,,ib  ,union ,cal5d> ,no4 #bdh  #aaf?   
,,congress  #a/ ,session  ,h4 ,r4 #cfbi 
,report ,no4 #aaf-cjg  ,,9 ,,! ,,h\se   
,,( ,,repres5tatives  ,july #i1 #bjai   
,mr4 ,lyn* introduc$ ! foll[+ bill2 :i* 
0 ref]r$ to ! ,committee on ,f9ancial   
,s]vices  ,novemb] #ba1                 
#bjai;,additional sponsor3 ,mr4 ,cleav] 
,novemb] #ba1 #bjai ,report$ ) an       
am5dm5t1 committ$ to ! ,committee ( !   
,:ole ,h\se on ! ,/ate ( ! ,union1 &    
ord]$ to be pr9t$ ,/rike out all aft] ! 
enact+ clause & ins]t ! "p pr9t$ 9      
italic ,= text ( introduc$ bill1 see    
copy ( bill z introduc$ on ,july #i1    
#bjai  ,a ,,bill  ,to am5d ! ,fair      
,cr$it ,report+ ,act to e/abli% cle>    
,f$]al ov]sight ( ! developm5t ( cr$it  
scor+ models by ! ,bureau ( ,consum]    
,f9ancial ,protection1 & = o!r purposes4
  #a4 ,%ort title ,?is ,act may be cit$ 
z ! ,cl>ity 9 ,cr$it ,score ,=mation    
,act ( #bjai4  #b4 ,f9d+s ,congress f9ds
 ! foll[+3  7#a7 ,! ,febru>y #bjae      
report ( ! ,bureau ( ,consum] ,f9ancial 

,protection titl$ ,consum] ,voices on   
,cr$it ,reports & ,scores f\nd t "s     
consum]s are reluctant to comp>ison %op 
= loans & o!r types ( consum] cr$it     
products out ( fe> t !y w l[] _! cr$it  
scores by do+ s4  7#b7 ,! ,bureau (     
,consum] ,f9ancial ,protection f\nd t "o
 ( ! mo/ common b>ri]s = p 9 review+ _! 
own cr$it reports & %opp+ = ! be/ cr$it 
t]ms 0 a lack ( und]/&+ ( ! diff]5ces   
betwe5 s(t & h>d inquiries & :e!r       
reque/+ a copy ( _! own report w\ld     
adv]sely impact _! cr$it /&+4  7#c7 ,!  
,bureau ( ,consum] ,f9ancial ,protection
 reveal$ t consum]s ) accurate          
p]ceptions ( _! cr$itwor?9ess may be    
bett] equipp$ to %op = favorable cr$it  
t]ms4  #c4 ,consum] ,bureau ov]sight (  
cr$it scor+ models ,! ,fair ,cr$it      
,report+ ,act 7#ae ,u4,s4,c4 #afha et   
seq47 is am5d$-- 7#a7 by add+ at ! end !
 foll[+ new section3  #fcj4 ,cr$it scor+
 models  7a7 ,validat$ cr$it scor+      
models ,n lat] ?an #a ye> aft] ! date ( 
! enactm5t ( ?is section1 ! ,bureau %all

 79 consultation ) ! ,bo>d ( ,gov]nors (
 ! ,f$]al ,res]ve ,sy/em1 ! ,comptroll] 
( ! ,curr5cy1 ! ,bo>d ( ,directors ( !  
,f$]al ,deposit ,insurance ,corporation1
 & ! ,national ,cr$it ,union            
,adm9i/ration ,bo>d7 issue f9al         
regulations applicable to any p]son t   
creates1 ma9ta9s1 utilizes1 or pur*ases 
cr$it scor+ models us$ 9 mak+ cr$it     
decisions to e/abli% /&>ds = validat+ ! 
accuracy & pr$ictive value ( all su*    
cr$it scor+ models1 bo? be=e release =  
initial use & at regul> int]vals        
!reaft]1 = z long z su* cr$it scor+     
models are made available = pur*ase or  
use by su* p]son4  7b7 ,prohibition ,at 
lea/ once e #b ye>s1 ! ,bureau %all     
conduct a review ( cr$it scor+ models to
 det]m9e :e!r ! use ( any p>ticul>      
factors1 or ! weight or consid]ation    
giv5 to c]ta9 factors by cr$it scor+    
models1 is inappropriate1 includ+ if su*
 factors d n enhance or contribute to ! 
accuracy & pr$ictive value ( ! models4  
,^u ! conclusion ( its review1 ! ,bureau

 may prohibit a p]son describ$ 9        
subsection 7a7 f weigh+1 consid]+1 or   
includ+ c]ta9 factors 91 or mak+        
available = pur*ase or use1 c]ta9 cr$it 
scor+ models or v]sions1 z ! ,bureau    
det]m9es appropriate4  2 &  7#b7 9 !    
table ( cont5ts = su* ,act1 by add+ at !
 end ! foll[+ new item3  #fcj4 ,cr$it   
scor+ models4  4  #d4 ,consum] ,bureau  
/udy & report to ,congress on ! impact (
 non-traditional data  7a7 ,/udy ,!     
,bureau ( ,consum] ,f9ancial ,protection
 %all c>ry out a /udy to assess ! impact
 7includ+ ! availability & af=dability (
 cr$it & o!r noncr$it decisions1 !      
pot5tial positive & negative impacts on 
consum] cr$it scores1 & any un9t5d$     
consequ5ces7 ( us+ traditional model+   
te*niques or alt]native model+ te*niques
 to analyze non-traditional data f a    
consum] report & ( includ+              
non-traditional data on consum] reports 
on ! foll[+3  7#a7 ,consum]s ) no or    
m9imal traditional cr$it hi/ory4  7#b7  
,traditionally und]s]v$ communities &   

populations4  7#c7 ,consum]s resid+ 9   
rural areas4  7#d7 ,consum]s resid+ 9   
urban areas4  7#e7 ,racial & e?nic      
m9orities & wom54  7#f7 ,consum]s across
 v>i\s income /rata1 p>ticul>ly consum]s
 e>n+ less ?an #abj p]c5t ( ! area m$ian
 income 7z def9$ by ! ,secret>y ( ,h\s+ 
& ,urban ,developm5t74  7#g7            
,immigrants1 refugees1 & non-p]man5t    
resid5ts4  7#h7 ,m9ority f9ancial       
in/itutions 7z def9$ "u section #cjh7;b7
 ( ! ,f9ancial ,in/itutions ,re=m1      
,recov]y1 & ,en=cem5t ,act ( #aihi 7#ab 
,u4,s4,c4 #adfc note77 & community      
f9ancial in/itutions4  7#i7 ,consum]s   
resid+ 9 f$]ally assi/$ h\s+1 includ+   
consum]s receiv+ ,f$]al r5tal subsidies4
  7b7 ,additional consid]ations ,9      
assess+ impacts "u subsection 7a71 !    
,bureau ( ,consum] ,f9ancial ,protection
 %all also consid] impacts on--  7#a7 ! 
privacy1 security1 & confid5tiality ( ! 
f9ancial1 m$ical1 & p]sonally           
id5tifiable in=mation ( consum]s2  7#b7 
! control ( consum]s ov] h[ su*         

in=mation may or w be us$ or consid]$2  
7#c7 ! und]/&+ ( consum]s ( h[ su*      
in=mation may be us$ or consid]$ & !    
ease ) :i* a consum] may decide to      
re/rict or prohibit su* use or          
consid]ation ( su* in=mation2  7#d7     
pot5tial discrim9atory effects2 &  7#e7 
disp>ate outcomes ! use or consid]ation 
( su* in=mation may cause4  7c7         
,consid]ation ( rec5t ,gov]nm5t /udies  
,9 assess+ impacts "u subsection 7a71 ! 
,bureau ( ,consum] ,f9ancial ,protection
 %all also consid] rec5t ,gov]nm5t      
/udies on alt]native data1 includ+--    
7#a7 ! report ( ! ,bureau ( ,consum]    
,f9ancial ,protection titl$ ,,cfpb ,data
 ,po9t3 ,becom+ ,cr$it ,visible 7publi%$
 ,june #bjag72 &  7#b7 ! report ( !     
,comptroll] ,g5]al ( ! ,unit$ ,/ates    
titl$ ,f9ancial ,te*nology3 ,ag5cies    
,%\ld ,provide ,cl>ification on ,l5d]s' 
,use ( ,alt]native ,data 7publi%$       
,decemb] #bjah74  7d7 ,report ,n lat]   
?an #a ye> aft] ! date ( ! enactm5t (   
?is ,act1 ! ,bureau ( ,consum] ,f9ancial

 ,protection %all issue a report to !   
,committee on ,f9ancial ,s]vices ( !    
,h\se ( ,repres5tatives & ! ,committee  
on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! 
,s5ate conta9+ all f9d+s & det]m9ations1
 includ+ any recomm5dations = any       
legislative or regulatory *anges1 made 9
 c>ry+ out ! /udy requir$ "u subsection 
7a74  7e7 ,def9itions ,9 ?is section3   
7#a7 ,alt]native model+ te*niques ,! t]m
 alt]native model+ te*niques means      
/ati/ical & ma!matical te*niques t are n
 traditional model+ te*niques1 includ+  
decision trees1 r&om =e/s1 artificial   
neutral networks1 ne>e/ neighbor1 g5etic
 programm+1 & boo/+ algori?ms4  7#b7    
,consum] report ,! t]m consum] report   
has ! mean+ giv5 su* t]m 9 section #fjc 
( ! ,fair ,cr$it ,report+ ,act 7#ae     
,u4,s4,c4 #afha;a74  7#c7               
,non-traditional data ,! t]m            
non-traditional data means data relat$  
to telecommunications1 utility paym5ts1 
r5t paym5ts1 remittances1 wire transf]s1
 data n o!rwise regul>ly includ$ 9      

consum] reports issu$ by consum] report+
 ag5cies describ$ "u section #fjc7p71 & 
su* o!r items z ! ,bureau ( ,consum]    
,f9ancial ,protection deems appropriate4
  7#d7 ,traditional model+ te*niques ,! 
t]m traditional model+ te*niques means  
/ati/ical & ma!matical te*niques        
7includ+ models1 algori?ms1 l9e> &      
logi/ic regression me?ods1 & _! outputs7
 t are traditionally us$ 9 automat$     
und]writ+ processes4  ,novemb] #ba1     
#bjai ,report$ ) an am5dm5t1 committ$ to
 ! ,committee ( ! ,:ole ,h\se on ! ,/ate
 ( ! ,union1 & ord]$ to be pr9t$