Consumer Rights Under the Fair Credit Reporting Act (FCRA)
1. Right to Obtain a Credit Report
Consumers have the right to request and obtain a copy of their credit report from each of the three major credit bureaus (Equifax, Experian, and TransUnion) at least once a year for free through AnnualCreditReport.com.
2. Right to Dispute Inaccurate or Incomplete Information
Consumers have the right to dispute any information in their credit report that they believe is inaccurate or incomplete. The credit reporting agency (CRA) must investigate and correct or remove the disputed information within a specified timeframe.
3. Right to Correct or Remove Inaccurate Information
If an investigation finds that the information is indeed incorrect, the CRA must delete or correct it. Consumers must be notified of the results and receive a free copy of their updated credit report.
4. Right to Add a Consumer Statement
If a dispute is not resolved to the consumer’s satisfaction, they have the right to add a brief statement to their credit report explaining their side of the issue.
5. Right to Know Who Has Accessed Their Credit Report
Consumers can request to know which entities have accessed their credit report within the past year (or two years for employment purposes). This includes creditors, insurers, employers, and other third parties.
6. Right to Opt-Out of Prescreened Offers
Consumers can opt out of receiving unsolicited credit and insurance offers based on their credit report by calling 1-888-5-OPTOUT or visiting the opt-out page on the Consumer Credit Reporting Industry's website.
7. Right to Free Credit Report Following Adverse Action
If a consumer is denied credit, insurance, or employment based on their credit report, they have the right to request a free copy of their credit report from the CRA that provided the report used in the decision.
8. Right to Security Freeze
Consumers can place a security freeze on their credit report to prevent new creditors from accessing their credit report. This can help prevent identity theft.
9. Right to Accurate Information
Credit reporting agencies must ensure the information in their reports is accurate, complete, and up-to-date. They must also correct or delete information that is inaccurate, incomplete, or unverifiable.
10. Right to Privacy
The FCRA limits access to consumer credit reports to those with a legitimate need, such as creditors, insurers, employers, and others who have the consumer’s permission or a permissible purpose.
11. Right to Request and Review Investigative Reports
If a consumer’s credit report was used in a decision based on an investigative report, they have the right to request and review the report. This type of report includes detailed personal information collected through interviews and other sources.
12. Right to Legal Remedies
Consumers have the right to seek legal remedies if they believe their rights under the FCRA have been violated. They can file complaints with the Federal Trade Commission (FTC) or take legal action against the CRA or data furnishers.