On 8/24/2020, the Federal Trade Commission (FTC) announced that they were seeking comment on five possible changes for rules implementing parts of the Fair Credit Reporting Act (FCRA) so that they become in line with the Dodd-Frank Act. As the FTC’s authority was limited when the Dodd-Frank Act transferred much authority to the CFPB, these changes would only apply to motor vehicle dealers.
According to their release, the FTC states that the changes would apply to the following rules:
Address Discrepancy Rule, which outlines the obligations of users of consumer reports when they receive a notice of address discrepancy from a nationwide consumer reporting agency (CRA);
Affiliate Marketing Rule, which gives consumers the right to restrict a person from using certain information obtained from an affiliate to make solicitations to the consumer;
Furnisher Rule, which requires entities that furnish information to CRAs to establish and implement reasonable written policies and procedures regarding the accuracy and integrity of the information relating to consumers provided to a CRA;
Pre-screen Opt-Out Notice Rule, which outlines requirements for those who use consumer report information to make unsolicited credit or insurance offers to consumers; and
Risk-Based Pricing Rule, which requires those who use information from a consumer report to offer less favorable terms to consumers to provide them with a notice about the use of such data.
Comments are due on November 30, 2020.
The full FTC release can be found here.
The Federal Register release can be found here.