HB 1681 - Fair Consumer Reporting Act; enact
Georgia House of Representatives - 1995/1996 Sessions
HB 1681 - Fair Consumer Reporting Act; enact
1. Dix 76th
House Comm: Ind / Senate Comm: /
House Vote: Yeas Nays Senate Vote: Yeas Nays
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House Action Senate
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2/13/96 Read 1st Time
2/14/96 Read 2nd Time
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Code Sections amended: 10-1-910, 10-1-911, 10-1-912, 10-1-913, 10-1-914,
10-1-915, 10-1-916, 10-1-917, 10-1-918, 10-1-919, 10-1-920, 10-1-921, 10-1-922,
10-1-923, 10-1-924, 10-1-925, 10-1-926, 10-1-927, 10-1-928, 10-1-929
HB 1681 LC 26 0042
A BILL TO BE ENTITLED
AN ACT
1- 1 To amend Chapter 1 of Title 10 of the Official Code of
1- 2 Georgia Annotated, relating to selling and other trade
1- 3 practices, so as to provide for regulation of consumer
1- 4 reporting and the rights and duties of consumers, consumer
1- 5 reporting agencies, and others; to provide for a short
1- 6 title; to provide for definitions; to provide for
1- 7 circumstances under which consumer reports may be furnished;
1- 8 to provide for election by a consumer to have the consumer's
1- 9 name and address excluded from certain unsolicited credit
1-10 transaction reports; to provide for limitations on
1-11 information which may be included in a consumer report; to
1-12 provide for restrictions on preparing or causing to be
1-13 prepared certain investigative consumer reports; to provide
1-14 for procedures to be followed by consumer reporting agencies
1-15 in complying with the foregoing; to provide for procedures
1-16 to be followed by consumer reporting agencies and others in
1-17 verifying the accuracy and completeness of information
1-18 contained within consumer reports; to provide for the
1-19 disclosure of certain contents of consumer reports; to
1-20 provide for certain mandatory notices of consumer rights; to
1-21 provide for restrictions on private causes of action
1-22 relating to consumer reports; to provide procedures to be
1-23 followed in case of disputes as to accuracy of information
1-24 contained within a consumer report; to provide for
1-25 limitations on charging consumers for certain disclosures of
1-26 information contained in consumer reports; to provide for
1-27 notification of consumers by consumer reporting agencies
1-28 where certain information is disclosed for employment
1-29 purposes; to provide for updating and completeness of
1-30 information contained within consumer reports; to provide
1-31 for verification of adverse information contained within
1-32 consumer reports; to provide that users of consumer reports
1-33 shall provide notification of adverse action to consumers
1-34 under certain circumstances; to provide that users of
1-35 consumer reports shall provide certain information to
1-36 consumers when notifying of adverse action; to provide for
1-37 offenses relative to the foregoing; to provide that
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LC 26 0042
2- 1 violations shall be deemed unfair business practices under
2- 2 Part 2 of Article 15 of Chapter 1 of Title 10; to provide
2- 3 for a consumer ombudsman in the Department of Law and to
2- 4 provide for consumer complaints to the consumer ombudsman
2- 5 and for procedures which the ombudsman may undertake in
2- 6 relation thereto; to provide for related matters; to repeal
2- 7 conflicting laws; and for other purposes.
2- 8 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION 1.
2- 9 Chapter 1 of Title 10 of the Official Code of Georgia
2-10 Annotated, relating to selling and other trade practices, is
2-11 amended by adding thereto a new Article 34 to read as
2-12 follows:
"ARTICLE 34
2-13 10-1-910. (Index)
2-14 This article shall be known and may be cited as the 'Fair
2-15 Consumer Reporting Act.'
2-16 10-1-911. (Index)
2-17 As used in this article, the term:
2-18 (1) 'Consumer' means a natural person.
2-19 (2) 'Consumer report' means any written or other
2-20 communication of any information by a consumer reporting
2-21 agency bearing on a consumer's credit worthiness, credit
2-22 standing, or credit capacity which is used or intended
2-23 to be used or collected in whole or in part for the
2-24 purpose of serving as a factor in establishing the
2-25 consumer's eligibility for:
2-26 (A) Credit or insurance to be used primarily for
2-27 personal, family, or household purposes;
2-28 (B) Employment purposes; or
2-29 (C) Other purposes authorized under Code Section
2-30 10-1-912.
2-31 This term does not include any report containing
2-32 information solely as to transactions or experiences
2-33 between the consumer and the person making the report,
2-34 any authorization or approval of a specific extension of
2-35 credit directly or indirectly by the issuer of a credit
2-36 card or similar device, or any report in which a person
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LC 26 0042
3- 1 who has been requested by a third party to make a
3- 2 specific extension of credit directly or indirectly to a
3- 3 consumer conveys his or her decision with respect to
3- 4 such request if the third party advises the consumer of
3- 5 the name and address of the person to whom the request
3- 6 was made and such person makes the disclosures to the
3- 7 consumer required under Code Section 10-1-919.
3- 8 (3) 'Consumer reporting agency' or 'agency' means any
3- 9 person which, for monetary fees, dues, or on a
3-10 cooperative nonprofit basis, regularly engages in whole
3-11 or in part in the practice of assembling or evaluating
3-12 consumer credit information or other information on
3-13 consumers for the purpose of furnishing consumer reports
3-14 to third parties.
3-15 (4) 'Employment purposes' means, when used in connection
3-16 with a consumer report, a report used for the purpose of
3-17 evaluating a consumer for employment, promotion,
3-18 reassignment, or retention as an employee.
3-19 (5) 'File' means, when used in connection with
3-20 information on any consumer, all of the information on
3-21 that consumer recorded or retained by a consumer
3-22 reporting agency regardless of how the information is
3-23 stored.
3-24 (6) 'Firm offer of credit' means any offer of credit to
3-25 a consumer that will be honored if, based on information
3-26 in a consumer report on the consumer and other
3-27 information relative to the credit worthiness of the
3-28 consumer, the consumer is determined to meet the
3-29 criteria used to select the consumer for the offer.
3-30 (7) 'Investigative consumer report' means a consumer
3-31 report or portion thereof in which information on a
3-32 consumer's character, general reputation, personal
3-33 characteristics, or mode of living is obtained through
3-34 personal interviews with neighbors, friends, or
3-35 associates of the consumer reported on or with others
3-36 with whom the consumer is acquainted or who may have
3-37 knowledge concerning any such items of information.
3-38 However, such information shall not include specific
3-39 factual information on a consumer's credit record
3-40 obtained directly from a creditor of the consumer or
3-41 from a consumer reporting agency when such information
3-42 was obtained directly from a creditor of the consumer or
3-43 from the consumer.
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4- 1 (8) 'Medical information' means information or records
4- 2 obtained with the consent of the individual to whom it
4- 3 relates from physicians or other health care
4- 4 practitioners, hospitals, clinics, or other medical or
4- 5 medically related facilities.
4- 6 (9) 'Prescreening' means a process whereby a consumer
4- 7 reporting agency compiles or edits for a client a list
4- 8 of consumers who meet specific criteria and provides
4- 9 such list to the client or third party on behalf of the
4-10 client for the purpose of making a firm offer of credit.
4-11 (10) 'User' means any person seeking or obtaining a
4-12 consumer report for purposes authorized in Code Section
4-13 10-1-912.
4-14 10-1-912. (Index)
4-15 (a) A consumer reporting agency may furnish a consumer
4-16 report under the following circumstances and no others:
4-17 (1) In response to an order of a court of competent
4-18 jurisdiction;
4-19 (2) In accordance with the written instructions of the
4-20 consumer to whom it relates; or
4-21 (3) To a person whom it reasonably believes:
4-22 (A) Intends to use the information in connection with
4-23 a credit transaction involving the consumer on whom
4-24 the information is to be furnished and involving the
4-25 extension of credit to, or review or collection of an
4-26 account of, the consumer;
4-27 (B) Intends to use the information for employment
4-28 purposes;
4-29 (C) Intends to use the information in connection with
4-30 the underwriting of insurance involving the consumer;
4-31 (D) Intends to use the information in connection with
4-32 a transaction either entered into or being negotiated
4-33 with a consumer if by the terms of the transaction
4-34 either party transfers an interest in real or personal
4-35 property, pays money, or renders services or becomes
4-36 obligated to transfer property, pay money, or render
4-37 services; provided, however, that the consumer who is
4-38 the subject of the report, except in the case of the
4-39 rental or lease of residential property, has provided
4-40 permission in writing or in the same manner in which
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LC 26 0042
5- 1 the transaction was negotiated or entered into that a
5- 2 consumer report may be requested in connection with
5- 3 the transaction; or
5- 4 (E) Intends to use the information for investigating
5- 5 child support cases pursuant to Title IV-D of the
5- 6 Social Security Act, 42 U.S.C. Section 651, et seq.,
5- 7 and P.L. 1981, c. 417.
5- 8 (b) A consumer reporting agency may furnish information
5- 9 for the purposes of a credit transaction under
5-10 subparagraph (a)(3)(A) of this Code section when the
5-11 credit transaction is not initiated by the consumer only
5-12 if:
5-13 (1) The consumer authorizes the consumer reporting
5-14 agency to furnish the consumer credit report to the
5-15 person; or
5-16 (2) The proposed transaction involves a firm offer of
5-17 credit to the consumer, the consumer reporting agency
5-18 has complied with the provisions of Code Section
5-19 10-1-913, the consumer has not elected to have the
5-20 consumer's name excluded from any list of names provided
5-21 by the consumer reporting agency for purposes of
5-22 reporting in connection with the potential issuance of
5-23 firm offers of credit, and the agency provides only the
5-24 name and address of the consumer and information
5-25 pertaining to a consumer which is not identified or
5-26 identifiable with particular accounts or transactions of
5-27 the consumer.
5-28 10-1-913. (Index)
5-29 (a) A consumer may elect to have his or her name and
5-30 address excluded from any list provided by a consumer
5-31 reporting agency pursuant to paragraph (2) of subsection
5-32 (b) of Code Section 10-1-912 by notifying the consumer
5-33 reporting agency, by telephone or in writing, through the
5-34 notification system maintained by the consumer reporting
5-35 agency pursuant to subsection (c) of this Code section
5-36 that the consumer does not consent to any use of consumer
5-37 reports relating to the consumer in connection with any
5-38 transaction that is not initiated by the consumer.
5-39 (b) An election by a consumer under this Code section
5-40 shall be effective with respect to a consumer reporting
5-41 agency, and any affiliate of the consumer reporting
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LC 26 0042
6- 1 agency, on the date on which the consumer notifies the
6- 2 consumer reporting agency.
6- 3 (c) Each consumer reporting agency that provides
6- 4 prescreening lists under paragraph (2) of subsection (b)
6- 5 of Code Section 10-1-912 in connection with a credit
6- 6 transaction not initiated by the consumer shall establish
6- 7 and maintain a notification system, including a toll free
6- 8 telephone number, which permits any consumer, with
6- 9 appropriate identification and for whom the consumer
6-10 reporting agency has a file, to notify the consumer
6-11 reporting agency of the consumer's election to have the
6-12 consumer's name removed from any list of names and
6-13 addresses provided by the consumer reporting agency. Each
6-14 consumer reporting agency which compiles and maintains
6-15 files on consumers on a nation-wide basis shall establish
6-16 and maintain a notification system jointly with its
6-17 affiliated consumer reporting agencies.
6-18 (d) Any person who uses a consumer report in connection
6-19 with any credit transaction not initiated by the consumer
6-20 and which consists of a firm offer of credit shall provide
6-21 with any solicitation made to the consumer a clear and
6-22 conspicuous statement that the consumer has a right to
6-23 prohibit the use of information contained in the
6-24 consumer's file with any consumer reporting agency in
6-25 connection with any credit transaction that is not
6-26 initiated by the consumer. The statement shall inform the
6-27 consumer that the consumer may exercise this right by
6-28 notifying the consumer reporting agency by employing the
6-29 notification system or joint notification system
6-30 established under subsection (c) of this Code section. A
6-31 consumer may cancel or review his or her decision to have
6-32 his or her name removed from prescreening lists provided
6-33 under paragraph (2) of subsection (b) of Code Section
6-34 10-1-912 by notifying the consumer reporting agency
6-35 through the notification system established under
6-36 subsection (c) of this Code section. Nothing in this
6-37 subsection shall preclude a person who uses a consumer
6-38 report in connection with credit transactions not
6-39 initiated by the consumer from establishing a notification
6-40 system pursuant to subsection (c) of this Code section and
6-41 providing such toll free telephone number on any
6-42 solicitation pursuant to this subsection which allows the
6-43 person to notify each applicable consumer reporting agency
6-44 on the consumer's behalf after receiving notice from the
6-45 consumer of his or her election to have his or her name
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7- 1 removed from such prescreening list or of the consumer's
7- 2 decision to review or cancel such a removal.
7- 3 10-1-914. (Index)
7- 4 (a) Except as authorized under subsection (b) of this Code
7- 5 section, no consumer reporting agency shall make any
7- 6 consumer report containing any of the following items of
7- 7 information:
7- 8 (1) Bankruptcies which, from date of adjudication of the
7- 9 most recent bankruptcy, antedate the report by more than
7-10 14 years;
7-11 (2) Suits and judgments which, from date of entry,
7-12 antedate the report by more than seven years or until
7-13 the governing statute of limitations has expired,
7-14 whichever is the longer period;
7-15 (3) Paid tax liens which, from the date of payment,
7-16 antedate the report by more than seven years;
7-17 (4) Accounts placed for collection or charged to profit
7-18 and loss which antedate the report by more than seven
7-19 years;
7-20 (5) Records of arrest, indictment, or conviction of
7-21 crime which, from date of disposition, release, or
7-22 parole, antedate the report by more than seven years; or
7-23 (6) Any other adverse item of information which
7-24 antedates the report by more than four years.
7-25 (b) The provisions of subsection (a) of this Code section
7-26 are not applicable in the case of any consumer credit
7-27 report to be used in connection with:
7-28 (1) A credit transaction involving, or which may
7-29 reasonably be expected to involve, a principal amount of
7-30 $50,000.00 or more;
7-31 (2) The underwriting of life insurance involving, or
7-32 which may reasonably be expected to involve, a face
7-33 amount of $50,000.00 or more; or
7-34 (3) The employment of any individual at an annual salary
7-35 which equals or which may reasonably be expected to
7-36 equal $20,000.00 or more.
7-37 10-1-915. (Index)
7-38 (a) A person may not procure or cause to be prepared an
7-39 investigative consumer report on any consumer unless:
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8- 1 (1) It is clearly and accurately disclosed in writing to
8- 2 the consumer, prior to requesting the consumer reporting
8- 3 agency to prepare the report, that an investigative
8- 4 consumer report commonly includes information as to the
8- 5 consumer's character, general reputation, personal
8- 6 characteristics, and mode of living and the disclosure
8- 7 includes the precise nature and scope of the
8- 8 investigation requested and the right of the consumer to
8- 9 have a copy of the report upon request; and
8-10 (2) The consumer provides the person requesting the
8-11 report written permission to obtain the investigative
8-12 consumer report prior to that person's making the
8-13 request to the consumer reporting agency.
8-14 (b) The consumer reporting agency shall, upon the request
8-15 of the consumer, provide to the consumer a copy of such
8-16 report upon its completion.
8-17 (c) No person may be held criminally liable for any
8-18 violation of any provision of this Code section unless it
8-19 is proven beyond a reasonable doubt that at the time of
8-20 the violation he or she did not maintain reasonable
8-21 procedures to assure compliance with the provisions of
8-22 this Code section.
8-23 10-1-916. (Index)
8-24 (a) Every consumer reporting agency shall maintain
8-25 reasonable procedures designed to avoid violation of Code
8-26 Section 10-1-914 and to limit the furnishing of consumer
8-27 reports to the purposes listed under Code Section
8-28 10-1-912. These procedures shall require that prospective
8-29 users of information identify themselves, certify the
8-30 purposes for which the information is sought, and certify
8-31 that the information will be used for no other purpose.
8-32 Every consumer reporting agency shall make a reasonable
8-33 effort to verify the identity of a new prospective user
8-34 and the uses certified by such prospective user prior to
8-35 furnishing such user a consumer report. No consumer
8-36 reporting agency may furnish a consumer report to any
8-37 person if it has reasonable grounds for believing that the
8-38 consumer report will not be used for a purpose listed in
8-39 Code Section 10-1-912.
8-40 (b) Whenever a consumer reporting agency prepares or
8-41 disseminates a consumer report it shall follow reasonable
8-42 procedures to assure maximum possible accuracy and
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9- 1 completeness of the information concerning the consumer to
9- 2 whom the report relates.
9- 3 10-1-917. (Index)
9- 4 (a) Every person who regularly furnishes information to a
9- 5 consumer reporting agency shall follow reasonable
9- 6 procedures to ensure that the information reported to a
9- 7 consumer reporting agency is accurate and complete. No
9- 8 person shall provide information to a consumer reporting
9- 9 agency if such person knows or has reasonable cause to
9-10 believe such information is not accurate or complete.
9-11 (b) A person who:
9-12 (1) In the ordinary course of business regularly and on
9-13 a routine basis furnishes information to one or more
9-14 consumer reporting agencies about the person's own
9-15 transactions or experiences with one or more consumers;
9-16 and
9-17 (2) Determines that information on a specific
9-18 transaction or experience so provided to a consumer
9-19 reporting agency is not complete or accurate
9-20 shall promptly notify the consumer reporting agency of
9-21 such determination and provide to the consumer reporting
9-22 agency any corrections to that information or any
9-23 additional information necessary to make the information
9-24 provided by the person to the consumer reporting agency
9-25 complete and accurate.
9-26 (c) While the completeness or accuracy of any information
9-27 on a specific transaction or experience furnished by any
9-28 person to a consumer reporting agency is subject to a
9-29 continuing bona fide dispute between the affected consumer
9-30 and that person, the person shall not furnish the
9-31 information to any consumer reporting agency without also
9-32 including a notice that the information is disputed by the
9-33 consumer; provided, however, that no person shall report
9-34 to a consumer reporting agency that a consumer's account
9-35 is delinquent until any bona fide dispute is resolved
9-36 pursuant to the federal Fair Credit Billing Act, 15 U.S.C.
9-37 Section 1666, et seq.
9-38 (d) A person who regularly furnishes information to a
9-39 consumer reporting agency regarding a consumer having an
9-40 open-end credit account with such person, and which
9-41 account is closed by the consumer, shall notify the
9-42 consumer reporting agency of the closure of the account by
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LC 26 0042
10- 1 the consumer, in information regularly furnished for the
10- 2 period in which the account is closed.
10- 3 (e) A person who places a delinquent account for
10- 4 collection, internally or by referral to a third party,
10- 5 charges the delinquent account to profit and loss, or
10- 6 takes similar action and subsequently furnishes
10- 7 information to a consumer reporting agency regarding such
10- 8 action shall include within the information furnished the
10- 9 approximate commencement date of the delinquency which
10-10 gave rise to the action, unless such date was previously
10-11 reported to the consumer reporting agency. Nothing
10-12 contained in this Code section shall be deemed to require
10-13 that a delinquency must be reported to a consumer
10-14 reporting agency.
10-15 (f) Upon receiving notice of a dispute notice pursuant to
10-16 subsection (a) of Code Section 10-1-921 with regard to the
10-17 completeness or accuracy of any information provided to a
10-18 consumer reporting agency, the person that provided the
10-19 information shall:
10-20 (1) Complete an investigation with respect to the
10-21 disputed information and report to the consumer
10-22 reporting agency the results of that investigation
10-23 within 30 business days of the date the consumer
10-24 reporting agency receives the notice of dispute from the
10-25 consumer in accordance with subsection (a) of Code
10-26 Section 10-1-921; and
10-27 (2) Review relevant information submitted to it.
10-28 (g) A person who furnishes information to a consumer
10-29 reporting agency shall not be held criminally liable for
10-30 failure to comply with any provision of this Code section
10-31 unless it is proven beyond a reasonable doubt that, at the
10-32 time of the failure to comply with any provision of this
10-33 Code section, that person did not maintain reasonable
10-34 procedures to comply with such provisions.
10-35 10-1-918. (Index)
10-36 Notwithstanding the provisions of Code Section 10-1-912, a
10-37 consumer reporting agency may furnish identifying
10-38 information respecting any consumer, limited to his or her
10-39 name, address, former addresses, places of employment, or
10-40 former places of employment, to a government agency.
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11- 1 10-1-919. (Index)
11- 2 (a) Every consumer reporting agency shall, upon request
11- 3 and proper identification of any consumer, clearly and
11- 4 accurately disclose to the consumer:
11- 5 (1) The nature, contents, and substance of all
11- 6 information, except medical information, in its file on
11- 7 the consumer at the time of the request and which is
11- 8 obtainable based upon the identifying information
11- 9 supplied by the consumer when making the request and, if
11-10 the consumer has made a written request, deliver a
11-11 written copy or photocopy of all such information except
11-12 any code identifications which are used solely for
11-13 purposes of transferring such information to and from
11-14 consumer reporting agencies; provided, however, that the
11-15 names of the users corresponding to the code
11-16 identifications shall be disclosed to the consumer;
11-17 provided, further, that the agency shall provide a
11-18 clear, simple, and plain meaning explanation of the
11-19 information provided under this Code section and such
11-20 explanation shall be in a readable format employing no
11-21 smaller than ten-point type;
11-22 (2) The sources of all credit information obtained
11-23 through routine credit reporting or through any other
11-24 credit reporting techniques in the file at the time of
11-25 the request, except that sources of information acquired
11-26 solely for use in preparing an investigative consumer
11-27 report and actually used for no other purpose need not
11-28 be disclosed; provided, however, that, in the event an
11-29 action is brought, such sources shall be available to
11-30 the plaintiff under appropriate discovery procedures in
11-31 the court in which the action is brought; and
11-32 (3) The recipients of any consumer report on the
11-33 consumer which it has furnished for employment purposes
11-34 within the two-year period preceding the request and for
11-35 any other purpose within the six-month period preceding
11-36 the request.
11-37 (b) Every consumer reporting agency, upon contact by a
11-38 consumer by phone, mail, or in person regarding
11-39 information which may be contained in the agency files
11-40 regarding that consumer shall, with each written
11-41 disclosure or in response to a request by the consumer to
11-42 be advised as to his or her rights promptly advise the
11-43 consumer of the consumer's rights under this Code section.
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12- 1 The written notice shall be in a readable format employing
12- 2 no smaller than ten-point type and shall state
12- 3 substantially the following:
12- 4 'You have a right to obtain a copy of your credit file
12- 5 from a consumer credit reporting agency. You may be
12- 6 charged a reasonable fee not exceeding $8.00. There is
12- 7 no fee, however, if you have been turned down for
12- 8 credit, employment, insurance, or rental dwelling
12- 9 because of information in your credit report within the
12-10 preceding 60 days. The consumer credit reporting agency
12-11 must provide someone to help you interpret the
12-12 information in your credit file. Each calendar year you
12-13 are entitled to receive, upon request, one free consumer
12-14 credit report.
12-15 You have a right to dispute inaccurate information by
12-16 contacting the consumer credit reporting agency
12-17 directly. However, neither you nor any credit repair
12-18 company or credit service organization has the right to
12-19 have accurate, current, and verifiable information
12-20 removed from your credit report. In most cases, under
12-21 state and federal law, the consumer credit reporting
12-22 agency must remove accurate, negative information from
12-23 your report only if it is over seven years old and must
12-24 remove bankruptcy information only if it is over ten
12-25 years old.
12-26 If you have notified a consumer credit reporting agency
12-27 in writing that you dispute the accuracy of information
12-28 in your file, the consumer credit reporting agency must
12-29 then, within 30 business days, reinvestigate and modify
12-30 or remove inaccurate information. The consumer credit
12-31 reporting agency may not charge a fee for this service.
12-32 Any pertinent information and copies of all documents
12-33 you have concerning a dispute should be given to the
12-34 consumer credit reporting agency.
12-35 If reinvestigation does not resolve the dispute to your
12-36 satisfaction, you may send a statement to the consumer
12-37 credit reporting agency to keep in your file explaining
12-38 why you think the record is inaccurate. The consumer
12-39 credit reporting agency must include your statement
12-40 about the disputed information in a report it issues
12-41 about you.
12-42 You have a right to receive a record of all inquiries
12-43 relating to a credit transaction initiated in the six
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13- 1 months preceding your request or two years in the case
13- 2 of a credit report used for employment purposes. This
13- 3 record shall include the recipients of any consumer
13- 4 credit report.
13- 5 You have the right to opt out of any prescreening lists
13- 6 compiled by or with the assistance of a consumer credit
13- 7 reporting agency by calling the agency's toll free
13- 8 telephone number or contacting the agency in writing.
13- 9 You may be entitled to collect compensation in certain
13-10 circumstances if you are damaged by a person's negligent
13-11 or intentional failure to comply with the provisions of
13-12 Article 34 of Chapter 1 of Title 10 of the Official Code
13-13 of Georgia Annotated, the "Fair Consumer Reporting
13-14 Act."'
13-15 10-1-920. (Index)
13-16 (a) A consumer reporting agency shall make the disclosures
13-17 required under Code Section 10-1-919 during normal
13-18 business hours and on reasonable notice.
13-19 (b) The disclosures required under Code Section 10-1-919
13-20 shall be made to the consumer:
13-21 (1) In person if he or she appears in person and
13-22 furnishes proper identification;
13-23 (2) By telephone if he or she has made a written
13-24 request, with proper identification, for telephone
13-25 disclosure and the toll charge, if any, for the
13-26 telephone call is prepaid by or charged directly to the
13-27 consumer; or
13-28 (3) By certified mail, if he or she has made a written
13-29 request, return receipt requested, delivered to
13-30 addressee only.
13-31 (c) Any consumer reporting agency shall provide a toll
13-32 free telephone number and trained personnel to explain to
13-33 the consumer any information furnished to him or her
13-34 pursuant to Code Section 10-1-919.
13-35 (d) The consumer shall be permitted to be accompanied by
13-36 one other person of his or her choosing, who shall furnish
13-37 reasonable identification. A consumer credit reporting
13-38 agency may require the consumer to furnish a written
13-39 statement authorizing the consumer reporting agency to
13-40 discuss the consumer's file in such person's presence.
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14- 1 (e) Except as provided in Code Sections 10-1-927 and
14- 2 10-1-928, no consumer may bring any action or proceeding
14- 3 in the nature of defamation, invasion of privacy, or
14- 4 negligence with respect to the reporting of information
14- 5 against any consumer reporting agency, any user of
14- 6 information, or any person who furnishes information to a
14- 7 consumer reporting agency based on information disclosed
14- 8 pursuant to Code Section 10-1-919 or 10-1-926, except as
14- 9 to false information furnished with malice or willful
14-10 intent to injure such consumer.
14-11 (f) No person shall be held criminally liable for any
14-12 violation of subsection (b) of this Code section unless it
14-13 is proven beyond a reasonable doubt that at the time of
14-14 the alleged violation such person did not maintain
14-15 reasonable procedures to assure compliance with subsection
14-16 (b) of this Code section.
14-17 10-1-921. (Index)
14-18 (a) If the completeness or accuracy of any item of
14-19 information in his or her file is disputed by a consumer
14-20 and such dispute is directly conveyed to the consumer
14-21 reporting agency by the consumer, the consumer reporting
14-22 agency shall, within 30 business days from the date the
14-23 consumer reporting agency receives notice from the
14-24 consumer, reinvestigate and record the current status of
14-25 such information unless it has reasonable grounds to
14-26 believe that the dispute is frivolous or irrelevant,
14-27 including by reason of a failure of the consumer to
14-28 provide sufficient information as requested by the
14-29 consumer reporting agency, to resolve the dispute. Unless
14-30 the consumer reporting agency determines that the dispute
14-31 is frivolous or irrelevant within five business days of
14-32 the date the consumer reporting agency receives notice of
14-33 the dispute under this Code section, the agency shall
14-34 notify any person who provided the information in dispute
14-35 at the address provided by the person. A consumer
14-36 reporting agency may require that disputes by consumers be
14-37 in writing.
14-38 (b) If the consumer reporting agency determines that the
14-39 dispute is frivolous or irrelevant, it shall notify the
14-40 consumer by mail or, if authorized by the consumer for
14-41 that purpose, by any other means available to the consumer
14-42 reporting agency within five business days after the
14-43 determination is made that it is terminating its
14-44 reinvestigation of the item of information. In this
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15- 1 notification, the consumer reporting agency shall state
15- 2 the specific reasons why it has determined that the
15- 3 consumer's dispute is frivolous or irrelevant. The
15- 4 presence of contradictory information in the consumer's
15- 5 file shall not in and of itself constitute grounds for
15- 6 believing the dispute to be frivolous or irrelevant.
15- 7 (c) If, after reinvestigation of the information, it is
15- 8 found to be inaccurate or can no longer be verified, the
15- 9 consumer reporting agency shall within three business days
15-10 delete the information.
15-11 (d) If the reinvestigation does not resolve the dispute,
15-12 the consumer may file a statement setting forth the nature
15-13 of the dispute.
15-14 (e) Within ten business days after the completion of a
15-15 reinvestigation, the agency shall provide the consumer
15-16 with written information, free of charge, that includes:
15-17 (1) A statement that the reinvestigation is completed;
15-18 (2) A consumer report based on the consumer's file as
15-19 revised as a result of the reinvestigation;
15-20 (3) A description or indication of any changes made in
15-21 the consumer report as a result of the reinvestigation;
15-22 (4) Notice that, upon request, a description of the
15-23 procedure used to determine the accuracy and
15-24 completeness of the information will be provided to the
15-25 consumer by the consumer reporting agency, including the
15-26 business name, address, and telephone number of any
15-27 person who furnished information in connection with the
15-28 reinvestigation;
15-29 (5) Notice that the consumer has the right to add a
15-30 statement to the consumer's file disputing the accuracy
15-31 or completeness of the information;
15-32 (6) Notice that the consumer has the right to request
15-33 that the consumer reporting agency furnish notifications
15-34 under subsections (g) and (i) of this Code section; and
15-35 (7) Notice that the consumer has a right to obtain all
15-36 information required to be disclosed under Code Section
15-37 10-1-919.
15-38 (f) Whenever a statement of dispute is filed, the consumer
15-39 reporting agency shall, in any subsequent consumer report
15-40 containing the information in question, clearly note that
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16- 1 it is disputed by the consumer and provide the consumer's
16- 2 statement as part of its report.
16- 3 (g) Following any deletion of information which is found
16- 4 not to be accurate or whose accuracy can no longer be
16- 5 verified, the consumer reporting agency shall, upon the
16- 6 request of the consumer, within 15 business days furnish
16- 7 notification that the item has been deleted to any person
16- 8 who has within two years prior thereto received a consumer
16- 9 report for employment purposes or within six months prior
16-10 thereto received a consumer report for any other purpose
16-11 which contained the deleted item.
16-12 (h) A consumer reporting agency shall accept the
16-13 consumer's version of the disputed information and correct
16-14 or delete the disputed item when the consumer submits to
16-15 the consumer reporting agency documentation obtained from
16-16 the source of the item in dispute or from public records
16-17 confirming that the report was inaccurate or incomplete,
16-18 unless the consumer reporting agency in good faith has
16-19 substantial reason to doubt the authenticity of the
16-20 documentation or the completeness of the information
16-21 provided.
16-22 (i) No information may be reinserted into a consumer's
16-23 file after having been deleted pursuant to this Code
16-24 section unless the person who furnishes the information to
16-25 be reinserted verifies that the information is accurate.
16-26 If any information so deleted from a consumer's file is
16-27 reinserted into the file, the consumer reporting agency
16-28 shall promptly notify the consumer of the reinsertion in
16-29 writing or, if authorized by the consumer for that
16-30 purpose, by any other means available to the consumer
16-31 reporting agency. As part of, or in addition to, the
16-32 notice, the consumer reporting agency shall, within five
16-33 business days of reinserting the information, provide in
16-34 writing to the consumer:
16-35 (1) A statement that the disputed information has been
16-36 reinserted;
16-37 (2) A notice that the agency will provide to the
16-38 consumer, within 15 days following a request, the name,
16-39 address, and telephone number of any person who
16-40 furnished information in connection with the
16-41 reinsertion;
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LC 26 0042
17- 1 (3) The toll free telephone number of the consumer
17- 2 reporting agency that the consumer may use to obtain the
17- 3 name, address, and telephone number; and
17- 4 (4) A notice that the consumer has the right to add a
17- 5 statement to his or her file disputing the accuracy or
17- 6 completeness of the information.
17- 7 10-1-922. (Index)
17- 8 (a) A consumer reporting agency shall make all disclosures
17- 9 pursuant to Code Section 10-1-919 without charge to the
17-10 consumer if the consumer makes a request under Code
17-11 Section 10-1-919 within 60 days after receipt by the
17-12 consumer of a notification pursuant to Code Section
17-13 10-1-926 or notification from a debt collection agency
17-14 affiliated with the consumer reporting agency stating that
17-15 the consumer's credit rating may be or has been adversely
17-16 affected.
17-17 (b) Except as provided in subsection (c) of this Code
17-18 section, a consumer reporting agency shall not charge a
17-19 consumer for any disclosures or a copy of a consumer
17-20 report requested pursuant to Code Section 10-1-921.
17-21 (c) Except as otherwise provided, the consumer reporting
17-22 agency may impose a reasonable charge not to exceed $8.00:
17-23 (1) For making disclosures to a consumer pursuant to
17-24 Code Section 10-1-920, the charge for which shall be
17-25 indicated to the consumer prior to making disclosure;
17-26 and
17-27 (2) For furnishing notifications, statements, or
17-28 summaries to a person pursuant to subsection (g) of Code
17-29 Section 10-1-921, the charge for which shall be
17-30 indicated to the consumer prior to furnishing the
17-31 information.
17-32 (d) Each consumer reporting agency which compiles and
17-33 maintains files on consumers on a nation-wide basis shall
17-34 furnish without charge to any consumer who has provided
17-35 verification of his or her identity and who meets other
17-36 requirements as set forth in Code Section 10-1-920 and who
17-37 requests a copy of his or her consumer report one complete
17-38 consumer report per calendar year.
17-39 (e) Each consumer reporting agency which does not compile
17-40 and maintain files on consumers on a nation-wide basis
17-41 shall furnish, for a charge not to exceed $5.00, to any
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LC 26 0042
18- 1 consumer who has provided verification of his or her
18- 2 identity and who meets other requirements as set forth in
18- 3 Code Section 10-1-920 and who requests a copy of his or
18- 4 her consumer report one complete consumer report per
18- 5 calendar year.
18- 6 10-1-923. (Index)
18- 7 (a) A consumer reporting agency which furnishes a consumer
18- 8 report for employment purposes and which for that purpose
18- 9 compiles and reports items of information on consumers
18-10 which are matters of public record and are likely to have
18-11 an adverse effect upon a consumer's ability to obtain
18-12 employment shall, at the time such public record
18-13 information is reported to the user of the consumer
18-14 report, notify the consumer of the fact that public record
18-15 information is being reported by the consumer reporting
18-16 agency, together with the name and address of the person
18-17 to whom the information is being reported, or maintain
18-18 strict procedures designed to ensure that whenever public
18-19 record information which is likely to have an adverse
18-20 effect on a consumer's ability to obtain employment is
18-21 reported it is complete and up to date. For purposes of
18-22 this Code section, items of public record relating to
18-23 arrests, indictments, convictions, suits, tax liens, and
18-24 outstanding judgments shall be considered up to date if
18-25 the current public record status of the item at the time
18-26 of the report is reported. Nothing contained in this Code
18-27 section shall permit the use of public record information
18-28 otherwise prohibited by Code Section 10-1-914.
18-29 (b) A consumer reporting agency which furnishes a consumer
18-30 report for employment purposes shall enter into an
18-31 agreement with the user of the consumer report which
18-32 provides that no consumer report may be requested by the
18-33 user until and unless the user has provided written notice
18-34 to the employee or prospective employee that a consumer
18-35 report regarding the employee or prospective employee will
18-36 be requested. For current employees, notification in an
18-37 employee manual shall be sufficient for the purpose of
18-38 this Code section.
18-39 10-1-924. (Index)
18-40 (a) A consumer reporting agency which compiles and reports
18-41 items of information on consumers which are matters of
18-42 public record, for purposes of furnishing a consumer
18-43 report, shall maintain reasonable procedures designed to
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LC 26 0042
19- 1 ensure that whenever public record information is reported
19- 2 in a consumer report it is complete and up to date to the
19- 3 extent practicable. It shall be deemed a reasonable
19- 4 procedure for a consumer reporting agency to report
19- 5 accurately the status of public record information as of
19- 6 the date recorded in its files, provided that the
19- 7 information is updated on a regular basis.
19- 8 (b) When conducting a reinvestigation as required by
19- 9 subsection (a) of Code Section 10-1-921, a consumer
19-10 reporting agency shall promptly record and report the
19-11 current status of the public record.
19-12 (c) Nothing contained in this Code section shall permit
19-13 the use of public record information otherwise prohibited
19-14 under Code Section 10-1-914.
19-15 10-1-925. (Index)
19-16 Whenever a consumer reporting agency prepares an
19-17 investigative consumer report, no adverse information in
19-18 the consumer report, other than information which is a
19-19 matter of public record, may be included in a subsequent
19-20 consumer report unless the adverse information has been
19-21 verified in the process of making such subsequent consumer
19-22 report, or the adverse information was received within the
19-23 three-month period preceding the date the subsequent
19-24 report is furnished.
19-25 10-1-926. (Index)
19-26 (a) Whenever credit or insurance for personal, family,
19-27 household, or employment purposes involving a consumer is
19-28 denied or terminated or the charge for such credit or
19-29 insurance is increased either wholly or partly or whenever
19-30 a consumer's line of credit is reduced, except when the
19-31 consumer is delinquent with regard to such line of credit,
19-32 because of information contained in a consumer report from
19-33 a consumer reporting agency, the user of the consumer
19-34 report shall, within ten business days of its decision to
19-35 deny or terminate such credit, insurance, or employment or
19-36 to increase the charge for such credit or insurance or to
19-37 reduce a consumer's line of credit, except when the
19-38 consumer is delinquent with regard to such line of credit,
19-39 notify such consumer in writing against whom such adverse
19-40 action has been taken. The notice shall be in a readable
19-41 format employing no smaller than ten-point type, shall
19-42 contain the name, address, and toll free telephone number
19-43 of any consumer reporting agency which provided any
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LC 26 0042
20- 1 consumer report which was reviewed or otherwise taken into
20- 2 account in the making of such adverse action, and shall
20- 3 state substantially the following:
20- 4 'You have the right to obtain a free copy of your credit
20- 5 report within 60 days from the consumer credit reporting
20- 6 agency which has been identified on this notice. The
20- 7 consumer credit reporting agency must provide someone to
20- 8 help you interpret the information on your credit
20- 9 report. Each calendar year you are entitled to receive,
20-10 upon request, one free consumer report.
20-11 You have the right to dispute inaccurate information by
20-12 contacting the consumer credit reporting agency
20-13 directly. If you have notified a consumer credit
20-14 reporting agency in writing that you dispute the
20-15 accuracy of information in your file, the agency must
20-16 then, within 30 business days, reinvestigate and modify
20-17 or remove inaccurate information. The consumer credit
20-18 reporting agency may not charge a fee for this service.
20-19 If reinvestigation does not resolve the dispute to your
20-20 satisfaction, you may send a statement to the consumer
20-21 credit reporting agency, to be kept in your file,
20-22 explaining why you think the record is inaccurate. The
20-23 consumer credit reporting agency must include your
20-24 statement about the disputed information in a report it
20-25 issues about you.'
20-26 (b) Whenever credit for personal, family, or household
20-27 purposes involving a consumer is denied or the cost of
20-28 such credit is increased either wholly or partly because
20-29 of information obtained from a person other than a
20-30 consumer reporting agency bearing upon the consumer's
20-31 credit worthiness, credit standing, credit capacity,
20-32 character, general reputation, personal characteristics,
20-33 or mode of living, the user of such information shall,
20-34 within a reasonable period of time, upon the consumer's
20-35 written request for the reasons for such adverse action
20-36 received within 60 days after learning of such adverse
20-37 action, disclose the nature of the information to the
20-38 consumer. The user of such information shall clearly and
20-39 accurately disclose to the consumer his or her right to
20-40 make such written request at the time such adverse action
20-41 is communicated to the consumer.
20-42 (c) No person shall be held criminally liable for a
20-43 violation of any provision of this Code section unless it
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21- 1 is proven beyond a reasonable doubt that at the time of
21- 2 the alleged violation he or she did not maintain
21- 3 reasonable procedures to assure compliance with the
21- 4 provisions of subsections (a) and (b) of this Code
21- 5 section.
21- 6 10-1-927. (Index)
21- 7 (a) Any person who knowingly and willfully obtains
21- 8 information relative to a consumer from a consumer
21- 9 reporting agency under false pretenses shall be guilty of
21-10 a misdemeanor.
21-11 (b) Any person who is convicted of knowingly and willfully
21-12 introducing, attempting to introduce, or causing to be
21-13 introduced false information into a consumer reporting
21-14 agency's files for the purpose of damaging or enhancing
21-15 the credit information of any individual shall be guilty
21-16 of a misdemeanor.
21-17 (c) Any officer or employee of a consumer reporting agency
21-18 who knowingly and willfully provides information
21-19 concerning an individual from the agency's files to a
21-20 person not authorized to receive that information shall be
21-21 guilty of misdemeanor.
21-22 10-1-928. (Index)
21-23 A violation of any provision of Code Sections 10-1-912
21-24 through 10-1-927, inclusive, is deemed to be an unfair
21-25 business practice under Part 2 of Article 15 of this
21-26 chapter.
21-27 10-1-929. (Index)
21-28 (a) A consumer ombudsman is established in the Department
21-29 of Law to investigate consumer complaints filed against a
21-30 consumer reporting agency or a person who furnishes
21-31 information about consumers to a consumer reporting
21-32 agency.
21-33 (b) The Attorney General shall appoint the consumer
21-34 ombudsman who shall serve at the pleasure of the Attorney
21-35 General.
21-36 (c) Notwithstanding any other remedy available to a
21-37 consumer, a consumer who has reason to believe that a
21-38 consumer reporting agency or a person who furnishes
21-39 information about consumers to a consumer reporting agency
21-40 has violated this article may file a written complaint
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LC 26 0042
22- 1 setting forth the details of the alleged violation with
22- 2 the office of the consumer ombudsman.
22- 3 (d) The ombudsman may:
22- 4 (1) Investigate any written complaint filed by a
22- 5 consumer against a consumer reporting agency or a person
22- 6 who furnishes information about consumers to a consumer
22- 7 reporting agency;
22- 8 (2) Refer cases to the Attorney General for further
22- 9 investigation and possible prosecution; and
22-10 (3) Counsel persons on their rights and duties."
SECTION 2.
22-11 All laws and parts of laws in conflict with this Act are
22-12 repealed.
-22- (Index)
Office of the Clerk of the House
Robert E. Rivers, Jr., Clerk of the House
Last Updated on 01/02/97