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CREDIT REPAIR LAWS, CODES, AND SOME VALUABLE INFORMATION

CREDIT REPAIR LAWS, CODES, AND SOME VALUABLE INFORMATION 


These are just a few laws and codes that will be helpful for you when you start getting comfortable with writing your own credit dispute letters. If you want more information on any topic in this blog, it is highly recommended that you use "Google" and "YouTube" as a tool. There is so much information out there on these laws and codes.


THE FCRA IS THE FAIR CREDIT REPORTING ACT


What is not a permissible purpose under the FCRA?

This law protects consumers from agencies or people who frivolously pull your credit report for no permissible purpose.

Examples of things that are not permissible include curiosity, litigation in connection with attempts to collect a debt, marketing, or criminal sanctions. Employees of CRAs who knowingly provide consumer reports to those who do not have a permissible purpose could face up to 2 years of imprisonment


What are the statute limitations for FCRA?

Meaning, once you have noticed that your rights have been violated purposefully and after you asked for a correction, they (the CRA or Collection Agencies) have not corrected the violation:

The FCRA provides a two (2) year statute of limitation commencing from the date of the violation of the Act, regardless of whether the victim even knows of the violation.


What does the Fair Credit Reporting Act regulate?

The Fair Credit Reporting Act (FCRA) , 15 U.S.C. § 1681 et seq., governs access to consumer credit report records and promotes accuracy, fairness, and the privacy of personal information assembled by Credit Reporting Agencies (CRAs)


CODES


15 US Code 1679c

This law prohibits deceptive practices by credit repair organizations. “You have the right to cancel your contract with any credit repair organization for any reason within 3 business days from the date you signed it


15 U.S. Code § 1681s–2 - Responsibilities of furnishers of information to consumer reporting agencies. A person shall not furnish any information relating to a consumer to any consumer reporting agency if the person knows or has reasonable cause to believe that the information is inaccurate


What is 15 US Code 1692j A 

 It is unlawful to design, compile, and furnish any form knowing that such form would be used to create the false belief in a consumer that a person other than the creditor of such consumer is participating in the collection of or in an attempt to collect a debt such consumer allegedly owes


What is 15 U.S.C. 1681 4?

(3) Consumer reporting agencies have assumed a vital role in assembling and evaluating consumer credit and other information on consumers. (4) There is a need to ensure that consumer reporting agencies exercise their grave responsibilities with fairness, impartiality, and a respect for the consumer's right to privacy.


What does 15 US Code 1605 mean?

Finance charge Truth of Lending

Except as otherwise provided in this section, the amount of the finance charge in connection with any consumer credit transaction shall be determined as the sum of all charges, payable directly or indirectly by the person to whom the credit is extended, and imposed directly or indirectly by the creditor as an incident to the extension of credit. The finance charge does not include charges of a type payable in a comparable cash transaction. The finance charge shall not include fees and amounts imposed by third party closing agents (including settlement agents, attorneys, and escrow and title companies) if the creditor does not require the imposition of the charges or the services provided and does not retain the charges.


What is Section 623 of the FCRA?

FCRA 623(a)(5)(A) This "date of delinquency" determines how long the debt can be reported on a consumer's credit report. Generally, a CRA may report a delinquent debt for seven years from the date of delinquency. If the debt was discharged in bankruptcy, however, a CRA may report it for 10 years



What is Section 623 B of FCRA?

Section 623 of the FCRA and Regulation V generally provide that a furnisher must not furnish inaccurate consumer information to a CRA, and that furnishers must investigate a consumer's dispute that the furnished information is inaccurate or incomplete


IMPORTANT INFORMATION


Which disclosures are mandatory under FCRA?

Under section 609 of the FCRA, a consumer reporting agency must, upon a consumer's request, disclose to the consumer information in the consumer's file.


Can I sue a company for running my credit without my permission?

If you notice hard pulls on your credit that you did not consent to, you can demand the creditor remove the inquiry. If they do not do this, you can sue under the Fair Credit Reporting Act (FCRA).

That goes for employers or anyone that you did not give permission to run your credit.


How much can I sue credit bureaus for?

Punitive damages can also be recovered in egregious cases. For example, the California CCRAA allows punitive damages from $100 to up to $5,000 per violation. Whether negligent or willful, victims of false credit reporting can recover their reasonable attorneys' fees and court costs.



What is a 623 letter?

A business uses a 623 credit dispute letter when all other attempts to remove dispute information have failed. It refers to Section 623 of the Fair Credit Reporting Act and contacts the data furnisher to prove that a debt belongs to the company.



Do creditors have to report to all 3 credit bureaus?

Creditors are not legally obliged to report at all. It's a voluntary practice, so it's up to them to decide when and how often they do it. This also means that some companies report to all three Nationwide Credit Reporting Agencies, while others only report to one or two, and others may not report at all.