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Frameworks · Americas

FCRA

The Fair Credit Reporting Act, 15 U.S.C. § 1681 and following, governs how consumer report information is collected, used and shared in the United States. It sets permissible purposes for obtaining a report, and accuracy and dispute duties for consumer reporting agencies. It also sets duties for those who furnish information to agencies, and notice duties for those who use reports in credit, employment, insurance and tenancy decisions.

Who it applies to

It applies to consumer reporting agencies, companies that furnish information to them, and businesses that use consumer reports, including fintechs and employers running background checks. The CFPB and FTC enforce it.

Main requirements

Permissible purpose

Reports are obtained and used only for purposes the Act allows, and the purpose is certified.

Accuracy & disputes

Agencies follow reasonable procedures to assure maximum possible accuracy, and investigate and correct disputes within statutory time limits.

Furnisher duties

Furnishers keep written procedures for the accuracy and integrity of the information they provide, and handle direct disputes.

User notices

Users give consumers adverse action, risk-based pricing and employment-screening notices.

How xmodo supports it

  • 1

    Sections are set up as controls with owners and evidence, scoped to your role as agency, furnisher or user. You see only the duties that apply to you.

  • 2

    Dispute-handling time limits are tracked as deadlines on the record, and each resolution is filed as evidence.

  • 3

    Requirements map to SOC 2, ISO/IEC 27001 and the US state privacy overlay where security and privacy controls overlap.

Related frameworks

FCRA shares requirements with the frameworks below. Controls you already run for any of them count towards FCRA as well.

Frequently asked questions

We only use reports for hiring. Which parts apply?

The user duties apply: permissible purpose, consumer authorisation, and pre-adverse and adverse action notices. xmodo scopes the pack to the user role when you adopt it, so the agency and furnisher sections do not appear as gaps.

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