Congress passed the Fair Credit Reporting Act (FCRA) in 1970. The act is to “ensure that consumer reporting agencies exercise their grave responsibilities with fairness, impartiality, and respect for consumer rights privacy.”
Your credit report is compiled of information by lenders and prospective lenders. Records of whom you owe and how much, monthly payment information, loan transactions, and applications. The credit bureaus maintain vast databases of information that is collected on consumers.
The Fair Credit Reporting Act was enacted because your credit score is so important. Verifying that your credit report information is correct can save you money on interest amounts charged on loans.
The FCRA guarantees rights to consumers, such as:
Right to Know What’s On Your Credit Report
You have the right to know what creditors are listed on your report, what amounts are due, any late payments or derogatory marks.
Right to Be Informed
If someone uses your credit report information for adverse actions or decisions.
Right to Receive Your Credit Score
You will not be denied access to what your credit score is.
Right to Dispute Your Score
You can dispute inaccurate or incomplete information and request to have it removed from your credit report.
The Right for Privacy
Your credit information should only be revealed to parties with a valid reason to see it. You also have the right to control access to your credit information.
The Right to Seek Damages
If your rights have been violated under the Fair Credit Reporting Act, you are legally able to sue for damages.
Also with the rise of identity theft, it is good for you to monitor your credit activity and challenge information that is not correct.
If you are facing overwhelming debt and your credit score has taken several negative hits, consider speaking to a Columbus bankruptcy attorney to find out what options you may have.