Removing Barriers Blog

CUNA writes to HFSC prior to hearing on credit reporting system
Posted June 30, 2021 by CUNA Advocacy

CUNA shared concerns with the House Financial Services Committee about the negative impact that could result from well-intentioned but overly disruptive changes to the credit reporting system.   

While we agree the current system is imperfect and the FCRA should be examined for necessary amendments and modernized to promote clarity and accountability, CUNA is concerned about the negative impact on consumers’ access to credit that could result from well-intentioned but overly disruptive changes to the system. The bills being considered in today’s hearing would make sweeping changes to the credit reporting framework, most notably establishing limits on the data contained in credit reports, creating a public credit reporting agency, substantially increasing the power and influence of the partisan Consumer Financial Protection Bureau (CFPB), and many others.

CUNA added that bills considered in the hearing would make “sweeping changes” to the credit reporting framework, most notably:

  • Establishing limits on the data contained in credit reports;
  • Creating a public credit reporting agency;
  • Substantially increasing the power and influence of the partisan Consumer Financial Protection Bureau (CFPB.

CUNA notes that the FCRA has been an “area of growing litigation risk” over the past decade and the proposed legislation could further exacerbate the problem of frivolous lawsuits.