Under the Fair Credit Reporting Act

question 62

Multiple Choice

Under the Fair Credit Reporting Act:

• A) credit reports may be used by potential employers and lenders, but not insurers.
• B) consumer reporting agencies must notify consumers, orally or in writing, before making an investigative report.
• C) if a consumer does not agree with information in the file and so notifies the reporting agency, the agency must reinvestigate the matter, even if the agency thinks the complaint is frivolous or irrelevant.
• D) upon request, each nationwide consumer reporting company must provide a free copy of an individual's credit report once every 12 months.

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Definitions:

Effort

The amount of work or energy expended towards the accomplishment of a task or objective.

Additional Interest

Interest that accrues in addition to the regular interest, often due to late payments or changes to agreed terms.

Borrow

The act of obtaining or receiving something with the intention of returning it or its equivalent.

Pay Back

A financial metric used to evaluate the time required to recoup the cost of an investment, gauging its profitability.