Exam (elaborations)
Ch 6-(Test 3)-Fair Credit Reporting Act (FCRA) Questions with Solutions 2024
- Course
- Institution
Ch 6-(Test 3)-Fair Credit Reporting Act (FCRA)
[Show more]
Content preview
Ch 6-(Test 3)-Fair Credit Reporting Act(FCRA)
Under the FCRA credit bureaus are considered to be what? - answer consumer
reporting agencies-those who use credit information and other information gathered by
third parties to make important decisions
What are the 5 major provisions of the FCRA? - answer-Notice, authorization, &
certification procedures
-Address-checking procedures
-Adverse action procedures
-Disposal rules
-Furnisher rules
Background checks are considered to be ________ under the FCRA. -
answerconsumer reports
Based in part on personal interviews that go beyond simply verifying facts that the
person has provided to the employers. - answerInvestigative consumer report
What federal agency administers the FCRA? - answerFederal Trade Commission (FTC)
Employers may request a consumer report on applicant or employee only for
______________ purposes. - answeremployment
If an employer uses an outside agency to investigate an employee's suspected violation
of a law or regulation the investigation is excluded from the definition of ___________. -
answer"consumer report" under the FCRA.
Why is the address-checking procedure required under the FCRA? - answer-An
employer that receives a notice of address discrepancy from a consumer reporting
agency after requesting a consumer report must take steps to verify the identity of the
subject of the report.
-it must follow reasonable procedures to determine that the report is actually about the
person on whom the employer requested the report
-means of verifying the identification of a person
What is the time limit imposed under the Disposal Rule? - answerdoes not impose time
limits for destroying consumer information
, Why do employers need to retain consumer information on applicants and employees? -
answerits a self defense, to refute an employment discrimination claim.
If a current of former employee disputes the information an employer has contributed,
the employer must conduct a ________________. - answerreasonable investigation
If an individual thinks the employer has violated the FCRA, the employee can sue the
employer in ___________. - answerfederal district court
What is the statute of limitations in the above situation? - answerwithin 2 years of the
violation
Under what situation does the above not apply? - answerwillful violation
The statute of limitations then becomes what? - answer2 years after discovery of false
information
adverse action - answerany decision made by an employer for employment purposes
that negatively affects an employee or applicant
consumer report - answerwritten or oral information that (1) will be used for employment
purposes, (2) comes from a consumer reporting agency, and (3) relates to a person's:
-creditworthiness
-credit standing
-credit capacity
-general reputation
-personal characteristics, or
-lifestyle
consumer reporting agency - answerperson or an entity that regularly provides
consumer reports to third parties
employment purposes - answerto use information to decide whether to hire, promote,
reassign, or terminate someone
investigative consumer report - answera consumer report based at least in part on
personal interviews that go beyond simply verifying facts that the person has provided
to the employer
furnisher - answeran entity provides info. relating to consumers to a consumer reporting
agency for inclusion in a consumer report
integrity - answerinfo. furnisher provides to consumer reporting agency about someone
is substantiated by the furnisher's records when it is provided, and is provided in form
and manner designed to minimize likelihood that info. may be incorrectly reflected in a
consumer report
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller Dreamer252. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $14.99. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
77333 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now