Restoring Unfairly Impaired Credit and Protecting Consumers Act

Restoring Unfairly Impaired Credit and Protecting Consumers Act

This bill limits the adverse information allowed to be included on a consumer credit report, reduces the time period certain information remains on a report, and expands the availability of free credit reports.

The bill prohibits medical debt from inclusion on a consumer credit report. In addition, it prohibits adverse credit information related to (1) unfair or fraudulent mortgage loans, (2) unfair or fraudulent private education loans, and (3) debt that is the result of financial abuse.

Further, the bill reduces the time period certain adverse information is allowed to be included on a consumer credit report. This includes bankruptcy cases, tax liens that have been paid, accounts in collection, certain civil suits and judgements, criminal convictions, certain rehabilitated mortgage and private educational debt, and fully paid or settled debt.

The bill expands free credit monitoring to include victims of fraud, data breaches, and identity theft; unemployed consumers; recipients of public welfare assistance; individuals 65 or older; and other classes as established by the Consumer Financial Protection Bureau (CFPB). Consumers must directly request free credit monitoring from the reporting agency and provide proof of identity. The CFPB must establish a fair and reasonable fee for credit reporting services for other consumers.

The bill also establishes procedures for victims of financial abuse to provide documentation to consumer reporting agencies for removal of related adverse information.  

The CFPB must create a standardized affidavit for consumers to report identity theft, fraud, or the unauthorized disclosure of sensitive information.