,,ii #aafth ,,congress #ast ,session ,s4 #bfhe ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,october #bc1 #bjai,mr4 ,reed 7for himself and ,mr4 ,van ,hollen7 introduced the following bill2 which was read twice and referred to the ,committee on ,banking1 ,housing1 and ,urban ,affairs ,a ,,bill ,to amend the ,fair ,credit ,reporting ,act to require that a consumer authorize the release of certain information4 #a4 ,short title ,this ,act may be cited as the ,consumer ,credit ,control ,act of #bjai4 #b4 ,permissible purposes of reports 7a7 ,in general ,the ,fair ,credit ,reporting ,act 7#ae ,u4,s4,c4 #afha et seq47 is amended-- 7#a7 in section #fjd 7#ae ,u4,s4,c4 #afha;b7-- 7,a7 by striking subsections 7c7 through 7e7 and inserting the following3 7c7 ,conditions for furnishing certain consumer reports 7#a7 ,in general ,a consumer reporting agency may furnish a consumer report for the following purposes only if the consumer reporting agency obtains affirmative informed consent of the consumer to furnish the consumer report and the consumer reporting agency verifies the identity of the consumer by reviewing the proper identification required under section #faj3 7,a7 ,an extension of credit pursuant to subsection 7a77#c77;,a74 7,b7 ,the underwriting of insurance pursuant to subsection 7a77#c77;,c74 7#b7 ,additional reports2 election ,after the consumer reporting agency obtains affirmative informed consent of the consumer and verifies the identity of the consumer under paragraph 7#a71 the consumer reporting agency may continue to furnish consumer reports solely for the purposes of reviewing or collecting on an account described in subparagraphs 7,a7 and 7,c7 of subsection 7a77#c74 7#c7 ,furnishing reports in connection with credit or insurance transactions that are not initiated by consumer 7,a7 ,in general ,a consumer reporting agency may furnish a consumer report to a person in connection with any credit or insurance transaction under subparagraph 7,a7 or 7,c7 of subsection 7a77#c7 that is not initiated by the consumer only if-- 7i7 the consumer reporting agency obtains affirmative informed consent of the consumer to furnish the consumer report and the consumer reporting agency verifies the identity of the consumer by reviewing the proper identification required under section #faj2 and 7ii7 the transaction consists of a firm offer of credit or insurance4 7,b7 ,election ,the consumer may elect to-- 7i7 have the consumer's name and addresses included in lists of names and addresses provided by the consumer reporting agency pursuant to subparagraphs 7,a7 and 7,c7 of subsection 7a77#c7 in connection with any credit or insurance transaction that is not initiated by the consumer only if-- 7,i7 the consumer reporting agency obtains affirmative informed consent of the consumer to furnish the consumer report and the consumer reporting agency verifies the identity of the consumer by reviewing the proper identification required under section #faj2 and 7,,ii7 the transaction consists of a firm offer of credit or insurance2 and 7ii7 revoke at any time the election pursuant to clause 7i7 to have the consumer's name and address included in lists provided by a consumer reporting agency4 7,c7 ,information regarding inquiries ,except as provided in section #fji7;a77#e71 a consumer reporting agency shall not furnish to any person a record of inquiries in connection with a credit or insurance transaction that is not initiated by a consumer4 7#d7 ,disclosures 7,a7 ,in general ,a person may not procure a consumer report for any purpose pursuant to subparagraphs 7,d71 7,f71 and 7,g7 of subsection 7a77#c7 unless-- 7i7 a simple and easy to understand1 as defined in section #ajbb4ed7;b7 of title #ab1 ,code of ,federal ,regulations1 as in effect on the date of enactment of the ,consumer ,credit ,control ,act of #bjai1 disclosure has been made to the consumer at any time before the report is procured or caused to be procured1 that consists solely of the disclosure and the opportunity to provide the consent described in clause 7ii71 that a consumer report may be obtained for such purposes2 and 7ii7 the person has obtained affirmative informed consent of the consumer for the procurement of the consumer report by that person4 7,b7 ,authorizations ,the consent described in subparagraph 7,a77ii7 shall be provided on the disclosure described under subparagraph 7,a77i74 7#e7 ,rule making ,not later than #bgj days after the date of enactment of the ,consumer ,credit ,control ,act of #bjai1 the ,director of the ,bureau shall promulgate regulations that-- 7,a7 implement this subsection2 7,b7 establish a model form for the disclosure document pursuant to paragraph 7#d72 7,c7 permit consumers to provide affirmative informed consent required by paragraph 7#a7 for a specific time period for multiple users for the specified purpose during that time period2 7,d7 require a consumer reporting agency-- 7i7 to provide to each consumer a secure1 convenient1 accessible1 and cost-free method1 including by toll-free telephone or secure electronic means1 by which a consumer may-- 7,i7 provide or revoke any affirmative informed consent pursuant to this subsection2 and 7,,ii7 make or revoke any election pursuant to paragraph 7#c77;,b72 7ii7 to implement any provision or revocation of affirmative informed consent pursuant to this subsection not later than #a business day after the date on which a consumer provides or revokes affirmative informed consent2 and 7iii7 to implement any election or revocation of any election pursuant to paragraph 7#c77;,b7 not later than #a business day after the date on which a consumer makes or revokes an election2 and 7,e7 define what constitutes affirmed informative consent in the manner that provides the greatest protection to consumers4 7#f7 ,prohibitions 7,a7 ,in general ,the method described in paragraph 7#e77;,d7 shall not be used to-- 7i7 collect any information on a consumer that is not necessary for the purpose of the consumer to allow or disallow the furnishing of consumer reports2 or 7ii7 advertise any product or service4 7,b7 ,no waiver ,in the offering of a method described in paragraph 7#e77;,d71 a consumer reporting agency shall not require a consumer to waive any rights nor indemnify the consumer reporting agency from any liabilities arising from the offering of such method4 7#g7 ,reports 7,a7 ,,cfpb 7i7 ,recommendation ,not later than #bgj days after the date of enactment of the ,consumer ,credit ,control ,act of #bjai1 the ,director of the ,bureau shall1 after consultation with the ,federal ,deposit ,insurance ,corporation1 the ,national ,credit ,union ,administration1 the ,consumer ,advisory ,board1 and other ,federal and ,state regulators as the ,director of the ,bureau determines are appropriate1 submit to the ,committee on ,banking1 ,housing1 and ,urban ,affairs of the ,senate and the ,committee on ,financial ,services of the ,house of ,representatives recommendations on how to provide consumers greater transparency and personal control over their consumer reports furnished for permissible purposes under subsections 7a77#c77;,e7 and 7a77#f74 7ii7 ,report ,the ,director of the ,bureau shall submit to the ,committee on ,banking1 ,housing1 and ,urban ,affairs of the ,senate and the ,committee on ,financial ,services of the ,house of ,representatives an annual report that includes-- 7,i7 recommendations on how this subsection may be improved2 7,,ii7 a description of efforts to educate consumers of their rights under this subsection2 7,,iii7 a description of enforcement actions taken to demonstrate compliance with this subsection2 7,,iv7 recommendations on how to improve oversight of consumer reporting agencies and users of consumer reports2 and 7,v7 any other recommendations concerning how consumers may be provided greater transparency and control over their personal information4 7,b7 ,,gao 7i7 ,study ,the ,comptroller ,general of the ,united ,states shall conduct a study on what additional protections or restrictions may be needed to ensure that the information collected in consumer files is secure and does not adversely impact consumers4 7ii7 ,report ,not later than #a year after the date of enactment of the ,consumer ,credit ,control ,act of #bjai1 the ,comptroller ,general of the ,united ,states shall submit to the ,committee on ,banking1 ,housing1 and ,urban ,affairs of the ,senate and the ,committee on ,financial ,services of the ,house of ,representatives a report on the results of the study under clause 7i71 which shall include-- 7,i7 to the greatest extent possible1 the presentation of unambiguous conclusions and specific recommendations for further legislative changes needed to ensure that the information collected in consumer files is secure and does not adversely impact consumers2 and 7,,ii7 if no recommendations for further legislative changes are presented1 a detailed explanation of why no such changes are recommended4 2 7,b7 by redesignating subsections 7f7 and 7g7 as subsections 7d7 and 7e71 respectively2 and 7,c7 by adding at the end the following3 7f7 ,no fees ,no consumer reporting agency may charge a consumer any fee for any activity pursuant to or as a result of this section4 2 7#b7 in section #fjg7;a7 7#ae ,u4,s4,c4 #afha;e7a77-- 7,a7 in the third sentence1 by striking make a reasonable effort and inserting use commercially reasonable efforts2 and 7,b7 by inserting ,every consumer reporting agency shall use commercially reasonable efforts to avoid unauthorized access to consumer reports and information in the file of a consumer maintained by the consumer reporting agency1 including complying with any appropriate standards established under section #eja7;b7 of the ,gramm-,leach-,bliley ,act 7#ae ,u4,s4,c4 #fhja7;b774 after the end of the third sentence2 7#c7 in section #fji 7#ae ,u4,s4,c4 #afha;g71 by striking subsection 7b7 and inserting the following3 7b7 ,scope of disclosure ,the ,director of the ,bureau shall promulgate regulations to clarify that any disclosure required by subsection 7a7 shall be made to the consumer when a consumer makes a request1 irrespective of whether the information required to be disclosed is held by the parent1 subsidiary1 or affiliate of a consumer reporting agency4 2 and 7#d7 in section #faj7;a77#a7 7#ae ,u4,s4,c4 #afha;h7a77#a77-- 7,a7 by inserting 1 implementing the provision or revocation of any affirmative informed consent1 or implementing any election or revocation of any election after disclosures2 and 7,b7 by striking section #fji and inserting sections #fjd and #fji4 7b7 ,technical and conforming amendments ,the ,fair ,credit ,reporting ,act 7#ae ,u4,s4,c4 #afha et seq47 is amended-- 7#a7 in section #fjc7;d77#c7 7#ae ,u4,s4,c4 #afha;a7d77#c771 in the matter preceding subparagraph 7,a71 by striking #fjd7;g77#c7 and inserting #fjd7;e77#c72 7#b7 in section #fje;,a 7#ae ,u4,s4,c4 #afha;c-#a7-- 7,a7 by striking subsections 7i7 and 7j72 and 7,b7 by redesignating subsection 7k7 as subsection 7i72 7#c7 in section #fae7;d7 7#ae ,u4,s4,c4 #afham7d77-- 7,a7 in paragraph 7#a7-- 7i7 in the matter preceding subparagraph 7,a71 by striking #fjd7;c77#a77;,b7 and inserting #fjd7;c77#c77;,a77ii72 and 7ii7 in subparagraph 7,e71 by striking #fjd7;e7 and inserting #fjd7;c77#e77;,d72 and 7,b7 in paragraph 7#b77;,a71 by striking #fjd7;e7 and inserting #fjd7;c77#e77;,d72 and 7#d7 in section #fbe7;b77#a7 7#ae ,u4,s4,c4 #afhat7b77#a77-- 7,a7 in subparagraph 7,a71 by striking subsection 7c7 or 7e7 of section #fjd and inserting #fjd7;c77#c72 7,b7 in subparagraph 7,i71 by adding or at the end2 7,c7 by striking subparagraph 7,j72 and 7,d7 by redesignating subparagraph 7,k7 as subparagraph 7,j74 7c7 ,applicability ,the amendments made by subsections 7a7 and 7b7 shall apply to a consumer report1 as defined in section #fjc of the ,fair ,credit ,reporting ,act 7#ae ,u4,s4,c4 #afha;a71 furnished after the earlier of-- 7#a7 the date on which the rules issued by the ,bureau of ,consumer ,financial ,protection under subsection 7c77#e7 of section #fjd of the ,fair ,credit ,reporting ,act1 as amended by subsection 7a7 of this section1 require compliance2 and 7#b7 the date that is #ah months after the date of enactment of this ,act4