What is the Fair Credit Reporting Act (FCRA)?
The Fair Credit Reporting Act (FCRA) is a federal law enacted to promotes fairness and accuracy in credit reporting by consumer reporting agencies and protect an individual’s credit information, how and when it can be used, who can use it, and remedies for violations of the Act. Entities that require and share credit information can include credit bureaus, landlords and employers performing background checks, creditors, and government agencies.
The FCRA requires anyone with access to individual credit information to keep the information accurate, updated, and confidential. Reporting agencies must provide individuals with reports upon request, correct inaccurate information, disclose credit scores, and investigate disputes between individuals and credit information suppliers.
In the event of a violation of the FCRA, individuals are entitled to remedies in court at the federal and state levels. States may also provide additional protections and remedies under the Act.