In 2023, the Consumer Financial Protection Bureau (CFPB) released an updated version of the publication titled “A Summary of Your Rights Under the Fair Credit Reporting Act,” commonly referred to as the “FCRA Summary of Consumer Rights.” The revised document supersedes the previous version issued in October 2018. Both English and Spanish versions of the FCRA Summary of Consumer Rights are accessible on the CFPB’s website.
Key revisions made by the CFPB include non-substantive changes aimed at rectifying contact information for various federal agencies and updating references to outdated business types like “Federal Land Banks.” Additionally, technical corrections have been implemented.
It’s crucial to note that the March 17, 2023, version of the FCRA Summary of Consumer Rights was published with erroneous contact information. That version remained live on the CFPB’s website for a week before being corrected on March 24, 2023. The file name remained unchanged between the two versions. Therefore, employers must ensure they use the current and corrected version of the FCRA Summary of Consumer Rights to comply with Fair Credit Reporting Act (FCRA) regulations.
A way to distinguish between the March 17, 2023, version and the current FCRA Summary of Rights version issued March 24 is by reviewing page 4, item 3, referencing air carriers. The name of the contact in the correct and current version of the document is the “Assistant General Counsel for Office of Aviation Consumer Protection.” The word “Consumer” was omitted in the March 17 version.
The federal Fair Credit Reporting Act mandates employers and consumer reporting agencies (CRAs) to furnish the FCRA Summary of Consumer Rights to applicants and employees. Employers must include the FCRA Summary of Consumer Rights and a copy of the individual’s background check with every pre-adverse action notice. The pre-adverse action notice warns the individual that an adverse employment decision may be made based on the background check results. CRAs must provide the FCRA Summary of Rights when making a written disclosure of information from a consumer’s file. The compliance deadline for updating forms with the revised Summary is March 20, 2024.
While the recent updates may seem procedural, they underscore the technical nature of FCRA compliance. Employers and CRAs that fail to comply with the FCRA may be subject to penalties. Employers are reminded to regularly review processes and forms to mitigate the risk of litigation and ensure alignment with current regulations. Consulting the CFPB’s website, background check vendors, or legal counsel can assist employers in confirming the implementation of the latest version of the FCRA Summary of Consumer Rights.
