Fair Credit Reporting Act (FCRA)

The Act (Title VI of the Consumer Credit Protection Act) safeguards consumer reporting firms such as credit bureaus, medical information corporations, and tenant screening services. The information contained in a consumer report may not be disclosed to anybody who does not have a legitimate purpose as defined by the Act. Companies that supply information to consumer reporting organizations are also subject to certain legal requirements, such as the responsibility to investigate disputed information. Furthermore, users of the information for credit, insurance, or employment purposes are required to notify the consumer if an adverse action is made based on such reports. The Fair and Accurate Credit Transactions Act supplemented this Act with numerous provisions, the most of which dealt with record accuracy and identity theft.