Consumer Report (FCRA)

Any written, oral, or other communication by a consumer reporting agency bearing on a consumer's creditworthiness, credit standing, character, general reputation, personal characteristics, or mode of living, used for tenant screening. Defined at 15 U.S.C. § 1681a(d).

Also known as: credit report, background check report, tenant screening report, FCRA consumer report

Definition

Under the Fair Credit Reporting Act (FCRA), a consumer report is any communication by a consumer reporting agency that bears on a consumer's creditworthiness, credit standing, credit capacity, character, general reputation, personal characteristics, or mode of living, used or expected to be used for a purpose enumerated in 15 U.S.C. § 1681b.

Statutory Definition

15 U.S.C. § 1681a(d)(1) defines "consumer report" to mean: "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 which is used or expected to be used or collected in whole or in part for the purpose of serving as a factor in establishing the consumer's eligibility for... housing or other accommodations."

Types Used in Tenant Screening

Consumer reports used in tenant screening include:

Credit reports: Credit history, payment records, public records (bankruptcies)
Criminal background checks: Compiled from court records and criminal databases
Eviction history reports: Records of prior unlawful detainer proceedings
Income verification reports: Third-party employment/income records

FCRA Obligations for Housing Providers

Housing providers using consumer reports must:

Obtain a permissible purpose (housing is enumerated in § 1681b(a)(3)(F)(i))
Certify compliance to the consumer reporting agency
Provide adverse action notices under § 1681m when denying or conditionally approving
Properly dispose of consumer report information (16 CFR Part 682)

Sources

15 U.S.C. § 1681a(d), Cornell LII — cornell-lii
12 CFR § 1022.3, eCFR (Reg V definitions) — ecfr
CFPB: Consumer Reporting — cfpb

Frequently asked questions

What are the core elements of Consumer Report (FCRA)?

U.S.C. § 1681a(d)(1) defines "consumer report" to mean: "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 which is used or expected to be used or collected in whole or in part for the purpose of serving as a factor in establishing the consumer's eligibility for... housing or other accommodations."

Types Used in Tenant Screening

Consumer reports used in tenant screening include: Credit reports: Credit history, payment records, public records (bankruptcies) Criminal background checks: Compiled from court records and criminal databases Eviction history reports: Records of prior unlawful detainer proceedings Income verification reports: Third-party employment/income records

FCRA Obligations for Housing Providers

Housing providers using consumer reports must: Obtain a permissible purpose (housing is enumerated in § 1681b(a)(3)(F)(i)) Certify compliance to the consumer reporting agency Provide adverse action notices under § 1681m when denying or conditionally approving Properly dispose of consumer report information (16 CFR Part 682)