The Fair Credit Reporting Act is a federal law that regulates how information about consumers may be gathered, and helps ensure the validity of reports. It gives consumers the right to know when a report is being made about their credit history and to request more information. There are two types of reports:
- a consumer report is any written, oral, or other communication of any information by a consumer reporting agency bearing on a consumer’s credit worthiness, credit standing, credit capacity, character, general reputation, personal characteristics, or mode of living; and
- an investigative consumer report is a consumer report in which information on a consumer’s character, general reputation, personal characteristics, or mode of living is obtained through personal interviews with neighbors, friends, or associates of the consumer.