The FTC and CFPB extended the comment deadline on accuracy in credit reporting in response to a request from the public.
1/2/2020 9:00
Following a comprehensive workshop on accuracy in credit reporting, including insights from ACA International members LaDonna Bohling and Leslie Bender, the Federal Trade Commission and Consumer Financial Protection Bureau have extended their public comment deadline on the subject to Jan. 31, 2020.
ACA encourages members to share their input to help show the industry’s perspective on the credit reporting and dispute processes working with consumers.
“Part of why we furnish data is to provide an economic picture of a consumer that is as portable as our smartphones,” Bender said during the Dec. 10, 2019, workshop. “We’re in a mobile society and we love the convenience that technology brings for us,” Bender explained during the workshop. “Our credit report is something we bring with us every place we go.”
Panelists also commented on the future of credit reporting. Bender said the industry can expect to see more state legislative action on data furnishing and credit reporting in 2020 and beyond.
Bohling spoke on the dispute process panel concluding the Dec. 10 workshop, where she stressed the importance of consumer education and creditors, data furnishers, consumer advocates and regulators working together.
“Consumer education and financial literacy are very important. It is a group effort between the credit reporting agencies and regulators. We’re all making an effort and working together to try to get these things resolved and make it more consumer friendly,” she said.
Bohling also stressed the importance of sharing comments on credit reporting practices with the FTC and CFPB before the deadline.
“Now is the time to be heard. Credit reports are used by creditors, employers, insurers, and others to make sound business decisions,” Bohling said. “An inaccurate report can impact a consumer’s life negatively. As data furnishers, we are bound to make sure that we report with accuracy and integrity.”
Comments are now accepted until Jan. 31, 2020. ACA staff will also be working with the Federal Affairs and Members Attorney Program committees to contribute comments. Contact ACA's Vice President and Senior Counsel of Federal Advocacy Leah Dempsey at [email protected] to share your input.
“Weigh in on how new technologies, training and improved processes improve accuracy,” Bohling added. “Let regulators know the costs associated with maintaining accuracy and give your ideas on where improvements are needed. Don’t wait until decisions or changes are made, weigh in now on this subject."
Stakeholders may comment on the following topics:
- What are the lessons from the CFPB’s supervisory reviews of CRAs and furnishers on accuracy and dispute obligations?
- What are the lessons from CFPB and FTC enforcement cases on furnisher and CRA accuracy obligations?
- How do furnishing practices differ based on the types of furnishers and information they furnish to CRAs and how does that impact accuracy?
- What has been the effect of the removal of most civil judgments and tax liens from credit reports and recent changes in the reporting of medical debt?
- How do background screening CRAs address accuracy in light of the limited personal identifying information included in public records?
- What opportunities or challenges does inclusion of non-traditional data in credit reports, credit scoring models, or background screening reports present for accuracy?
- Can new technologies and data management practices be used to improve accuracy?
- How do consumers learn about inaccuracies on their consumer reports and navigate the current dispute process? What are the experiences of victims of identity theft in the dispute process?
- How have the changes to the dispute process contained in the National Consumer Assistance Plan, which evolved out of the 2015 multi-state settlement, impacted the consumer experience?
- Once consumers get erroneous information removed from their credit files through the dispute process do they still have difficulties getting loans or other credit?
- What government measures (including changes in the law) and private sector measures could improve accuracy? What are the costs and benefits of these possible measures?
To file comments electronically, visit the Federal Register https://www.regulations.gov/docket?D=FTC-2019-0073 or to submit comments in written form:
Write “Accuracy in Consumer Reporting Workshop” on your comment and on the envelope and mail your comment to the following address: Federal Trade Commission, Office of the Secretary, Constitution Center, 400 7th St., SW, 5th Floor, Suite 5610, Washington, D.C., 20024.
To learn more about the discussion at the FTC/CFPB workshop from Bender and ACA’s Federal Advocacy Manager Patrick Russell featured in a Hot Topic webinar Dec. 18, 2019, visit ACA’s online store for a complimentary recording available soon.