CFPB issues interim final rule on FCRA disclosures
The Consumer Financial Protection Bureau issued an interim final rule on Wednesday requiring that credit reporting agencies keep initial fraud alerts in a consumer’s file for a minimum of one year, up from the current 90 days.
The CFPB issued the interim final rule to reflect technical revisions to the Fair Credit Reporting Act, which requires that credit reporting agencies allow consumers to freeze their accounts free of charge.
The revisions were mandated by Congress' passage in May of the Economic Growth, Regulatory Relief, and Consumer Protection Act.
Because the revisions to the FCRA go into effect on Sept. 21, and the changes are technical in nature, the CFPB chose to skip the public comment period.
The Administrative Procedure Act allows the CFPB to issue a rule without advance public comment when there is “good cause,” and the changes need to be made in time for the industry to meet Congress’s deadline.
The CFPB’s interim final rule updates the bureau’s two model disclosure forms and also permits the industry to use substantially similar forms.