What this means:

Under the Fair Credit Reporting/FACT Act, there are various usage requirements for both consumers and businesses when ordering certain background, investigative, personal and other reports.

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 under the following circumstances and no other:

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 on the right to read about your legal rights and obligations under the FCRA prior to submitting a request.