Signed into law in 2020, the CARES Act addresses many of the impacts by COVID on the economy and consumers. The $2 trillion package is the third stimulus bill passed in response to the pandemic and extends credit reporting protection.
The act amends the Fair Credit Reporting Act (FCRA), extending responsibilities of credit bureaus to aid consumers. The main takeaways include:
- Furnishers (those providing consumer information to credit bureaus) should report certain credit obligations as “current” on reports. This is an effort to allow leniency for those who may be late on payments or those who are taking advantage of COVID relief programs.
- Dispute processes should make allowances for operational disruptions caused by COVID complications. For example, the a consumer who files a dispute should expect a response between 30-45 days. However, the government is granting bureaus more leniency at the moment.
Our firm recommends consumers familiarize themselves with the ins and outs of the FCRA in order to protect their rights.
Maginnis Howard’s credit reporting protection attorneys will continue to monitor credit bureaus. Further, we remain focused on helping those consumers wronged by big corporations, banks or credit bureaus. You can reach our firm’s consumer law attorneys by phone at (919)526-0450 or through our contact page.