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Fair Credit Reporting Act
ß 611. Procedure in case of disputed accuracy [15 U.S.C. ß 1681i]
(a) Reinvestigations of Disputed Information
(1) Reinvestigation Required
(A) In general. Subject to subsection (f), if the completeness or accuracy
of any item of information contained in a consumer's file at a consumer reporting
agency is disputed by the consumer and the consumer notifies the agency directly,
or indirectly through a reseller, of such dispute, the agency shall, free of
charge, conduct a reasonable reinvestigation to determine whether the disputed
information is inaccurate and record the current status of the disputed information,
or delete the item from the file in accordance with paragraph (5), before the
end of the 30-day period beginning on the date on which the agency receives
the notice of the dispute from the consumer or reseller.
(B) Extension of period to reinvestigate. Except as provided in subparagraph
(C), the 30-day period described in subparagraph (A) may be extended for not
more than 15 additional days if the consumer reporting agency receives information
from the consumer during that 30-day period that is relevant to the reinvestigation.
(C) Limitations on extension of period to reinvestigate. Subparagraph (B) shall
not apply to any reinvestigation in which, during the 30-day period described
in subparagraph (A), the information that is the subject of the reinvestigation
is found to be inaccurate or incomplete or the consumer reporting agency determines
that the information cannot be verified.
(2) Prompt Notice of Dispute to Furnisher of Information
(A) In general. Before the expiration of the 5-business-day period beginning
on the date on which a consumer reporting agency receives notice of a dispute
from any consumer or a reseller in accordance with paragraph (1), the agency
shall provide notification of the dispute to any person who provided any item
of information in dispute, at the address and in the manner established with
the person. The notice shall include all relevant information regarding the
dispute that the agency has received from the consumer or reseller.
(B) Provision of other information. The consumer reporting agency shall promptly
provide to the person who provided the information in dispute all relevant information
regarding the dispute that is received by the agency from the consumer or the
reseller after the period referred to in subparagraph (A) and before the end
of the period referred to in paragraph (1)(A).
(3) Determination That Dispute Is Frivolous or Irrelevant
(A) In general. Notwithstanding paragraph (1), a consumer reporting agency
may terminate a reinvestigation of information disputed by a consumer under
that paragraph if the agency reasonably determines that the dispute by the consumer
is frivolous or irrelevant, including by reason of a failure by a consumer to
provide sufficient information to investigate the disputed information.
(B) Notice of determination. Upon making any determination in accordance with
subparagraph (A) that a dispute is frivolous or irrelevant, a consumer reporting
agency shall notify the consumer of such determination not later than 5 business
days after making such determination, by mail or, if authorized by the consumer
for that purpose, by any other means available to the agency.
(C) Contents of notice. A notice under subparagraph (B) shall include
(i) the reasons for the determination under subparagraph (A); and
(ii) identification of any information required to investigate the disputed
information, which may consist of a standardized form describing the general
nature of such information.
(4) Consideration of consumer information. In conducting any reinvestigation
under paragraph (1) with respect to disputed information in the file of any consumer,
the consumer reporting agency shall review and consider all relevant information
submitted by the consumer in the period described in paragraph (1)(A) with respect
to such disputed information.
(5) Treatment of Inaccurate or Unverifiable Information
(A) In general. If, after any reinvestigation under paragraph (1) of any information
disputed by a consumer, an item of the information is found to be inaccurate
or incomplete or cannot be verified, the consumer reporting agency shall–
(i) promptly delete that item of information from the file of the consumer,
or modify that item of information, as appropriate, based on the results of
the reinvestigation; and
(ii) promptly notify the furnisher of that information that the information
has been modified or deleted from the file of the consumer.
(B) Requirements Relating to Reinsertion of Previously
Deleted Material
(i) Certification of accuracy of information. If any information is deleted
from a consumer's file pursuant to subparagraph (A), the information may not
be reinserted in the file by the consumer reporting agency unless the person
who furnishes the information certifies that the information is complete and
accurate.
(ii) Notice to consumer. If any information that has been deleted from a
consumer's file pursuant to subparagraph (A) is reinserted in the file, the
consumer reporting agency shall notify the consumer of the reinsertion in
writing not later than 5 business days after the reinsertion or, if authorized
by the consumer for that purpose, by any other means available to the agency.
(iii) Additional information. As part of, or in addition to, the notice under
clause (ii), a consumer reporting agency shall provide to a consumer in writing
not later than 5 business days after the date of the reinsertion
(I) a statement that the disputed information has been reinserted;
(II) the business name and address of any furnisher of information contacted
and the telephone number of such furnisher, if reasonably available, or
of any furnisher of information that contacted the consumer reporting agency,
in connection with the reinsertion of such information; and
(III) a notice that the consumer has the right to add a statement to the
consumer's file disputing the accuracy or completeness of the disputed information.
(C) Procedures to prevent reappearance. A consumer reporting agency shall maintain
reasonable procedures designed to prevent the reappearance in a consumer's file,
and in consumer reports on the consumer, of information that is deleted pursuant
to this paragraph (other than information that is reinserted in accordance with
subparagraph (B)(i)).
(D) Automated reinvestigation system. Any consumer reporting agency that compiles
and maintains files on consumers on a nationwide basis shall implement an automated
system through which furnishers of information to that consumer reporting agency
may report the results of a reinvestigation that finds incomplete or inaccurate
information in a consumer's file to other such consumer reporting agencies.
(6) Notice of Results of Reinvestigation
(A) In general. A consumer reporting agency shall provide written notice to
a consumer of the results of a reinvestigation under this subsection not later
than 5 business days after the completion of the reinvestigation, by mail or,
if authorized by the consumer for that purpose, by other means available to
the agency.
(B) Contents. As part of, or in addition to, the notice under subparagraph
(A), a consumer reporting agency shall provide to a consumer in writing before
the expiration of the 5-day period referred to in subparagraph (A)
(i) a statement that the reinvestigation is completed;
(ii) a consumer report that is based upon the consumer's file as that file
is revised as a result of the reinvestigation;
(iii) a notice that, if requested by the consumer, a description of the procedure
used to determine the accuracy and completeness of the information shall be
provided to the consumer by the agency, including the business name and address
of any furnisher of information contacted in connection with such information
and the telephone number of such furnisher, if reasonably available;
(iv) a notice that the consumer has the right to add a statement to the consumer's
file disputing the accuracy or completeness of the information; and
(v) a notice that the consumer has the right to request under subsection
(d) that the consumer reporting agency furnish notifications under that subsection.
(7) Description of reinvestigation procedure. A consumer reporting agency shall
provide to a consumer a description referred to in paragraph (6)(B)(iii) by not
later than 15 days after receiving a request from the consumer for that description.
(8) Expedited dispute resolution. If a dispute regarding an item of information
in a consumer's file at a consumer reporting agency is resolved in accordance
with paragraph (5)(A) by the deletion of the disputed information by not later
than 3 business days after the date on which the agency receives notice of the
dispute from the consumer in accordance with paragraph (1)(A), then the agency
shall not be required to comply with paragraphs (2), (6), and (7) with respect
to that dispute if the agency
(A) provides prompt notice of the deletion to the consumer by telephone;
(B) includes in that notice, or in a written notice that accompanies a confirmation
and consumer report provided in accordance with subparagraph (C), a statement
of the consumer's right to request under subsection (d) that the agency furnish
notifications under that subsection; and
(C) provides written confirmation of the deletion and a copy of a consumer
report on the consumer that is based on the consumer's file after the deletion,
not later than 5 business days after making the deletion.
(b) Statement of dispute. If the reinvestigation does not resolve the dispute,
the consumer may file a brief statement setting forth the nature of the dispute.
The consumer reporting agency may limit such statements to not more than one hundred
words if it provides the consumer with assistance in writing a clear summary of
the dispute.
(c) Notification of consumer dispute in subsequent consumer reports. Whenever a
statement of a dispute is filed, unless there is reasonable grounds to believe that
it is frivolous or irrelevant, the consumer reporting agency shall, in any subsequent
report containing the information in question, clearly note that it is disputed
by the consumer and provide either the consumer's statement or a clear and accurate
codification or summary thereof.
(d) Notification of deletion of disputed information. Following
any deletion of information which is found to be inaccurate or whose accuracy can
no longer be verified or any notation as to disputed information, the consumer reporting
agency shall, at the request of the consumer, furnish notification that the item
has been deleted or the statement, codification or summary pursuant to subsection
(b) or (c) of this section to any person specifically designated by the consumer
who has within two years prior thereto received a consumer report for employment
purposes, or within six months prior thereto received a consumer report for any
other purpose, which contained the deleted or disputed information.
(e) Treatment of Complaints and Report to Congress
(1) In general. The Commission shall--
(A) compile all complaints that it receives that a file of a consumer that
is maintained by a consumer reporting agency described in section
603(p) contains incomplete or inaccurate information, with respect to which,
the consumer appears to have disputed the completeness or accuracy with the
consumer reporting agency or otherwise utilized the procedures provided by subsection
(a); and
(B) transmit each such complaint to each consumer reporting agency involved.
(2) Exclusion. Complaints received or obtained by the Commission pursuant to
its investigative authority under the Federal Trade Commission Act shall not be
subject to paragraph (1).
(3) Agency responsibilities. Each consumer reporting agency described in section
603(p) that receives a complaint transmitted by the Commission pursuant to
paragraph (1) shall--
(A) review each such complaint to determine whether all legal obligations imposed
on the consumer reporting agency under this title (including any obligation
imposed by an applicable court or administrative order) have been met with respect
to the subject matter of the complaint;
(B) provide reports on a regular basis to the Commission regarding the determinations
of and actions taken by the consumer reporting agency, if any, in connection
with its review of such complaints; and
(C) maintain, for a reasonable time period, records regarding the disposition
of each such complaint that is sufficient to demonstrate compliance with this
subsection.
(4) Rulemaking authority. The Commission may prescribe regulations, as appropriate
to implement this subsection.
(5) Annual report. The Commission shall submit to the Committee on Banking, Housing,
and Urban Affairs of the Senate and the Committee on Financial Services of the
House of Representatives an annual report regarding information gathered by the
Commission under this subsection.'.
(f) Reinvestigation Requirement Applicable to Resellers
(1) Exemption from general reinvestigation requirement. Except as provided in paragraph
(2), a reseller shall be exempt from the requirements of this section.
(2) Action required upon receiving notice of a dispute. If a reseller receives
a notice from a consumer of a dispute concerning the completeness or accuracy of
any item of information contained in a consumer report on such consumer produced
by the reseller, the reseller shall, within 5 business days of receiving the notice,
and free of charge–
(A) determine whether the item of information is incomplete or inaccurate as
a result of an act or omission of the reseller; and
(B) if
(i) the reseller determines that the item of information is incomplete or inaccurate
as a result of an act or omission of the reseller, not later than 20 days after
receiving the notice, correct the information in the consumer report or delete
it; or
(ii) if the reseller determines that the item of information is not incomplete
or inaccurate as a result of an act or omission of the reseller, convey the
notice of the dispute, together with all relevant information provided by the
consumer, to each consumer reporting agency that provided the reseller with
the information that is the subject of the dispute, using an address or a notification
mechanism specified by the consumer reporting agency for such notices.
(3) Responsibility of consumer reporting agency to notify consumer through reseller.
Upon the completion of a reinvestigation under this section of a dispute concerning
the completeness or accuracy of any information in the file of a consumer by a
consumer reporting agency that received notice of the dispute from a reseller
under paragraph (2)--
(A) the notice by the consumer reporting agency under paragraph (6), (7), or
(8) of subsection (a) shall be provided to the reseller in lieu of the consumer;
and
(B) the reseller shall immediately reconvey such notice to the consumer, including
any notice of a deletion by telephone in the manner required under paragraph
(8)(A).
(4) Reseller reinvestigations. No provision of this subsection shall be construed
as prohibiting a reseller from conducting a reinvestigation of a consumer dispute
directly.
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Note: For affordable legal assistance The Center For Debt Management highly recommends Standard Legal's Do-It-Yourself Software Kits. For credit repair services, Lexington Law Firm
is the most trusted law firm in America, with over 15 years of experience.
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Fair Credit Reporting Act: FCRA Procedure in case of disputed accuracy
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