The Fair Credit Reporting Act - Investigative Consumer Reports

Investigative Consumer Reports

An "investigative consumer report" is a consumer report in which information about a consumer's character, general reputation, personal characteristics, or mode of living is obtained through personal interviews with neighbors, friends, or associates of the consumer. An investigative consumer report does not contain information about a consumer's credit record that is obtained directly from the consumer or a consumer reporting agency (CRA).

Investigative consumer reports may be used in connection with insurance and employment applications.

Disclosures for Investigative Consumer Reports

The Fair Credit Reporting Act imposes special requirements upon investigative consumer reports. A company that orders an investigative consumer report must disclose to the consumer in writing:

(1) the fact that an investigative consumer report has been ordered; and

(2) the fact that the consumer has a right to request information about the nature and scope of the investigation.

Upon request, the company must disclose to the consumer in writing the scope and nature of the investigation. If the consumer's application is denied, the consumer may obtain certain information from the CRA. However, the CRA is not required to disclose the sources of the information in the report.

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