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[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2622 Enrolled Bill (ENR)]

        H.R.2622

                       One Hundred Eighth Congress

                                 of the

                        United States of America

                          AT THE FIRST SESSION

          Begun and held at the City of Washington on Tuesday,
           the seventh day of January, two thousand and three

                                 An Act

 
   To amend the Fair Credit Reporting Act, to prevent identity theft, 
    improve resolution of consumer disputes, improve the accuracy of 
 consumer records, make improvements in the use of, and consumer access 
             to, credit information, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Fair and Accurate 
Credit Transactions Act of 2003''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:
Sec. 1. Short title; table of contents.
Sec. 2. Definitions.
Sec. 3. Effective dates.

    TITLE I--IDENTITY THEFT PREVENTION AND CREDIT HISTORY RESTORATION

                  Subtitle A--Identity Theft Prevention

Sec. 111. Amendment to definitions.
Sec. 112. Fraud alerts and active duty alerts.
Sec. 113. Truncation of credit card and debit card account numbers.
Sec. 114. Establishment of procedures for the identification of possible 
          instances of identity theft.
Sec. 115. Authority to truncate social security numbers.

 Subtitle B--Protection and Restoration of Identity Theft Victim Credit 
                                 History

Sec. 151. Summary of rights of identity theft victims.
Sec. 152. Blocking of information resulting from identity theft.
Sec. 153. Coordination of identity theft complaint investigations.
Sec. 154. Prevention of repollution of consumer reports.
Sec. 155. Notice by debt collectors with respect to fraudulent 
          information.
Sec. 156. Statute of limitations.
Sec. 157. Study on the use of technology to combat identity theft.

     TITLE II--IMPROVEMENTS IN USE OF AND CONSUMER ACCESS TO CREDIT 
                               INFORMATION

Sec. 211. Free consumer reports.
Sec. 212. Disclosure of credit scores.
Sec. 213. Enhanced disclosure of the means available to opt out of 
          prescreened lists.
Sec. 214. Affiliate sharing.
Sec. 215. Study of effects of credit scores and credit-based insurance 
          scores on availability and affordability of financial 
          products.
Sec. 216. Disposal of consumer report information and records.
Sec. 217. Requirement to disclose communications to a consumer reporting 
          agency.

    TITLE III--ENHANCING THE ACCURACY OF CONSUMER REPORT INFORMATION

Sec. 311. Risk-based pricing notice.
Sec. 312. Procedures to enhance the accuracy and integrity of 
          information furnished to consumer reporting agencies.
Sec. 313. FTC and consumer reporting agency action concerning 
          complaints.
Sec. 314. Improved disclosure of the results of reinvestigation.
Sec. 315. Reconciling addresses.
Sec. 316. Notice of dispute through reseller.
Sec. 317. Reasonable reinvestigation required.
Sec. 318. FTC study of issues relating to the Fair Credit Reporting Act.
Sec. 319. FTC study of the accuracy of consumer reports.

  TITLE IV--LIMITING THE USE AND SHARING OF MEDICAL INFORMATION IN THE 
                            FINANCIAL SYSTEM

Sec. 411. Protection of medical information in the financial system.
Sec. 412. Confidentiality of medical contact information in consumer 
          reports.

          TITLE V--FINANCIAL LITERACY AND EDUCATION IMPROVEMENT

Sec. 511. Short title.
Sec. 512. Definitions.
Sec. 513. Establishment of Financial Literacy and Education Commission.
Sec. 514. Duties of the Commission.
Sec. 515. Powers of the Commission.
Sec. 516. Commission personnel matters.
Sec. 517. Studies by the Comptroller General.
Sec. 518. The national public service multimedia campaign to enhance the 
          state of financial literacy.
Sec. 519. Authorization of appropriations.

         TITLE VI--PROTECTING EMPLOYEE MISCONDUCT INVESTIGATIONS

Sec. 611. Certain employee investigation communications excluded from 
          definition of consumer report.

                    TITLE VII--RELATION TO STATE LAWS

Sec. 711. Relation to State laws.

                        TITLE VIII--MISCELLANEOUS

Sec. 811. Clerical amendments.

SEC. 2. DEFINITIONS.

    As used in this Act--
        (1) the term ``Board'' means the Board of Governors of the 
    Federal Reserve System;
        (2) the term ``Commission'', other than as used in title V, 
    means the Federal Trade Commission;
        (3) the terms ``consumer'', ``consumer report'', ``consumer 
    reporting agency'', ``creditor'', ``Federal banking agencies'', and 
    ``financial institution'' have the same meanings as in section 603 
    of the Fair Credit Reporting Act, as amended by this Act; and
        (4) the term ``affiliates'' means persons that are related by 
    common ownership or affiliated by corporate control.

SEC. 3. EFFECTIVE DATES.

    Except as otherwise specifically provided in this Act and the 
amendments made by this Act--
        (1) before the end of the 2-month period beginning on the date 
    of enactment of this Act, the Board and the Commission shall 
    jointly prescribe regulations in final form establishing effective 
    dates for each provision of this Act; and
        (2) the regulations prescribed under paragraph (1) shall 
    establish effective dates that are as early as possible, while 
    allowing a reasonable time for the implementation of the provisions 
    of this Act, but in no case shall any such effective date be later 
    than 10 months after the date of issuance of such regulations in 
    final form.

   TITLE I--IDENTITY THEFT PREVENTION AND CREDIT HISTORY RESTORATION
                 Subtitle A--Identity Theft Prevention

SEC. 111. AMENDMENT TO DEFINITIONS.

    Section 603 of the Fair Credit Reporting Act (15 U.S.C. 1681a) is 
amended by adding at the end the following:
    ``(q) Definitions Relating to Fraud Alerts.--
        ``(1) Active duty military consumer.--The term `active duty 
    military consumer' means a consumer in military service who--
            ``(A) is on active duty (as defined in section 101(d)(1) of 
        title 10, United States Code) or is a reservist performing duty 
        under a call or order to active duty under a provision of law 
        referred to in section 101(a)(13) of title 10, United States 
        Code; and
            ``(B) is assigned to service away from the usual duty 
        station of the consumer.
        ``(2) Fraud alert; active duty alert.--The terms `fraud alert' 
    and `active duty alert' mean a statement in the file of a consumer 
    that--
            ``(A) notifies all prospective users of a consumer report 
        relating to the consumer that the consumer may be a victim of 
        fraud, including identity theft, or is an active duty military 
        consumer, as applicable; and
            ``(B) is presented in a manner that facilitates a clear and 
        conspicuous view of the statement described in subparagraph (A) 
        by any person requesting such consumer report.
        ``(3) Identity theft.--The term `identity theft' means a fraud 
    committed using the identifying information of another person, 
    subject to such further definition as the Commission may prescribe, 
    by regulation.
        ``(4) Identity theft report.--The term `identity theft report' 
    has the meaning given that term by rule of the Commission, and 
    means, at a minimum, a report--
            ``(A) that alleges an identity theft;
            ``(B) that is a copy of an official, valid report filed by 
        a consumer with an appropriate Federal, State, or local law 
        enforcement agency, including the United States Postal 
        Inspection Service, or such other government agency deemed 
        appropriate by the Commission; and
            ``(C) the filing of which subjects the person filing the 
        report to criminal penalties relating to the filing of false 
        information if, in fact, the information in the report is 
        false.
        ``(5) New credit plan.--The term `new credit plan' means a new 
    account under an open end credit plan (as defined in section 103(i) 
    of the Truth in Lending Act) or a new credit transaction not under 
    an open end credit plan.
    ``(r) Credit and Debit Related Terms--
        ``(1) Card issuer.--The term `card issuer' means--
            ``(A) a credit card issuer, in the case of a credit card; 
        and
            ``(B) a debit card issuer, in the case of a debit card.
        ``(2) Credit card.--The term `credit card' has the same meaning 
    as in section 103 of the Truth in Lending Act.
        ``(3) Debit card.--The term `debit card' means any card issued 
    by a financial institution to a consumer for use in initiating an 
    electronic fund transfer from the account of the consumer at such 
    financial institution, for the purpose of transferring money 
    between accounts or obtaining money, property, labor, or services.
        ``(4) Account and electronic fund transfer.--The terms 
    `account' and `electronic fund transfer' have the same meanings as 
    in section 903 of the Electronic Fund Transfer Act.
        ``(5) Credit and creditor.--The terms `credit' and `creditor' 
    have the same meanings as in section 702 of the Equal Credit 
    Opportunity Act.
    ``(s) Federal Banking Agency.--The term `Federal banking agency' 
has the same meaning as in section 3 of the Federal Deposit Insurance 
Act.
    ``(t) Financial Institution.--The term `financial institution' 
means a State or National bank, a State or Federal savings and loan 
association, a mutual savings bank, a State or Federal credit union, or 
any other person that, directly or indirectly, holds a transaction 
account (as defined in section 19(b) of the Federal Reserve Act) 
belonging to a consumer.
    ``(u) Reseller.--The term `reseller' means a consumer reporting 
agency that--
        ``(1) assembles and merges information contained in the 
    database of another consumer reporting agency or multiple consumer 
    reporting agencies concerning any consumer for purposes of 
    furnishing such information to any third party, to the extent of 
    such activities; and
        ``(2) does not maintain a database of the assembled or merged 
    information from which new consumer reports are produced.
    ``(v) Commission.--The term `Commission' means the Federal Trade 
Commission.
    ``(w) Nationwide Specialty Consumer Reporting Agency.--The term 
`nationwide specialty consumer reporting agency' means a consumer 
reporting agency that compiles and maintains files on consumers on a 
nationwide basis relating to--
        ``(1) medical records or payments;
        ``(2) residential or tenant history;
        ``(3) check writing history;
        ``(4) employment history; or
        ``(5) insurance claims.''.

SEC. 112. FRAUD ALERTS AND ACTIVE DUTY ALERTS.

    (a) Fraud Alerts.--The Fair Credit Reporting Act (15 U.S.C. 1681 et 
seq.) is amended by inserting after section 605 the following:

``Sec. 605A. Identity theft prevention; fraud alerts and active duty 
            alerts

    ``(a) One-Call Fraud Alerts.--
        ``(1) Initial alerts.--Upon the direct request of a consumer, 
    or an individual acting on behalf of or as a personal 
    representative of a consumer, who asserts in good faith a suspicion 
    that the consumer has been or is about to become a victim of fraud 
    or related crime, including identity theft, a consumer reporting 
    agency described in section 603(p) that maintains a file on the 
    consumer and has received appropriate proof of the identity of the 
    requester shall--
            ``(A) include a fraud alert in the file of that consumer, 
        and also provide that alert along with any credit score 
        generated in using that file, for a period of not less than 90 
        days, beginning on the date of such request, unless the 
        consumer or such representative requests that such fraud alert 
        be removed before the end of such period, and the agency has 
        received appropriate proof of the identity of the requester for 
        such purpose; and
            ``(B) refer the information regarding the fraud alert under 
        this paragraph to each of the other consumer reporting agencies 
        described in section 603(p), in accordance with procedures 
        developed under section 621(f).
        ``(2) Access to free reports.--In any case in which a consumer 
    reporting agency includes a fraud alert in the file of a consumer 
    pursuant to this subsection, the consumer reporting agency shall--
            ``(A) disclose to the consumer that the consumer may 
        request a free copy of the file of the consumer pursuant to 
        section 612(d); and
            ``(B) provide to the consumer all disclosures required to 
        be made under section 609, without charge to the consumer, not 
        later than 3 business days after any request described in 
        subparagraph (A).
    ``(b) Extended Alerts.--
        ``(1) In general.--Upon the direct request of a consumer, or an 
    individual acting on behalf of or as a personal representative of a 
    consumer, who submits an identity theft report to a consumer 
    reporting agency described in section 603(p) that maintains a file 
    on the consumer, if the agency has received appropriate proof of 
    the identity of the requester, the agency shall--
            ``(A) include a fraud alert in the file of that consumer, 
        and also provide that alert along with any credit score 
        generated in using that file, during the 7-year period 
        beginning on the date of such request, unless the consumer or 
        such representative requests that such fraud alert be removed 
        before the end of such period and the agency has received 
        appropriate proof of the identity of the requester for such 
        purpose;
            ``(B) during the 5-year period beginning on the date of 
        such request, exclude the consumer from any list of consumers 
        prepared by the consumer reporting agency and provided to any 
        third party to offer credit or insurance to the consumer as 
        part of a transaction that was not initiated by the consumer, 
        unless the consumer or such representative requests that such 
        exclusion be rescinded before the end of such period; and
            ``(C) refer the information regarding the extended fraud 
        alert under this paragraph to each of the other consumer 
        reporting agencies described in section 603(p), in accordance 
        with procedures developed under section 621(f).
        ``(2) Access to free reports.--In any case in which a consumer 
    reporting agency includes a fraud alert in the file of a consumer 
    pursuant to this subsection, the consumer reporting agency shall--
            ``(A) disclose to the consumer that the consumer may 
        request 2 free copies of the file of the consumer pursuant to 
        section 612(d) during the 12-month period beginning on the date 
        on which the fraud alert was included in the file; and
            ``(B) provide to the consumer all disclosures required to 
        be made under section 609, without charge to the consumer, not 
        later than 3 business days after any request described in 
        subparagraph (A).
    ``(c) Active Duty Alerts.--Upon the direct request of an active 
duty military consumer, or an individual acting on behalf of or as a 
personal representative of an active duty military consumer, a consumer 
reporting agency described in section 603(p) that maintains a file on 
the active duty military consumer and has received appropriate proof of 
the identity of the requester shall--
        ``(1) include an active duty alert in the file of that active 
    duty military consumer, and also provide that alert along with any 
    credit score generated in using that file, during a period of not 
    less than 12 months, or such longer period as the Commission shall 
    determine, by regulation, beginning on the date of the request, 
    unless the active duty military consumer or such representative 
    requests that such fraud alert be removed before the end of such 
    period, and the agency has received appropriate proof of the 
    identity of the requester for such purpose;
        ``(2) during the 2-year period beginning on the date of such 
    request, exclude the active duty military consumer from any list of 
    consumers prepared by the consumer reporting agency and provided to 
    any third party to offer credit or insurance to the consumer as 
    part of a transaction that was not initiated by the consumer, 
    unless the consumer requests that such exclusion be rescinded 
    before the end of such period; and
        ``(3) refer the information regarding the active duty alert to 
    each of the other consumer reporting agencies described in section 
    603(p), in accordance with procedures developed under section 
    621(f).
    ``(d) Procedures.--Each consumer reporting agency described in 
section 603(p) shall establish policies and procedures to comply with 
this section, including procedures that inform consumers of the 
availability of initial, extended, and active duty alerts and 
procedures that allow consumers and active duty military consumers to 
request initial, extended, or active duty alerts (as applicable) in a 
simple and easy manner, including by telephone.
    ``(e) Referrals of Alerts.--Each consumer reporting agency 
described in section 603(p) that receives a referral of a fraud alert 
or active duty alert from another consumer reporting agency pursuant to 
this section shall, as though the agency received the request from the 
consumer directly, follow the procedures required under--
        ``(1) paragraphs (1)(A) and (2) of subsection (a), in the case 
    of a referral under subsection (a)(1)(B);
        ``(2) paragraphs (1)(A), (1)(B), and (2) of subsection (b), in 
    the case of a referral under subsection (b)(1)(C); and
        ``(3) paragraphs (1) and (2) of subsection (c), in the case of 
    a referral under subsection (c)(3).
    ``(f) Duty of Reseller To Reconvey Alert.--A reseller shall include 
in its report any fraud alert or active duty alert placed in the file 
of a consumer pursuant to this section by another consumer reporting 
agency.
    ``(g) Duty of Other Consumer Reporting Agencies To Provide Contact 
Information.--If a consumer contacts any consumer reporting agency that 
is not described in section 603(p) to communicate a suspicion that the 
consumer has been or is about to become a victim of fraud or related 
crime, including identity theft, the agency shall provide information 
to the consumer on how to contact the Commission and the consumer 
reporting agencies described in section 603(p) to obtain more detailed 
information and request alerts under this section.
    ``(h) Limitations on Use of Information for Credit Extensions.--
        ``(1) Requirements for initial and active duty alerts.--
            ``(A) Notification.--Each initial fraud alert and active 
        duty alert under this section shall include information that 
        notifies all prospective users of a consumer report on the 
        consumer to which the alert relates that the consumer does not 
        authorize the establishment of any new credit plan or extension 
        of credit, other than under an open-end credit plan (as defined 
        in section 103(i)), in the name of the consumer, or issuance of 
        an additional card on an existing credit account requested by a 
        consumer, or any increase in credit limit on an existing credit 
        account requested by a consumer, except in accordance with 
        subparagraph (B).
            ``(B) Limitation on users.--
                ``(i) In general.--No prospective user of a consumer 
            report that includes an initial fraud alert or an active 
            duty alert in accordance with this section may establish a 
            new credit plan or extension of credit, other than under an 
            open-end credit plan (as defined in section 103(i)), in the 
            name of the consumer, or issue an additional card on an 
            existing credit account requested by a consumer, or grant 
            any increase in credit limit on an existing credit account 
            requested by a consumer, unless the user utilizes 
            reasonable policies and procedures to form a reasonable 
            belief that the user knows the identity of the person 
            making the request.
                ``(ii) Verification.--If a consumer requesting the 
            alert has specified a telephone number to be used for 
            identity verification purposes, before authorizing any new 
            credit plan or extension described in clause (i) in the 
            name of such consumer, a user of such consumer report shall 
            contact the consumer using that telephone number or take 
            reasonable steps to verify the consumer's identity and 
            confirm that the application for a new credit plan is not 
            the result of identity theft.
        ``(2) Requirements for extended alerts.--
            ``(A) Notification.--Each extended alert under this section 
        shall include information that provides all prospective users 
        of a consumer report relating to a consumer with--
                ``(i) notification that the consumer does not authorize 
            the establishment of any new credit plan or extension of 
            credit described in clause (i), other than under an open-
            end credit plan (as defined in section 103(i)), in the name 
            of the consumer, or issuance of an additional card on an 
            existing credit account requested by a consumer, or any 
            increase in credit limit on an existing credit account 
            requested by a consumer, except in accordance with 
            subparagraph (B); and
                ``(ii) a telephone number or other reasonable contact 
            method designated by the consumer.
            ``(B) Limitation on users.--No prospective user of a 
        consumer report or of a credit score generated using the 
        information in the file of a consumer that includes an extended 
        fraud alert in accordance with this section may establish a new 
        credit plan or extension of credit, other than under an open-
        end credit plan (as defined in section 103(i)), in the name of 
        the consumer, or issue an additional card on an existing credit 
        account requested by a consumer, or any increase in credit 
        limit on an existing credit account requested by a consumer, 
        unless the user contacts the consumer in person or using the 
        contact method described in subparagraph (A)(ii) to confirm 
        that the application for a new credit plan or increase in 
        credit limit, or request for an additional card is not the 
        result of identity theft.''.
    (b) Rulemaking.--The Commission shall prescribe regulations to 
define what constitutes appropriate proof of identity for purposes of 
sections 605A, 605B, and 609(a)(1) of the Fair Credit Reporting Act, as 
amended by this Act.

SEC. 113. TRUNCATION OF CREDIT CARD AND DEBIT CARD ACCOUNT NUMBERS.

    Section 605 of the Fair Credit Reporting Act (15 U.S.C. 1681c) is 
amended by adding at the end the following:
    ``(g) Truncation of Credit Card and Debit Card Numbers.--
        ``(1) In general.--Except as otherwise provided in this 
    subsection, no person that accepts credit cards or debit cards for 
    the transaction of business shall print more than the last 5 digits 
    of the card number or the expiration date upon any receipt provided 
    to the cardholder at the point of the sale or transaction.
        ``(2) Limitation.--This subsection shall apply only to receipts 
    that are electronically printed, and shall not apply to 
    transactions in which the sole means of recording a credit card or 
    debit card account number is by handwriting or by an imprint or 
    copy of the card.
        ``(3) Effective date.--This subsection shall become effective--
            ``(A) 3 years after the date of enactment of this 
        subsection, with respect to any cash register or other machine 
        or device that electronically prints receipts for credit card 
        or debit card transactions that is in use before January 1, 
        2005; and
            ``(B) 1 year after the date of enactment of this 
        subsection, with respect to any cash register or other machine 
        or device that electronically prints receipts for credit card 
        or debit card transactions that is first put into use on or 
        after January 1, 2005.''.

SEC. 114. ESTABLISHMENT OF PROCEDURES FOR THE IDENTIFICATION OF 
              POSSIBLE INSTANCES OF IDENTITY THEFT.

    Section 615 of the Fair Credit Reporting Act (15 U.S.C. 1681m) is 
amended--
        (1) by striking ``(e)'' at the end; and
        (2) by adding at the end the following:
    ``(e) Red Flag Guidelines and Regulations Required.--
        ``(1) Guidelines.--The Federal banking agencies, the National 
    Credit Union Administration, and the Commission shall jointly, with 
    respect to the entities that are subject to their respective 
    enforcement authority under section 621--
            ``(A) establish and maintain guidelines for use by each 
        financial institution and each creditor regarding identity 
        theft with respect to account holders at, or customers of, such 
        entities, and update such guidelines as often as necessary;
            ``(B) prescribe regulations requiring each financial 
        institution and each creditor to establish reasonable policies 
        and procedures for implementing the guidelines established 
        pursuant to subparagraph (A), to identify possible risks to 
        account holders or customers or to the safety and soundness of 
        the institution or customers; and
            ``(C) prescribe regulations applicable to card issuers to 
        ensure that, if a card issuer receives notification of a change 
        of address for an existing account, and within a short period 
        of time (during at least the first 30 days after such 
        notification is received) receives a request for an additional 
        or replacement card for the same account, the card issuer may 
        not issue the additional or replacement card, unless the card 
        issuer, in accordance with reasonable policies and procedures--
                ``(i) notifies the cardholder of the request at the 
            former address of the cardholder and provides to the 
            cardholder a means of promptly reporting incorrect address 
            changes;
                ``(ii) notifies the cardholder of the request by such 
            other means of communication as the cardholder and the card 
            issuer previously agreed to; or
                ``(iii) uses other means of assessing the validity of 
            the change of address, in accordance with reasonable 
            policies and procedures established by the card issuer in 
            accordance with the regulations prescribed under 
            subparagraph (B).
        ``(2) Criteria.--
            ``(A) In general.--In developing the guidelines required by 
        paragraph (1)(A), the agencies described in paragraph (1) shall 
        identify patterns, practices, and specific forms of activity 
        that indicate the possible existence of identity theft.
            ``(B) Inactive accounts.--In developing the guidelines 
        required by paragraph (1)(A), the agencies described in 
        paragraph (1) shall consider including reasonable guidelines 
        providing that when a transaction occurs with respect to a 
        credit or deposit account that has been inactive for more than 
        2 years, the creditor or financial institution shall follow 
        reasonable policies and procedures that provide for notice to 
        be given to a consumer in a manner reasonably designed to 
        reduce the likelihood of identity theft with respect to such 
        account.
        ``(3) Consistency with verification requirements.--Guidelines 
    established pursuant to paragraph (1) shall not be inconsistent 
    with the policies and procedures required under section 5318(l) of 
    title 31, United States Code.''.

SEC. 115. AUTHORITY TO TRUNCATE SOCIAL SECURITY NUMBERS.

    Section 609(a)(1) of the Fair Credit Reporting Act (15 U.S.C. 
1681g(a)(1)) is amended by striking ``except that nothing'' and 
inserting the following: ``except that--
            ``(A) if the consumer to whom the file relates requests 
        that the first 5 digits of the social security number (or 
        similar identification number) of the consumer not be included 
        in the disclosure and the consumer reporting agency has 
        received appropriate proof of the identity of the requester, 
        the consumer reporting agency shall so truncate such number in 
        such disclosure; and
            ``(B) nothing''.

Subtitle B--Protection and Restoration of Identity Theft Victim Credit 
                                History

SEC. 151. SUMMARY OF RIGHTS OF IDENTITY THEFT VICTIMS.

    (a) In General.--
        (1) Summary.--Section 609 of the Fair Credit Reporting Act (15 
    U.S.C. 1681g) is amended by adding at the end the following:
    ``(d) Summary of Rights of Identity Theft Victims.--
        ``(1) In general.--The Commission, in consultation with the 
    Federal banking agencies and the National Credit Union 
    Administration, shall prepare a model summary of the rights of 
    consumers under this title with respect to the procedures for 
    remedying the effects of fraud or identity theft involving credit, 
    an electronic fund transfer, or an account or transaction at or 
    with a financial institution or other creditor.
        ``(2) Summary of rights and contact information.--Beginning 60 
    days after the date on which the model summary of rights is 
    prescribed in final form by the Commission pursuant to paragraph 
    (1), if any consumer contacts a consumer reporting agency and 
    expresses a belief that the consumer is a victim of fraud or 
    identity theft involving credit, an electronic fund transfer, or an 
    account or transaction at or with a financial institution or other 
    creditor, the consumer reporting agency shall, in addition to any 
    other action that the agency may take, provide the consumer with a 
    summary of rights that contains all of the information required by 
    the Commission under paragraph (1), and information on how to 
    contact the Commission to obtain more detailed information.
    ``(e) Information Available to Victims.--
        ``(1) In general.--For the purpose of documenting fraudulent 
    transactions resulting from identity theft, not later than 30 days 
    after the date of receipt of a request from a victim in accordance 
    with paragraph (3), and subject to verification of the identity of 
    the victim and the claim of identity theft in accordance with 
    paragraph (2), a business entity that has provided credit to, 
    provided for consideration products, goods, or services to, 
    accepted payment from, or otherwise entered into a commercial 
    transaction for consideration with, a person who has allegedly made 
    unauthorized use of the means of identification of the victim, 
    shall provide a copy of application and business transaction 
    records in the control of the business entity, whether maintained 
    by the business entity or by another person on behalf of the 
    business entity, evidencing any transaction alleged to be a result 
    of identity theft to--
            ``(A) the victim;
            ``(B) any Federal, State, or local government law 
        enforcement agency or officer specified by the victim in such a 
        request; or
            ``(C) any law enforcement agency investigating the identity 
        theft and authorized by the victim to take receipt of records 
        provided under this subsection.
        ``(2) Verification of identity and claim.--Before a business 
    entity provides any information under paragraph (1), unless the 
    business entity, at its discretion, otherwise has a high degree of 
    confidence that it knows the identity of the victim making a 
    request under paragraph (1), the victim shall provide to the 
    business entity--
            ``(A) as proof of positive identification of the victim, at 
        the election of the business entity--
                ``(i) the presentation of a government-issued 
            identification card;
                ``(ii) personally identifying information of the same 
            type as was provided to the business entity by the 
            unauthorized person; or
                ``(iii) personally identifying information that the 
            business entity typically requests from new applicants or 
            for new transactions, at the time of the victim's request 
            for information, including any documentation described in 
            clauses (i) and (ii); and
            ``(B) as proof of a claim of identity theft, at the 
        election of the business entity--
                ``(i) a copy of a police report evidencing the claim of 
            the victim of identity theft; and
                ``(ii) a properly completed--

                    ``(I) copy of a standardized affidavit of identity 
                theft developed and made available by the Commission; 
                or
                    ``(II) an affidavit of fact that is acceptable to 
                the business entity for that purpose.

        ``(3) Procedures.--The request of a victim under paragraph (1) 
    shall--
            ``(A) be in writing;
            ``(B) be mailed to an address specified by the business 
        entity, if any; and
            ``(C) if asked by the business entity, include relevant 
        information about any transaction alleged to be a result of 
        identity theft to facilitate compliance with this section 
        including--
                ``(i) if known by the victim (or if readily obtainable 
            by the victim), the date of the application or transaction; 
            and
                ``(ii) if known by the victim (or if readily obtainable 
            by the victim), any other identifying information such as 
            an account or transaction number.
        ``(4) No charge to victim.--Information required to be provided 
    under paragraph (1) shall be so provided without charge.
        ``(5) Authority to decline to provide information.--A business 
    entity may decline to provide information under paragraph (1) if, 
    in the exercise of good faith, the business entity determines 
    that--
            ``(A) this subsection does not require disclosure of the 
        information;
            ``(B) after reviewing the information provided pursuant to 
        paragraph (2), the business entity does not have a high degree 
        of confidence in knowing the true identity of the individual 
        requesting the information;
            ``(C) the request for the information is based on a 
        misrepresentation of fact by the individual requesting the 
        information relevant to the request for information; or
            ``(D) the information requested is Internet navigational 
        data or similar information about a person's visit to a website 
        or online service.
        ``(6) Limitation on liability.--Except as provided in section 
    621, sections 616 and 617 do not apply to any violation of this 
    subsection.
        ``(7) Limitation on civil liability.--No business entity may be 
    held civilly liable under any provision of Federal, State, or other 
    law for disclosure, made in good faith pursuant to this subsection.
        ``(8) No new recordkeeping obligation.--Nothing in this 
    subsection creates an obligation on the part of a business entity 
    to obtain, retain, or maintain information or records that are not 
    otherwise required to be obtained, retained, or maintained in the 
    ordinary course of its business or under other applicable law.
        ``(9) Rule of construction.--
            ``(A) In general.--No provision of subtitle A of title V of 
        Public Law 106-102, prohibiting the disclosure of financial 
        information by a business entity to third parties shall be used 
        to deny disclosure of information to the victim under this 
        subsection.
            ``(B) Limitation.--Except as provided in subparagraph (A), 
        nothing in this subsection permits a business entity to 
        disclose information, including information to law enforcement 
        under subparagraphs (B) and (C) of paragraph (1), that the 
        business entity is otherwise prohibited from disclosing under 
        any other applicable provision of Federal or State law.
        ``(10) Affirmative defense.--In any civil action brought to 
    enforce this subsection, it is an affirmative defense (which the 
    defendant must establish by a preponderance of the evidence) for a 
    business entity to file an affidavit or answer stating that--
            ``(A) the business entity has made a reasonably diligent 
        search of its available business records; and
            ``(B) the records requested under this subsection do not 
        exist or are not reasonably available.
        ``(11) Definition of victim.--For purposes of this subsection, 
    the term `victim' means a consumer whose means of identification or 
    financial information has been used or transferred (or has been 
    alleged to have been used or transferred) without the authority of 
    that consumer, with the intent to commit, or to aid or abet, an 
    identity theft or a similar crime.
        ``(12) Effective date.--This subsection shall become effective 
    180 days after the date of enactment of this subsection.
        ``(13) Effectiveness study.--Not later than 18 months after the 
    date of enactment of this subsection, the Comptroller General of 
    the United States shall submit a report to Congress assessing the 
    effectiveness of this provision.''.
        (2) Relation to state laws.--Section 625(b)(1) of the Fair 
    Credit Reporting Act (15 U.S.C. 1681t(b)(1), as so redesignated) is 
    amended by adding at the end the following new subparagraph:
            ``(G) section 609(e), relating to information available to 
        victims under section 609(e);''.
    (b) Public Campaign To Prevent Identity Theft.--Not later than 2 
years after the date of enactment of this Act, the Commission shall 
establish and implement a media and distribution campaign to teach the 
public how to prevent identity theft. Such campaign shall include 
existing Commission education materials, as well as radio, television, 
and print public service announcements, video cassettes, interactive 
digital video discs (DVD's) or compact audio discs (CD's), and Internet 
resources.

SEC. 152. BLOCKING OF INFORMATION RESULTING FROM IDENTITY THEFT.

    (a) In General.--The Fair Credit Reporting Act (15 U.S.C. 1681 et 
seq.) is amended by inserting after section 605A, as added by this Act, 
the following:

``Sec. 605B. Block of information resulting from identity theft

    ``(a) Block.--Except as otherwise provided in this section, a 
consumer reporting agency shall block the reporting of any information 
in the file of a consumer that the consumer identifies as information 
that resulted from an alleged identity theft, not later than 4 business 
days after the date of receipt by such agency of--
        ``(1) appropriate proof of the identity of the consumer;
        ``(2) a copy of an identity theft report;
        ``(3) the identification of such information by the consumer; 
    and
        ``(4) a statement by the consumer that the information is not 
    information relating to any transaction by the consumer.
    ``(b) Notification.--A consumer reporting agency shall promptly 
notify the furnisher of information identified by the consumer under 
subsection (a)--
        ``(1) that the information may be a result of identity theft;
        ``(2) that an identity theft report has been filed;
        ``(3) that a block has been requested under this section; and
        ``(4) of the effective dates of the block.
    ``(c) Authority To Decline or Rescind.--
        ``(1) In general.--A consumer reporting agency may decline to 
    block, or may rescind any block, of information relating to a 
    consumer under this section, if the consumer reporting agency 
    reasonably determines that--
            ``(A) the information was blocked in error or a block was 
        requested by the consumer in error;
            ``(B) the information was blocked, or a block was requested 
        by the consumer, on the basis of a material misrepresentation 
        of fact by the consumer relevant to the request to block; or
            ``(C) the consumer obtained possession of goods, services, 
        or money as a result of the blocked transaction or 
        transactions.
        ``(2) Notification to consumer.--If a block of information is 
    declined or rescinded under this subsection, the affected consumer 
    shall be notified promptly, in the same manner as consumers are 
    notified of the reinsertion of information under section 
    611(a)(5)(B).
        ``(3) Significance of block.--For purposes of this subsection, 
    if a consumer reporting agency rescinds a block, the presence of 
    information in the file of a consumer prior to the blocking of such 
    information is not evidence of whether the consumer knew or should 
    have known that the consumer obtained possession of any goods, 
    services, or money as a result of the block.
    ``(d) Exception for Resellers.--
        ``(1) No reseller file.--This section shall not apply to a 
    consumer reporting agency, if the consumer reporting agency--
            ``(A) is a reseller;
            ``(B) is not, at the time of the request of the consumer 
        under subsection (a), otherwise furnishing or reselling a 
        consumer report concerning the information identified by the 
        consumer; and
            ``(C) informs the consumer, by any means, that the consumer 
        may report the identity theft to the Commission to obtain 
        consumer information regarding identity theft.
        ``(2) Reseller with file.--The sole obligation of the consumer 
    reporting agency under this section, with regard to any request of 
    a consumer under this section, shall be to block the consumer 
    report maintained by the consumer reporting agency from any 
    subsequent use, if--
            ``(A) the consumer, in accordance with the provisions of 
        subsection (a), identifies, to a consumer reporting agency, 
        information in the file of the consumer that resulted from 
        identity theft; and
            ``(B) the consumer reporting agency is a reseller of the 
        identified information.
        ``(3) Notice.--In carrying out its obligation under paragraph 
    (2), the reseller shall promptly provide a notice to the consumer 
    of the decision to block the file. Such notice shall contain the 
    name, address, and telephone number of each consumer reporting 
    agency from which the consumer information was obtained for resale.
    ``(e) Exception for Verification Companies.--The provisions of this 
section do not apply to a check services company, acting as such, which 
issues authorizations for the purpose of approving or processing 
negotiable instruments, electronic fund transfers, or similar methods 
of payments, except that, beginning 4 business days after receipt of 
information described in paragraphs (1) through (3) of subsection (a), 
a check services company shall not report to a national consumer 
reporting agency described in section 603(p), any information 
identified in the subject identity theft report as resulting from 
identity theft.
    ``(f) Access to Blocked Information by Law Enforcement Agencies.--
No provision of this section shall be construed as requiring a consumer 
reporting agency to prevent a Federal, State, or local law enforcement 
agency from accessing blocked information in a consumer file to which 
the agency could otherwise obtain access under this title.''.
    (b) Clerical Amendment.--The table of sections for the Fair Credit 
Reporting Act (15 U.S.C. 1681 et seq.) is amended by inserting after 
the item relating to section 605 the following new items:

``605A. Identity theft prevention; fraud alerts and active duty alerts.
``605B. Block of information resulting from identity theft.''.

SEC. 153. COORDINATION OF IDENTITY THEFT COMPLAINT INVESTIGATIONS.

    Section 621 of the Fair Credit Reporting Act (15 U.S.C. 1681s) is 
amended by adding at the end the following:
    ``(f) Coordination of Consumer Complaint Investigations.--
        ``(1) In general.--Each consumer reporting agency described in 
    section 603(p) shall develop and maintain procedures for the 
    referral to each other such agency of any consumer complaint 
    received by the agency alleging identity theft, or requesting a 
    fraud alert under section 605A or a block under section 605B.
        ``(2) Model form and procedure for reporting identity theft.--
    The Commission, in consultation with the Federal banking agencies 
    and the National Credit Union Administration, shall develop a model 
    form and model procedures to be used by consumers who are victims 
    of identity theft for contacting and informing creditors and 
    consumer reporting agencies of the fraud.
        ``(3) Annual summary reports.--Each consumer reporting agency 
    described in section 603(p) shall submit an annual summary report 
    to the Commission on consumer complaints received by the agency on 
    identity theft or fraud alerts.''.

SEC. 154. PREVENTION OF REPOLLUTION OF CONSUMER REPORTS.

    (a) Prevention of Reinsertion of Erroneous Information.--Section 
623(a) of the Fair Credit Reporting Act (15 U.S.C. 1681s-2(a)) is 
amended by adding at the end the following:
        ``(6) Duties of furnishers upon notice of identity theft-
    related information.--
            ``(A) Reasonable procedures.--A person that furnishes 
        information to any consumer reporting agency shall have in 
        place reasonable procedures to respond to any notification that 
        it receives from a consumer reporting agency under section 605B 
        relating to information resulting from identity theft, to 
        prevent that person from refurnishing such blocked information.
            ``(B) Information alleged to result from identity theft.--
        If a consumer submits an identity theft report to a person who 
        furnishes information to a consumer reporting agency at the 
        address specified by that person for receiving such reports 
        stating that information maintained by such person that 
        purports to relate to the consumer resulted from identity 
        theft, the person may not furnish such information that 
        purports to relate to the consumer to any consumer reporting 
        agency, unless the person subsequently knows or is informed by 
        the consumer that the information is correct.''.
    (b) Prohibition on Sale or Transfer of Debt Caused by Identity 
Theft.--Section 615 of the Fair Credit Reporting Act (15 U.S.C. 1681m), 
as amended by this Act, is amended by adding at the end the following:
    ``(f) Prohibition on Sale or Transfer of Debt Caused by Identity 
Theft.--
        ``(1) In general.--No person shall sell, transfer for 
    consideration, or place for collection a debt that such person has 
    been notified under section 605B has resulted from identity theft.
        ``(2) Applicability.--The prohibitions of this subsection shall 
    apply to all persons collecting a debt described in paragraph (1) 
    after the date of a notification under paragraph (1).
        ``(3) Rule of construction.--Nothing in this subsection shall 
    be construed to prohibit--
            ``(A) the repurchase of a debt in any case in which the 
        assignee of the debt requires such repurchase because the debt 
        has resulted from identity theft;
            ``(B) the securitization of a debt or the pledging of a 
        portfolio of debt as collateral in connection with a borrowing; 
        or
            ``(C) the transfer of debt as a result of a merger, 
        acquisition, purchase and assumption transaction, or transfer 
        of substantially all of the assets of an entity.''.

SEC. 155. NOTICE BY DEBT COLLECTORS WITH RESPECT TO FRAUDULENT 
              INFORMATION.

    Section 615 of the Fair Credit Reporting Act (15 U.S.C. 1681m), as 
amended by this Act, is amended by adding at the end the following:
    ``(g) Debt Collector Communications Concerning Identity Theft.--If 
a person acting as a debt collector (as that term is defined in title 
VIII) on behalf of a third party that is a creditor or other user of a 
consumer report is notified that any information relating to a debt 
that the person is attempting to collect may be fraudulent or may be 
the result of identity theft, that person shall--
        ``(1) notify the third party that the information may be 
    fraudulent or may be the result of identity theft; and
        ``(2) upon request of the consumer to whom the debt purportedly 
    relates, provide to the consumer all information to which the 
    consumer would otherwise be entitled if the consumer were not a 
    victim of identity theft, but wished to dispute the debt under 
    provisions of law applicable to that person.''.

SEC. 156. STATUTE OF LIMITATIONS.

    Section 618 of the Fair Credit Reporting Act (15 U.S.C. 1681p) is 
amended to read as follows:

``Sec. 618. Jurisdiction of courts; limitation of actions

    ``An action to enforce any liability created under this title may 
be brought in any appropriate United States district court, without 
regard to the amount in controversy, or in any other court of competent 
jurisdiction, not later than the earlier of--
        ``(1) 2 years after the date of discovery by the plaintiff of 
    the violation that is the basis for such liability; or
        ``(2) 5 years after the date on which the violation that is the 
    basis for such liability occurs.''.

SEC. 157. STUDY ON THE USE OF TECHNOLOGY TO COMBAT IDENTITY THEFT.

    (a) Study Required.--The Secretary of the Treasury shall conduct a 
study of the use of biometrics and other similar technologies to reduce 
the incidence and costs to society of identity theft by providing 
convincing evidence of who actually performed a given financial 
transaction.
    (b) Consultation.--The Secretary of the Treasury shall consult with 
Federal banking agencies, the Commission, and representatives of 
financial institutions, consumer reporting agencies, Federal, State, 
and local government agencies that issue official forms or means of 
identification, State prosecutors, law enforcement agencies, the 
biometric industry, and the general public in formulating and 
conducting the study required by subsection (a).
    (c) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary of the Treasury for fiscal year 2004, 
such sums as may be necessary to carry out the provisions of this 
section.
    (d) Report Required.--Before the end of the 180-day period 
beginning on the date of enactment of this Act, the Secretary shall 
submit a report to Congress containing the findings and conclusions of 
the study required under subsection (a), together with such 
recommendations for legislative or administrative actions as may be 
appropriate.

    TITLE II--IMPROVEMENTS IN USE OF AND CONSUMER ACCESS TO CREDIT 
                              INFORMATION

SEC. 211. FREE CONSUMER REPORTS.

    (a) In General.--Section 612 of the Fair Credit Reporting Act (15 
U.S.C. 1681j) is amended--
        (1) by redesignating subsection (a) as subsection (f), and 
    transferring it to the end of the section;
        (2) by inserting before subsection (b) the following:
    ``(a) Free Annual Disclosure.--
        ``(1) Nationwide consumer reporting agencies.--
            ``(A) In general.--All consumer reporting agencies 
        described in subsections (p) and (w) of section 603 shall make 
        all disclosures pursuant to section 609 once during any 12-
        month period upon request of the consumer and without charge to 
        the consumer.
            ``(B) Centralized source.--Subparagraph (A) shall apply 
        with respect to a consumer reporting agency described in 
        section 603(p) only if the request from the consumer is made 
        using the centralized source established for such purpose in 
        accordance with section 211(c) of the Fair and Accurate Credit 
        Transactions Act of 2003.
            ``(C) Nationwide specialty consumer reporting agency.--
                ``(i) In general.--The Commission shall prescribe 
            regulations applicable to each consumer reporting agency 
            described in section 603(w) to require the establishment of 
            a streamlined process for consumers to request consumer 
            reports under subparagraph (A), which shall include, at a 
            minimum, the establishment by each such agency of a toll-
            free telephone number for such requests.
                ``(ii) Considerations.--In prescribing regulations 
            under clause (i), the Commission shall consider--

                    ``(I) the significant demands that may be placed on 
                consumer reporting agencies in providing such consumer 
                reports;
                    ``(II) appropriate means to ensure that consumer 
                reporting agencies can satisfactorily meet those 
                demands, including the efficacy of a system of 
                staggering the availability to consumers of such 
                consumer reports; and
                    ``(III) the ease by which consumers should be able 
                to contact consumer reporting agencies with respect to 
                access to such consumer reports.

                ``(iii) Date of issuance.--The Commission shall issue 
            the regulations required by this subparagraph in final form 
            not later than 6 months after the date of enactment of the 
            Fair and Accurate Credit Transactions Act of 2003.
                ``(iv) Consideration of ability to comply.--The 
            regulations of the Commission under this subparagraph shall 
            establish an effective date by which each nationwide 
            specialty consumer reporting agency (as defined in section 
            603(w)) shall be required to comply with subsection (a), 
            which effective date--

                    ``(I) shall be established after consideration of 
                the ability of each nationwide specialty consumer 
                reporting agency to comply with subsection (a); and
                    ``(II) shall be not later than 6 months after the 
                date on which such regulations are issued in final form 
                (or such additional period not to exceed 3 months, as 
                the Commission determines appropriate).

        ``(2) Timing.--A consumer reporting agency shall provide a 
    consumer report under paragraph (1) not later than 15 days after 
    the date on which the request is received under paragraph (1).
        ``(3) Reinvestigations.--Notwithstanding the time periods 
    specified in section 611(a)(1), a reinvestigation under that 
    section by a consumer reporting agency upon a request of a consumer 
    that is made after receiving a consumer report under this 
    subsection shall be completed not later than 45 days after the date 
    on which the request is received.
        ``(4) Exception for first 12 months of operation.--This 
    subsection shall not apply to a consumer reporting agency that has 
    not been furnishing consumer reports to third parties on a 
    continuing basis during the 12-month period preceding a request 
    under paragraph (1), with respect to consumers residing 
    nationwide.'';
        (3) by redesignating subsection (d) as subsection (e);
        (4) by inserting before subsection (e), as redesignated, the 
    following:
    ``(d) Free Disclosures in Connection With Fraud Alerts.--Upon the 
request of a consumer, a consumer reporting agency described in section 
603(p) shall make all disclosures pursuant to section 609 without 
charge to the consumer, as provided in subsections (a)(2) and (b)(2) of 
section 605A, as applicable.'';
        (5) in subsection (e), as redesignated, by striking 
    ``subsection (a)'' and inserting ``subsection (f)''; and
        (6) in subsection (f), as redesignated, by striking ``Except as 
    provided in subsections (b), (c), and (d), a'' and inserting ``In 
    the case of a request from a consumer other than a request that is 
    covered by any of subsections (a) through (d), a''.
    (b) Circumvention Prohibited.--The Fair Credit Reporting Act (15 
U.S.C. 1681 et seq.) is amended by adding after section 628, as added 
by section 216 of this Act, the following new section:

``Sec. 629. Corporate and technological circumvention prohibited

    ``The Commission shall prescribe regulations, to become effective 
not later than 90 days after the date of enactment of this section, to 
prevent a consumer reporting agency from circumventing or evading 
treatment as a consumer reporting agency described in section 603(p) 
for purposes of this title, including--
        ``(1) by means of a corporate reorganization or restructuring, 
    including a merger, acquisition, dissolution, divestiture, or asset 
    sale of a consumer reporting agency; or
        ``(2) by maintaining or merging public record and credit 
    account information in a manner that is substantially equivalent to 
    that described in paragraphs (1) and (2) of section 603(p), in the 
    manner described in section 603(p).''.
    (c) Summary of Rights To Obtain and Dispute Information in Consumer 
Reports and To Obtain Credit Scores.--Section 609(c) of the Fair Credit 
Reporting Act (15 U.S.C. 1681g) is amended to read as follows:
    ``(c) Summary of Rights To Obtain and Dispute Information in 
Consumer Reports and To Obtain Credit Scores.--
        ``(1) Commission summary of rights required.--
            ``(A) In general.--The Commission shall prepare a model 
        summary of the rights of consumers under this title.
            ``(B) Content of summary.--The summary of rights prepared 
        under subparagraph (A) shall include a description of--
                ``(i) the right of a consumer to obtain a copy of a 
            consumer report under subsection (a) from each consumer 
            reporting agency;
                ``(ii) the frequency and circumstances under which a 
            consumer is entitled to receive a consumer report without 
            charge under section 612;
                ``(iii) the right of a consumer to dispute information 
            in the file of the consumer under section 611;
                ``(iv) the right of a consumer to obtain a credit score 
            from a consumer reporting agency, and a description of how 
            to obtain a credit score;
                ``(v) the method by which a consumer can contact, and 
            obtain a consumer report from, a consumer reporting agency 
            without charge, as provided in the regulations of the 
            Commission prescribed under section 211(c) of the Fair and 
            Accurate Credit Transactions Act of 2003; and
                ``(vi) the method by which a consumer can contact, and 
            obtain a consumer report from, a consumer reporting agency 
            described in section 603(w), as provided in the regulations 
            of the Commission prescribed under section 612(a)(1)(C).
            ``(C) Availability of summary of rights.--The Commission 
        shall--
                ``(i) actively publicize the availability of the 
            summary of rights prepared under this paragraph;
                ``(ii) conspicuously post on its Internet website the 
            availability of such summary of rights; and
                ``(iii) promptly make such summary of rights available 
            to consumers, on request.
        ``(2) Summary of rights required to be included with agency 
    disclosures.--A consumer reporting agency shall provide to a 
    consumer, with each written disclosure by the agency to the 
    consumer under this section--
            ``(A) the summary of rights prepared by the Commission 
        under paragraph (1);
            ``(B) in the case of a consumer reporting agency described 
        in section 603(p), a toll-free telephone number established by 
        the agency, at which personnel are accessible to consumers 
        during normal business hours;
            ``(C) a list of all Federal agencies responsible for 
        enforcing any provision of this title, and the address and any 
        appropriate phone number of each such agency, in a form that 
        will assist the consumer in selecting the appropriate agency;
            ``(D) a statement that the consumer may have additional 
        rights under State law, and that the consumer may wish to 
        contact a State or local consumer protection agency or a State 
        attorney general (or the equivalent thereof) to learn of those 
        rights; and
            ``(E) a statement that a consumer reporting agency is not 
        required to remove accurate derogatory information from the 
        file of a consumer, unless the information is outdated under 
        section 605 or cannot be verified.''.
    (d) Rulemaking Required.--
        (1) In general.--The Commission shall prescribe regulations 
    applicable to consumer reporting agencies described in section 
    603(p) of the Fair Credit Reporting Act, to require the 
    establishment of--
            (A) a centralized source through which consumers may obtain 
        a consumer report from each such consumer reporting agency, 
        using a single request, and without charge to the consumer, as 
        provided in section 612(a) of the Fair Credit Reporting Act (as 
        amended by this section); and
            (B) a standardized form for a consumer to make such a 
        request for a consumer report by mail or through an Internet 
        website.
        (2) Considerations.--In prescribing regulations under paragraph 
    (1), the Commission shall consider--
            (A) the significant demands that may be placed on consumer 
        reporting agencies in providing such consumer reports;
            (B) appropriate means to ensure that consumer reporting 
        agencies can satisfactorily meet those demands, including the 
        efficacy of a system of staggering the availability to 
        consumers of such consumer reports; and
            (C) the ease by which consumers should be able to contact 
        consumer reporting agencies with respect to access to such 
        consumer reports.
        (3) Centralized source.--The centralized source for a request 
    for a consumer report from a consumer required by this subsection 
    shall provide for--
            (A) a toll-free telephone number for such purpose;
            (B) use of an Internet website for such purpose; and
            (C) a process for requests by mail for such purpose.
        (4) Transition.--The regulations of the Commission under 
    paragraph (1) shall provide for an orderly transition by consumer 
    reporting agencies described in section 603(p) of the Fair Credit 
    Reporting Act to the centralized source for consumer report 
    distribution required by section 612(a)(1)(B), as amended by this 
    section, in a manner that--
            (A) does not temporarily overwhelm such consumer reporting 
        agencies with requests for disclosures of consumer reports 
        beyond their capacity to deliver; and
            (B) does not deny creditors, other users, and consumers 
        access to consumer reports on a time-sensitive basis for 
        specific purposes, such as home purchases or suspicions of 
        identity theft, during the transition period.
        (5) Timing.--Regulations required by this subsection shall--
            (A) be issued in final form not later than 6 months after 
        the date of enactment of this Act; and
            (B) become effective not later than 6 months after the date 
        on which they are issued in final form.
        (6) Scope of regulations.--
            (A) In general.--The Commission shall, by rule, determine 
        whether to require a consumer reporting agency that compiles 
        and maintains files on consumers on substantially a nationwide 
        basis, other than one described in section 603(p) of the Fair 
        Credit Reporting Act, to make free consumer reports available 
        upon consumer request, and if so, whether such consumer 
        reporting agencies should make such free reports available 
        through the centralized source described in paragraph (1)(A).
            (B) Considerations.--Before making any determination under 
        subparagraph (A), the Commission shall consider--
                (i) the number of requests for consumer reports to, and 
            the number of consumer reports generated by, the consumer 
            reporting agency, in comparison with consumer reporting 
            agencies described in subsections (p) and (w) of section 
            603 of the Fair Credit Reporting Act;
                (ii) the overall scope of the operations of the 
            consumer reporting agency;
                (iii) the needs of consumers for access to consumer 
            reports provided by consumer reporting agencies free of 
            charge;
                (iv) the costs of providing access to consumer reports 
            by consumer reporting agencies free of charge; and
                (v) the effects on the ongoing competitive viability of 
            such consumer reporting agencies if such free access is 
            required.

SEC. 212. DISCLOSURE OF CREDIT SCORES.

    (a) Statement on Availability of Credit Scores.--Section 609(a) of 
the Fair Credit Reporting Act (15 U.S.C. 1681g(a)) is amended by adding 
at the end the following new paragraph:
        ``(6) If the consumer requests the credit file and not the 
    credit score, a statement that the consumer may request and obtain 
    a credit score.''.
    (b) Disclosure of Credit Scores.--Section 609 of the Fair Credit 
Reporting Act (15 U.S.C. 1681g), as amended by this Act, is amended by 
adding at the end the following:
    ``(f) Disclosure of Credit Scores.--
        ``(1) In general.--Upon the request of a consumer for a credit 
    score, a consumer reporting agency shall supply to the consumer a 
    statement indicating that the information and credit scoring model 
    may be different than the credit score that may be used by the 
    lender, and a notice which shall include--
            ``(A) the current credit score of the consumer or the most 
        recent credit score of the consumer that was previously 
        calculated by the credit reporting agency for a purpose related 
        to the extension of credit;
            ``(B) the range of possible credit scores under the model 
        used;
            ``(C) all of the key factors that adversely affected the 
        credit score of the consumer in the model used, the total 
        number of which shall not exceed 4, subject to paragraph (9);
            ``(D) the date on which the credit score was created; and
            ``(E) the name of the person or entity that provided the 
        credit score or credit file upon which the credit score was 
        created.
        ``(2) Definitions.--For purposes of this subsection, the 
    following definitions shall apply:
            ``(A) Credit score.--The term `credit score'--
                ``(i) means a numerical value or a categorization 
            derived from a statistical tool or modeling system used by 
            a person who makes or arranges a loan to predict the 
            likelihood of certain credit behaviors, including default 
            (and the numerical value or the categorization derived from 
            such analysis may also be referred to as a `risk predictor' 
            or `risk score'); and
                ``(ii) does not include--

                    ``(I) any mortgage score or rating of an automated 
                underwriting system that considers one or more factors 
                in addition to credit information, including the loan 
                to value ratio, the amount of down payment, or the 
                financial assets of a consumer; or
                    ``(II) any other elements of the underwriting 
                process or underwriting decision.

            ``(B) Key factors.--The term `key factors' means all 
        relevant elements or reasons adversely affecting the credit 
        score for the particular individual, listed in the order of 
        their importance based on their effect on the credit score.
        ``(3) Timeframe and manner of disclosure.--The information 
    required by this subsection shall be provided in the same timeframe 
    and manner as the information described in subsection (a).
        ``(4) Applicability to certain uses.--This subsection shall not 
    be construed so as to compel a consumer reporting agency to develop 
    or disclose a score if the agency does not--
            ``(A) distribute scores that are used in connection with 
        residential real property loans; or
            ``(B) develop scores that assist credit providers in 
        understanding the general credit behavior of a consumer and 
        predicting the future credit behavior of the consumer.
        ``(5) Applicability to credit scores developed by another 
    person.--
            ``(A) In general.--This subsection shall not be construed 
        to require a consumer reporting agency that distributes credit 
        scores developed by another person or entity to provide a 
        further explanation of them, or to process a dispute arising 
        pursuant to section 611, except that the consumer reporting 
        agency shall provide the consumer with the name and address and 
        website for contacting the person or entity who developed the 
        score or developed the methodology of the score.
            ``(B) Exception.--This paragraph shall not apply to a 
        consumer reporting agency that develops or modifies scores that 
        are developed by another person or entity.
        ``(6) Maintenance of credit scores not required.--This 
    subsection shall not be construed to require a consumer reporting 
    agency to maintain credit scores in its files.
        ``(7) Compliance in certain cases.--In complying with this 
    subsection, a consumer reporting agency shall--
            ``(A) supply the consumer with a credit score that is 
        derived from a credit scoring model that is widely distributed 
        to users by that consumer reporting agency in connection with 
        residential real property loans or with a credit score that 
        assists the consumer in understanding the credit scoring 
        assessment of the credit behavior of the consumer and 
        predictions about the future credit behavior of the consumer; 
        and
            ``(B) a statement indicating that the information and 
        credit scoring model may be different than that used by the 
        lender.
        ``(8) Fair and reasonable fee.--A consumer reporting agency may 
    charge a fair and reasonable fee, as determined by the Commission, 
    for providing the information required under this subsection.
        ``(9) Use of enquiries as a key factor.--If a key factor that 
    adversely affects the credit score of a consumer consists of the 
    number of enquiries made with respect to a consumer report, that 
    factor shall be included in the disclosure pursuant to paragraph 
    (1)(C) without regard to the numerical limitation in such 
    paragraph.''.
    (c) Disclosure of Credit Scores by Certain Mortgage Lenders.--
Section 609 of the Fair Credit Reporting Act (15 U.S.C. 1681g), as 
amended by this Act, is amended by adding at the end the following:
    ``(g) Disclosure of Credit Scores by Certain Mortgage Lenders.--
        ``(1) In general.--Any person who makes or arranges loans and 
    who uses a consumer credit score, as defined in subsection (f), in 
    connection with an application initiated or sought by a consumer 
    for a closed end loan or the establishment of an open end loan for 
    a consumer purpose that is secured by 1 to 4 units of residential 
    real property (hereafter in this subsection referred to as the 
    `lender') shall provide the following to the consumer as soon as 
    reasonably practicable:
            ``(A) Information required under subsection (f).--
                ``(i) In general.--A copy of the information identified 
            in subsection (f) that was obtained from a consumer 
            reporting agency or was developed and used by the user of 
            the information.
                ``(ii) Notice under subparagraph (d).--In addition to 
            the information provided to it by a third party that 
            provided the credit score or scores, a lender is only 
            required to provide the notice contained in subparagraph 
            (D).
            ``(B) Disclosures in case of automated underwriting 
        system.--
                ``(i) In general.--If a person that is subject to this 
            subsection uses an automated underwriting system to 
            underwrite a loan, that person may satisfy the obligation 
            to provide a credit score by disclosing a credit score and 
            associated key factors supplied by a consumer reporting 
            agency.
                ``(ii) Numerical credit score.--However, if a numerical 
            credit score is generated by an automated underwriting 
            system used by an enterprise, and that score is disclosed 
            to the person, the score shall be disclosed to the consumer 
            consistent with subparagraph (C).
                ``(iii) Enterprise defined.--For purposes of this 
            subparagraph, the term `enterprise' has the same meaning as 
            in paragraph (6) of section 1303 of the Federal Housing 
            Enterprises Financial Safety and Soundness Act of 1992.
            ``(C) Disclosures of credit scores not obtained from a 
        consumer reporting agency.--A person that is subject to the 
        provisions of this subsection and that uses a credit score, 
        other than a credit score provided by a consumer reporting 
        agency, may satisfy the obligation to provide a credit score by 
        disclosing a credit score and associated key factors supplied 
        by a consumer reporting agency.
            ``(D) Notice to home loan applicants.--A copy of the 
        following notice, which shall include the name, address, and 
        telephone number of each consumer reporting agency providing a 
        credit score that was used:

                   `notice to the home loan applicant

    `In connection with your application for a home loan, the lender 
must disclose to you the score that a consumer reporting agency 
distributed to users and the lender used in connection with your home 
loan, and the key factors affecting your credit scores.
    `The credit score is a computer generated summary calculated at the 
time of the request and based on information that a consumer reporting 
agency or lender has on file. The scores are based on data about your 
credit history and payment patterns. Credit scores are important 
because they are used to assist the lender in determining whether you 
will obtain a loan. They may also be used to determine what interest 
rate you may be offered on the mortgage. Credit scores can change over 
time, depending on your conduct, how your credit history and payment 
patterns change, and how credit scoring technologies change.
    `Because the score is based on information in your credit history, 
it is very important that you review the credit-related information 
that is being furnished to make sure it is accurate. Credit records may 
vary from one company to another.
    `If you have questions about your credit score or the credit 
information that is furnished to you, contact the consumer reporting 
agency at the address and telephone number provided with this notice, 
or contact the lender, if the lender developed or generated the credit 
score. The consumer reporting agency plays no part in the decision to 
take any action on the loan application and is unable to provide you 
with specific reasons for the decision on a loan application.
    `If you have questions concerning the terms of the loan, contact 
the lender.'.
            ``(E) Actions not required under this subsection.--This 
        subsection shall not require any person to--
                ``(i) explain the information provided pursuant to 
            subsection (f);
                ``(ii) disclose any information other than a credit 
            score or key factors, as defined in subsection (f);
                ``(iii) disclose any credit score or related 
            information obtained by the user after a loan has closed;
                ``(iv) provide more than 1 disclosure per loan 
            transaction; or
                ``(v) provide the disclosure required by this 
            subsection when another person has made the disclosure to 
            the consumer for that loan transaction.
            ``(F) No obligation for content.--
                ``(i) In general.--The obligation of any person 
            pursuant to this subsection shall be limited solely to 
            providing a copy of the information that was received from 
            the consumer reporting agency.
                ``(ii) Limit on liability.--No person has liability 
            under this subsection for the content of that information 
            or for the omission of any information within the report 
            provided by the consumer reporting agency.
            ``(G) Person defined as excluding enterprise.--As used in 
        this subsection, the term `person' does not include an 
        enterprise (as defined in paragraph (6) of section 1303 of the 
        Federal Housing Enterprises Financial Safety and Soundness Act 
        of 1992).
        ``(2) Prohibition on disclosure clauses null and void.--
            ``(A) In general.--Any provision in a contract that 
        prohibits the disclosure of a credit score by a person who 
        makes or arranges loans or a consumer reporting agency is void.
            ``(B) No liability for disclosure under this subsection.--A 
        lender shall not have liability under any contractual provision 
        for disclosure of a credit score pursuant to this 
        subsection.''.
    (d) Inclusion of Key Factor in Credit Score Information in Consumer 
Report.--Section 605(d) of the Fair Credit Reporting Act (15 U.S.C. 
1681c(d)) is amended--
        (1) by striking ``Disclosed.--Any consumer reporting agency'' 
    and inserting ``Disclosed.--
        ``(1) Title 11 information.--Any consumer reporting agency''; 
    and
        (2) by adding at the end the following new paragraph:
        ``(2) Key factor in credit score information.--Any consumer 
    reporting agency that furnishes a consumer report that contains any 
    credit score or any other risk score or predictor on any consumer 
    shall include in the report a clear and conspicuous statement that 
    a key factor (as defined in section 609(f)(2)(B)) that adversely 
    affected such score or predictor was the number of enquiries, if 
    such a predictor was in fact a key factor that adversely affected 
    such score. This paragraph shall not apply to a check services 
    company, acting as such, which issues authorizations for the 
    purpose of approving or processing negotiable instruments, 
    electronic fund transfers, or similar methods of payments, but only 
    to the extent that such company is engaged in such activities.''.
    (e) Technical and Conforming Amendments.--Section 625(b) of the 
Fair Credit Reporting Act (15 U.S.C. 1681t(b)), as so designated by 
section 214 of this Act, is amended--
        (1) by striking ``or'' at the end of paragraph (2); and
        (2) by striking paragraph (3) and inserting the following:
        ``(3) with respect to the disclosures required to be made under 
    subsection (c), (d), (e), or (g) of section 609, or subsection (f) 
    of section 609 relating to the disclosure of credit scores for 
    credit granting purposes, except that this paragraph--
            ``(A) shall not apply with respect to sections 1785.10, 
        1785.16, and 1785.20.2 of the California Civil Code (as in 
        effect on the date of enactment of the Fair and Accurate Credit 
        Transactions Act of 2003) and section 1785.15 through section 
        1785.15.2 of such Code (as in effect on such date);
            ``(B) shall not apply with respect to sections 5-3-106(2) 
        and 212-14.3-104.3 of the Colorado Revised Statutes (as in 
        effect on the date of enactment of the Fair and Accurate Credit 
        Transactions Act of 2003); and
            ``(C) shall not be construed as limiting, annulling, 
        affecting, or superseding any provision of the laws of any 
        State regulating the use in an insurance activity, or 
        regulating disclosures concerning such use, of a credit-based 
        insurance score of a consumer by any person engaged in the 
        business of insurance;
        ``(4) with respect to the frequency of any disclosure under 
    section 612(a), except that this paragraph shall not apply--
            ``(A) with respect to section 12-14.3-105(1)(d) of the 
        Colorado Revised Statutes (as in effect on the date of 
        enactment of the Fair and Accurate Credit Transactions Act of 
        2003);
            ``(B) with respect to section 10-1-393(29)(C) of the 
        Georgia Code (as in effect on the date of enactment of the Fair 
        and Accurate Credit Transactions Act of 2003);
            ``(C) with respect to section 1316.2 of title 10 of the 
        Maine Revised Statutes (as in effect on the date of enactment 
        of the Fair and Accurate Credit Transactions Act of 2003);
            ``(D) with respect to sections 14-1209(a)(1) and 14-
        1209(b)(1)(i) of the Commercial Law Article of the Code of 
        Maryland (as in effect on the date of enactment of the Fair and 
        Accurate Credit Transactions Act of 2003);
            ``(E) with respect to section 59(d) and section 59(e) of 
        chapter 93 of the General Laws of Massachusetts (as in effect 
        on the date of enactment of the Fair and Accurate Credit 
        Transactions Act of 2003);
            ``(F) with respect to section 56:11-37.10(a)(1) of the New 
        Jersey Revised Statutes (as in effect on the date of enactment 
        of the Fair and Accurate Credit Transactions Act of 2003); or
            ``(G) with respect to section 2480c(a)(1) of title 9 of the 
        Vermont Statutes Annotated (as in effect on the date of 
        enactment of the Fair and Accurate Credit Transactions Act of 
        2003); or''.

SEC. 213. ENHANCED DISCLOSURE OF THE MEANS AVAILABLE TO OPT OUT OF 
              PRESCREENED LISTS.

    (a) Notice and Response Format for Users of Reports.--Section 
615(d)(2) of the Fair Credit Reporting Act (15 U.S.C. 1681m(d)(2)) is 
amended to read as follows:
        ``(2) Disclosure of address and telephone number; format.--A 
    statement under paragraph (1) shall--
            ``(A) include the address and toll-free telephone number of 
        the appropriate notification system established under section 
        604(e); and
            ``(B) be presented in such format and in such type size and 
        manner as to be simple and easy to understand, as established 
        by the Commission, by rule, in consultation with the Federal 
        banking agencies and the National Credit Union 
        Administration.''.
    (b) Rulemaking Schedule.--Regulations required by section 615(d)(2) 
of the Fair Credit Reporting Act, as amended by this section, shall be 
issued in final form not later than 1 year after the date of enactment 
of this Act.
    (c) Duration of Elections.--Section 604(e) of the Fair Credit 
Reporting Act (15 U.S.C. 1681b(e)) is amended in each of paragraphs 
(3)(A) and (4)(B)(i)), by striking ``2-year period'' each place that 
term appears and inserting ``5-year period''.
    (d) Public Awareness Campaign.--The Commission shall actively 
publicize and conspicuously post on its website any address and the 
toll-free telephone number established as part of a notification system 
for opting out of prescreening under section 604(e) of the Fair Credit 
Reporting Act (15 U.S.C. 1681b(e)), and otherwise take measures to 
increase public awareness regarding the availability of the right to 
opt out of prescreening.
    (e) Analysis of Further Restrictions on Offers of Credit or 
Insurance.--
        (1) In general.--The Board shall conduct a study of--
            (A) the ability of consumers to avoid receiving written 
        offers of credit or insurance in connection with transactions 
        not initiated by the consumer; and
            (B) the potential impact that any further restrictions on 
        providing consumers with such written offers of credit or 
        insurance would have on consumers.
        (2) Report.--The Board shall submit a report summarizing the 
    results of the study required under paragraph (1) to the Congress 
    not later than 12 months after the date of enactment of this Act, 
    together with such recommendations for legislative or 
    administrative action as the Board may determine to be appropriate.
        (3) Content of report.--The report described in paragraph (2) 
    shall address the following issues:
            (A) The current statutory or voluntary mechanisms that are 
        available to a consumer to notify lenders and insurance 
        providers that the consumer does not wish to receive written 
        offers of credit or insurance.
            (B) The extent to which consumers are currently utilizing 
        existing statutory and voluntary mechanisms to avoid receiving 
        offers of credit or insurance.
            (C) The benefits provided to consumers as a result of 
        receiving written offers of credit or insurance.
            (D) Whether consumers incur significant costs or are 
        otherwise adversely affected by the receipt of written offers 
        of credit or insurance.
            (E) Whether further restricting the ability of lenders and 
        insurers to provide written offers of credit or insurance to 
        consumers would affect--
                (i) the cost consumers pay to obtain credit or 
            insurance;
                (ii) the availability of credit or insurance;
                (iii) consumers' knowledge about new or alternative 
            products and services;
                (iv) the ability of lenders or insurers to compete with 
            one another; and
                (v) the ability to offer credit or insurance products 
            to consumers who have been traditionally underserved.

SEC. 214. AFFILIATE SHARING.

    (a) Limitation.--The Fair Credit Reporting Act (15 U.S.C. 1601 et 
seq.) is amended--
        (1) by redesignating sections 624 (15 U.S.C. 1681t), 625 (15 
    U.S.C. 1681u), and 626 (15 U.S.C. 6181v) as sections 625, 626, and 
    627, respectively; and
        (2) by inserting after section 623 the following:

``Sec. 624. Affiliate sharing

    ``(a) Special Rule for Solicitation for Purposes of Marketing.--
        ``(1) Notice.--Any person that receives from another person 
    related to it by common ownership or affiliated by corporate 
    control a communication of information that would be a consumer 
    report, but for clauses (i), (ii), and (iii) of section 
    603(d)(2)(A), may not use the information to make a solicitation 
    for marketing purposes to a consumer about its products or 
    services, unless--
            ``(A) it is clearly and conspicuously disclosed to the 
        consumer that the information may be communicated among such 
        persons for purposes of making such solicitations to the 
        consumer; and
            ``(B) the consumer is provided an opportunity and a simple 
        method to prohibit the making of such solicitations to the 
        consumer by such person.
        ``(2) Consumer choice.--
            ``(A) In general.--The notice required under paragraph (1) 
        shall allow the consumer the opportunity to prohibit all 
        solicitations referred to in such paragraph, and may allow the 
        consumer to choose from different options when electing to 
        prohibit the sending of such solicitations, including options 
        regarding the types of entities and information covered, and 
        which methods of delivering solicitations the consumer elects 
        to prohibit.
            ``(B) Format.--Notwithstanding subparagraph (A), the notice 
        required under paragraph (1) shall be clear, conspicuous, and 
        concise, and any method provided under paragraph (1)(B) shall 
        be simple. The regulations prescribed to implement this section 
        shall provide specific guidance regarding how to comply with 
        such standards.
        ``(3) Duration.--
            ``(A) In general.--The election of a consumer pursuant to 
        paragraph (1)(B) to prohibit the making of solicitations shall 
        be effective for at least 5 years, beginning on the date on 
        which the person receives the election of the consumer, unless 
        the consumer requests that such election be revoked.
            ``(B) Notice upon expiration of effective period.--At such 
        time as the election of a consumer pursuant to paragraph (1)(B) 
        is no longer effective, a person may not use information that 
        the person receives in the manner described in paragraph (1) to 
        make any solicitation for marketing purposes to the consumer, 
        unless the consumer receives a notice and an opportunity, using 
        a simple method, to extend the opt-out for another period of at 
        least 5 years, pursuant to the procedures described in 
        paragraph (1).
        ``(4) Scope.--This section shall not apply to a person--
            ``(A) using information to make a solicitation for 
        marketing purposes to a consumer with whom the person has a 
        pre-existing business relationship;
            ``(B) using information to facilitate communications to an 
        individual for whose benefit the person provides employee 
        benefit or other services pursuant to a contract with an 
        employer related to and arising out of the current employment 
        relationship or status of the individual as a participant or 
        beneficiary of an employee benefit plan;
            ``(C) using information to perform services on behalf of 
        another person related by common ownership or affiliated by 
        corporate control, except that this subparagraph shall not be 
        construed as permitting a person to send solicitations on 
        behalf of another person, if such other person would not be 
        permitted to send the solicitation on its own behalf as a 
        result of the election of the consumer to prohibit 
        solicitations under paragraph (1)(B);
            ``(D) using information in response to a communication 
        initiated by the consumer;
            ``(E) using information in response to solicitations 
        authorized or requested by the consumer; or
            ``(F) if compliance with this section by that person would 
        prevent compliance by that person with any provision of State 
        insurance laws pertaining to unfair discrimination in any State 
        in which the person is lawfully doing business.
        ``(5) No retroactivity.--This subsection shall not prohibit the 
    use of information to send a solicitation to a consumer if such 
    information was received prior to the date on which persons are 
    required to comply with regulations implementing this subsection.
    ``(b) Notice for Other Purposes Permissible.--A notice or other 
disclosure under this section may be coordinated and consolidated with 
any other notice required to be issued under any other provision of law 
by a person that is subject to this section, and a notice or other 
disclosure that is equivalent to the notice required by subsection (a), 
and that is provided by a person described in subsection (a) to a 
consumer together with disclosures required by any other provision of 
law, shall satisfy the requirements of subsection (a).
    ``(c) User Requirements.--Requirements with respect to the use by a 
person of information received from another person related to it by 
common ownership or affiliated by corporate control, such as the 
requirements of this section, constitute requirements with respect to 
the exchange of information among persons affiliated by common 
ownership or common corporate control, within the meaning of section 
625(b)(2).
    ``(d) Definitions.--For purposes of this section, the following 
definitions shall apply:
        ``(1) Pre-existing business relationship.--The term `pre-
    existing business relationship' means a relationship between a 
    person, or a person's licensed agent, and a consumer, based on--
            ``(A) a financial contract between a person and a consumer 
        which is in force;
            ``(B) the purchase, rental, or lease by the consumer of 
        that person's goods or services, or a financial transaction 
        (including holding an active account or a policy in force or 
        having another continuing relationship) between the consumer 
        and that person during the 18-month period immediately 
        preceding the date on which the consumer is sent a solicitation 
        covered by this section;
            ``(C) an inquiry or application by the consumer regarding a 
        product or service offered by that person, during the 3-month 
        period immediately preceding the date on which the consumer is 
        sent a solicitation covered by this section; or
            ``(D) any other pre-existing customer relationship defined 
        in the regulations implementing this section.
        ``(2) Solicitation.--The term `solicitation' means the 
    marketing of a product or service initiated by a person to a 
    particular consumer that is based on an exchange of information 
    described in subsection (a), and is intended to encourage the 
    consumer to purchase such product or service, but does not include 
    communications that are directed at the general public or 
    determined not to be a solicitation by the regulations prescribed 
    under this section.''.
    (b) Rulemaking Required.--
        (1) In general.--The Federal banking agencies, the National 
    Credit Union Administration, and the Commission, with respect to 
    the entities that are subject to their respective enforcement 
    authority under section 621 of the Fair Credit Reporting Act and 
    the Securities and Exchange Commission, and in coordination as 
    described in paragraph (2), shall prescribe regulations to 
    implement section 624 of the Fair Credit Reporting Act, as added by 
    this section.
        (2) Coordination.--Each agency required to prescribe 
    regulations under paragraph (1) shall consult and coordinate with 
    each other such agency so that, to the extent possible, the 
    regulations prescribed by each such entity are consistent and 
    comparable with the regulations prescribed by each other such 
    agency.
        (3) Considerations.--In promulgating regulations under this 
    subsection, each agency referred to in paragraph (1) shall--
            (A) ensure that affiliate sharing notification methods 
        provide a simple means for consumers to make determinations and 
        choices under section 624 of the Fair Credit Reporting Act, as 
        added by this section;
            (B) consider the affiliate sharing notification practices 
        employed on the date of enactment of this Act by persons that 
        will be subject to that section 624; and
            (C) ensure that notices and disclosures may be coordinated 
        and consolidated, as provided in subsection (b) of that section 
        624.
        (4) Timing.--Regulations required by this subsection shall--
            (A) be issued in final form not later than 9 months after 
        the date of enactment of this Act; and
            (B) become effective not later than 6 months after the date 
        on which they are issued in final form.
    (c) Technical and Conforming Amendments.--
        (1) Definitions.--Section 603(d)(2)(A) of the Fair Credit 
    Reporting Act (15 U.S.C. 1681(d)(2)(A)) is amended by inserting 
    ``subject to section 624,'' after ``(A)''.
        (2) Relation to state laws.--Section 625(b)(1) of the Fair 
    Credit Reporting Act (15 U.S.C. 1681t(b)(1)), as so designated by 
    subsection (a) of this section, is amended--
            (A) by striking ``or'' after the semicolon at the end of 
        subparagraph (E); and
            (B) by adding at the end the following new subparagraph:
            ``(H) section 624, relating to the exchange and use of 
        information to make a solicitation for marketing purposes; 
        or''.
        (3) Cross reference correction.--Section 627(d) of the Fair 
    Credit Reporting Act (15 U.S.C. 1681v(d)), as so designated by 
    subsection (a) of this section, is amended by striking ``section 
    625'' and inserting ``section 626''.
        (4) Table of sections.--The table of sections for title VI of 
    the Consumer Credit Protection Act (15 U.S.C. 1601 et seq.) is 
    amended by striking the items relating to sections 624 through 626 
    and inserting the following:

``624. Affiliate sharing.
``625. Relation to State laws.
``626. Disclosures to FBI for counterintelligence purposes.
``627. Disclosures to governmental agencies for counterintelligence 
          purposes.''.

    (e) Studies of Information Sharing Practices.--
        (1) In general.--The Federal banking agencies, the National 
    Credit Union Administration, and the Commission shall jointly 
    conduct regular studies of the consumer information sharing 
    practices by financial institutions and other persons that are 
    creditors or users of consumer reports with their affiliates.
        (2) Matters for study.--In conducting the studies required by 
    paragraph (1), the agencies described in paragraph (1) shall--
            (A) identify--
                (i) the purposes for which financial institutions and 
            other creditors and users of consumer reports share 
            consumer information;
                (ii) the types of information shared by such entities 
            with their affiliates;
                (iii) the number of choices provided to consumers with 
            respect to the control of such sharing, and the degree to 
            and manner in which consumers exercise such choices, if at 
            all; and
                (iv) whether such entities share or may share 
            personally identifiable transaction or experience 
            information with affiliates for purposes--

                    (I) that are related to employment or hiring, 
                including whether the person that is the subject of 
                such information is given notice of such sharing, and 
                the specific uses of such shared information; or
                    (II) of general publication of such information; 
                and

            (B) specifically examine the information sharing practices 
        that financial institutions and other creditors and users of 
        consumer reports and their affiliates employ for the purpose of 
        making underwriting decisions or credit evaluations of 
        consumers.
        (3) Reports.--
            (A) Initial report.--Not later than 3 years after the date 
        of enactment of this Act, the Federal banking agencies, the 
        National Credit Union Administration, and the Commission shall 
        jointly submit a report to the Congress on the results of the 
        initial study conducted in accordance with this subsection, 
        together with any recommendations for legislative or regulatory 
        action.
            (B) Followup reports.--The Federal banking agencies, the 
        National Credit Union Administration, and the Commission shall, 
        not less frequently than once every 3 years following the date 
        of submission of the initial report under subparagraph (A), 
        jointly submit a report to the Congress that, together with any 
        recommendations for legislative or regulatory action--
                (i) documents any changes in the areas of study 
            referred to in paragraph (2)(A) occurring since the date of 
            submission of the previous report;
                (ii) identifies any changes in the practices of 
            financial institutions and other creditors and users of 
            consumer reports in sharing consumer information with their 
            affiliates for the purpose of making underwriting decisions 
            or credit evaluations of consumers occurring since the date 
            of submission of the previous report; and
                (iii) examines the effects that changes described in 
            clause (ii) have had, if any, on the degree to which such 
            affiliate sharing practices reduce the need for financial 
            institutions, creditors, and other users of consumer 
            reports to rely on consumer reports for such decisions.

SEC. 215. STUDY OF EFFECTS OF CREDIT SCORES AND CREDIT-BASED INSURANCE 
              SCORES ON AVAILABILITY AND AFFORDABILITY OF FINANCIAL 
              PRODUCTS.

    (a) Study Required.--The Commission and the Board, in consultation 
with the Office of Fair Housing and Equal Opportunity of the Department 
of Housing and Urban Development, shall conduct a study of--
        (1) the effects of the use of credit scores and credit-based 
    insurance scores on the availability and affordability of financial 
    products and services, including credit cards, mortgages, auto 
    loans, and property and casualty insurance;
        (2) the statistical relationship, utilizing a multivariate 
    analysis that controls for prohibited factors under the Equal 
    Credit Opportunity Act and other known risk factors, between credit 
    scores and credit-based insurance scores and the quantifiable risks 
    and actual losses experienced by businesses;
        (3) the extent to which, if any, the use of credit scoring 
    models, credit scores, and credit-based insurance scores impact on 
    the availability and affordability of credit and insurance to the 
    extent information is currently available or is available through 
    proxies, by geography, income, ethnicity, race, color, religion, 
    national origin, age, sex, marital status, and creed, including the 
    extent to which the consideration or lack of consideration of 
    certain factors by credit scoring systems could result in negative 
    or differential treatment of protected classes under the Equal 
    Credit Opportunity Act, and the extent to which, if any, the use of 
    underwriting systems relying on these models could achieve 
    comparable results through the use of factors with less negative 
    impact; and
        (4) the extent to which credit scoring systems are used by 
    businesses, the factors considered by such systems, and the effects 
    of variables which are not considered by such systems.
    (b) Public Participation.--The Commission shall seek public input 
about the prescribed methodology and research design of the study 
described in subsection (a), including from relevant Federal 
regulators, State insurance regulators, community, civil rights, 
consumer, and housing groups.
    (c) Report Required.--
        (1) In general.--Before the end of the 24-month period 
    beginning on the date of enactment of this Act, the Commission 
    shall submit a detailed report on the study conducted pursuant to 
    subsection (a) to the Committee on Financial Services of the House 
    of Representatives and the Committee on Banking, Housing, and Urban 
    Affairs of the Senate.
        (2) Contents of report.--The report submitted under paragraph 
    (1) shall include the findings and conclusions of the Commission, 
    recommendations to address specific areas of concerns addressed in 
    the study, and recommendations for legislative or administrative 
    action that the Commission may determine to be necessary to ensure 
    that credit and credit-based insurance scores are used 
    appropriately and fairly to avoid negative effects.

SEC. 216. DISPOSAL OF CONSUMER REPORT INFORMATION AND RECORDS.

    (a) In General.--The Fair Credit Reporting Act (15 U.S.C. 1681 et 
seq.), as amended by this Act, is amended by adding at the end the 
following:

``Sec. 628. Disposal of records

    ``(a) Regulations.--
        ``(1) In general.--Not later than 1 year after the date of 
    enactment of this section, the Federal banking agencies, the 
    National Credit Union Administration, and the Commission with 
    respect to the entities that are subject to their respective 
    enforcement authority under section 621, and the Securities and 
    Exchange Commission, and in coordination as described in paragraph 
    (2), shall issue final regulations requiring any person that 
    maintains or otherwise possesses consumer information, or any 
    compilation of consumer information, derived from consumer reports 
    for a business purpose to properly dispose of any such information 
    or compilation.
        ``(2) Coordination.--Each agency required to prescribe 
    regulations under paragraph (1) shall--
            ``(A) consult and coordinate with each other such agency so 
        that, to the extent possible, the regulations prescribed by 
        each such agency are consistent and comparable with the 
        regulations by each such other agency; and
            ``(B) ensure that such regulations are consistent with the 
        requirements and regulations issued pursuant to Public Law 106-
        102 and other provisions of Federal law.
        ``(3) Exemption authority.--In issuing regulations under this 
    section, the Federal banking agencies, the National Credit Union 
    Administration, the Commission, and the Securities and Exchange 
    Commission may exempt any person or class of persons from 
    application of those regulations, as such agency deems appropriate 
    to carry out the purpose of this section.
    ``(b) Rule of Construction.--Nothing in this section shall be 
construed--
        ``(1) to require a person to maintain or destroy any record 
    pertaining to a consumer that is not imposed under other law; or
        ``(2) to alter or affect any requirement imposed under any 
    other provision of law to maintain or destroy such a record.''.
    (b) Clerical Amendment.--The table of sections for title VI of the 
Consumer Credit Protection Act (15 U.S.C. 1601 et seq.) is amended by 
inserting after the item relating to section 627, as added by section 
214 of this Act, the following:
``628. Disposal of records.
``629. Corporate and technological circumvention prohibited.''.

SEC. 217. REQUIREMENT TO DISCLOSE COMMUNICATIONS TO A CONSUMER 
              REPORTING AGENCY.

    (a) In General.--Section 623(a) of the Fair Credit Reporting Act 
(15 U.S.C. 1681s-2(a)) as amended by this Act, is amended by inserting 
after paragraph (6), the following new paragraph:
        ``(7) Negative information.--
            ``(A) Notice to consumer required.--
                ``(i) In general.--If any financial institution that 
            extends credit and regularly and in the ordinary course of 
            business furnishes information to a consumer reporting 
            agency described in section 603(p) furnishes negative 
            information to such an agency regarding credit extended to 
            a customer, the financial institution shall provide a 
            notice of such furnishing of negative information, in 
            writing, to the customer.
                ``(ii) Notice effective for subsequent submissions.--
            After providing such notice, the financial institution may 
            submit additional negative information to a consumer 
            reporting agency described in section 603(p) with respect 
            to the same transaction, extension of credit, account, or 
            customer without providing additional notice to the 
            customer.
            ``(B) Time of notice.--
                ``(i) In general.--The notice required under 
            subparagraph (A) shall be provided to the customer prior 
            to, or no later than 30 days after, furnishing the negative 
            information to a consumer reporting agency described in 
            section 603(p).
                ``(ii) Coordination with new account disclosures.--If 
            the notice is provided to the customer prior to furnishing 
            the negative information to a consumer reporting agency, 
            the notice may not be included in the initial disclosures 
            provided under section 127(a) of the Truth in Lending Act.
            ``(C) Coordination with other disclosures.--The notice 
        required under subparagraph (A)--
                ``(i) may be included on or with any notice of default, 
            any billing statement, or any other materials provided to 
            the customer; and
                ``(ii) must be clear and conspicuous.
            ``(D) Model disclosure.--
                ``(i) Duty of board to prepare.--The Board shall 
            prescribe a brief model disclosure a financial institution 
            may use to comply with subparagraph (A), which shall not 
            exceed 30 words.
                ``(ii) Use of model not required.--No provision of this 
            paragraph shall be construed as requiring a financial 
            institution to use any such model form prescribed by the 
            Board.
                ``(iii) Compliance using model.--A financial 
            institution shall be deemed to be in compliance with 
            subparagraph (A) if the financial institution uses any such 
            model form prescribed by the Board, or the financial 
            institution uses any such model form and rearranges its 
            format.
            ``(E) Use of notice without submitting negative 
        information.--No provision of this paragraph shall be construed 
        as requiring a financial institution that has provided a 
        customer with a notice described in subparagraph (A) to furnish 
        negative information about the customer to a consumer reporting 
        agency.
            ``(F) Safe harbor.--A financial institution shall not be 
        liable for failure to perform the duties required by this 
        paragraph if, at the time of the failure, the financial 
        institution maintained reasonable policies and procedures to 
        comply with this paragraph or the financial institution 
        reasonably believed that the institution is prohibited, by law, 
        from contacting the consumer.
            ``(G) Definitions.--For purposes of this paragraph, the 
        following definitions shall apply:
                ``(i) Negative information.--The term `negative 
            information' means information concerning a customer's 
            delinquencies, late payments, insolvency, or any form of 
            default.
                ``(ii) Customer; financial institution.--The terms 
            `customer' and `financial institution' have the same 
            meanings as in section 509 Public Law 106-102.''.
    (b) Model Disclosure Form.--Before the end of the 6-month period 
beginning on the date of enactment of this Act, the Board shall adopt 
the model disclosure required under the amendment made by subsection 
(a) after notice duly given in the Federal Register and an opportunity 
for public comment in accordance with section 553 of title 5, United 
States Code.

    TITLE III--ENHANCING THE ACCURACY OF CONSUMER REPORT INFORMATION

SEC. 311. RISK-BASED PRICING NOTICE.

    (a) Duties of Users.--Section 615 of the Fair Credit Reporting Act 
(15 U.S.C. 1681m), as amended by this Act, is amended by adding at the 
end the following:
    ``(h) Duties of Users in Certain Credit Transactions.--
        ``(1) In general.--Subject to rules prescribed as provided in 
    paragraph (6), if any person uses a consumer report in connection 
    with an application for, or a grant, extension, or other provision 
    of, credit on material terms that are materially less favorable 
    than the most favorable terms available to a substantial proportion 
    of consumers from or through that person, based in whole or in part 
    on a consumer report, the person shall provide an oral, written, or 
    electronic notice to the consumer in the form and manner required 
    by regulations prescribed in accordance with this subsection.
        ``(2) Timing.--The notice required under paragraph (1) may be 
    provided at the time of an application for, or a grant, extension, 
    or other provision of, credit or the time of communication of an 
    approval of an application for, or grant, extension, or other 
    provision of, credit, except as provided in the regulations 
    prescribed under paragraph (6).
        ``(3) Exceptions.--No notice shall be required from a person 
    under this subsection if--
            ``(A) the consumer applied for specific material terms and 
        was granted those terms, unless those terms were initially 
        specified by the person after the transaction was initiated by 
        the consumer and after the person obtained a consumer report; 
        or
            ``(B) the person has provided or will provide a notice to 
        the consumer under subsection (a) in connection with the 
        transaction.
        ``(4) Other notice not sufficient.--A person that is required 
    to provide a notice under subsection (a) cannot meet that 
    requirement by providing a notice under this subsection.
        ``(5) Content and delivery of notice.--A notice under this 
    subsection shall, at a minimum--
            ``(A) include a statement informing the consumer that the 
        terms offered to the consumer are set based on information from 
        a consumer report;
            ``(B) identify the consumer reporting agency furnishing the 
        report;
            ``(C) include a statement informing the consumer that the 
        consumer may obtain a copy of a consumer report from that 
        consumer reporting agency without charge; and
            ``(D) include the contact information specified by that 
        consumer reporting agency for obtaining such consumer reports 
        (including a toll-free telephone number established by the 
        agency in the case of a consumer reporting agency described in 
        section 603(p)).
        ``(6) Rulemaking.--
            ``(A) Rules required.--The Commission and the Board shall 
        jointly prescribe rules.
            ``(B) Content.--Rules required by subparagraph (A) shall 
        address, but are not limited to--
                ``(i) the form, content, time, and manner of delivery 
            of any notice under this subsection;
                ``(ii) clarification of the meaning of terms used in 
            this subsection, including what credit terms are material, 
            and when credit terms are materially less favorable;
                ``(iii) exceptions to the notice requirement under this 
            subsection for classes of persons or transactions regarding 
            which the agencies determine that notice would not 
            significantly benefit consumers;
                ``(iv) a model notice that may be used to comply with 
            this subsection; and
                ``(v) the timing of the notice required under paragraph 
            (1), including the circumstances under which the notice 
            must be provided after the terms offered to the consumer 
            were set based on information from a consumer report.
        ``(7) Compliance.--A person shall not be liable for failure to 
    perform the duties required by this section if, at the time of the 
    failure, the person maintained reasonable policies and procedures 
    to comply with this section.
        ``(8) Enforcement.--
            ``(A) No civil actions.--Sections 616 and 617 shall not 
        apply to any failure by any person to comply with this section.
            ``(B) Administrative enforcement.--This section shall be 
        enforced exclusively under section 621 by the Federal agencies 
        and officials identified in that section.''.
    (b) Relation to State Laws.--Section 625(b)(1) of the Fair Credit 
Reporting Act (15 U.S.C. 1681t(b)(1)), as so designated by section 214 
of this Act, is amended by adding at the end the following:
            ``(I) section 615(h), relating to the duties of users of 
        consumer reports to provide notice with respect to terms in 
        certain credit transactions;''.

SEC. 312. PROCEDURES TO ENHANCE THE ACCURACY AND INTEGRITY OF 
              INFORMATION FURNISHED TO CONSUMER REPORTING AGENCIES.

    (a) Accuracy Guidelines and Regulations.--Section 623 of the Fair 
Credit Reporting Act (15 U.S.C. 1681s-2) is amended by adding at the 
end the following:
    ``(e) Accuracy Guidelines and Regulations Required.--
        ``(1) Guidelines.--The Federal banking agencies, the National 
    Credit Union Administration, and the Commission shall, with respect 
    to the entities that are subject to their respective enforcement 
    authority under section 621, and in coordination as described in 
    paragraph (2)--
            ``(A) establish and maintain guidelines for use by each 
        person that furnishes information to a consumer reporting 
        agency regarding the accuracy and integrity of the information 
        relating to consumers that such entities furnish to consumer 
        reporting agencies, and update such guidelines as often as 
        necessary; and
            ``(B) prescribe regulations requiring each person that 
        furnishes information to a consumer reporting agency to 
        establish reasonable policies and procedures for implementing 
        the guidelines established pursuant to subparagraph (A).
        ``(2) Coordination.--Each agency required to prescribe 
    regulations under paragraph (1) shall consult and coordinate with 
    each other such agency so that, to the extent possible, the 
    regulations prescribed by each such entity are consistent and 
    comparable with the regulations prescribed by each other such 
    agency.
        ``(3) Criteria.--In developing the guidelines required by 
    paragraph (1)(A), the agencies described in paragraph (1) shall--
            ``(A) identify patterns, practices, and specific forms of 
        activity that can compromise the accuracy and integrity of 
        information furnished to consumer reporting agencies;
            ``(B) review the methods (including technological means) 
        used to furnish information relating to consumers to consumer 
        reporting agencies;
            ``(C) determine whether persons that furnish information to 
        consumer reporting agencies maintain and enforce policies to 
        assure the accuracy and integrity of information furnished to 
        consumer reporting agencies; and
            ``(D) examine the policies and processes that persons that 
        furnish information to consumer reporting agencies employ to 
        conduct reinvestigations and correct inaccurate information 
        relating to consumers that has been furnished to consumer 
        reporting agencies.''.
    (b) Duty of Furnishers To Provide Accurate Information.--Section 
623(a)(1) of the Fair Credit Reporting Act (15 U.S.C. 1681s-2(a)(1)) is 
amended--
        (1) in subparagraph (A), by striking ``knows or consciously 
    avoids knowing that the information is inaccurate'' and inserting 
    ``knows or has reasonable cause to believe that the information is 
    inaccurate''; and
        (2) by adding at the end the following:
            ``(D) Definition.--For purposes of subparagraph (A), the 
        term `reasonable cause to believe that the information is 
        inaccurate' means having specific knowledge, other than solely 
        allegations by the consumer, that would cause a reasonable 
        person to have substantial doubts about the accuracy of the 
        information.''.
    (c) Ability of Consumer To Dispute Information Directly With 
Furnisher.--Section 623(a) of the Fair Credit Reporting Act (15 U.S.C. 
1681s-2(a)), as amended by this Act, is amended by adding at the end 
the following:
        ``(8) Ability of consumer to dispute information directly with 
    furnisher.--
            ``(A) In general.--The Federal banking agencies, the 
        National Credit Union Administration, and the Commission shall 
        jointly prescribe regulations that shall identify the 
        circumstances under which a furnisher shall be required to 
        reinvestigate a dispute concerning the accuracy of information 
        contained in a consumer report on the consumer, based on a 
        direct request of a consumer.
            ``(B) Considerations.--In prescribing regulations under 
        subparagraph (A), the agencies shall weigh--
                ``(i) the benefits to consumers with the costs on 
            furnishers and the credit reporting system;
                ``(ii) the impact on the overall accuracy and integrity 
            of consumer reports of any such requirements;
                ``(iii) whether direct contact by the consumer with the 
            furnisher would likely result in the most expeditious 
            resolution of any such dispute; and
                ``(iv) the potential impact on the credit reporting 
            process if credit repair organizations, as defined in 
            section 403(3), including entities that would be a credit 
            repair organization, but for section 403(3)(B)(i), are able 
            to circumvent the prohibition in subparagraph (G).
            ``(C) Applicability.--Subparagraphs (D) through (G) shall 
        apply in any circumstance identified under the regulations 
        promulgated under subparagraph (A).
            ``(D) Submitting a notice of dispute.--A consumer who seeks 
        to dispute the accuracy of information shall provide a dispute 
        notice directly to such person at the address specified by the 
        person for such notices that--
                ``(i) identifies the specific information that is being 
            disputed;
                ``(ii) explains the basis for the dispute; and
                ``(iii) includes all supporting documentation required 
            by the furnisher to substantiate the basis of the dispute.
            ``(E) Duty of person after receiving notice of dispute.--
        After receiving a notice of dispute from a consumer pursuant to 
        subparagraph (D), the person that provided the information in 
        dispute to a consumer reporting agency shall--
                ``(i) conduct an investigation with respect to the 
            disputed information;
                ``(ii) review all relevant information provided by the 
            consumer with the notice;
                ``(iii) complete such person's investigation of the 
            dispute and report the results of the investigation to the 
            consumer before the expiration of the period under section 
            611(a)(1) within which a consumer reporting agency would be 
            required to complete its action if the consumer had elected 
            to dispute the information under that section; and
                ``(iv) if the investigation finds that the information 
            reported was inaccurate, promptly notify each consumer 
            reporting agency to which the person furnished the 
            inaccurate information of that determination and provide to 
            the agency any correction to that information that is 
            necessary to make the information provided by the person 
            accurate.
            ``(F) Frivolous or irrelevant dispute.--
                ``(i) In general.--This paragraph shall not apply if 
            the person receiving a notice of a dispute from a consumer 
            reasonably determines that the dispute is frivolous or 
            irrelevant, including--

                    ``(I) by reason of the failure of a consumer to 
                provide sufficient information to investigate the 
                disputed information; or
                    ``(II) the submission by a consumer of a dispute 
                that is substantially the same as a dispute previously 
                submitted by or for the consumer, either directly to 
                the person or through a consumer reporting agency under 
                subsection (b), with respect to which the person has 
                already performed the person's duties under this 
                paragraph or subsection (b), as applicable.

                ``(ii) Notice of determination.--Upon making any 
            determination under clause (i) that a dispute is frivolous 
            or irrelevant, the person shall notify the consumer of such 
            determination not later than 5 business days after making 
            such determination, by mail or, if authorized by the 
            consumer for that purpose, by any other means available to 
            the person.
                ``(iii) Contents of notice.--A notice under clause (ii) 
            shall include--

                    ``(I) the reasons for the determination under 
                clause (i); and
                    ``(II) identification of any information required 
                to investigate the disputed information, which may 
                consist of a standardized form describing the general 
                nature of such information.

            ``(G) Exclusion of credit repair organizations.--This 
        paragraph shall not apply if the notice of the dispute is 
        submitted by, is prepared on behalf of the consumer by, or is 
        submitted on a form supplied to the consumer by, a credit 
        repair organization, as defined in section 403(3), or an entity 
        that would be a credit repair organization, but for section 
        403(3)(B)(i).''.
    (d) Furnisher Liability Exception.--Section 623(a)(5) of the Fair 
Credit Reporting Act (15 U.S.C. 1681s-2(a)(5)) is amended--
        (1) by striking ``A person'' and inserting the following:
            ``(A) In general.--A person'';
        (2) by inserting ``date of delinquency on the account, which 
    shall be the'' before ``month'';
        (3) by inserting ``on the account'' before ``that immediately 
    preceded''; and
        (4) by adding at the end the following:
            ``(B) Rule of construction.--For purposes of this paragraph 
        only, and provided that the consumer does not dispute the 
        information, a person that furnishes information on a 
        delinquent account that is placed for collection, charged for 
        profit or loss, or subjected to any similar action, complies 
        with this paragraph, if--
                ``(i) the person reports the same date of delinquency 
            as that provided by the creditor to which the account was 
            owed at the time at which the commencement of the 
            delinquency occurred, if the creditor previously reported 
            that date of delinquency to a consumer reporting agency;
                ``(ii) the creditor did not previously report the date 
            of delinquency to a consumer reporting agency, and the 
            person establishes and follows reasonable procedures to 
            obtain the date of delinquency from the creditor or another 
            reliable source and reports that date to a consumer 
            reporting agency as the date of delinquency; or
                ``(iii) the creditor did not previously report the date 
            of delinquency to a consumer reporting agency and the date 
            of delinquency cannot be reasonably obtained as provided in 
            clause (ii), the person establishes and follows reasonable 
            procedures to ensure the date reported as the date of 
            delinquency precedes the date on which the account is 
            placed for collection, charged to profit or loss, or 
            subjected to any similar action, and reports such date to 
            the credit reporting agency.''.
    (e) Liability and Enforcement.--
        (1) Civil liability.--Section 623 of the Fair Credit Reporting 
    Act (15 U.S.C. 1681s-2) is amended by striking subsections (c) and 
    (d) and inserting the following:
    ``(c) Limitation on Liability.--Except as provided in section 
621(c)(1)(B), sections 616 and 617 do not apply to any violation of--
        ``(1) subsection (a) of this section, including any regulations 
    issued thereunder;
        ``(2) subsection (e) of this section, except that nothing in 
    this paragraph shall limit, expand, or otherwise affect liability 
    under section 616 or 617, as applicable, for violations of 
    subsection (b) of this section; or
        ``(3) subsection (e) of section 615.
    ``(d) Limitation on Enforcement.--The provisions of law described 
in paragraphs (1) through (3) of subsection (c) (other than with 
respect to the exception described in paragraph (2) of subsection (c)) 
shall be enforced exclusively as provided under section 621 by the 
Federal agencies and officials and the State officials identified in 
section 621.''.
        (2) State actions.--Section 621(c) of the Fair Credit Reporting 
    Act (15 U.S.C. 1681s(c)) is amended--
            (A) in paragraph (1)(B)(ii), by striking ``of section 
        623(a)'' and inserting ``described in any of paragraphs (1) 
        through (3) of section 623(c)''; and
            (B) in paragraph (5)--
                (i) in each of subparagraphs (A) and (B), by striking 
            ``of section 623(a)(1)'' each place that term appears and 
            inserting ``described in any of paragraphs (1) through (3) 
            of section 623(c)''; and
                (ii) by amending the paragraph heading to read as 
            follows:
        ``(5) Limitations on state actions for certain violations.--''.
    (f) Rule of Construction.--Nothing in this section, the amendments 
made by this section, or any other provision of this Act shall be 
construed to affect any liability under section 616 or 617 of the Fair 
Credit Reporting Act (15 U.S.C. 1681n, 1681o) that existed on the day 
before the date of enactment of this Act.

SEC. 313. FTC AND CONSUMER REPORTING AGENCY ACTION CONCERNING 
              COMPLAINTS.

    (a) In General.--Section 611 of the Fair Credit Reporting Act (15 
U.S.C. 1681i) is amended by adding at the end the following:
    ``(e) Treatment of Complaints and Report to Congress.--
        ``(1) In general.--The Commission shall--
            ``(A) compile all complaints that it receives that a file 
        of a consumer that is maintained by a consumer reporting agency 
        described in section 603(p) contains incomplete or inaccurate 
        information, with respect to which, the consumer appears to 
        have disputed the completeness or accuracy with the consumer 
        reporting agency or otherwise utilized the procedures provided 
        by subsection (a); and
            ``(B) transmit each such complaint to each consumer 
        reporting agency involved.
        ``(2) Exclusion.--Complaints received or obtained by the 
    Commission pursuant to its investigative authority under the 
    Federal Trade Commission Act shall not be subject to paragraph (1).
        ``(3) Agency responsibilities.--Each consumer reporting agency 
    described in section 603(p) that receives a complaint transmitted 
    by the Commission pursuant to paragraph (1) shall--
            ``(A) review each such complaint to determine whether all 
        legal obligations imposed on the consumer reporting agency 
        under this title (including any obligation imposed by an 
        applicable court or administrative order) have been met with 
        respect to the subject matter of the complaint;
            ``(B) provide reports on a regular basis to the Commission 
        regarding the determinations of and actions taken by the 
        consumer reporting agency, if any, in connection with its 
        review of such complaints; and
            ``(C) maintain, for a reasonable time period, records 
        regarding the disposition of each such complaint that is 
        sufficient to demonstrate compliance with this subsection.
        ``(4) Rulemaking authority.--The Commission may prescribe 
    regulations, as appropriate to implement this subsection.
        ``(5) Annual report.--The Commission shall submit to the 
    Committee on Banking, Housing, and Urban Affairs of the Senate and 
    the Committee on Financial Services of the House of Representatives 
    an annual report regarding information gathered by the Commission 
    under this subsection.''.
    (b) Prompt Investigation of Disputed Consumer Information.--
        (1) Study required.--The Board and the Commission shall jointly 
    study the extent to which, and the manner in which, consumer 
    reporting agencies and furnishers of consumer information to 
    consumer reporting agencies are complying with the procedures, time 
    lines, and requirements under the Fair Credit Reporting Act for the 
    prompt investigation of the disputed accuracy of any consumer 
    information, the completeness of the information provided to 
    consumer reporting agencies, and the prompt correction or deletion, 
    in accordance with such Act, of any inaccurate or incomplete 
    information or information that cannot be verified.
        (2) Report required.--Before the end of the 12-month period 
    beginning on the date of enactment of this Act, the Board and the 
    Commission shall jointly submit a progress report to the Congress 
    on the results of the study required under paragraph (1).
        (3) Considerations.--In preparing the report required under 
    paragraph (2), the Board and the Commission shall consider 
    information relating to complaints compiled by the Commission under 
    section 611(e) of the Fair Credit Reporting Act, as added by this 
    section.
        (4) Recommendations.--The report required under paragraph (2) 
    shall include such recommendations as the Board and the Commission 
    jointly determine to be appropriate for legislative or 
    administrative action, to ensure that--
            (A) consumer disputes with consumer reporting agencies over 
        the accuracy or completeness of information in a consumer's 
        file are promptly and fully investigated and any incorrect, 
        incomplete, or unverifiable information is corrected or deleted 
        immediately thereafter;
            (B) furnishers of information to consumer reporting 
        agencies maintain full and prompt compliance with the duties 
        and responsibilities established under section 623 of the Fair 
        Credit Reporting Act; and
            (C) consumer reporting agencies establish and maintain 
        appropriate internal controls and management review procedures 
        for maintaining full and continuous compliance with the 
        procedures, time lines, and requirements under the Fair Credit 
        Reporting Act for the prompt investigation of the disputed 
        accuracy of any consumer information and the prompt correction 
        or deletion, in accordance with such Act, of any inaccurate or 
        incomplete information or information that cannot be verified.

SEC. 314. IMPROVED DISCLOSURE OF THE RESULTS OF REINVESTIGATION.

    (a) In General.--Section 611(a)(5)(A) of the Fair Credit Reporting 
Act (15 U.S.C. 1681i(a)(5)(A)) is amended by striking ``shall'' and all 
that follows through the end of the subparagraph, and inserting the 
following: ``shall--
                ``(i) promptly delete that item of information from the 
            file of the consumer, or modify that item of information, 
            as appropriate, based on the results of the 
            reinvestigation; and
                ``(ii) promptly notify the furnisher of that 
            information that the information has been modified or 
            deleted from the file of the consumer.''.
    (b) Furnisher Requirements Relating to Inaccurate, Incomplete, or 
Unverifiable Information.--Section 623(b)(1) of the Fair Credit 
Reporting Act (15 U.S.C. 1681s-2(b)(1)) is amended--
        (1) in subparagraph (C), by striking ``and'' at the end; and
        (2) in subparagraph (D), by striking the period at the end and 
    inserting the following: ``; and
            ``(E) if an item of information disputed by a consumer is 
        found to be inaccurate or incomplete or cannot be verified 
        after any reinvestigation under paragraph (1), for purposes of 
        reporting to a consumer reporting agency only, as appropriate, 
        based on the results of the reinvestigation promptly--
                ``(i) modify that item of information;
                ``(ii) delete that item of information; or
                ``(iii) permanently block the reporting of that item of 
            information.''.

SEC. 315. RECONCILING ADDRESSES.

    Section 605 of the Fair Credit Reporting Act (15 U.S.C. 1681c), as 
amended by this Act, is amended by adding at the end the following:
    ``(h) Notice of Discrepancy in Address.--
        ``(1) In general.--If a person has requested a consumer report 
    relating to a consumer from a consumer reporting agency described 
    in section 603(p), the request includes an address for the consumer 
    that substantially differs from the addresses in the file of the 
    consumer, and the agency provides a consumer report in response to 
    the request, the consumer reporting agency shall notify the 
    requester of the existence of the discrepancy.
        ``(2) Regulations.--
            ``(A) Regulations required.--The Federal banking agencies, 
        the National Credit Union Administration, and the Commission 
        shall jointly, with respect to the entities that are subject to 
        their respective enforcement authority under section 621, 
        prescribe regulations providing guidance regarding reasonable 
        policies and procedures that a user of a consumer report should 
        employ when such user has received a notice of discrepancy 
        under paragraph (1).
            ``(B) Policies and procedures to be included.--The 
        regulations prescribed under subparagraph (A) shall describe 
        reasonable policies and procedures for use by a user of a 
        consumer report--
                ``(i) to form a reasonable belief that the user knows 
            the identity of the person to whom the consumer report 
            pertains; and
                ``(ii) if the user establishes a continuing 
            relationship with the consumer, and the user regularly and 
            in the ordinary course of business furnishes information to 
            the consumer reporting agency from which the notice of 
            discrepancy pertaining to the consumer was obtained, to 
            reconcile the address of the consumer with the consumer 
            reporting agency by furnishing such address to such 
            consumer reporting agency as part of information regularly 
            furnished by the user for the period in which the 
            relationship is established.''.

SEC. 316. NOTICE OF DISPUTE THROUGH RESELLER.

    (a) Requirement for Reinvestigation of Disputed Information Upon 
Notice From a Reseller.--Section 611(a) of the Fair Credit Reporting 
Act (15 U.S.C. 1681i(a)(1)(A)) is amended--
        (1) in paragraph (1)(A)--
            (A) by striking ``If the completeness'' and inserting 
        ``Subject to subsection (f), if the completeness'';
            (B) by inserting ``, or indirectly through a reseller,'' 
        after ``notifies the agency directly''; and
            (C) by inserting ``or reseller'' before the period at the 
        end;
        (2) in paragraph (2)(A)--
            (A) by inserting ``or a reseller'' after ``dispute from any 
        consumer''; and
            (B) by inserting ``or reseller'' before the period at the 
        end; and
        (3) in paragraph (2)(B), by inserting ``or the reseller'' after 
    ``from the consumer''.
    (b) Reinvestigation Requirement Applicable to Resellers.--Section 
611 of the Fair Credit Reporting Act (15 U.S.C. 1681i), as amended by 
this Act, is amended by adding at the end the following:
    ``(f) Reinvestigation Requirement Applicable to Resellers.--
        ``(1) Exemption from general reinvestigation requirement.--
    Except as provided in paragraph (2), a reseller shall be exempt 
    from the requirements of this section.
        ``(2) Action required upon receiving notice of a dispute.--If a 
    reseller receives a notice from a consumer of a dispute concerning 
    the completeness or accuracy of any item of information contained 
    in a consumer report on such consumer produced by the reseller, the 
    reseller shall, within 5 business days of receiving the notice, and 
    free of charge--
            ``(A) determine whether the item of information is 
        incomplete or inaccurate as a result of an act or omission of 
        the reseller; and
            ``(B) if--
                ``(i) the reseller determines that the item of 
            information is incomplete or inaccurate as a result of an 
            act or omission of the reseller, not later than 20 days 
            after receiving the notice, correct the information in the 
            consumer report or delete it; or
                ``(ii) if the reseller determines that the item of 
            information is not incomplete or inaccurate as a result of 
            an act or omission of the reseller, convey the notice of 
            the dispute, together with all relevant information 
            provided by the consumer, to each consumer reporting agency 
            that provided the reseller with the information that is the 
            subject of the dispute, using an address or a notification 
            mechanism specified by the consumer reporting agency for 
            such notices.
        ``(3) Responsibility of consumer reporting agency to notify 
    consumer through reseller.--Upon the completion of a 
    reinvestigation under this section of a dispute concerning the 
    completeness or accuracy of any information in the file of a 
    consumer by a consumer reporting agency that received notice of the 
    dispute from a reseller under paragraph (2)--
            ``(A) the notice by the consumer reporting agency under 
        paragraph (6), (7), or (8) of subsection (a) shall be provided 
        to the reseller in lieu of the consumer; and
            ``(B) the reseller shall immediately reconvey such notice 
        to the consumer, including any notice of a deletion by 
        telephone in the manner required under paragraph (8)(A).
        ``(4) Reseller reinvestigations.--No provision of this 
    subsection shall be construed as prohibiting a reseller from 
    conducting a reinvestigation of a consumer dispute directly.''.
    (c) Technical and Conforming Amendment.--Section 611(a)(2)(B) of 
the Fair Credit Reporting Act (15 U.S.C. 1681i(a)(2)(B)) is amended in 
the subparagraph heading, by striking ``from consumer''.

SEC. 317. REASONABLE REINVESTIGATION REQUIRED.

    Section 611(a)(1)(A) of the Fair Credit Reporting Act (15 U.S.C. 
1681i(a)(1)(A)) is amended by striking ``shall reinvestigate free of 
charge'' and inserting ``shall, free of charge, conduct a reasonable 
reinvestigation to determine whether the disputed information is 
inaccurate''.

SEC. 318. FTC STUDY OF ISSUES RELATING TO THE FAIR CREDIT REPORTING 
              ACT.

    (a) Study Required.--
        (1) In general.--The Commission shall conduct a study on ways 
    to improve the operation of the Fair Credit Reporting Act.
        (2) Areas for study.--In conducting the study under paragraph 
    (1), the Commission shall review--
            (A) the efficacy of increasing the number of points of 
        identifying information that a credit reporting agency is 
        required to match to ensure that a consumer is the correct 
        individual to whom a consumer report relates before releasing a 
        consumer report to a user, including--
                (i) the extent to which requiring additional points of 
            such identifying information to match would--

                    (I) enhance the accuracy of credit reports; and
                    (II) combat the provision of incorrect consumer 
                reports to users;

                (ii) the extent to which requiring an exact match of 
            the first and last name, social security number, and 
            address and ZIP Code of the consumer would enhance the 
            likelihood of increasing credit report accuracy; and
                (iii) the effects of allowing consumer reporting 
            agencies to use partial matches of social security numbers 
            and name recognition software on the accuracy of credit 
            reports;
            (B) requiring notification to consumers when negative 
        information has been added to their credit reports, including--
                (i) the potential impact of such notification on the 
            ability of consumers to identify errors on their credit 
            reports; and
                (ii) the potential impact of such notification on the 
            ability of consumers to remove fraudulent information from 
            their credit reports;
            (C) the effects of requiring that a consumer who has 
        experienced an adverse action based on a credit report receives 
        a copy of the same credit report that the creditor relied on in 
        taking the adverse action, including--
                (i) the extent to which providing such reports to 
            consumers would increase the ability of consumers to 
            identify errors in their credit reports; and
                (ii) the extent to which providing such reports to 
            consumers would increase the ability of consumers to remove 
            fraudulent information from their credit reports;
            (D) any common financial transactions that are not 
        generally reported to the consumer reporting agencies, but 
        would provide useful information in determining the credit 
        worthiness of consumers; and
            (E) any actions that might be taken within a voluntary 
        reporting system to encourage the reporting of the types of 
        transactions described in subparagraph (D).
        (3) Costs and benefits.--With respect to each area of study 
    described in paragraph (2), the Commission shall consider the 
    extent to which such requirements would benefit consumers, balanced 
    against the cost of implementing such provisions.
    (b) Report Required.--Not later than 1 year after the date of 
enactment of this Act, the chairman of the Commission shall submit a 
report to the Committee on Banking, Housing, and Urban Affairs of the 
Senate and the Committee on Financial Services of the House of 
Representatives containing a detailed summary of the findings and 
conclusions of the study under this section, together with such 
recommendations for legislative or administrative actions as may be 
appropriate.

SEC. 319. FTC STUDY OF THE ACCURACY OF CONSUMER REPORTS.

    (a) Study Required.--Until the final report is submitted under 
subsection (b)(2), the Commission shall conduct an ongoing study of the 
accuracy and completeness of information contained in consumer reports 
prepared or maintained by consumer reporting agencies and methods for 
improving the accuracy and completeness of such information.
    (b) Biennial Reports Required.--
        (1) Interim reports.--The Commission shall submit an interim 
    report to the Congress on the study conducted under subsection (a) 
    at the end of the 1-year period beginning on the date of enactment 
    of this Act and biennially thereafter for 8 years.
        (2) Final report.--The Commission shall submit a final report 
    to the Congress on the study conducted under subsection (a) at the 
    end of the 2-year period beginning on the date on which the final 
    interim report is submitted to the Congress under paragraph (1).
        (3) Contents.--Each report submitted under this subsection 
    shall contain a detailed summary of the findings and conclusions of 
    the Commission with respect to the study required under subsection 
    (a) and such recommendations for legislative and administrative 
    action as the Commission may determine to be appropriate.

 TITLE IV--LIMITING THE USE AND SHARING OF MEDICAL INFORMATION IN THE 
                            FINANCIAL SYSTEM

SEC. 411. PROTECTION OF MEDICAL INFORMATION IN THE FINANCIAL SYSTEM.

    (a) In General.--Section 604(g) of the Fair Credit Reporting Act 
(15 U.S.C. 1681b(g)) is amended to read as follows:
    ``(g) Protection of Medical Information.--
        ``(1) Limitation on consumer reporting agencies.--A consumer 
    reporting agency shall not furnish for employment purposes, or in 
    connection with a credit or insurance transaction, a consumer 
    report that contains medical information about a consumer, unless--
            ``(A) if furnished in connection with an insurance 
        transaction, the consumer affirmatively consents to the 
        furnishing of the report;
            ``(B) if furnished for employment purposes or in connection 
        with a credit transaction--
                ``(i) the information to be furnished is relevant to 
            process or effect the employment or credit transaction; and
                ``(ii) the consumer provides specific written consent 
            for the furnishing of the report that describes in clear 
            and conspicuous language the use for which the information 
            will be furnished; or
            ``(C) the information to be furnished pertains solely to 
        transactions, accounts, or balances relating to debts arising 
        from the receipt of medical services, products, or devises, 
        where such information, other than account status or amounts, 
        is restricted or reported using codes that do not identify, or 
        do not provide information sufficient to infer, the specific 
        provider or the nature of such services, products, or devices, 
        as provided in section 605(a)(6).
        ``(2) Limitation on creditors.--Except as permitted pursuant to 
    paragraph (3)(C) or regulations prescribed under paragraph (5)(A), 
    a creditor shall not obtain or use medical information pertaining 
    to a consumer in connection with any determination of the 
    consumer's eligibility, or continued eligibility, for credit.
        ``(3) Actions authorized by federal law, insurance activities 
    and regulatory determinations.--Section 603(d)(3) shall not be 
    construed so as to treat information or any communication of 
    information as a consumer report if the information or 
    communication is disclosed--
            ``(A) in connection with the business of insurance or 
        annuities, including the activities described in section 18B of 
        the model Privacy of Consumer Financial and Health Information 
        Regulation issued by the National Association of Insurance 
        Commissioners (as in effect on January 1, 2003);
            ``(B) for any purpose permitted without authorization under 
        the Standards for Individually Identifiable Health Information 
        promulgated by the Department of Health and Human Services 
        pursuant to the Health Insurance Portability and Accountability 
        Act of 1996, or referred to under section 1179 of such Act, or 
        described in section 502(e) of Public Law 106-102; or
            ``(C) as otherwise determined to be necessary and 
        appropriate, by regulation or order and subject to paragraph 
        (6), by the Commission, any Federal banking agency or the 
        National Credit Union Administration (with respect to any 
        financial institution subject to the jurisdiction of such 
        agency or Administration under paragraph (1), (2), or (3) of 
        section 621(b), or the applicable State insurance authority 
        (with respect to any person engaged in providing insurance or 
        annuities).
        ``(4) Limitation on redisclosure of medical information.--Any 
    person that receives medical information pursuant to paragraph (1) 
    or (3) shall not disclose such information to any other person, 
    except as necessary to carry out the purpose for which the 
    information was initially disclosed, or as otherwise permitted by 
    statute, regulation, or order.
        ``(5) Regulations and effective date for paragraph (2).--
            ``(A) Regulations required.--Each Federal banking agency 
        and the National Credit Union Administration shall, subject to 
        paragraph (6) and after notice and opportunity for comment, 
        prescribe regulations that permit transactions under paragraph 
        (2) that are determined to be necessary and appropriate to 
        protect legitimate operational, transactional, risk, consumer, 
        and other needs (and which shall include permitting actions 
        necessary for administrative verification purposes), consistent 
        with the intent of paragraph (2) to restrict the use of medical 
        information for inappropriate purposes.
            ``(B) Final regulations required.--The Federal banking 
        agencies and the National Credit Union Administration shall 
        issue the regulations required under subparagraph (A) in final 
        form before the end of the 6-month period beginning on the date 
        of enactment of the Fair and Accurate Credit Transactions Act 
        of 2003.
        ``(6) Coordination with other laws.--No provision of this 
    subsection shall be construed as altering, affecting, or 
    superseding the applicability of any other provision of Federal law 
    relating to medical confidentiality.''.
    (b) Restriction on Sharing of Medical Information.--Section 603(d) 
of the Fair Credit Reporting Act (15 U.S.C. 1681a(d)) is amended--
        (1) in paragraph (2), by striking ``The term'' and inserting 
    ``Except as provided in paragraph (3), the term''; and
        (2) by adding at the end the following new paragraph:
        ``(3) Restriction on sharing of medical information.--Except 
    for information or any communication of information disclosed as 
    provided in section 604(g)(3), the exclusions in paragraph (2) 
    shall not apply with respect to information disclosed to any person 
    related by common ownership or affiliated by corporate control, if 
    the information is--
            ``(A) medical information;
            ``(B) an individualized list or description based on the 
        payment transactions of the consumer for medical products or 
        services; or
            ``(C) an aggregate list of identified consumers based on 
        payment transactions for medical products or services.''.
    (c) Definition.--Section 603(i) of the Fair Credit Reporting Act 
(15 U.S.C. 1681a(i)) is amended to read as follows:
    ``(i) Medical Information.--The term `medical information'--
        ``(1) means information or data, whether oral or recorded, in 
    any form or medium, created by or derived from a health care 
    provider or the consumer, that relates to--
            ``(A) the past, present, or future physical, mental, or 
        behavioral health or condition of an individual;
            ``(B) the provision of health care to an individual; or
            ``(C) the payment for the provision of health care to an 
        individual.
        ``(2) does not include the age or gender of a consumer, 
    demographic information about the consumer, including a consumer's 
    residence address or e-mail address, or any other information about 
    a consumer that does not relate to the physical, mental, or 
    behavioral health or condition of a consumer, including the 
    existence or value of any insurance policy.''.
    (d) Effective Dates.--This section shall take effect at the end of 
the 180-day period beginning on the date of enactment of this Act, 
except that paragraph (2) of section 604(g) of the Fair Credit 
Reporting Act (as amended by subsection (a) of this section) shall take 
effect on the later of--
        (1) the end of the 90-day period beginning on the date on which 
    the regulations required under paragraph (5)(B) of such section 
    604(g) are issued in final form; or
        (2) the date specified in the regulations referred to in 
    paragraph (1).

SEC. 412. CONFIDENTIALITY OF MEDICAL CONTACT INFORMATION IN CONSUMER 
              REPORTS.

    (a) Duties of Medical Information Furnishers.--Section 623(a) of 
the Fair Credit Reporting Act (15 U.S.C. 1681s-2(a)), as amended by 
this Act, is amended by adding at the end the following:
        ``(9) Duty to provide notice of status as medical information 
    furnisher.--A person whose primary business is providing medical 
    services, products, or devices, or the person's agent or assignee, 
    who furnishes information to a consumer reporting agency on a 
    consumer shall be considered a medical information furnisher for 
    purposes of this title, and shall notify the agency of such 
    status.''.
    (b) Restriction of Dissemination of Medical Contact Information.--
Section 605(a) of the Fair Credit Reporting Act (15 U.S.C. 1681c(a)) is 
amended by adding at the end the following:
        ``(6) The name, address, and telephone number of any medical 
    information furnisher that has notified the agency of its status, 
    unless--
            ``(A) such name, address, and telephone number are 
        restricted or reported using codes that do not identify, or 
        provide information sufficient to infer, the specific provider 
        or the nature of such services, products, or devices to a 
        person other than the consumer; or
            ``(B) the report is being provided to an insurance company 
        for a purpose relating to engaging in the business of insurance 
        other than property and casualty insurance.''.
    (c) No Exceptions Allowed for Dollar Amounts.--Section 605(b) of 
the Fair Credit Reporting Act (15 U.S.C. 1681c(b)) is amended by 
striking ``The provisions of subsection (a)'' and inserting ``The 
provisions of paragraphs (1) through (5) of subsection (a)''.
    (d) Coordination With Other Laws.--No provision of any amendment 
made by this section shall be construed as altering, affecting, or 
superseding the applicability of any other provision of Federal law 
relating to medical confidentiality.
    (e) FTC Regulation of Coding of Trade Names.--Section 621 of the 
Fair Credit Reporting Act (15 U.S.C. 1681s), as amended by this Act, is 
amended by adding at the end the following:
    ``(g) FTC Regulation of Coding of Trade Names.--If the Commission 
determines that a person described in paragraph (9) of section 623(a) 
has not met the requirements of such paragraph, the Commission shall 
take action to ensure the person's compliance with such paragraph, 
which may include issuing model guidance or prescribing reasonable 
policies and procedures, as necessary to ensure that such person 
complies with such paragraph.''.
    (f) Technical and Conforming Amendments.--Section 604(g) of the 
Fair Credit Reporting Act (15 U.S.C. 1681b(g)), as amended by section 
411 of this Act, is amended--
        (1) in paragraph (1), by inserting ``(other than medical 
    contact information treated in the manner required under section 
    605(a)(6))'' after ``a consumer report that contains medical 
    information''; and
        (2) in paragraph (2), by inserting ``(other than medical 
    information treated in the manner required under section 
    605(a)(6))'' after ``a creditor shall not obtain or use medical 
    information''.
    (g) Effective Date.--The amendments made by this section shall take 
effect at the end of the 15-month period beginning on the date of 
enactment of this Act.

         TITLE V--FINANCIAL LITERACY AND EDUCATION IMPROVEMENT

SEC. 511. SHORT TITLE.

    This title may be cited as the ``Financial Literacy and Education 
Improvement Act''.

SEC. 512. DEFINITIONS.

    As used in this title--
        (1) the term ``Chairperson'' means the Chairperson of the 
    Financial Literacy and Education Commission; and
        (2) the term ``Commission'' means the Financial Literacy and 
    Education Commission established under section 513.

SEC. 513. ESTABLISHMENT OF FINANCIAL LITERACY AND EDUCATION COMMISSION.

    (a) In General.--There is established a commission to be known as 
the ``Financial Literacy and Education Commission''.
    (b) Purpose.--The Commission shall serve to improve the financial 
literacy and education of persons in the United States through 
development of a national strategy to promote financial literacy and 
education.
    (c) Membership.--
        (1) Composition.--The Commission shall be composed of--
            (A) the Secretary of the Treasury;
            (B) the respective head of each of the Federal banking 
        agencies (as defined in section 3 of the Federal Deposit 
        Insurance Act), the National Credit Union Administration, the 
        Securities and Exchange Commission, each of the Departments of 
        Education, Agriculture, Defense, Health and Human Services, 
        Housing and Urban Development, Labor, and Veterans Affairs, the 
        Federal Trade Commission, the General Services Administration, 
        the Small Business Administration, the Social Security 
        Administration, the Commodity Futures Trading Commission, and 
        the Office of Personnel Management; and
            (C) at the discretion of the President, not more than 5 
        individuals appointed by the President from among the 
        administrative heads of any other Federal agencies, 
        departments, or other Federal Government entities, whom the 
        President determines to be engaged in a serious effort to 
        improve financial literacy and education.
        (2) Alternates.--Each member of the Commission may designate an 
    alternate if the member is unable to attend a meeting of the 
    Commission. Such alternate shall be an individual who exercises 
    significant decisionmaking authority.
    (d) Chairperson.--The Secretary of the Treasury shall serve as the 
Chairperson.
    (e) Meetings.--The Commission shall hold, at the call of the 
Chairperson, at least 1 meeting every 4 months. All such meetings shall 
be open to the public. The Commission may hold, at the call of the 
Chairperson, such other meetings as the Chairperson sees fit to carry 
out this title.
    (f) Quorum.--A majority of the members of the Commission shall 
constitute a quorum, but a lesser number of members may hold hearings.
    (g) Initial Meeting.--The Commission shall hold its first meeting 
not later than 60 days after the date of enactment of this Act.

SEC. 514. DUTIES OF THE COMMISSION.

    (a) Duties.--
        (1) In general.--The Commission, through the authority of the 
    members referred to in section 513(c), shall take such actions as 
    it deems necessary to streamline, improve, or augment the financial 
    literacy and education programs, grants, and materials of the 
    Federal Government, including curricula for all Americans.
        (2) Areas of emphasis.--To improve financial literacy and 
    education, the Commission shall emphasize, among other elements, 
    basic personal income and household money management and planning 
    skills, including how to--
            (A) create household budgets, initiate savings plans, and 
        make strategic investment decisions for education, retirement, 
        home ownership, wealth building, or other savings goals;
            (B) manage spending, credit, and debt, including credit 
        card debt, effectively;
            (C) increase awareness of the availability and significance 
        of credit reports and credit scores in obtaining credit, the 
        importance of their accuracy (and how to correct inaccuracies), 
        their effect on credit terms, and the effect common financial 
        decisions may have on credit scores;
            (D) ascertain fair and favorable credit terms;
            (E) avoid abusive, predatory, or deceptive credit offers 
        and financial products;
            (F) understand, evaluate, and compare financial products, 
        services, and opportunities;
            (G) understand resources that ought to be easily accessible 
        and affordable, and that inform and educate investors as to 
        their rights and avenues of recourse when an investor believes 
        his or her rights have been violated by unprofessional conduct 
        of market intermediaries;
            (H) increase awareness of the particular financial needs 
        and financial transactions (such as the sending of remittances) 
        of consumers who are targeted in multilingual financial 
        literacy and education programs and improve the development and 
        distribution of multilingual financial literacy and education 
        materials;
            (I) promote bringing individuals who lack basic banking 
        services into the financial mainstream by opening and 
        maintaining an account with a financial institution; and
            (J) improve financial literacy and education through all 
        other related skills, including personal finance and related 
        economic education, with the primary goal of programs not 
        simply to improve knowledge, but rather to improve consumers' 
        financial choices and outcomes.
    (b) Website.--
        (1) In general.--The Commission shall establish and maintain a 
    website, such as the domain name ``FinancialLiteracy.gov'', or a 
    similar domain name.
        (2) Purposes.--The website established under paragraph (1) 
    shall--
            (A) serve as a clearinghouse of information about Federal 
        financial literacy and education programs;
            (B) provide a coordinated entry point for accessing 
        information about all Federal publications, grants, and 
        materials promoting enhanced financial literacy and education;
            (C) offer information on all Federal grants to promote 
        financial literacy and education, and on how to target, apply 
        for, and receive a grant that is most appropriate under the 
        circumstances;
            (D) as the Commission considers appropriate, feature 
        website links to efforts that have no commercial content and 
        that feature information about financial literacy and education 
        programs, materials, or campaigns; and
            (E) offer such other information as the Commission finds 
        appropriate to share with the public in the fulfillment of its 
        purpose.
    (c) Toll-Free Hotline.--The Commission shall establish a toll-free 
telephone number that shall be made available to members of the public 
seeking information about issues pertaining to financial literacy and 
education.
    (d) Development and Dissemination of Materials.--The Commission 
shall--
        (1) develop materials to promote financial literacy and 
    education; and
        (2) disseminate such materials to the general public.
    (e) Coordination of Efforts.--The Commission shall take such steps 
as are necessary to coordinate and promote financial literacy and 
education efforts at the State and local level, including promoting 
partnerships among Federal, State, and local governments, nonprofit 
organizations, and private enterprises.
    (f) National Strategy.--
        (1) In general.--The Commission shall--
            (A) not later than 18 months after the date of enactment of 
        this Act, develop a national strategy to promote basic 
        financial literacy and education among all American consumers; 
        and
            (B) coordinate Federal efforts to implement the strategy 
        developed under subparagraph (A).
        (2) Strategy.--The strategy to promote basic financial literacy 
    and education required to be developed under paragraph (1) shall 
    provide for--
            (A) participation by State and local governments and 
        private, nonprofit, and public institutions in the creation and 
        implementation of such strategy;
            (B) the development of methods--
                (i) to increase the general financial education level 
            of current and future consumers of financial services and 
            products; and
                (ii) to enhance the general understanding of financial 
            services and products;
            (C) review of Federal activities designed to promote 
        financial literacy and education, and development of a plan to 
        improve coordination of such activities; and
            (D) the identification of areas of overlap and duplication 
        among Federal financial literacy and education activities and 
        proposed means of eliminating any such overlap and duplication.
        (3) National strategy review.--The Commission shall, not less 
    than annually, review the national strategy developed under this 
    subsection and make such changes and recommendations as it deems 
    necessary.
    (g) Consultation.--The Commission shall actively consult with a 
variety of representatives from private and nonprofit organizations and 
State and local agencies, as determined appropriate by the Commission.
    (h) Reports.--
        (1) In general.--Not later than 18 months after the date of the 
    first meeting of the Commission, and annually thereafter, the 
    Commission shall issue a report, the Strategy for Assuring 
    Financial Empowerment (``SAFE Strategy''), to the Committee on 
    Banking, Housing, and Urban Affairs of the Senate and the Committee 
    on Financial Services of the House of Representatives on the 
    progress of the Commission in carrying out this title.
        (2) Contents.--The report required under paragraph (1) shall 
    include--
            (A) the national strategy for financial literacy and 
        education, as described under subsection (f);
            (B) information concerning the implementation of the duties 
        of the Commission under subsections (a) through (g);
            (C) an assessment of the success of the Commission in 
        implementing the national strategy developed under subsection 
        (f);
            (D) an assessment of the availability, utilization, and 
        impact of Federal financial literacy and education materials;
            (E) information concerning the content and public use of--
                (i) the website established under subsection (b); and
                (ii) the toll-free telephone number established under 
            subsection (c);
            (F) a brief survey of the financial literacy and education 
        materials developed under subsection (d), and data regarding 
        the dissemination and impact of such materials, as measured by 
        improved financial decisionmaking;
            (G) a brief summary of any hearings conducted by the 
        Commission, including a list of witnesses who testified at such 
        hearings;
            (H) information about the activities of the Commission 
        planned for the next fiscal year;
            (I) a summary of all Federal financial literacy and 
        education activities targeted to communities that have 
        historically lacked access to financial literacy materials and 
        education, and have been underserved by the mainstream 
        financial systems; and
            (J) such other materials relating to the duties of the 
        Commission as the Commission deems appropriate.
        (3) Initial report.--The initial report under paragraph (1) 
    shall include information regarding all Federal programs, 
    materials, and grants which seek to improve financial literacy, and 
    assess the effectiveness of such programs.
    (i) Testimony.--The Commission shall annually provide testimony by 
the Chairperson to the Committee on Banking, Housing, and Urban Affairs 
of the Senate and the Committee on Financial Services of the House of 
Representatives.

SEC. 515. POWERS OF THE COMMISSION.

    (a) Hearings.--
        (1) In general.--The Commission shall hold such hearings, sit 
    and act at such times and places, take such testimony, and receive 
    such evidence as the Commission deems appropriate to carry out this 
    title.
        (2) Participation.--In hearings held under this subsection, the 
    Commission shall consider inviting witnesses from, among other 
    groups--
            (A) other Federal Government officials;
            (B) State and local government officials;
            (C) consumer and community groups;
            (D) nonprofit financial literacy and education groups (such 
        as those involved in personal finance and economic education); 
        and
            (E) the financial services industry.
    (b) Information From Federal Agencies.--The Commission may secure 
directly from any Federal department or agency such information as the 
Commission considers necessary to carry out this title. Upon request of 
the Chairperson, the head of such department or agency shall furnish 
such information to the Commission.
    (c) Periodic Studies.--The Commission may conduct periodic studies 
regarding the state of financial literacy and education in the United 
States, as the Commission determines appropriate.
    (d) Multilingual.--The Commission may take any action to develop 
and promote financial literacy and education materials in languages 
other than English, as the Commission deems appropriate, including for 
the website established under section 514(b), at the toll-free number 
established under section 514(c), and in the materials developed and 
disseminated under section 514(d).

SEC. 516. COMMISSION PERSONNEL MATTERS.

    (a) Compensation of Members.--Each member of the Commission shall 
serve without compensation in addition to that received for their 
service as an officer or employee of the United States.
    (b) Travel Expenses.--The members of the Commission shall be 
allowed travel expenses, including per diem in lieu of subsistence, at 
rates authorized for employees of agencies under subchapter I of 
chapter 57 of title 5, United States Code, while away from their homes 
or regular places of business in the performance of services for the 
Commission.
    (c) Assistance.--
        (1) In general.--The Director of the Office of Financial 
    Education of the Department of the Treasury shall provide 
    assistance to the Commission, upon request of the Commission, 
    without reimbursement.
        (2) Detail of government employees.--Any Federal Government 
    employee may be detailed to the Commission without reimbursement, 
    and such detail shall be without interruption or loss of civil 
    service status or privilege.

SEC. 517. STUDIES BY THE COMPTROLLER GENERAL.

    (a) Effectiveness Study.--Not later than 3 years after the date of 
enactment of this Act, the Comptroller General of the United States 
shall submit a report to Congress assessing the effectiveness of the 
Commission in promoting financial literacy and education.
    (b) Study and Report on the Need and Means for Improving Financial 
Literacy Among Consumers.--
        (1) Study required.--The Comptroller General of the United 
    States shall conduct a study to assess the extent of consumers' 
    knowledge and awareness of credit reports, credit scores, and the 
    dispute resolution process, and on methods for improving financial 
    literacy among consumers.
        (2) Factors to be included.--The study required under paragraph 
    (1) shall include the following issues:
            (A) The number of consumers who view their credit reports.
            (B) Under what conditions and for what purposes do 
        consumers primarily obtain a copy of their consumer report 
        (such as for the purpose of ensuring the completeness and 
        accuracy of the contents, to protect against fraud, in response 
        to an adverse action based on the report, or in response to 
        suspected identity theft) and approximately what percentage of 
        the total number of consumers who obtain a copy of their 
        consumer report do so for each such primary purpose.
            (C) The extent of consumers' knowledge of the data 
        collection process.
            (D) The extent to which consumers know how to get a copy of 
        a consumer report.
            (E) The extent to which consumers know and understand the 
        factors that positively or negatively impact credit scores.
        (3) Report required.--Before the end of the 12-month period 
    beginning on the date of enactment of this Act, the Comptroller 
    General shall submit a report to Congress on the findings and 
    conclusions of the Comptroller General pursuant to the study 
    conducted under this subsection, together with such recommendations 
    for legislative or administrative action as the Comptroller General 
    may determine to be appropriate, including recommendations on 
    methods for improving financial literacy among consumers.

SEC. 518. THE NATIONAL PUBLIC SERVICE MULTIMEDIA CAMPAIGN TO ENHANCE 
              THE STATE OF FINANCIAL LITERACY.

    (a) In General.--The Secretary of the Treasury (in this section 
referred to as the ``Secretary''), after review of the recommendations 
of the Commission, as part of the national strategy, shall develop, 
implement, and conduct a pilot national public service multimedia 
campaign to enhance the state of financial literacy and education in 
the United States.
    (b) Program Requirements.--
        (1) Public service campaign.--The Secretary, after review of 
    the recommendations of the Commission, shall select and work with a 
    nonprofit organization or organizations that are especially well-
    qualified in the distribution of public service campaigns, and have 
    secured private sector funds to produce the pilot national public 
    service multimedia campaign.
        (2) Development of multimedia campaign.--The Secretary, after 
    review of the recommendations of the Commission, shall develop, in 
    consultation with nonprofit, public, or private organizations, 
    especially those that are well qualified by virtue of their 
    experience in the field of financial literacy and education, to 
    develop the financial literacy national public service multimedia 
    campaign.
        (3) Focus of campaign.--The pilot national public service 
    multimedia campaign shall be consistent with the national strategy, 
    and shall promote the toll-free telephone number and the website 
    developed under this title.
    (c) Multilingual.--The Secretary may develop the multimedia 
campaign in languages other than English, as the Secretary deems 
appropriate.
    (d) Performance Measures.--The Secretary shall develop measures to 
evaluate the effectiveness of the pilot national public service 
multimedia campaign, as measured by improved financial decision making 
among individuals.
    (e) Report.--For each fiscal year for which there are 
appropriations pursuant to the authorization in subsection (e), the 
Secretary shall submit a report to the Committee on Banking, Housing, 
and Urban Affairs and the Committee on Appropriations of the Senate and 
the Committee on Financial Services and the Committee on Appropriations 
of the House of Representatives, describing the status and 
implementation of the provisions of this section and the state of 
financial literacy and education in the United States.
    (f) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary, not to exceed $3,000,000 for fiscal 
years 2004, 2005, and 2006, for the development, production, and 
distribution of a pilot national public service multimedia campaign 
under this section.

SEC. 519. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated to the Commission such sums 
as may be necessary to carry out this title, including administrative 
expenses of the Commission.

        TITLE VI--PROTECTING EMPLOYEE MISCONDUCT INVESTIGATIONS

SEC. 611. CERTAIN EMPLOYEE INVESTIGATION COMMUNICATIONS EXCLUDED FROM 
              DEFINITION OF CONSUMER REPORT.

    (a) In General.--Section 603 of the Fair Credit Reporting Act (15 
U.S.C. 1681a), as amended by this Act is amended by adding at the end 
the following:
    ``(x) Exclusion of Certain Communications for Employee 
Investigations.--
        ``(1) Communications described in this subsection.--A 
    communication is described in this subsection if--
            ``(A) but for subsection (d)(2)(D), the communication would 
        be a consumer report;
            ``(B) the communication is made to an employer in 
        connection with an investigation of--
                ``(i) suspected misconduct relating to employment; or
                ``(ii) compliance with Federal, State, or local laws 
            and regulations, the rules of a self-regulatory 
            organization, or any preexisting written policies of the 
            employer;
            ``(C) the communication is not made for the purpose of 
        investigating a consumer's credit worthiness, credit standing, 
        or credit capacity; and
            ``(D) the communication is not provided to any person 
        except--
                ``(i) to the employer or an agent of the employer;
                ``(ii) to any Federal or State officer, agency, or 
            department, or any officer, agency, or department of a unit 
            of general local government;
                ``(iii) to any self-regulatory organization with 
            regulatory authority over the activities of the employer or 
            employee;
                ``(iv) as otherwise required by law; or
                ``(v) pursuant to section 608.
        ``(2) Subsequent disclosure.--After taking any adverse action 
    based in whole or in part on a communication described in paragraph 
    (1), the employer shall disclose to the consumer a summary 
    containing the nature and substance of the communication upon which 
    the adverse action is based, except that the sources of information 
    acquired solely for use in preparing what would be but for 
    subsection (d)(2)(D) an investigative consumer report need not be 
    disclosed.
        ``(3) Self-regulatory organization defined.--For purposes of 
    this subsection, the term `self-regulatory organization' includes 
    any self-regulatory organization (as defined in section 3(a)(26) of 
    the Securities Exchange Act of 1934), any entity established under 
    title I of the Sarbanes-Oxley Act of 2002, any board of trade 
    designated by the Commodity Futures Trading Commission, and any 
    futures association registered with such Commission.''.
    (b) Technical and Conforming Amendment.--Section 603(d)(2)(D) of 
the Fair Credit Reporting Act (15 U.S.C. 1681a(d)(2)(D)) is amended by 
inserting ``or (x)'' after ``subsection (o)''.

                   TITLE VII--RELATION TO STATE LAWS

SEC. 711. RELATION TO STATE LAWS.

    Section 625 of the Fair Credit Reporting Act (15 U.S.C. 1681t), as 
so designated by section 214 of this Act, is amended--
        (1) in subsection (a), by inserting ``or for the prevention or 
    mitigation of identity theft,'' after ``information on 
    consumers,'';
        (2) in subsection (b), by adding at the end the following:
        ``(5) with respect to the conduct required by the specific 
    provisions of--
            ``(A) section 605(g);
            ``(B) section 605A;
            ``(C) section 605B;
            ``(D) section 609(a)(1)(A);
            ``(E) section 612(a);
            ``(F) subsections (e), (f), and (g) of section 615;
            ``(G) section 621(f);
            ``(H) section 623(a)(6); or
            ``(I) section 628.''; and
        (3) in subsection (d)--
            (A) by striking paragraph (2);
            (B) by striking ``(c)--'' and all that follows through ``do 
        not affect'' and inserting ``(c) do not affect''; and
            (C) by striking ``1996; and'' and inserting ``1996.''.

                       TITLE VIII--MISCELLANEOUS

SEC. 811. CLERICAL AMENDMENTS.

    (a) Short Title.--Section 601 of the Fair Credit Reporting Act (15 
U.S.C. 1601 note) is amended by striking ``the Fair Credit Reporting 
Act.'' and inserting ``the `Fair Credit Reporting Act'.''.
    (b) Section 604.--Section 604(a) of the Fair Credit Reporting Act 
(15 U.S.C. 1681b(a)) is amended in paragraphs (1) through (5), other 
than subparagraphs (E) and (F) of paragraph (3), by moving each margin 
2 ems to the right.
    (c) Section 605.--
        (1) Section 605(a)(1) of the Fair Credit Reporting Act (15 
    U.S.C. 1681c(a)(1)) is amended by striking ``(1) cases'' and 
    inserting ``(1) Cases''.
        (2)(A) Section 5(1) of Public Law 105-347 (112 Stat. 3211) is 
    amended by striking ``Judgments which'' and inserting ``judgments 
    which''.
        (B) The amendment made by subparagraph (A) shall be deemed to 
    have the same effective date as section 5(1) of Public Law 105-347 
    (112 Stat. 3211).
    (d) Section 609.--Section 609(a) of the Fair Credit Reporting Act 
(15 U.S.C. 1681g(a)) is amended--
        (1) in paragraph (2), by moving the margin 2 ems to the right; 
    and
        (2) in paragraph (3)(C), by moving the margins 2 ems to the 
    left.
    (e) Section 617.--Section 617(a)(1) of the Fair Credit Reporting 
Act (15 U.S.C. 1681o(a)(1)) is amended by adding ``and'' at the end.
    (f) Section 621.--Section 621(b)(1)(B) of the Fair Credit Reporting 
Act (15 U.S.C. 1681s(b)(1)(B)) is amended by striking ``25(a)'' and 
inserting ``25A''.
    (g) Title 31.--Section 5318 of title 31, United States Code, is 
amended by redesignating the second item designated as subsection (l) 
(relating to applicability of rules) as subsection (m).
    (h) Conforming Amendment.--Section 2411(c) of Public Law 104-208 
(110 Stat. 3009-445) is repealed.

                               Speaker of the House of Representatives.

                            Vice President of the United States and    
                                               President of the Senate.
```