Senate and the Committee on Financial Services of the House of Representatives an annual report regarding information gathered by the Bureau under this subsection.

    (f) Reinvestigation Requirement Applicable to Resellers

    (1) Exemption from general reinvestigation requirement.  Except as provided in paragraph (2), a reseller shall be exempt from the requirements of this section.

    (2) Action required upon receiving notice of a dispute.  If a reseller receives a notice from a consumer of a dispute concerning the completeness or accuracy of any item of information contained in a consumer report on such consumer produced by the reseller, the reseller shall, within 5 business days of receiving the notice, and free of  charge

    (A) determine whether the item of information is incomplete or inaccurate as a result of an act or omission of the reseller; and

    (B)

          (i) if the reseller determines that the item of information is incomplete or inaccurate as a result of an act or omission of the reseller, not later than 20 days after receiving the notice, correct the information in the consumer report or delete it; or

          (ii) if the reseller determines that the item of information is not incomplete or inaccurate as a result of an act or omission of the reseller, convey the notice of the dispute, together with all relevant information provided by the consumer, to each consumer reporting agency that provided the reseller with the information that is the subject of the dispute, using an address or a notification mechanism specified by the consumer reporting agency for such notices.

    (3) Responsibility of consumer reporting agency to notify consumer through reseller.  Upon the completion of a reinvestigation under this section of a dispute concerning the completeness or accuracy of any information in the file of a consumer by a consumer reporting agency that received notice of the dispute from a reseller under paragraph (2)

    (A) the notice by the consumer reporting agency under paragraph (6), (7), or (8)of subsection (a) shall be provided to the reseller in lieu of the consumer; and

    (B) the reseller shall immediately reconvey such notice to the consumer, including any notice of a deletion by telephone in the manner required under paragraph  (8)(A).

    (4) Reseller reinvestigations . No provision of this subsection shall be construed as prohibiting a reseller from conducting a reinvestigation of a consumer dispute   directly.

  • Section 612. Charges for certain disclosures [15 U.S.C. ~ 1681j]

    (a) Free Annual Disclosure 75 Fed. Reg. 9726 (03/03/10)

    (1) Nationwide Consumer Reporting Agencies

    (A) In general. All consumer reporting agencies described in subsections (p) and (w) of section 603 shall make all disclosures pursuant to section 609 once

    during any 12-month period upon request of the consumer and without charge to the consumer.

    (B) Centralized source.  Subparagraph (A) shall apply with respect to a consumer reporting agency described in section 603(p) only if the request from the consumer is made using the centralized source established for such purpose in accordance with section 211(c) of the Fair and Accurate Credit Transactions

    Act of 2003.

    (C) Nationwide Specialty Consumer Reporting Agency

          (i) In general.   The Bureau shall prescribe regulations applicable to each consumer reporting agency described in section 603(w) to require the  establishment of a streamlined process for consumers to request consumer reports under subparagraph (A), which shall include, at a minimum, the establishment by each such agency of a toll-free telephone number for such requests.

          (ii) Considerations. In prescribing regulations under clause (i), the Bureau shall consider–

          (I) the significant demands that may be placed on consumer reporting agencies in providing such consumer reports;

                      (II) appropriate means to ensure that consumer reporting agencies can satisfactorily meet those demands, including the efficacy of a system of staggering the availability to consumers of such consumer reports; and

                      (III) the ease by which consumers should be able to contact consumer reporting agencies with respect to access to such consumer reports.

          (iii)7 Date of issuance.  The Bureau shall issue the regulations required by this subparagraph in final form not later than 6 months after the date of  enactment of the Fair and Accurate Credit Transactions Act of 2003.

    (iv)7 Consideration of ability to comply. The regulations of the Bureau under this subparagraph shall establish an effective date by which each nationwide specialty consumer reporting agency (as defined in section 603(w)) shall be required to comply with subsection (a), which effective date

                      (I) shall be established after consideration of the ability of each nationwide specialty consumer reporting agency to comply with subsection (a); and

                      (II) shall be not later than 6 months after the date on which such regulations are issued in final form (or such additional period not to exceed 3 months, as the Bureau determines appropriate).

    7 Subsections 612(a)(1)(C)(iii) and (iv) are obsolete. They relate to the to the issuance and effective dates of the “free report‿ rules that the 2003 FACT Act  required the Commission to publish. The rules were published on time in June 2004 and updated in March 2010. The subsections appear as written, including 2010 amendments to the FCRA that changed “Commission‿ to “Bureau‿ (effective July 21, 2011) in several places in the FCRA.

    (2)Timing.  A consumer reporting agency shall provide a consumer report under paragraph (1) not later than 15 days after the date on which the request is received under paragraph (1).

    (3) Reinvestigations. Notwithstanding the time periods specified in section 611(a)(1), a reinvestigation under that section by a consumer reporting agency upon a request of a consumer that is made after receiving a consumer report under this subsection shall be completed not later than 45 days after the date on which the request is  received.

    (4) Exception for first 12 months of operation.  This subsection shall not apply to a consumer reporting agency that has not been furnishing consumer reports to third parties on a continuing basis during the 12-month period preceding a request under paragraph (1), with respect to consumers residing nationwide.

    (b) Free disclosure after adverse notice to consumer.  Each consumer reporting agency that maintains a file on a consumer shall make all disclosures pursuant to section 609    [§ 1681g] without charge to the consumer if, not later than 60 days after receipt by such consumer of a notification pursuant to section 615 [§ 1681m], or of a notification from a debt collection agency affiliated with that consumer reporting agency stating that the consumer's credit rating may be or has been adversely affected, the consumer makes a request under section 609 [§ 1681g].

    (c) Free disclosure under certain other circumstances.  Upon the request of the consumer, a consumer reporting agency shall make all disclosures pursuant to section 609 [§ 1681g] once during any 12-month period without charge to that consumer if the consumer certifies in writing that the consumer

    (1) is unemployed and intends to apply for employment in the 60-day period beginning on the date on which the certification is made;

    (2) is a recipient of public welfare assistance; or

    (3) has reason to believe that the file on the consumer at the agency contains inaccurate information due to fraud.

    (d) Free disclosures in connection with fraud alerts.  Upon the request of a consumer, a consumer reporting agency described in section 603(p) shall make all disclosures pursuant to section 609 without charge to the consumer, as provided in subsections (a)(2) and (b)(2) of section 605A, as applicable.

    (e) Other charges prohibited.  A consumer reporting agency shall not impose any charge on a consumer for providing any notification required by this title or making any disclosure required by this title, except as authorized by subsection (f).

    (f) Reasonable Charges Allowed for Certain Disclosures

    (1) In general.  In the case of a request from a consumer other than a request that is covered by any of subsections (a) through (d), a consumer reporting agency may impose a reasonable charge on a consumer

    (A) for making a disclosure to the consumer pursuant to section 609 [§ 1681g], which charge

    (i) shall not exceed $8;8 and

          (ii) shall be indicated to the consumer before making the disclosure; and

    (B) for furnishing, pursuant to 611(d) [§ 1681i], following a reinvestigation under section 611(a) [§ 1681i], a statement, codification, or summary to a person designated by the consumer under that section after the 30-day period beginning on the date of notification of the consumer under paragraph (6) or (8) of section 611(a) [§ 1681i] with respect to the reinvestigation, which charge

          (i) shall not exceed the charge that the agency would impose on each designated recipient for a consumer report; and

          (ii) shall be indicated to the consumer before furnishing such information.

  • Section 613. Public record information for employment purposes [15 U.S.C. ~ 1681k]

    (a)

    In general. A consumer reporting agency which furnishes a consumer report for employment purposes and which for that purpose compiles and reports items of information on consumers which are matters of public record and are likely to have an adverse effect upon a consumer's ability to obtain employment shall

    (1) at the time such public record information is reported to the user of such consumer report, notify the consumer of the fact that public record information is being  reported by the consumer reporting agency, together with the name and address of the person to whom such information is being reported; or

    (2) maintain strict procedures designed to insure that whenever public record information which is likely to have an adverse effect on a consumer's ability to obtain employment is reported it is complete and up to date. For purposes of this paragraph, items of public record relating to arrests, indictments, convictions, suits, tax liens, and outstanding judgments shall be considered up to date if the current public record status of the item at the time of the report is reported.

    (b) Exemption for national security investigations. Subsection (a) does not apply in the case of an agency or department of the United States Government that seeks to obtain and use a consumer report for employment purposes, if the head of the agency or department makes a written finding as prescribed under section 604(b)(4)(A).

  • Section 614. Restrictions on investigative consumer reports [15 U.S.C. ~ 1681l]

    Whenever a consumer reporting agency prepares an investigative consumer report, no adverse information in the consumer report (other than information which is a matter of public record) may be included in a subsequent consumer report unless such adverse information has been verified in the process of making such subsequent consumer report, or the adverse information was received within the three-month period preceding the date the subsequent report is furnished.

  • Section 615. Requirements on users of consumer reports [15 U.S.C. ~ 1681m]

    (a)    Duties of users taking adverse actions on the basis of information contained in consumer reports . If any person takes any adverse action with respect to any consumer that is based in whole or in part on any information contained in a consumer report, the person shall

    (1) provide oral, written, or electronic notice of the adverse action to the consumer;

    (2) provide to the consumer written or electronic disclosure

    (A) of a numerical credit score as defined in section 609(f)(2)(A) used by such person in taking any adverse action based in whole or in part on any information

    in a consumer report; and

    (B) of the information set forth in subparagraphs (B) through (E) of section 609(f)(1);

    (3) provide to the consumer orally, in writing, or electronically

    (A) the name, address, and telephone number of the consumer reporting agency (including a toll-free telephone number established by the agency if the agency  compiles and maintains files on consumers on a nationwide basis) that furnished the report to the person; and

    (B) a statement that the consumer reporting agency did not make the decision to take the adverse action and is unable to provide the consumer the specific reasons why the adverse action was taken; and

    (4) provide to the consumer an oral, written, or electronic notice of the consumer's right

    (A) to obtain, under section 612 [§ 1681j], a free copy of a consumer report on the consumer from the consumer reporting agency referred to in paragraph (3), which notice shall include an indication of the 60-day period under that section for obtaining such a copy; and

    (B) to dispute, under section 611 [§ 1681i], with a consumer reporting agency the accuracy or completeness of any information in a consumer report furnished by the agency.

    (b) Adverse Action Based on Information Obtained from Third Parties Other than Consumer Reporting Agencies

    (1) In general. Whenever credit for personal, family, or household purposes involving a consumer is denied or the charge for such credit is increased either wholly or     partly because of information obtained from a person other than a consumer reporting agency bearing upon the consumer's credit worthiness, credit standing, credit capacity, character, general reputation, personal characteristics, or mode of living, the user of such information shall, within a reasonable period of time, upon the  consumer's written request for the reasons for such adverse action received within sixty days after learning of such adverse action, disclose the nature of the information     to the consumer. The user of such information shall clearly and accurately disclose to the consume his right to make such written request at the time such adverse action   is communicated to the consumer.

    (2) Duties of Person Taking Certain Actions Based on Information Provided by Affiliate

    (A) Duties, generally.  If a person takes an action described in subparagraph (B) with respect to a consumer, based in whole or in part on information described in subparagraph (c), the person shall

          (i) notify the consumer of the action, including a statement that the consumer may obtain the information in accordance with clause (ii); and

          (ii) upon a written request from the consumer received within 60 days after  transmittal of the notice required by clause (i), disclose to the consumer the nature of the information upon which the action is based by not later than 30 days after receipt of the request.

    (B) Action described. An action referred to in subparagraph (A) is an adverse action described in section 603(k)(1)(A) [§ 1681a], taken in connection with a transaction initiated by the consumer, or any adverse action described in clause (i) or (ii) of section 603(k)(1)(B) [§ 1681a].

    (C) Information described. Information referred to in subparagraph (A)

          (i) except as provided in clause (ii), is information that

                      (I) is furnished to the person taking the action by a person related by common ownership or affiliated by common corporate control to the person  taking the action; and

    (II) bears on the credit worthiness, credit standing, credit capacity, character, general reputation, personal characteristics, or mode of living of the consumer; and

          (ii) does not include

                      (I) information solely as to transactions or experiences between the consumer and the person furnishing the information; or

                      (II) information in a consumer report.

    ( c )  Reasonable procedures to assure compliance. No person shall be held liable for any violation of this section if he shows by a preponderance of the evidence that at the time of the alleged violation he maintained reasonable procedures to assure compliance with the provisions of this section.

    (d) Duties of Users Making Written Credit or Insurance Solicitations on the Basis of Information Contained in Consumer Files

    (1) In general. Any person who uses a consumer report on any consumer in connection with any credit or insurance transaction that is not initiated by the consumer,   that is provided to that person under section 604(c)(1)(B) [§ 1681b], shall provide with each written solicitation made to the consumer regarding the transaction a clear and conspicuous statement that

    (A) information contained in the consumer's consumer report was used in connection with the transaction;

    (B) the consumer received the offer of credit or insurance because the consumer satisfied the criteria for credit worthiness or insurability under which the consumer was selected for the offer;

    (C) if applicable, the credit or insurance may not be extended if, after the consumer responds to the offer, the consumer does not meet the criteria used to select the consumer for the offer or any applicable criteria bearing on credit worthiness or insurability or does not furnish any required collateral;

    (D) the consumer has a right to prohibit information contained in the consumer's file with any consumer reporting agency from being used in connection with any credit or insurance transaction that is not initiated by the consumer; and

    (E) the consumer may exercise the right referred to in subparagraph (D) by notifying a notification system established under section 604(e) [§ 1681b].

    (2) Disclosure of address and telephone number; format.  A statement under paragraph (1) shall

    (A) include the address and toll-free telephone number of the appropriate notification system established under section 604(e); and

    (B) be presented in such format and in such type size and manner as to be simple and easy to understand, as established by the Bureau, by rule, in consultation with the Federal Trade Commission, Federal banking agencies and the National Credit Union Administration. See also 16 CFR Part 642 16 CFR Part 698 App A

    70 Fed. Reg. 5022 (01/31/05)

    (3) Maintaining criteria on file. A person who makes an offer of credit or insurance to a consumer under a credit or insurance transaction described in paragraph (1) shall maintain on file the criteria used to select the consumer to receive the offer, all criteria bearing on credit worthiness or insurability, as applicable, that are the basis for determining whether or not to extend credit or insurance pursuant to the offer, and any requirement for the furnishing of collateral as a condition of the extension of credit or insurance, until the expiration of the 3-year period beginning on the date on which the offer is made to the consumer.

    (4) Authority of federal agencies regarding unfair or deceptive acts or practices not affected.  This section is not intended to affect the authority of any Federal or State agency to enforce a prohibition against unfair or deceptive acts or practices, including the making of false or misleading statements in connection with a credit or insurance transaction that is not initiated by the consumer.

    See also 16 CFR Part 681

    (e) Red Flag Guidelines and Regulations Required  72 Fed. Reg. 63772-74 (11/09/07) 74 Fed. Reg. 22640-41 (05/14/09)

    (1) Guidelines.  The Federal banking agencies, the National Credit Union Administration, the Federal Trade Commission, the Commodity Futures Trading Commission, and the Securities and Exchange Commission shall jointly, with respect to the entities that are subject to their respective enforcement authority under section 621

    (A) establish and maintain guidelines for use by each financial institution and each creditor regarding identity theft with respect to account holders at, or customers of, such entities, and update such guidelines as often as necessary;

    (B) prescribe regulations requiring each financial institution and each creditor to establish reasonable policies and procedures for implementing the guidelines

    established pursuant to subparagraph (A), to identify possible risks to account holders or customers or to the safety and soundness of the institution or

    customers; and

    (C) prescribe regulations applicable to card issuers to ensure that, if a card issuer receives notification of a change of address for an existing account, and within

    a short period of time (during at least the first 30 days after such notification is received) receives a request for an additional or replacement card for the same  account, the card issuer may not issue the additional or replacement card, un-less the card issuer, in accordance with reasonable policies and procedures

          (i) notifies the cardholder of the request at the former address of the card-holder and provides to the cardholder a means of promptly reporting incorrect address changes;

    (ii) notifies the cardholder of the request by such other means of communication as the cardholder and the card issuer previously agreed to; or

          (iii) uses other means of assessing the validity of the change of address, in accordance with reasonable policies and procedures established by the card issuer in accordance with the regulations prescribed under subparagraph (B).

    (2) Criteria

    (A) In general.  In developing the guidelines required by paragraph (1)(A), the agencies described in paragraph (1) shall identify patterns, practices, and specific forms of activity that indicate the possible existence of identity theft.

    (B) Inactive accounts.  In developing the guidelines required by paragraph (1)(A), the agencies described in paragraph (1) shall consider including reasonable guidelines providing that when a transaction occurs with respect to a credit or deposit account that has been inactive for more than 2 years, the creditor or

    financial institution shall follow reasonable policies and procedures that provide for notice to be given to a consumer in a manner reasonably designed to reduce the likelihood of identity theft with respect to such account.

    (3) Consistency with verification requirements.  Guidelines established pursuant to paragraph (1) shall not be inconsistent with the policies and procedures required  under section 5318(l) of title 31, United States Code.

    (4) Definitions. As used in this subsection, the term “creditor‿

    (A) means a creditor, as defined in section 702 of the Equal Credit Opportunity Act (15 U.S.C. 1691a), that regularly and in the ordinary course of business

          (i) obtains or uses consumer reports, directly or indirectly, in connection with a credit transaction;

          (ii) furnishes information to consumer reporting agencies, as described in section 623, in connection with a credit transaction; or

          (iii) advances funds to or on behalf of a person, based on an obligation of the person to repay the funds or repayable from specific property pledged by or  on behalf of the person;

    (B) does not include a creditor described in subparagraph (A)(iii) that advances funds on behalf of a person for expenses incidental to a service provided by the creditor to that person; and

    (C) includes any other type of creditor, as defined in that section 702, as the agency described in paragraph (1) having authority over that creditor may determine appropriate by rule promulgated by that agency, based on a determination that such creditor offers or maintains accounts that are subject

    to a reasonably foreseeable risk of identity theft.

    (f) Prohibition on Sale or Transfer of Debt Caused by Identity Theft

    (1) In general. No person shall sell, transfer for consideration, or place for collection a debt that such person has been notified under section 605B has resulted from identity theft.

    (2) Applicability.  The prohibitions of this subsection shall apply to all persons collecting a debt described in paragraph (1) after the date of a notification under paragraph (1).

    (3)  Rule of construction.  Nothing in this subsection shall be construed to prohibit

    (A) the repurchase of a debt in any case in which the assignee of the debt requires such repurchase because the debt has resulted from identity theft;

    (B) the securitization of a debt or the pledging of a portfolio of debt as collateral in connection with a borrowing; or

    (C) the transfer of debt as a result of a merger, acquisition, purchase and assumption transaction, or transfer of substantially all of the assets of an entity.

    (g)  Debt collector communications concerning identity theft.  If a person acting as a debt collector (as that term is defined in title VIII) on behalf of a third party that is a creditor or other user of a consumer report is notified that any information relating to a debt that the person is attempting to collect may be fraudulent or may be the result of identity theft, that

    person shall

    (1) notify the third party that the information may be fraudulent or may be the result of identity theft; and

    (2) upon request of the consumer to whom the debt purportedly relates, provide to the consumer all information to which the consumer would otherwise be entitled if   the consumer were not a victim of identity theft, but wished to dispute the debt under provisions of law applicable to that person.

    (h) Duties of Users in Certain Credit Transactions

    (1) In general. Subject to rules prescribed as provided in paragraph (6), if any person uses a consumer report in connection with an application for, or a grant, extension, or other provision of, credit on material terms that are materially less favorable than the most favorable terms available to a substantial proportion of consumers from or through that person, based in whole or in part on a consumer report, the person shall provide an oral, written, or electronic notice to the consumer in the form and manner required by regulations prescribed in accordance with this subsection.

    (2) Timing.  The notice required under paragraph (1) may be provided at the time of an application for, or a grant, extension, or other provision of, credit or the time of communication of an approval of an application  for, or grant, extension, or other provision of, credit, except as provided in the regulations prescribed under paragraph   (6).

    (3) Exceptions.  No notice shall be required from a person under this subsection if

    (A) the consumer applied for specific material terms and was granted those terms, unless those terms were initially specified by the person after the transaction

    was initiated by the consumer and after the person obtained a consumer report; or

    (B) the person has provided or will provide a notice to the consumer under subsection (a) in connection with the transaction.

    (4) Other notice not sufficient.  A person that is required to provide a notice under subsection (a) cannot meet that requirement by providing a notice under this subsection.

    (5)  Content and delivery of notice. A notice under this subsection shall, at a minimum

    (A) include a statement informing the consumer that the terms offered to the consumer are set based on information from a consumer report;

    (B) identify the consumer reporting agency furnishing the report;

    (C) include a statement informing the consumer that the consumer may obtain a copy of a consumer report from that consumer reporting agency without charge;

    (D) include the contact information specified by that consumer reporting agency for obtaining such consumer reports (including a toll-free telephone number established by the agency in the case of a consumer reporting agency described in section 603(p)); and

    (E) include a statement informing the consumer of –

          (i) a numerical credit score as defined in section 609(f)(2)(A), used by such person in making the credit decision described in paragraph (1) based in whole or in part on any information in a consumer report; and

          (ii) the information set forth in subparagraphs (B) through (E) of section 609(f)(1).

    See also 16 CFR Part 610

    (6) Rulemaking  75 Fed. Reg. 2724 (01/15/10)

    (A)  Rules required.  The Bureau shall prescribe rules to carry out this subsection.

    (B) Content. Rules required by subparagraph (A) shall address, but are not limited to –

          (i) the form, content, time, and manner of delivery of any notice under this subsection;

          (ii) clarification of the meaning of terms used in this subsection, including what credit terms are material, and when credit terms are materially less

          favorable;

    (iii) exceptions to the notice requirement under this subsection for classes of persons or transactions regarding which the agencies determine that notice would not significantly benefit consumers;

          (iv) a model notice that may be used to comply with this subsection; and

          (v) the timing of the notice required under paragraph (1), including the circumstances under which the notice must be provided after the terms offered to

          the consumer were set based on information from a consumer report.

    (7) Compliance.  A person shall not be liable for failure to perform the duties required by this section if, at the time of the failure, the person maintained reasonable policies and procedures to comply with this section.

    (8) Enforcement

    (A)  No civil actions. Sections 616 and 617 shall not apply to any failure by any person to comply with this section.

    (B)  Administrative enforcement.  This section shall be enforced exclusively under section 621 by the Federal agencies and officials identified in that section.

  • Section 616. Civil liability for willful noncompliance [15 U.S.C. ~ 1681n]

    (a)    In general. Any person who willfully fails to comply with any requirement imposed under this title with respect to any consumer is liable to that consumer in an amount equal to the sum of

    (1)

    (A) any actual damages sustained by the consumer as a result of the failure or damages of not less than $100 and not more than $1,000; or

    (B) in the case of liability of a natural person for obtaining a consumer report under false pretenses or knowingly without a permissible purpose, actual

    damages sustained by the consumer as a result of the failure or $1,000, whichever is greater;

    (2) such amount of punitive damages as the court may allow; and

    (3) in the case of any successful action to enforce any liability under this section, the costs of the action together with reasonable attorney's fees as determined by the court.

    (b) Civil liability for knowing noncompliance. Any person who obtains a consumer report from a consumer reporting agency under false pretenses or knowingly without a permissible purpose shall be liable to the consumer reporting agency for actual damages sustained by the consumer reporting agency or $1,000, whichever is greater.

    (c) Attorney's fees.  Upon a finding by the court that an unsuccessful pleading, motion, or other paper filed in connection with an action under this section was filed in bad faith or for purposes of harassment, the court shall award to the prevailing party attorney's fees reasonable in relation to the work expended in responding to the pleading, motion, or other paper.

    (d) Clarification of willful noncompliance. For the purposes of this section, any person who printed an expiration date on any receipt provided to a consumer cardholder at a point of sale or transaction between December 4, 2004, and the date of the enactment of this sub- section but otherwise complied with the requirements of section 605(g) for such receipt shall not be in willful noncompliance with section 605(g) by reason of printing such expiration date on the receipt.

  • Section 617. Civil liability for negligent noncompliance [15 U.S.C. ~ 1681o]

    (a)    In general.  Any person who is negligent in failing to comply with any requirement imposed under this title with respect to any consumer is liable to that consumer in an amount equal to the sum of

    (1) any actual damages sustained by the consumer as a result of the failure; and

    (2) in the case of any successful action to enforce any liability under this section, the costs of the action together with reasonable attorney's fees as determined by the court.

    (b) Attorney's fees.  On a finding by the court that an unsuccessful pleading, motion, or other paper filed in connection with an action under this section was filed in bad faith or for purposes of harassment, the court shall award to the prevailing party attorney's fees reasonable in relation to the work expended in responding to the pleading, motion, or other paper.

  • Section 619. Obtaining information under false pretenses [15 U.S.C. ~ 1681q]

    Any person who knowingly and willfully obtains information on a consumer from a consumer reporting agency under false pretenses shall be fined under title 18, United States Code, imprisoned for not more than 2 years, or both.

  • Section 621. Administrative enforcement [15 U.S.C. § 1681s]

    (a) Enforcement by Federal Trade Commission.

    (1) In General. The Federal Trade Commission shall be authorized to enforce compliance with the requirements imposed by this title under the Federal Trade   Commission Act (15 U.S.C. 41 et seq.), with respect to consumer reporting agencies and all other persons subject thereto, except to the extent that enforcement of the  requirements imposed under this title is specifically committed to some other Government agency under any of subparagraphs (A) through (G) of subsection (b)(1), and subject to subtitle B of the Consumer Financial Protection Act of 2010, subsection (b). For the purpose of the exercise by the Federal Trade Commission of its functions and powers under the Federal Trade Commission Act, a violation of any requirement or prohibition imposed under this title shall constitute an unfair or deceptive act or practice in commerce, in violation of section 5(a) of the Federal Trade Commission Act (15 U.S.C. 45(a)), and shall be subject to enforcement by the Federal Trade Commission under section 5(b) of that Act with respect to any consumer reporting agency or person that is subject to enforcement by the Federal Trade Commission  pursuant to this subsection, irrespective of whether that person is engaged in commerce or meets any other jurisdictional tests under the Federal Trade Commission Act.The Federal Trade Commission shall have such procedural, investigative, and enforcement powers, including the power to issue procedural rules in enforcing compliance with the requirements imposed under this title and to require the filing of reports, the production of documents, and the appearance of witnesses, as though the applicable terms and conditions of the Federal Trade Commission Act were part of this title. Any person violating any of the provisions of this title shall be subject to  the penalties and entitled to the privileges and immunities provided in the Federal Trade Commission Act as though the applicable terms and provisions of such Act are part of this title.

    (2) Penalties

    (A) Knowing Violations. Except as otherwise provided by subtitle B of the Consumer Financial Protection Act of 2010, in the event of a knowing violation, which constitutes a pattern or practice of violations of this title, the Federal Trade Commission may commence a civil action to recover a civil penalty in a district court of the United States against any person that violates this title. In such action, such person shall be liable for a civil penalty of not more than $2,500 per violation.9

    (B)

    Determining Penalty Amount. In determining the amount of a civil penalty under subparagraph (A), the court shall take into account the degree of culpability, any history of such prior conduct, ability to pay, effect on ability to continue to do business, and such other matters as justice may require.

    (C) Limitation. Notwithstanding paragraph (2), a court may not impose any civil penalty on a person for a violation of section 623(a)(1), unless the person has been enjoined from committing the violation, or ordered not to commit the violation, in an action or proceeding brought by or on behalf of the Federal Trade Commission, and has violated the injunction or order, and the court may not impose any civil penalty for any violation occurring before the date of the violation of the injunction or order

    (b) Enforcement by Other Agencies.

    (1) In General. Subject to subtitle B of the Consumer Financial Protection Act of 2010, compliance with the requirements imposed under this title with respect to consumer reporting agencies, persons who use consumer reports from such agencies, persons who furnish information to such agencies, and users of information that are subject to section 615(d) shall be enforced under

    (A) section 8 of the Federal Deposit Insurance Act (12 U.S.C. 1818), by the appropriate Federal banking agency, as defined in section 3(q) of the Federal Deposit Insurance Act (12 U.S.C. 1813(q)), with respect to

          (i) any national bank or State savings association, and any Federal branch or Federal agency of a foreign bank;

          (ii) any member bank of the Federal Reserve System (other than a national bank), a branch or agency of a foreign bank (other than a Federal branch, Federal agency, or insured State branch of a foreign bank), a commercial lending company owned or controlled by a foreign bank, and any organization operating under section 25 or 25A of the Federal Reserve Act; and

          (iii) any bank or Federal savings association insured by the Federal Deposit Insurance Corporation (other than a member of the Federal Reserve System)   and any insured State branch of a foreign bank;

    (B) the Federal Credit Union Act (12 U.S.C. 1751 et seq.), by the Administrator of the National Credit Union Administration with respect to any Federal credit union;

    (C) subtitle IV of title 49, United States Code, by the Secretary of Transportation, with respect to all carriers subject to the jurisdiction of the Surface Transportation Board;

    (D) the Federal Aviation Act of 1958 (49 U.S.C. App. 1301 et seq.), by the Secretary of Transportation, with respect to any air carrier or foreign air carrier subject to that Act;

    (E) the Packers and Stockyards Act, 1921 (7 U.S.C. 181 et seq.) (except as provided in section 406 of that Act), by the Secretary of Agriculture, with respect to any activities subject to that Act;

    (F) the Commodity Exchange Act, with respect to a person subject to the jurisdiction of the Commodity Futures Trading Commission;

    (G) the Federal securities laws, and any other laws that are subject to the jurisdiction of the Securities and Exchange Commission, with respect to a person that is subject to the jurisdiction of the Securities and Exchange Commission; and (H) subtitle E of the Consumer Financial Protection Act of 2010, by the Bureau,

    with respect to any person subject to this title.

    (2) Incorporated Definitions . The terms used in paragraph (1) that are not defined in this title or otherwise defined in section 3(s) of the Federal Deposit Insurance Act (12 U.S.C. 1813(s)) have the same meanings as in section 1(b) of the International Banking Act of 1978 (12 U.S.C. 3101).

    (c) State Action for Violations

    (1) Authority of states. In addition to such other remedies as are provided under State law, if the chief law enforcement officer of a State, or an official or agency

    designated by a State, has reason to believe that any person has violated or is violating this title, the State

    (A) may bring an action to enjoin such violation in any appropriate United States district court or in any other court of competent jurisdiction;

    (B) subject to paragraph (5), may bring an action on behalf of the residents of the State to recover

          (i) damages for which the person is liable to such residents under sections 616 and 617 [§§ 1681n and 1681o] as a result of the violation;

          (ii) in the case of a violation described in any of paragraphs (1) through (3) of section 623(c) [§ 1681s-2], damages for which the person would, but for

          section 623(c), be liable to such residents as a result of the violation; or

          (iii) damages of not more than $1,000 for each willful or negligent violation; and

    (C) in the case of any successful action under subparagraph (A) or (B), shall be awarded the costs of the action and reasonable attorney fees as determined by the court.

    (2) Rights of federal regulators. The State shall serve prior written notice of any action under paragraph (1) upon the Bureau and the Federal Trade Commission or the appropriate Federal regulator determined under subsection (b) and provide the Bureau and the Federal Trade Commission or appropriate Federal regulator with a copy    of its complaint, except in any case in which such prior notice is not feasible, in which case the State shall serve such notice immediately upon instituting such action. The Bureau and the Federal Trade Commission or appropriate Federal regulator shall have the right

    (A) to intervene in the action;

    (B) upon so intervening, to be heard on all matters arising therein;

    (C) to remove the action to the appropriate United States district court; and

    (D) to file petitions for appeal.

    (3)Investigatory powers. For purposes of bringing any action under this subsection, nothing in this subsection shall prevent the chief law enforcement officer, or an

    official or agency designated by a State,  from exercising the powers conferred on the chief law enforcement officer or such official by the laws of such State to conduct investigations or to administer oaths or affirmations or to compel the attendance of witnesses or the production of documentary and other evidence.

    (4) Limitation on state action while federal action pending. If the Bureau, the Federal Trade Commission, or the appropriate Federal regulator has instituted a civil action or an administrative action under section 8 of the Federal Deposit Insurance Act for a violation of this title, no State may, during the pendency of such action, bring an action under this section against any defendant named in the complaint of the Bureau, the Federal Trade Commission, or the appropriate Federal regulator for any violation of this title that is alleged in that complaint.

    (5) Limitations on State Actions for Certain Violations

    (A) Violation of injunction required. A State may not bring an action against a person under paragraph (1)(B) for a violation described in any of paragraphs

    (1) through (3) of section 623(c), unless

          (i) the person has been enjoined from committing the violation, in an action brought by the State under paragraph (1)(A); and

          (ii) the person has violated the injunction.

    (B) Limitation on damages recoverable.  In an action against a person under paragraph (1)(B) for a violation described in any of paragraphs (1) through (3) of section 623(c), a State may not recover any damages incurred before the date of the violation of an injunction on which the action is based.

    (d) Enforcement under other authority. For the purpose of the exercise by any agency referred to in subsection (b) of this section of its powers under any Act referred to in that subsection, a violation of any requirement imposed under this title shall be deemed to be a violation of a requirement imposed under that Act. In addition to its powers under any provision of law specifically referred to in subsection (b) of this section, each of the agencies referred to in that subsection may exercise, for the purpose of enforcing compliance with any requirement imposed under this title any other authority conferred on it by law.

    (e) Regulatory Authority

    (1) In General. The Bureau shall prescribe such regulations as are necessary to carry out the purposes of this title, except with respect to sections 615(e) and 628. The Bureau may prescribe regulations as may be necessary or appropriate to administer and carry out the purposes and objectives of this title, and to prevent evasions   thereof or to facilitate compliance therewith. Except as provided in section 1029(a) of the Consumer Financial Protection Act of 2010, the regulations prescribed by the Bureau under this title shall apply to any person that is subject to this title, notwithstanding the enforcement authorities granted to other agencies under this section.

    (2) Deference. Notwithstanding any power granted to any Federal agency under this title, the deference that a court affords to a Federal agency with respect to a determination made by such agency relating to the meaning or interpretation of any provision of this title that is subject to the jurisdiction of such agency shall be applied as if that agency were the only agency authorized to apply, enforce, interpret, or administer the provisions of this title The regulations prescribed by the Bureau under this title shall apply to any person that is subject to this title, notwithstanding the enforcement authorities granted to other agencies under this section.

    (f) Coordination of Consumer Complaint Investigations

    (1) In general. Each consumer reporting agency described in section 603(p) shall develop and maintain procedures for the referral to each other such agency of any consumer complaint received by the agency alleging identity theft, or requesting a fraud alert under section 605A or a block under section 605B.

    (2) Model form and procedure for reporting identity theft.  The Bureau, in consultation with the Federal Trade Commission, the Federal banking agencies, and the    National Credit Union Administration, shall develop a model form and model procedures to be used by consumers who are victims of identity theft for contacting and informing creditors and consumer reporting agencies of the fraud.

    See also 70 Fed.Reg. 21792 (04/27/05)

    (3) Annual summary reports.  Each consumer reporting agency described in section 603(p) shall submit an annual summary report to the Bureau on consumer complaints received by the agency on identity theft or fraud alerts.

    (g) Bureau regulation of coding of trade names. If the Bureau determines that a person described in paragraph (9) of section 623(a) has not met the requirements of such paragraph, the Bureau shall take action to ensure the person's compliance with such paragraph, which may include issuing model guidance or prescribing reasonable policies and procedures, as necessary to ensure that such person complies with such paragraph.

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CA Private Investigator License #1589

NJ Private Investigator License #8439