District Circular Letters
December 31, 1999
BANKING SUPERVISION AND REGULATION: FAIR CREDIT REPORTING ACT
(FCRA)
To State Member Banks,
U.S. Branches and Agencies of Foreign Banks
in the Twelfth Federal Reserve District
Examinations for Compliance with the Fair Credit Reporting Act
The Gramm-Leach-Bliley Act enacted on November 11, 1999, contains a provision
[Section 506(a)(1)] that removes the prohibition against conducting routine
Fair Credit Reporting Act (FCRA) examinations. Effective immediately,
Federal Reserve Bank of San Francisco examiners will resume routine reviews
of FCRA compliance.
Consumer compliance examiners will use the new examination procedures
for the FCRA which were recommended by the Federal Financial Institutions
Examination Council and subsequently adopted by the Board. These procedures
incorporate amendments to the FCRA due to the Economic Growth and Regulatory
Paperwork Reduction Act of 1996. The purposes of the FCRA, as amended,
include the following:
- to regulate aspects of the consumer reporting industry;
- place disclosure obligations on users of consumer reports;
- establish requirements applicable to the furnishing of information
to consumer reporting agencies; and
- to require timely responses to consumer inquiries regarding information
maintained by consumer reporting agencies.
The FCRA places restrictions on the use of consumer reports and, in certain
instances, requires the deletion of information from them.
Copies
Copies of the examination procedures are available from our Corporate
Services Department. To request copies to be sent via mail, please call
(415) 974-2060. To request copies to be sent via fax,
please call (415) 974-3333, and specify (for the amended
Fair Credit Reporting Act) document number 4198. Board
notices are also available via the Federal Reserve Bank of San Francisco's
Internet site, at http://www.frbsf.org/banking/bsr/regletters/.
Additional Information
For additional information regarding the FCRA or examination procedures,
please contact Mr. Gregory Imm, Consumer Compliance Liaison, at (415)
974-2953, or Ms. Christiane Price, Consumer Compliance Liaison,
at (415) 974-2955, both of our Banking Supervision and
Regulation Department.
FEDERAL RESERVE BANK OF SAN FRANCISCO
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