New FCRA Document Deadline Approaching in March

Last year the Consumer Financial Protection Bureau (CFPB) issued an updated version of the Summary of Rights, with an effective date of April 19, 2023.  We are currently under a grace period until March 20, 2024 – when compliance becomes mandatory.  Under the federal Fair Credit Reporting Act (FCRA), you are obligated to provide the Summary of Rights when you request permission (via a release form) for an Investigative Consumer Report – a report that relies on interviews and opinion – (think references) or when you are required to provide a copy of the report (think Pre-Adverse Action packet). 

The FCRA has been around for some time now, and most of us know the law through its impact on background checks.  As you know, the FCRA process applies to employment screening when in the process of collecting the employee’s history, the work touches a third party (like a background checking company). 

While the essence of the law related to background screening has been place since 1997, there have been some modifications to the law and even more so to the enforcement of the law since then.  One of the biggest changes happened a few years ago when the CFPB was created and given joint oversight of enforcement with the Federal Trade Commission. 

Your background checking company should provide you with the updated form.  However, if not, please feel free to reach out to our background checking team—we provide easy to use compliance tools within our background screening services.   

To get a copy of the up-to-date Summary of Rights, or for more information about our background screening services*, or if you would like Catapult’s help in becoming compliant with the FCRA, please contact Kevin W. von der Lippe at (336) 899-1150 or by e-mail at kevin.vonderlippe@letscatapult.org.