What is the Fair Credit Reporting Act?

The Fair Credit Reporting Act (FCRA) is a federal law designed to protect consumers in North Carolina by safeguarding their credit information and ensuring they have access to accurate information. The FCRA covers credit reporting, meaning the processing of information regarding a consumer’s credit worthiness. This includes collecting, storing, and sharing information about customers’ creditworthiness, credit transactions, and credit history. The FCRA requires credit reporting agencies to provide consumers with their credit reports free of charge, so they can check the accuracy of their records. Additionally, they must also offer consumers a free credit report once a year. The FCRA also limits the types of information credit reporting agencies can provide and requires that credit reporting agencies have procedures to investigate and correct inaccurate information on their reports. Furthermore, the FCRA places restrictions on the use of credit reports for decisions related to employment, credit, insurance, and other services. The FCRA includes protection for consumers in North Carolina by allowing them the right to request and dispute incomplete or inaccurate information in their reports. Credit reporting agencies must investigate any disputes within a reasonable amount of time and delete or correct the information if it is found to be inaccurate. Further, the FCRA requires consent to be given by the consumer before their information can be used or shared. Overall, the FCRA helps to promote consumer protection in North Carolina and beyond by making sure information regarding a consumer’s creditworthiness is treated fairly and responsibly.

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What is the Fair Credit Reporting Act?

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