How has the computer age affected the credit reporting process?
Where once a credit grantor might have offered credit based on the application of a handful of credit-related criteria, credit reporting today often applies dozens of interrelated criteria. Although the creditor who views your credit report may not see a paper copy of the credit file, the amount of information that he knows about you is almost limitless. What are the laws governing credit bureaus? Congress passed the Fair Credit Reporting Act (FCRA) in 1972 to curb the abuses of the credit reporting bureaus. The FCRA is the governing federal law on the issue of credit reporting. The Fair Credit Reporting Act helps consumers promote and use their right to make changes to credit reports. It is a requirement, under section 1681e, that: (b) Whenever a consumer reporting agency prepares a consumer report, it shall follow reasonable procedures to assure maximum possible accuracy of the information concerning the individual about whom the report relates. Further, the FCRA provides a procedure
