Terms & Conditions

PLEASE READ THESE TERMS CAREFULLY BEFORE USING THIS WEBSITE

Through your access of this Website (US Background Search.Com), you, ("Customer") accept, without limitation or alteration, all the following terms and conditions:

1.GENERAL RESTRICTIONS: Customer represents and warrants that all of Customer's use of the US Background Search.com services and any and all it’s affiliates shall be only for appropriate legitimate purposes, and in compliance with all applicable federal, state and local laws and regulations. Additionally, Customer agrees that US Background Search services and information may not be used to bother, stalk, harass, threaten or embarrass any individual or business.  Customer may not use the service to look up celebrities or other public persons, or to locate individuals under the age of 18.  Customer agrees not to access and/or use the US Background Search.com services via mechanical, programmatic, robotic, scripted or other automated search means, other than through batch or machine-to machine applications approved by US Background Search. Customer may not use data to create a competing product.  Customer may not resell or broker the US Background Search.com services to any third party.

2.FCRA RESTRICTIONS: US Background Search Inc. and any and all it’s affiliates is not considered a "consumer reporting agency" as that term is defined in the Fair Credit Reporting Act, (15 U.S.C. 1681, et seq.),("FCRA").The information in US Background Search databases does not constitute Consumer Reports, as defined in the FCRA.Accordingly,

A.Customer certifies that it will NOT use any of the information it receives through
US Background Search.com or from any of it’s affiliates, employees, owners or
representatives for any of the following purposes.

a.   illegally obtain information to be used to apply for credit or assume the identity of someone.
b.   to locate someone for the purpose of doing harm to them.
c.   for any other purpose deemed to be not permissible purpose under the FCRA;

              B:Customer may use, except as otherwise prohibited by this Agreement, information received through US Background Search services for the following purposes.

a.    to verify or authenticate an individual's identity;
b.    to prevent or detect fraud or other unlawful activity;
c.    to locate an individual;
d.    to review the status of a legal proceeding; or,
e.    to decide whether to buy or sell consumer indebtedness in a commercial transaction;
C: Customer shall not take any "adverse action," as that term is defined in the
FCRA or otherwise act in a manner that is contrary to a consumer's interest unless the basis for doing so is information Customer obtains from a source other than  US Background Search.

3.INVESTIGATOR SERVICES: US Background Search.com and any of it’s affiliates, employees, owners or contractors is not the source of the information provided nor does it do field investigations. US Background Search.com obtains the information requested through multiple 3rd party databases.  Customer agrees that he/she shall not seek to hold US Background Search.com and any and all it’s subsidiaries and employees, owners, contractors and vendors liable under any circumstances for information sought, information provided or methods used to acquire the information requested.

US Background Search.com and any and all it’s affiliates, employees, owners or contractors does not guarantee that they will successfully locate data for the search you are seeking but will do its best searching multiple databases to fulfill your search.

Any Customer who has never ordered Investigator Services from US Background Search.com prior to placing an order may be contacted by phone in order for US Background Search to confirm the order, payment provisions and to verify identity of the Customer.

ORDER CANCELLATION POLICY

I,the Customer understand that orders are assigned to agents immediately upon submission and therefore, I will have no opportunity to cancel, reconsider or otherwise state a reason why this charge should not be processed and understand

a.my credit card will be charged immediately.

b.Customers dissatisfaction with the quantity, or accuracy of information provided is not grounds to obtain a refund from US Background Search.com., or the Customer's Credit Card Provider. Since cancellations are next to impossible they can only be authorized by the agent handling your case.  Once the case begins which is typically immediately), if a search needs to be cancelled by the Customer you the Customer understand that you may be liable for the entire search fee. If your search is determined to be cancelable, there will be a cancellation fee based on the amount of work already performed. Cancellation fees vary by search but will never exceed the actual cost of the search.

c.Customer agrees to waive its right to contest the validity of US Background Search charges based upon any grounds once order is placed. Customer agrees       that Customer will not contest charges made by US Background Search.com to Customer's Credit card which has been authorized by Customer. In the event that Customer violates this agreement and does so contest authorized credit card      charges, Customer will be liable to US Background Search Inc. and any and all it’s affiliates for the full amount owed plus interest compounded daily at a rate of  10%, and all fees and costs associated with collecting payment from Customer,including all collection agency and attorney fees.

4.MISUSE. All searches and uses of US Background Search.com services are tracked, and you consent to such tracking and to the provision of all information about your use of our services to law enforcement and others as may be useful to respond to allegations that our service or information has been misused.  Customer agrees that if US Background Search.com determines or reasonably suspects that Customer is engaging in marketing activities, reselling or brokering US Background Search.com information, making automated queries or is otherwise violating any provisions of this Agreement, or any laws, regulations, US Background Search Inc. and any and all it’s affiliates may take immediate action, including terminating the delivery of US Background Search.com services.

5.FEES, CANCELLATIONS, AND REFUND POLICY.  Fees for use of US Background Search services are posted on our website: usbackgroundsearch.com.  Customer agrees to pay the fees associated with the use of the US Background Search.com services by providing valid credit card or using other methods of payment, where applicable.  Customer hereby certifies that the Customer is an authorized user of the credit card, debit card, bank account or PayPal account. Customer is responsible for (and must pay for) all use of our services made by individuals, companies, and landlords. Customer can request a refund for an individual paid search if the results are not received due to technical error or other Website issue.  US Background Search.com will also adjust any duplicate or erroneous charges, if they occur.  The amount of a refund is limited to the actual fees paid.  We do not reimburse bank fees, NSF fees, or "over limit fees" in conjunction with credit cards or bank debit cards. If Customer suspects that unauthorized use of their account is taking place, you must noti us immediately.  We may use a third-party processor to process your Purchase, in which case the  terms of your Purchase, such as refunds, payment, or customer service ("Third Party Terms"), may be governed by a third party seller, such as, Authorized.Net.  You are responsible for reading and understanding such Third Party Terms prior to making a Purchase. We reserve the right to suspend or cancel your order without notice if your Payment Method is declined or is identified by our payment processor as being fraudulent.

6.FRAUD PREVENTION:  We employ active safe-guards designed to detect and prevent fraud. Your consent to our use of any Fraud Protection Methods we determine to be commercially reasonable and to our cooperation with or use of any third party provider of such Fraud Protection Methods. You further agree to fully cooperate with all audits and investigations of our customers and systems.

7.OWNERSHIP:  As between US Background Search Inc., and any and all its affiliates  and you, all text, content and documents on the Site, any names, logos, trademarks, service marks, brand identities, characters, trade names, graphics, designs, copyrights, trade dress, or other intellectual property appearing in and used to operate the site, and the organization, compilation, look and feel, illustrations, artwork, videos, music, software and other works on the site (the "Content") are owned by US Background Search Inc., and any and all its affiliates, or used with permission or under license from a third party ("owner") and are protected under copyright, trademark and other intellectual property and proprietary rights laws.

8.PERFORMANCE:  US Background Search.com will use reasonable efforts to deliver the US Background Search services requested by Customer provided; however that Customer accepts all information "AS IS".  Customer acknowledges that the information obtained from US Background Search.com has been compiled from third -party sources, which may or may not be completely thorough and accurate, and that customer shall not rely on US Background Search.com for the accuracy or completeness of information supplied through the US Background Search.com.

  • US BACKGROUND SEARCH.COM AND ALL ITS AFFILIATES AND EMPLOYEES, OWNERS AND REPRESENTATIVES HEREBY DISCLAIMS ALL REPRESENTATIONS AND WARRANTIES REGARDING THE PEFORMANCE OF THE SERVICE AND THE ACCURACY CURRENTLY, OR COMPLETENESS OF THE INFORMATION, INCLUDING (WITHOUT LIMITATION) ALL WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE INCLUDING (WITHOUT LIMITATION) ANY DIRECT, SPECIAL, INCIDENTIAL, EXEMPLARY OR CONSEQUENTIAL DAMAGES, LOST PROFITS, OR ANY OTHER SUCH CLAIMS OF YOURS OR THIRD PARTIES, EVEN IF WE HAVE BEEN ADVISED OF THE POSSIBLIITY OF SUCH DAMAGES. Customer assumes all risks associated with the use of any information obtained from US Background Search.com and all it’s employees and contractors.
  • Customer further understands and agrees that US Background Search.com cannot and, does not guarantee the accuracy of the information provided in response to a Customer request. US Background Search.com commitment to the Customer is to provide the information from it’s multiple data providers. US Background Search..com will pass along to Customer any and all information received from the data provides pursuant to the customer's request. US Background Search.com makes no representation that the information provided is current or otherwise accurate. In no event shall US Background Search.com and any and all it’s affiliates be obligated to refund any portion of a payment received from Customer based upon the assertion or inaccuracy of the data provided.  US Background Search.com will supply to Customer at the time received and in the same condition it is received the requested information.

 C. No refunds, exchanges, or credits will be given to any customer unless US Background Search fails to provide information in accordance with this agreement.Customer is solely responsible for accurately filling out order form (s)as well selecting the appropriate search request. US Background Search.com cannot be held responsible for typos or mistakes given in the ordering information entered by Customer.Because all orders are processed immediately, we are unable to accommodate cancellation requests once an order has been submitted and information has been obtained.

9.USE AND RESTRICTIONS:When you make a Purchase you agree to the following restrictions.

 A.  Provide US Background Search.com with relevant information to verify that you will use the information requested for lawful purposes.

B.You are responsible for identifying and complying with the FCRA and all applicable Laws in connection with the procurement and use of information requested.You shall also review the Consumer Financial Protection Bureau("CFPB")'s Notice to Users of Consumer Reports.

C.Agree to procure and use all requested reports and searches only for legally permissible purposes in order to evaluate an Applicant, locate a person or information and not for illegal purposes or to commit a crime or identity theft.

D.If any information is used for hiring purposes and related actions on your policies and procedures, you must not rely on US Background Search.com information to make employment decisions. Any consultation and sample forms which may be provided by US Background Search.com shall be provided for informational purposes, and US Background Search.com shall not be deemed to be providing legal advice.

E.Ensure that prior to the procurement of any employment report or search for employment purposes that you have made a clear and conspicuous disclosure in writing to the Applicant, in a document that consists solely of the disclosure,that a consumer report may be obtained for employment purposes the nature and scope of the information requested, and that the Applicant has authorized in writing that your procurement of the employment report you have provided the     Applicant. Applicant may indicate on their written consent form that the   Applicant wishes to receive a copy of any employment report that is prepared.

10.RESTRICTED USES:

  • MAY NOT BE USED FOR PURPOSES THAT MAY CAUSE PHYSICAL OR EMOTIONAL HARM TO THE SUBJECT OF A REPORT;
  • MAY NOT BE USED FOR INDIVIDUALS INVOLVED IN AN ADOPTION;
  • MAY NOT BE USED TO LOCATE INFORMATION ON WELL KNOWN/HIGH PROFILE CELEBRITIES OR GOVERNMENT OFFICIALS;
  • MAY NOT BE USED FOR PURPOSES THAT ARE NOT WITHIN YOUR STATED NORMAL COURSE OF BUSINESS, OR TO RUN SEQUENTIAL SS NUMBER SEARCHES.
  • MAY NOT BE USED TO LOCATE PEOPLE TO DEVELOP A NEWS STORY.

PERMISSIBLE USES:

  • For use as necessary to effect, administer or enforce a transaction authorized by the consumer;
  • For use to prevent actual or potential fraud, unauthorized transactions, claims or other liability;
  • For use in required institutional risk control programs;
  • For use in resolving customer disputes or inquiries;
  • For use by persons, or their representatives, holding a legal or beneficial interest relating to the consumer;
  • For use by persons acting with the consumer's consent in a fiduciary or representative capacity;
  • For use in complying with federal, state, or local laws, rules and other applicable legal requirements; and
  • For use and to the extent specifically permitted or required under other provisions of law and in accordance with the Right to Financial Privacy Act of 1978, to law enforcement agencies (including a Federal functional regulator, the Secretary of the Treasury, a State insurance authority, or the Federal Trade Commission), self-regulatory organizations, or for an investigation on a matter related to public safety.

11.DISCLAIMERS:

Disclaimers of Warranties:  Information US. Background Search.com obtains is compiled from public records and other proprietary sources for the specific purposes of providing background information and therefore such information is obtained by US. Background Search.com any and all it’s affiliates, employees, owners and representatives is "AS IS".  Neither US Background Search.com., or any and all it’s affiliates, employees, representatives or its suppliers represents or warrants that the information from such records is complete or accurate; however, US Background Search.com represents and warrants that it will accurately obtain the information as provided by such sources and supply it “AS IS” to the customer.

US BACKGROUND SEARCH.COM AND ANY AND ALL ITS AFFILIATES, EMPLOYEES, OWNERS AND REPRESENTATIVES HEREBY DISCLAIMS ALL OTHER REPRESENTATIONS AND WARRANTIES REGARDING THE PERFORMANCE OF THE SERVICE AND THE ACCURACY, CURRENCY, OR COMPLETENESS OF ANY DATA, INFORMATION, OR REPORTS, INCLUDING (WITHOUT LIMITATION) ALL WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, TITLE OR NON-INFRINGEMENT, AND ANY IMPLIED INDEMNITIES.

SHOULD APPLICABLE LAW NOT PERMIT THE FOREGOING EXCLUSION OF EXPRESS OR IMPLIED WARRANTIES, THEN US BACKGROUND SEARCH.COM HEREBY GRANTS THE MINIMUM EXPRESS OR IMPLIED WARRANTY REQUIRED BY SUCH APPLICABLE LAW.  NO ADVICE OR INFORMATION, WHETHER ORAL OR WRITTEN, OBTAINED BY YOU FROM US BACKGROUND SEARCH.COM., ANY AND ALL IT’S AFFILIATES, IT’S EMPLOYEES, CONTRACTORS, AGENTS, SUPPLIERS, OR ANY OTHER PERSONS SHALL CREATE ANY WARRANTY, REPRESENTATION OR GUARANTEE NOT EXPRESSLY STATED IN THIS SECTION.  ADDITIONALLY, US BACKGROUND SEARCH.COM DOES NOT MAKE ANY WARRANTIES THAT THE INFORMATION REQUESTED OR REPORTS, THE WEBSITE, OR ANY FEATURES OR FUNCTIONALITY OF THE WEBSITE, WILL BE UNINTERRUPTED, SECURE OR ERROR FREE OR THAT YOUR USE OF THE WEBSITE WILL MEET YOUR EXPECTATIONS, OR THAT THE SITE, CONTENT, OR ANY PORTION THEREOF IS CORRECT, COMPLETE, ACCURATE, OR RELIABLE. US BACKGROUND SEARCH.COM RESERVES THE RIGHT TO CHANGE ANY PART OF THE WEBSITE AT ANYTIME WITHOUT NOTICE.

12.LILITATION OF LIABILITY:

YOUR USE OF THE SITE IS AT YOUR OWN RISK.  NEITHER
US BACKGROUND SEARCH.COM., OR ANY AND ALL OF ITS AFFILIATES, OR THEIR RESPECTIVE OFFICERS, DIRECTORS, NOR ANY THIRD PARTY INVOLVED IN THE CREATION, PRODUCTION, OR DELIVERY OF ANY DATA, INFORMATION OR SCREENING REPORTS WILL BE LIABLE FOR ANY DAMAGES, DIRECT, INDIRECT, INCIDENTAL, CONSEQUENTIAL, SPECIAL, OR PUNITIVE, INCLUDING WITHOUT LIMITATION, LOSS OF DATA, INCOME, PROFIT OR GOODWILL, LOSS OF OR DAMAGE TO PROPERTY AND CLAIMS OF THIRD PARTIES ARISING OUT OF YOUR ACCESS TO OR USE OF THE SITE, OR ARISING OUT OF ANY ACTION TAKEN IN RESPONSE TO, OR AS A RESULT OF, ANY SCREENING REPORT OR OTHER INFORMATION AVAILABLE ON THE WEBSITE, HOWEVER CAUSED, WHETHER BASED ON BREACH OF CONTRACT, TORT (INCLUDING NEGLIGENCE), PROPRIETARY RIGHTS INFRINGEMENT, PRODUCT LIABILITY OR OTHERWISE.  THE FOREGOING SHALL APPLY EVEN IF US BACKGROUND SEARCH.COM AND ANY AND ALL IT’S AFFILIATES, ITS EMPLOYEES, OFFICERS AND REPRESENTATIVES WERE ADVISED OF THE POSSIBLIITY OF SUCH DAMAGES. IF YOU BECOME DISSATISFIED IN ANY WAY WITH THE WEBSITE, YOUR SOLE AND EXCLUSIVE REMEDY IS TO STOP YOUR USE OF THE SITE. YOU HEREBY WAIVE ANY AND ALL CLAIMS AGAINST US BACK GROUND SEARCH.COM AND ANY AND ALL ITS AFFILIATES, OWNERS, AGENTS, REPRESENTATIVES AND VENDORS ARISING OUT OF YOUR USE OF THE WEBSITE. BECAUSE SOME STATES DO NOT ALLOW THE DISCLAIMER OF IMPLIED WARRANTIES OR THE EXCLUSION OR LIMITATION OF CERTAIN TYPES OF DAMAGES, THESE PROVISIONS MAY NOT APPLY TO YOU IF ANY PORTION OF THIS LIMITATION ON LIABILITY IS FOUND TO BE INVALID OR UNENFORCEABLE FOR ANY REASON, THEN THE AGGREGATE LIABILITY OF US BACKGROUND SEARCH.COM AND ANY AND ALL ITS AFFILIATES, EMPLOYEES, OWNERS, REPRESENTATIVES SHALL NOT EXCEED THE LESSER OF THE COST OF THE SCREENING REPORT ORDERED. THE LIMITATION OF LIABILITY HEREIN IS A FUNDAMENTAL ELEMENT OF THE BASIS OF THE BARGAIN AND REFLECTS A FAIR ALLOCATION OF RISK. THE WEBSITE WOULD NOT BE PROVIDED WITHOUT SUCH LIMITATIONS AND YOU AGREE THAT THE LIMITATIONS AND EXCLUSIONS OF LIABILITY, DISCLAIMERS AND EXCLUSIVE REMEDIES SPECIFIED HEREIN WILL SURVIVE EVEN IF FOUND TO HAVE FAILED IN THEIR ESSENTIAL PURPOSE.

13.INDEMNITY:
You hereby agree to defend, indemnify and hold harmless US Background Search.com., and any and all it’s affiliates, and their respective officers, directors, employees, agents, successors, vendors and assigns, from and against any and all claims, damages, obligations, losses, liabilities, costs or debt, and expenses (including but not limited to attorney and collection fees) based upon any material breach of this Agreement by Company, including but not limited to: (a) illegal or wrongful use or obtaining of any report or search. (b) Company's gross negligence or intentional wrongdoing in connection with the use or obtaining of any Report. (c) Company's failure to comply with its obligations under the FCRA or other applicable state or local laws.

This defense and indemnification obligation will survive these Terms and your use of the Site.

14.ABILITY TO ACCECT TERMS OF USE:

You affirm that you are fully able and competent to enter into the terms, conditions, obligations, affirmations, representations, and warranties set forth in these Terms, and to abide by and comply with these Terms.

15.ASSIGNMENT:

These Terms, and any rights an licenses granted hereunder, may not be transferred or assigned by you, but may be assigned by US Background search.com and any and all it’s affiliates without restriction.

16.CHANGES TO THESE TERMS:

From time to time US Background Search.com may revise these Terms.  If you disagree with any provisions of these Terms at any time, your sole remedy is to terminate your use of the Website. Continued use of the Website constitutes your agreement to these Terms as in effect.

Binding Arbitration - Dispute Resolution: By accessing, browsing, or using our site you agree that any claim or dispute against us, our agents, employees, owners, successors, partners or affiliates, including the validity of this arbitration clause shall be resolved by binding arbitration by the American Arbitration Association office nearest to New York, N.Y., under the Arbitration Rules therein effect.  This agreement shall be interpreted under the Federal Arbitration Act. We value your input and suggestions and work hard to maintain 100% customer satisfaction. Should you have any concerns or complaints, please give us the opportunity to assist you by contacting us first.

17:IllEGAL AND/OR IllEGAL ACTIVITY:  US Background Search.com and any and all it’s affiliates, employees, owners or representatives will not knowingly provide information to persons who intend to use such information in contravention of the law.  By ordering information & investigative searches, you certify that you intend to use the information for lawfully acceptable purposes and are responsible for any and all violations. Users who request information under false pretenses, and/or submit false or misleading information may be subject to civil and criminal penalties, as well as administrative sanctions. By requesting and paying for services, you certify the search purpose is for that listed on your order and agree to be 100% liable for any partial or full material misrepresentations made by you or your representatives, including all costs incurred by US Background Search.com necessary to investigate, document, initiate or defend any and all actions of law.

ANTI-STALKING LAWS: We support anti-stalking laws. Please be advised that it is against the law to use the information obtained from US Background Search.com to stalk or harass others. Search requests on public officials, juveniles and/or celebrities are strictly prohibited.

18.DRIVER & VEHICLE RECORDS: All driver & vehicle records are subject to Federal, State & Local laws, and the driver privacy protection act (DPPA). By requesting your search, you certify that you are in, and assume full responsibility for compliance with the DPPA, and you agree to indemnify, or defend and hold US Background Search.com any and all its affiliates, employees, owners, representatives and vendors harmless from any breach of the DPPA by you, your agents or contractors and any damages, fees and costs associated therewith. Information from this file may not be used to determine a customer's eligibility for credit, insurance or employment pursuant to the Fair Credit Reporting Act, (15 U.S.C. Sec. 16810

19.SECURITY SCREENING: US Background Search.com screens all applicants and orders to reduce fraud and prevent unauthorized use of information.  We reserve the right to decline any request that cannot be verified or that does not appear to be for an authorized or legally permissible purpose.  Order forms are submitted using cell-phones, PO Boxes, free email sites, and/or miss-matched credit card codes may automatically be rejected and are subject to extreme scrutiny prior to processing. By using this site you agree to allow and expressly authorize US Background Search.com to conduct due diligence as necessary to effect, administer, or enforce a transaction authorized by you. All searches of our databases are tracked, and you consent to such tracking and to the provision of all information about your use of our databases to law enforcement and others as may be useful to respond to allegations that our service or information has been misused.

20.THIRD PARTIES WHO MAY PROVIDE SUPPORT SERVICES: In the course of doing business, we may employ other companies and individuals to perform a variety of functions on our behalf. For example, we may hire agencies to help administer consumer promotions, to analyze data, to fulfill orders you place, and to provide customer service. These agents may have access to personal information if it is needed to perform their functions for us.

21.MISCELLANEOUS:  US Background Search.com and any and all it’s affiliates, employees, owners and representatives failure to enforce any provision of these Terms shall not be deemed a waiver of such provisions, nor of the right to enforce such provision. This agreement is governed by New York State Law. If any part of these Terms is determined to be invalid or unenforceable pursuant to applicable law, including, but not limited to, the warranty disclaimers and liability limitations set forth above, then the invalid or unenforceable provision will be deemed superseded by a valid, enforceable provision that most closely matches the intent of the original provision and the remainder of these Terms shall continue in effect. A printed version of these Terms and of any notice given in electronic form shall be admissible in judicial or administrative proceedings based upon or relating to these Terms to the same extent and subject to the same conditions as other business documents and records originally generated and maintained in printed form.

22.TERMINATION: US Background Search.com may cancel, suspend or block your use of the website and terminate your search request, if applicable, without notice if there has been a suspected violation of these Terms. US Background Search.com is not responsible or liable for any information that is made unavailable to you as a result of termination of your search, request. YOU AGREE THAT
US BACKGROUND SEARCH.COM AND ANY AND ALL ITS AFFILIATES, EMPLOYEES, OWNERS, AND REPRESENTATIVES WILL NOT BE LIABLE TO YOU OR ANY OTHER PARTY FOR ANY TERMINATION OR CANCELLATION OF YOUR SEARCH REQUEST OR REFUSAL TO CONDUCT BACKGROUND SEARCHES. Any limitations on liability or other provisions of these Terms that favor US Background Search.com will survive the expiration or termination of these Terms for any reason.

23.NOTICES AND AGREEMENT TO BE BOUND BY ELECTRONIC SIGNATURE: Your affirmative act of using the website constitutes your agreement with these Terms. By using this website you agree and are bound by all the terms and conditions set forth in this agreement.

24.NOTICE TO USERS OF CONSUMER REPORTS: OBLIGATIONS OF USERS UNDER THE FCRA: 
.The Fair Credit Reporting Act (FCRA), 15 U.S.C. §1681-1681y, requires that this notice be provided to inform users of consumer reports of their legal obligations. State law may impose additional requirements.  The text of the FCRA is set forth in full at the Bureau of Consumer Financial Protection's website at:  www.consumerfinance.gov/learnmore.

At the end of this document is a list of United States Code citations for the FCRA.  Other information about user duties is also available at the Bureau's website.  Users must consult the relevant provisions of the FCRA for details about their obligations under the FCRA.

The first section of this summary sets forth the responsibilities imposed by the FCRA on all users of consumer reports. The subsequent sections discuss the duties of users of reports that contain specific types of information, or that are used for certain purposes, and the legal consequences of violations.  If you are a furnisher of information to a consumer reporting agency (CRA), you have additional obligations adn will receive a separate notice from the CRA describing your duties as a furnisher.

25.OBLIGATIONS OF ALL USERS OF CONSUMER REPORTS:

A.Users Must Have a Permissible Purpose

Congress has limited the use of consumer reports to protect consumers; privacy. All users must have a permissible purpose under the FCRA to obtain a consumer report. Section 504 contains a list of the permissible purposes under the law. These are:

  • As ordered by a court or a federal grand jury subpoena. Section 604 (a) (1)
  • As instructed by the consumer in writing. Section 604 (a) (2)
  • For the extension of credit as a result of an application from a consumer, or the review or collection of a consumer's account. Section 604 (a) (3) (A)
  • For employment purposes, including hiring and promotion decisions, where the consumer has given written permission. Sections 604 (a) (3) (B) and 604 (b)
  • For the underwriting of insurance as a result of an application from a consumer> Section 604 (a) (30 (C)
  • When there is a legitimate business need, in connection with a business transaction that is initiated by the consumer. Section 604 (a) (30(F) (i)
  • To review a consumer's account to determine whether the consumer continues to meet the terms of the account. Section 604 (a) (3) (F) (ii)
  • To determine a consumer's eligibility for a license or other benefit granted by a governmental instrumentally required by law to consider an applicant's financial responsibility or status. Section 604 (a) (3) (D).
  • For use by a potential investor or servicer, or current insurer, in a valuation or assessment of the credit or pre payment risks associated with an existing credit obligation. Section 604 (a) (3) (E)
  • For use by state and local officials in connection with the determination of child support payments, or modifications and enforcement thereof. Sections 604 (a) (4) and 604 (a) (5).

 

In addition, creditors and insurers may obtain certain consumer report information for the purpose of making "pre screened" unsolicited offers of credit or insurance.  Section 604 (c).  The particular obligations of users of "pre screened" information are described in Section VII below.

B.   Users Must Provide Certifications

Section 604 (f) prohibits any person from obtaining a consumer report from a consumer reporting agency (CRA) unless the person has certified to the CRA the permissible purposes (s) for which the report is being obtained and certifies that the report will not be used for any other purposes, including criminal or identity theft.

C.   Users Must Notify Consumers When Adverse Actions Are Taken

The term "adverse action" is defined very broadly by Section 603.  "Adverse actions" include all business, credit, and employment actions affecting consumers that can be considered to have a negative impact as defined by Section 603 (k) of the FCRA - such as denying or canceling credit or insurance, or denying employment or promotion. No adverse action occurs in a credit transaction where the creditor makes a counteroffer that is accepted by the consumer.

1.  Adverse Actions Based on Information Obtained From a CRA

If a user takes any type of adverse action as defined by the FCRA that is based at least in part on information contained in a consumer report, Section 615 (a) requires the user to notify the consumer. The notification may be done in writing, orally, or by electronic means. It must include the following:

  • The name, address, and telephone number of the CRA (including a toll-free telephone number, if it is a nationwide CRA) that provided the report.
  • A statement that the CRA did not make the adverse decision and is not able to explain why the decision was made.
  • A statement setting forth the consumer's right to obtain a free disclosure of the consumer's file from the CRA if the consumer makes a request within 60 days.
  • A statement setting forth the consumer's right to dispute directly with the CRA the accuracy or completeness of any information provided by the CRA.

 

 2.  Adverse Actions Based on Information Obtained From Third Parties Who      Are Not Consumer Reporting Agencies

If  a  person denies (or increases the charge for) credit for personal, family, or household purposes based either wholly or partly upon information from a person other than a CRA, and the information is the type of consumer information covered by the FCRA, Section 615 (b) (1) requires that the user clearly and accurately disclose to the consumer his or her right to be told the nature of the information that was relied upon if the consumer makes a written request within 60 days of notification. The user must provide the disclosure within a reasonable period of time following the consumer's written request.

3.  Adverse Actions Based on Information Obtained from Affiliates

If a person takes an adverse action involving insurance, employment, or a credit transaction initiated by a consumer, based on information of the type covered by the FCRA, and this information was obtained from an entity affiliated with the user of the information by common ownership or control, Section 615 (b) (2) requires the user to notify the consumer of the adverse action. The notice must inform the consumer that he or she may obtain a disclosure of the nature of the information relied upon by making a written request within 60 days of receiving the adverse action notice.  If the consumer makes such a request, the user must disclose the nature of the information no later than 30 days after receiving the request.  If consumer report information is shared among affiliates and then used for an adverse action, the user must make an adverse action disclosure as set fort in the I.C.I. above.

D.Users Have Obligations When Fraud and Active Duty Military Alerts are in
Files

When a consumer has placed a fraud alert, including one relating to identity theft, or an active duty military alert with a nationwide consumer reporting agency as defined in Section 603 (p) and resellers, Section 605A (h) imposes limitations on users of reports obtained from the consumer reporting agency in certain circumstances, including the establishment of a new credit plan and the issuance of additional credit cards. For initial fraud alerts and active duty alerts, the user must have reasonable policies and procedures in place to form a belief that the user knows the identity of the applicant, or contact the consumer at a telephone number specified by the consumer; in the case of extended fraud alerts, the user must contact the consumer in accordance with the contact information provided in the consumer's alert.

E.Users Have Obligations When Notified of an Address Discrepancy

Section 605 (h) requires nationwide CRAs, as defined in Section 603 (p), to notify users that request reports when the address for a consumer provided by the user in requesting that report is substantially different from the address in the consumer's file. When this occurs, users must comply with the regulations specifying the procedures to be followed, which will be issued by the Consumer Financial Protection Bureau and the banking and credit union regulators. The Consumer Financial Protections Bureau regulations will be available at: www.consumerfinance.gov/learnmore/

F.Users Have Obligations When Disposing of Records

Section 628 requires that all users of consumer report information have in place procedures to properly dispose of records containing this information. The Consumer Financial Protection Bureau, the Securities and Exchange Commission, and the banking and credit union regulators have issued regulations covering disposal.
The Consumer Financial Protection Bureau regulations may be found at:
www.consumerfinance.gov/learnmore/

4.  CREDITORS MUST MAKE ADDITIONAL DISCLOSURES:

If a person uses a consumer report in connection with an application for, or a grant, extension, or provision of, credit to a consumer on material terms that are materially less favorable than the most favorable terms available to a substantial proportion of consumers from or through hat person, based in whole or in part on a consumer report, the person must provide a risk-based pricing notice to the consumer in accordance with regulations prescribed by the Consumer Financial Protection Bureau.

Section 609 (g) requires a disclosure by all persons that make or arrange loans secured by residential real property (one to four units) and that use credit scores.  These persons must provide credit scores and other information about credit scores to applicants, including the disclosure set forth in Section 609 (g) (D) ("Notice to the Home Loan Applicant").

5.OBLIGATIONS OF USERS WHEN CONSUMER REPORTS ARE OBTAINED FOR EMPLOYMENT OR TENANT SCREENING PURPOSES:

A.Employment or Tenant Screening

If the information from a CRA is used for employment or tenant screening purposes, the user has specific duties, which are set forth in Section 6054 (b) of the FCRA. The user must:

  • Make a clear and conspicuous written disclosure to the consumer before the report is obtained, in a document that consists solely of the disclosure that a consumer report may be obtained.
  • Obtain from the consumer prior written authorization. Authorization to access reports during the tern of employment may be obtained at the time of employment.
  • Certify to the CRA that the above steps have been followed, that the information being obtained will not be used in violation of any federal or state equal opportunity law or regulation, and that, if any adverse action is to be taken based on the consumer report a copy of the report and a summary of the consumer's rights will be provided to the consumer.
  • Before taking an adverse action the user must provide a copy of the report to the consumer as well as the summary of consumer's rights. (The user should receive this summary from the CRA.)  A Section 615 (a) "Adverse Action Notice" should be sent after the adverse action is taken.

An "Adverse Action Notice" also is required in employment situations or tenant screening if credit information (other than transactions and experience data) obtained from an affiliate is used to deny employment or apartment rental. Section 615 (b) (2).

BEmployment in the Trucking Industry

Special rules apply for truck drivers where the only interaction between the consumer and the potential employer is by mail, telephone, or computer.  In this case, the consumer may provide consent orally or electronically, and an adverse action may be made orally, in writing, or electronically.  The consumer may obtain a copy of any report relied upon by the trucking company by contacting the company.

6.OBLIGATIONS WHEN INVESTIGATIVE CONSUMER REPORTS ARE USED:

Investigative consumer reports are a special type of consumer report in which information about a consumer's background, criminal history, address and employment history obtained from various databases by an entity or person that is a consumer reporting agency. Consumers who are the subjects of such reports are given special rights under the FCRA.  Consumers who are the subjects of such reports are given special rights under the FCRA. If a user intends to obtain an investigative consumer report, Section 606 requires the following:

  • The user must disclose to the consumer that an investigative consumer report may be obtained if used for employment or tenant screening. This must be done in a written disclosure that is mailed, or otherwise delivered to the consumer at some time before or not later than three days after the date on which the report was first requested.  The disclosure must include a statement informing the consumer of his or her right to request additional disclosures of the nature and scope of the investigation as described below, and the summary of consumer rights required by Section 609 of the FCRA. (The summary of consumer rights will be provided by the CRA that conducts the investigation.) Otherwise information can be obtained to verify information, name, address, SS# during routine background checks.
  • The user must certify to the CRA that the disclosures set forth above have been made and that the user will make the disclosure described below.
  • Upon the written request of a consumer made within a reasonable period of time after the disclosures required above, the user must make a complete disclosure of the nature and scope of the investigation. This must be made in a written statement that is mailed or otherwise delivered to the consumer no later than five days after the date on which the request was received from the consumer or the report was firs requested, whichever is later in time.

 

7.SPECIAL PROCEDURES FOR EMPLOYMENT AND TENANT SCREENING:

Section 603 (x) provides special procedures for investigations of suspected misconduct by an employee, or for compliance with federal, state or local laws and regulations or the rules of a self-regulatory organization, and compliance with written policies of the employer. These investigations are not treated as consumer reports so long as the employer/landlord, or its agent, complies with the procedures set forth in Section 603 (x), and a summary describing the nature and scope of the inquiry is made to the employee if an adverse action is taken based on the investigation.

 

8.OBLIGATIONS OF USERS OF MEDICAL INFORMATION:

Section 604 (g) limits the use of medical information obtained from consumer reporting agencies (other than payment information that appears in a coded form that does not identify the medical provider).  If the information is to be used for an insurance transaction, the consumer must give consent to the user of the report or the information must be coded.  If the report is to be used for employment purposes - or in connection with a credit transaction( except s provided in regulations issued by the banking and credit union regulators) - the consumer must provide specific written consent and the medical information must be relevant.Any user who receives medical information shall not disclose the information to any other person (except where necessary to carry out the purpose for which the information was disclosed, or a permitted by statue, regulation or order).

9.OBLIGATIONS OF USERS OF "PRESCREENED" LISTS:

The FCRA permits creditors and insurers to obtain limited consumer report information for use in connection with unsolicited offers of credit or insurance under certain circumstances.  Sections 603 (1), 604 (c), 604 (e), and 614 (d).  This practice is known as "prescreening" and typically involves obtaining a list of consumers from a CRA who meet certain pre-established criteria.  If any person intends to use prescreened lists that person must: 1. before the offer is made establish the criteria that will be relied upon to make the offer, and grant credit or insurance,  2. maintain such criteria on file for a three-year period beginning on the date on which the offer is made to each consumer  In addition any user must provide with each written solicitation a clear and conspicuous statement that:

  • Information contained in a consumer's CRA file was used in connection with a transaction.
  • The consumer received the offer because he or she satisfied the criteria for credit worthiness or insurability used to screen for the offer.
  • Credit or insurance may not be extended if after the consumer responds it is determined that the consumer does not meet the criteria used for screening or any applicable criteria bearing on credit worthiness or insurability, or the consumer does not furnish required collateral.
  • The consumer may prohibit the use of information in his or her file in connection with future pre-screened offers of credit or insurance by contacting the notification system established by the CRA that provided the report. The statement must include the address and toll-free telephone number of the appropriate notification system.

10.OBLIGATIONS OF RESELLERS:

Disclosure and Certification Requirements

Section 607(e) requires any person who obtains a consumer report for resale to take the following steps:

  • Disclose the identity of the end-user to the source CRA.
  • Identify to the source CRA each permissible purpose for which the report will be furnished to the end-user.
  • Establish and follow reasonable procedures to ensure that reports are resold only for permissible purposes, including procedures to obtain:1) the identity of all end-users; 2) certifications from all users of each purpose for which reports will be used; and 3) certifications that reports will not be used for any purpose other than the purpose (s specified to the reseller. Resellers must make reasonable efforts to verify this information before selling the report.

B.Reinvestigations by Resellers

Under Section 611 (f), if a consumer disputes the accuracy or completeness of information in a report prepared by a reseller, the reseller must determine whether this is a result of an action or omission on its part, and if so, correct or delete the information.  If not, the reseller must send the dispute to the source CRA for reinvestigation.  When any CRA notifies the reseller of the results of an investigation, the reseller must immediately convey the information to the consumer.       

C.  Fraud Alerts and Resellers

Section 605A (f) requires resellers who receive fraud alerts or active duty alerts from another consumer reporting agency to include these in their reports.       

D.Liability For Violations Of The FCRA

Failure to comply with the FCRA can result in state government or federal government enforcement actions, as well as private lawsuits, (Sections 616, 617, and 621.) In addition, any person who knowingly and willfully obtains a consumer report under false pretenses may face criminal prosecution, (Section 619).

The Consumer Financial Protection Bureau website,
www.consumerfinance.gov/learnmore, has more information about FCRA.

CITATIONS FOR FCRA SECTIONS IN THE U.S. CODE,15 U.S.C. § 1618 ET SEQ.

Section 603                                               15 U.S.C. 1681
Section 604                                               15 U.S.C. 1681a
Section 605                                               15 U.S.C. 168 1b
Section 605A                                            15 U.S.C. 168 1c
Section 605B                                            15 U.S.C. 1681c-1
Section 606                                               15 U.S.C. 1681c-2
Section 607                                               15 U.S.C. 1681d
Section 608                                               15 U.S.C. 1681e
Section 609                                               15 U.S.C. 161f
Section 610                                               15 U.S.C. 1681g
Section 611                                               15 U.S.C. 1681h
Section 612                                               15 U.S.C. 1681i
Section 613                                               15 U.S.C. 168j
Section 614                                               15 U.S.C. 168k
Section 615                                               15 U.S.C. 168l
Section 616                                               15 U.S.C. 168m
Section 617                                               15 U.S.C. 168n
Section 618                                               15 U.S.C. 168o
Section 619                                               15 U.S.C. 168p
Section 620                                               15 U.S.C. 168q
Section 621                                               15 U.S.C. 168r
Section 622                                               15 U.S.C. 168s
Section 623                                               15 U.S.C. 168s-1
Section 624                                               15 U.S.C. 168s-2
Section 625                                               15 U.S.C. 168t
Section 626                                               15 U.S.C. 168uw
Section 627                                               15 U.S.C. 168v
Section 628                                               15 U.S.C. 168w
Section 629                                               15 U.S.C. 168x
15 U.S.C. 168y