What is the Fair Credit Reporting Act?

  • The Fair Credit Reporting Act (FCRA) is a federal consumer law with significant influence.
  • Enacted in the early 1970s, it applies nationwide and is aimed at regulating credit reporting.
  • A key feature is its provision for consumers to dispute inaccuracies on their credit reports.
  • When a consumer disputes an inaccuracy, credit reporting agencies must initiate an investigation.
  • Non-compliance by agencies can lead consumers to seek legal redress in court, making FCRA a potent protective tool.
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