FCRA Regulations & Legal Framework 2

Question 1

Under the FCRA, which federal agency has primary rulemaking authority over consumer reporting agencies?

Accepted Answer

Consumer Financial Protection Bureau (CFPB)

Answer

The Dodd-Frank Act of 2010 transferred primary FCRA rulemaking authority from the FTC to the CFPB.

Question 2

The FCRA's section 604 governs which aspect of credit reporting?

Accepted Answer

Permissible purposes for obtaining consumer reports

Answer

Section 604 of the FCRA defines the permissible purposes under which a consumer report may be furnished.

Question 3

Which FCRA provision specifically prohibits reporting medical debt information that a creditor received in connection with a transaction without the consumer's consent?

Accepted Answer

Section 604(g)

Answer

Section 604(g) restricts furnishers from providing medical information to CRAs and restricts CRAs from sharing medical debt in connection with credit eligibility determinations.

Question 4

The FACT Act of 2003 amended the FCRA primarily to address which concern?

Accepted Answer

Identity theft prevention and credit accuracy

Answer

The Fair and Accurate Credit Transactions Act (FACT Act) added identity theft protections, fraud alerts, and free annual credit report rights to the FCRA.

Question 5

Under FCRA section 605, which negative item type has the longest standard reporting period?

Accepted Answer

Chapter 7 bankruptcy

Answer

Chapter 7 bankruptcy may be reported for up to 10 years from the date of filing, the longest standard period under FCRA section 605.

(FCRA) Advanced Fair Credit Reporting Act Certification Practice Test

(FCRA) Advanced Fair Credit Reporting Act Certification Practice Test

FCRA Regulations & Legal Framework 2