Free Credit Reports For
Consumers
The Fair and Accurate Credit Transactions Act (FACT Act) will help reduce
identity theft according to the Federal Trade Commission. One provision
requires the three major credit-reporting agencies to provide consumers with
a free copy of their own credit report. The requirement took effect December
2004, with phase-in over nine months from West to East. By September, 2005,
all parts of the country will be covered.
Another provision is the National Fraud Alert System. Consumers who
reasonably suspect they have been or may be victimized by identity theft, or
who are military personnel on active duty away from home, can place an alert
on their credit files. The alert will put potential creditors on notice that
they must proceed with caution when granting credit.
Other measures will help consumers recover their credit reputation after
they have been victimized:
- Credit reporting agencies must stop
reporting allegedly fraudulent account information when a consumer
establishes that he or she has been the victim of identity theft:
- Creditors or businesses must provide copies
of business records of fraudulent accounts or transactions related to
them. This information can assist victims in proving that they are, in
fact, victims.
- Consumers will be allowed to report
accounts affected by identity theft directly to creditors-in addition to
credit reporting agencies-to prevent the spread of erroneous credit
information.
TO OBTAIN A FREE CREDIT REPORT:
