I 

111TH CONGRESS 

2D SESSION H. R. 5743 

To amend the Fair Credit Reporting Act to prohibit the furnishing of certain 

negative loan modification information to a consumer reporting agency 

and to prohibit such information from being used in computing a consumer’s credit score. 

IN THE HOUSE OF REPRESENTATIVES 

JULY 15, 2010 

Ms. SPEIER (for herself, Mr. MILLER of North Carolina, Mr. GEORGE MILLER

of California, and Mr. FRANK of Massachusetts) introduced the following 

bill; which was referred to the Committee on Financial Services 

A BILL 

To amend the Fair Credit Reporting Act to prohibit the 

furnishing of certain negative loan modification information to a consumer reporting agency and to prohibit 

such information from being used in computing a consumer’s credit score. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Protecting Home5 owners’ Credit History Act of 2010’’. 


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1 SEC. 2. FURNISHING OF CERTAIN LOAN MODIFICATION IN2 FORMATION PROHIBITED. 

3 Section 623 of the Fair Credit Reporting Act (15 

4 U.S.C. 1681s–2) is amended by adding at the end the fol5 lowing new subsection: 

6 ‘‘(f) FURNISHING OF CERTAIN LOAN MODIFICATION

7 INFORMATION PROHIBITED.—A person shall not furnish 

8 to a consumer reporting agency any negative information 

9 regarding or resulting from the modification of the terms 

10 of a consumer loan that is secured by 1 to 4 units of resi11 dential real property, including any agreement to reduce 

12 the amount of the payments for the loan or to reduce the 

13 principal amount of such loan, whether or not such modi14 fication is on a permanent, temporary, or trial basis.’’. 

15 SEC. 3. REQUIREMENTS RELATING TO INFORMATION USED 

16 TO CALCULATE CREDIT SCORES. 

17 The Fair Credit Reporting Act is further amended 

18 by inserting after section 605B the following new section: 

19 ‘‘SEC. 605C. REQUIREMENTS RELATING TO INFORMATION 

20 USED TO CALCULATE CREDIT SCORES. 

21 ‘‘(a) PROHIBITION.—A person shall not, in calcu22 lating any credit score of a consumer, produce a less favor23 able credit score on the basis of any information regarding 

24 or resulting from the modification of the terms of a con25 sumer loan that is secured by 1 to 4 units of residential 

26 real property, including any agreement to reduce the 


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1 amount of the payments for the loan or to reduce the prin2 cipal amount of such loan, whether or not such modifica3 tion is on a permanent, temporary, or trial basis. 

4 ‘‘(b) DEFINITION.—For purposes of this section, the 

5 term ‘credit score’ means a numerical value or a cat6 egorization derived from a statistical tool or modeling sys7 tem used by a person who makes or arranges a loan to 

8 predict the likelihood of certain credit behaviors, including 

9 default.’’. 

10 SEC. 4. EFFECTIVE DATE. 

11 The amendments made by this Act shall take effect 

12 after the 90-day period beginning on the date of the enact13 ment of this Act. 

Æ 


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