OCC / FCRA – 25. What are the authorized purposes for which consumer reports can be furnished?

Compliance > FCRA
Q:  What are the authorized purposes for which consumer reports can be furnished?
 
A:  Reports may be furnished only:
 
• In response to a court order.
• According to the written instructions of the consumer to whom it relates.
• For an extension of credit involving the consumer (or review or collection of the consumer’s account).
• For employment purposes.
• For the underwriting of insurance.
• For a determination of the consumer’s eligibility for a license or other benefit granted by a governmental instrumentality in which the determination of an applicant’s financial responsibility or status is required by law.
• For any other legitimate business need in connection with a business transaction involving the consumer (for example, on a consumer who wishes to establish a checking account in the bank, or for a builder checking the financial condition of a prospective buyer) (16 CFR 604).
 
 
This Q&A was obtained from the Comptroller’s Handbook on Fair Credit Reporting that may be found here:  https://www.occ.gov/publications-and-resources/publications/comptrollers-handbook/files/fair-credit-reporting/index-fair-credit-reporting.html
 
 

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