§1681s–2 Responsibilities of furnishers of information to consumer reporting agencies

Summary

Requires anyone who gives consumer information to credit bureaus to keep that information accurate and to fix errors. They must not send information they know or have good reason to doubt is wrong. If the company has told consumers where to send disputes, and a consumer uses that address to say something is wrong and it really is wrong, the company must stop giving the wrong information. When a consumer or a credit bureau disputes an item, the company must investigate, look at the evidence, finish the investigation within the same time a credit bureau would, and tell the bureau and the consumer the results. If the company finds information is wrong, it must correct or remove it and tell all nationwide credit bureaus it reports to. Companies must tell bureaus when a consumer voluntarily closes an account, and must report the month and year a delinquency began within 90 days of reporting collection or charge-off actions. Companies must have procedures to stop re-reporting items blocked for identity theft and must not re-report alleged identity-theft items if a consumer files an identity-theft report at the company’s specified address unless the consumer later confirms the information is correct. Banks that report negative information to certain consumer reporting agencies must give customers a clear notice before or within 30 days of reporting; the Bureau will create a short model notice of up to 30 words. A consumer can ask a lender to remove a private education loan default if the lender offers a loan-rehabilitation plan requiring consecutive on-time payments and the consumer completes it; supervised banks must seek written approval for such plans and the agency must respond within 120 days; the benefit may be used only once per loan. For COVID-19 relief, an “accommodation” (for example, payment deferral, forbearance, modification) given during the covered period (starting January 31, 2020 and ending the later of 120 days after March 27, 2020 or 120 days after the national emergency ends) must be reported as current if payments are made or not required, except charged-off accounts; if the account was delinquent before the accommodation, the delinquent status must be kept during the accommodation unless the consumer brings the account current. The Bureau must write guidelines and rules and require furnishers to have reasonable policies and procedures to protect the accuracy and integrity of the information they send. Medical providers who report consumer medical information must tell the credit bureaus they are medical information furnishers. Definitions (one line each): Reasonable cause to believe — specific facts (not only the consumer’s allegations) that make a reasonable person doubt accuracy. Appropriate Federal banking agency — the agency named in 12 U.S.C. 1813. Private education loan — the term in 15 U.S.C. 1650(a). Accommodation — help like deferral, partial payment, forbearance, or modification given for COVID-19. Covered period — January 31, 2020 through the later of 120 days after March 27, 2020 or 120 days after the national emergency ends. Negative information — delinquencies, late payments, insolvency, or defaults. Customer and financial institution — have the meanings given in 15 U.S.C. 6809.