Press announcements Home Passes Pressley Bill to Reform Cracked Credit Scoring System

Press announcements Home Passes Pressley Bill to Reform Cracked Credit Scoring System

Today, the U.S. House of Representatives passed H.R. 3621, the Comprehensive credit scoring Enhancement, Disclosure, Innovation, and Transparency Act of 2020 CREDIT that is(“Comprehensive Act), legislation sponsored by Rep. Ayanna Pressley (D-MA), by way of a vote of 221 to 189.

H.R. 3621 would overhaul the credit system that is reporting empowering customers with additional control of their data and needing customer reporting agencies (CRAs) like Equifax, TransUnion, and Experian, to higher make sure that the data on credit rating reports is accurate and complete.

See below for Chairwoman Waters’ floor statement regarding the bill.

As Ready for Distribution

Mr. Chairman, we increase in strong support of H.R. 3621, the Comprehensive Credit Reporting Enhancement, Disclosure, Innovation, and Transparency Act, legislation sponsored by Representative Ayanna Pressley of Massachusetts today. This package of bills develops upon reforms that people in the Financial solutions Committee have already been developing for a number of Congresses.

Mr. Chairman, credit scoring is unlike virtually any company. Consumers are maybe perhaps not clients of credit scoring agencies—they will be the item. Credit reporting agencies package up consumers’ information to sell to loan providers, employers along with other businesses.

Regrettably, our bodies of credit rating reporting is poorly broken, and customers have small recourse. It really is typical for credit history to be full of unacceptable mistakes which can be problematic for customers to fix. A Federal Trade Commission (FTC) research unearthed that 1 in 5 customers have actually confirmed mistakes inside their credit file, and 1 in 20 customers have actually errors so severe which they will be rejected credit or have to spend more for this. […]