In March 2023, the Consumer Financial Protection Bureau (CFPB) released an updated version of a form titled “A Summary of Your Rights Under the Fair Credit Reporting Act” that employers conducting background checks are required to use under the Fair Credit Reporting Act (FCRA). The mandatory compliance date for employers to use the updated form is March 20, 2024.
After publishing the updated form in March 2023, the CFPB – which enforces the FCRA – published a final rule in the Federal Register about corrections to contact information on the form that took effect in April 2023. Both English and Spanish versions of the new form are available on the CFPB’s “Model Forms and Disclosures” web page under “Summary of Consumer Rights”:
- A Summary of Your Rights Under the Fair Credit Reporting Act
- Un resumen de sus derechos en virtud de la Ley de Informe Justo de Crédito
The form is a summary of the rights of consumers under the FCRA, which include first giving their written consent for their consumer reports to be provided to employers, having the right to know what is in their report, having the right to dispute incomplete or inaccurate information in their report, and being told if information in their report has been used against them.
“Consumer reporting agencies must provide a Summary of Consumer Rights when making a written disclosure of information from a consumer’s file or providing a credit score to a consumer, and the FCRA also requires certain other persons to provide a Summary of Consumer Rights to consumers under specified circumstances,” according to the final rule published by the CFPB.
ClearStar is a consumer reporting agency (CRA) specializing in background checks, drug testing, and occupational health screening. ClearStar offers employers compliance services that include a full understanding of the FCRA and other laws affecting background screening in the United States and internationally. To learn more about ClearStar, please contact us.
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Thomas Ahearn - Digital Content Editor
Thomas Ahearn is a Digital Content Editor at ClearStar, a leading Human Resources (HR) technology company specializing in background checks, drug testing, and occupational health screening. He writes about a variety of topics in the background screening industry including Artificial Intelligence (AI), "Ban the Box," class action lawsuits, credit reports, criminal records, drug testing, Equal Employment Opportunity Commission (EEOC), Fair Credit Reporting Act (FCRA), Form I-9, identity theft, privacy, social media screening, and workplace violence.
At ClearStar, we are committed to your success. An important part of your employment screening program involves compliance with various laws and regulations, which is why we are providing information regarding screening requirements in certain countries, region, etc. While we are happy to provide you with this information, it is your responsibility to comply with applicable laws and to understand how such information pertains to your employment screening program. The foregoing information is not offered as legal advice but is instead offered for informational purposes. ClearStar is not a law firm and does not offer legal advice and this communication does not form an attorney client relationship. The foregoing information is therefore not intended as a substitute for the legal advice of a lawyer knowledgeable of the user’s individual circumstances or to provide legal advice. ClearStar makes no assurances regarding the accuracy, completeness, or utility of the information contained in this publication. Legislative, regulatory and case law developments regularly impact on general research and this area is evolving rapidly. ClearStar expressly disclaim any warranties or responsibility or damages associated with or arising out of the information provided herein.
