Military Families Credit Reporting Act

To amend the Fair Credit Reporting Act to provide protections for active duty military consumers, and for other purposes. 1. Short title This Act may be cited as the Military Families Credit Reporting Act 2. Notice of status as an active duty military consumer The Fair Credit Reporting Act ( 15 U.S.C. 1681 et seq. (1) in section 605, by adding at the end the following: (i) Notice of status as an active duty military consumer (1) In general With respect to an item of adverse information about a consumer, if the action or inaction that gave rise to the item occurred while the consumer was an active duty military consumer, the consumer may provide appropriate proof, including official orders, to a consumer reporting agency that the consumer was an active duty military consumer at the time such action or inaction occurred, and any consumer report provided by the consumer reporting agency that includes the item shall clearly and conspicuously disclose that the consumer was an active duty military consumer when the action or inaction that gave rise to the item occurred. (2) Model form The Bureau shall prepare a model form, which shall be made publicly available, including in an electronic format, that allows a consumer to— (A) notify, and provide appropriate proof to, a consumer reporting agency in a simple and easy manner, including electronically, that the consumer is an active duty military consumer; and (B) provide contact information of the consumer for the purpose of communicating with the consumer while the consumer is an active duty military consumer. ; (2) in section 605A— (A) in subsection (c)— (i) by redesignating paragraphs (1), (2), and (3) as subparagraphs (A), (B), and (C), respectively, and adjusting the margins accordingly; (ii) in the matter preceding subparagraph (A), as so redesignated, by striking Upon (1) In general Upon ; and (iii) by adding at the end the following: (2) Negative information notification If a consumer reporting agency receives an item of adverse information about a consumer who has provided appropriate proof that the consumer is an active duty military consumer, the consumer reporting agency shall promptly notify the consumer— (A) that the consumer reporting agency has received the item of adverse information, along with a description of the item; and (B) the method by which the consumer may dispute the validity of the item. (3) Contact information for active duty military consumers If a consumer who has provided appropriate proof to a consumer reporting agency that the consumer is an active duty military consumer provides the consumer reporting agency with contact information for the purpose of communicating with the consumer while the consumer is an active duty military consumer, the consumer reporting agency shall use such contact information for all communications while the consumer is an active duty military consumer. (4) Sense of Congress It is the sense of Congress that any person making use of a consumer report that contains an item of adverse information should, if the action or inaction that gave rise to the item occurred while the consumer was an active duty military consumer, take such fact into account when evaluating the creditworthiness of the consumer. ; and (B) in subsection (e), by striking paragraph (3) and inserting the following: (3) subparagraphs (A) and (B) of subsection (c)(1), in the case of a referral under subsection (c)(1)(C). ; and (3) in section 611(a)(1), by adding at the end the following: (D) Notice of dispute related to active duty military consumers With respect to an item of information described under subparagraph (A) that is under dispute, if the consumer to whom the item relates has notified the consumer reporting agency, and has provided appropriate proof, that the consumer was an active duty military consumer at the time the action or inaction that gave rise to the disputed item occurred, the consumer reporting agency shall— (i) include such fact in the file of the consumer; and (ii) indicate such fact in each consumer report that includes the disputed item. .

Summary: Military Families Credit Reporting Act This bill amends the Fair Credit Reporting Act with respect to an item of adverse information about an active duty military consumer. Declares that, if the action or inaction that gave rise to the item occurred while the consumer was an active duty military consumer, then: (1) the consumer may provide appropriate proof, including official orders, to a consumer reporting agency that the consumer was an active duty military consumer at the time the action or inaction occurred; and (2) any consumer report made by the agency including that item of information shall clearly and conspicuously disclose that the consumer was an active duty military consumer when the action or inaction that gave rise to the item occurred. Requires the Consumer Financial Protection Bureau to prepare and make publicly available a model form that allows a consumer to: (1) notify a consumer reporting agency that the consumer is an active duty military consumer, and (2) provide the consumer's contact information for communicating with the consumer while he or she is an active duty military consumer. Requires a consumer reporting agency to notify promptly an active duty military consumer whenever it receives an item of adverse information about him or her, along with a description of the item and the method by which the consumer can dispute the validity of the item. Requires an agency also to use any separate contact information an active duty military consumer has given it for all communications while the individual is an active duty military consumer. Declares the sense of Congress that any person making use of a consumer report containing an item of adverse information that occurred while the consumer was an active duty military consumer should take that fact into account when evaluating the consumer's creditworthiness. Requires a consumer reporting agency, with respect to an item of information under dispute by an active duty military consumer, to include in the consumer's file that he or she was an active duty military consumer at the time the action or inaction that gave rise to the disputed item occurred, and indicate this fact in each consumer report that includes the disputed item.