Updated: April 6, 2022
When Vcheck Global acts as a consumer reporting agency, we must follow certain guidelines under the Fair Credit Reporting Act (FCRA) and the Fair and Accurate Credit Transactions Act (FACT Act). These statutes impose various usage requirements for both consumers and businesses when ordering certain background, investigative, personal and other reports. Some of the reports that we offer that do not fall under these Acts.
The Fair Credit Reporting Act (FCRA), first enacted in 1971, deals with the rights of consumers in relation to their credit reports and the obligations of credit reporting agencies and the businesses that provide information to them.
The FACT Act of 2003 created new responsibilities for consumer reporting agencies and users of consumer reports, many concerning disclosures and identity theft. It also created new rights for consumers, including the right to free annual consumer reports and improved access to report information, with the aim of making data in the consumer reporting system more accurate.
The FCRA allows a consumer reporting agency, like Vcheck Global, to furnish a consumer report (a written, oral, or other communication of information by a consumer reporting agency bearing on a consumer’s credit worthiness, credit standing, credit capacity, character, general reputation, personal characteristics, or mode of living, which is used or expected to be used or collected in whole or in part for the purpose of establishing the consumer’s eligibility for (a) credit or insurance to be used primarily for personal, family, or household purposes, (b) employment purposes (such as employment, promotion, reassignment or retention), or (c) any other purpose authorized under section 1681b of the FCRA).
A Consumer Reporting Agency may generally furnish a consumer report under the following instances;
In response to a court order or federal grand jury subpoena.
In accordance with the written instructions of the consumer.
To a person, including a financial institution, that it has reason to believe:
- Intends to use the report in connection with a credit transaction involving the consumer (including extending, reviewing, and collecting credit); Intends to use the information for employment purposes; Intends to use the information in connection with the underwriting of insurance involving the consumer;
- Intends to use the information in connection with a determination of the consumer’s eligibility for a license or other benefit granted by a governmental instrumentality that is required by law to consider an applicant’s financial responsibility;
- Intends to use the information, as a potential investor or servicer or a current insurer, in connection with a valuation of, or an assessment of the credit or prepayment risks associated with, an existing credit obligation; or
- Otherwise has a legitimate business need for the information in connection with a business transaction that is initiated by the consumer, or to review an account to determine whether the consumer continues to meet the terms of the account.
In response to a request by the head of a state or local child support enforcement agency (or authorized appointee), if the person certifies various information to the consumer reporting agency regarding the need to obtain the report. (Generally, a financial institution that is not a consumer reporting agency is not involved in such a situation.)
Vcheck Global encourages you to explore the links below to read about your legal rights and obligations under the FCRA prior to submitting a request.