How Much Will Additional Government Legislation Affect EFX?
Since the digital database boom is relatively new, there is not a lot of government regulation around database management. The FCRA and its FACTA amendment are the only laws protecting consumer credit privacy at this point. The FCRA (Fair Credit Reporting Act) regulates how credit reporting companies receive, transmit and use consumer credit information and the FACTA (Fair and Accurate Credit Transactions Act) allows consumers to obtain free credit reports from Equifax and its two rivals, Experian and TransUnion annually. Free credit reports available to any of the 220 million consumers in the Equifax database could potentially hurt sales and growth in the Personal Solutions division. The FCRA and FACTA amendment have not severely affected Equifax so far since its revenues have only been rising, but there are a number of advocates that believe stricter laws need to be enacted. At this point it is unclear how new legislation would affect Equifax. On on hand stricter privacy laws could r
