Credit reporting and the Fair Credit Reporting Act will remain a significant supervisory and enforcement focus within the walls of the Consumer Financial Protection Bureau for the foreseeable future, said Kathleen Kraninger, the director of the agency, during remarks on Friday, warning furnishers and credit reporting agencies to maintain vigilance in ensuring the accuracy of consumers’ credit reports.
Speaking during a webinar hosted by the Consumer Data Industry Association, Kraninger outlined the “significant” resources it has deployed toward enforcing the FCRA, largely because of the “challenges” that consumers are facing because of the coronavirus pandemic.
“At the Bureau, we want to eliminate unnecessary worries for them,” Kraninger said. “Consumers expect that their credit report should reflect accurate information of their financial history, and when it does not, the Bureau is ready to help them resolve those issues.”
Kraninger spotlighted some of the actions the CFPB has taken during the pandemic to help consumers, furnishers, and credit reporting agencies, including the release of Frequently Asked Questions related to how furnishers must comply with the credit reporting requirements of the Coronavirus Aid, Relief, and Economic Security (CARES) Act. “We hope that this and other guidance will assistance furnishers and others in the credit reporting system in complying with the law, thereby providing consumers with the benefits Congress intended,” she said.
Kraninger also provided more details about the volume and composition of complaints filed with the CFPB by consumers during the crisis. Noting that the number of complaints filed in April and May were the two highest monthly totals on record, Kraninger revealed that mortgages (19%), credit cards (18%), and credit reporting (18%) were the three categories where the most complaints had been filed. “For credit or consumer reporting complaints, 55% of consumers identified a problem with incorrect information on their report as the issue,” she said.
