FTC Fines Consumer Reporting Agency for FCRA Violations
On August 8, 2012 the FTC announced it had fined a non-NAPBS accredited consumer reporting agency, $2.6 million dollars for failure to comply with several provision of the Fair Credit Reporting Act.
The charges in the FTC complaint alleged that this Consumer Reporting Agency:
Failed to take reasonable steps to ensure the accuracy of the reports they produced. Failed to properly notify consumers when public record information was used in the production of their reports. Created unnecessary obstacles for consumers trying to dispute information contained in their reports. Failed to provide written notice of the results of the investigations they conducted.
PeopleFacts takes its obligations under the FCRA very seriously and communicates the importance of compliance throughout all levels of the organization. Earlier this year PeopleFacts became the 24th company to attain accreditation from the National Association of Professional Background Screeners (NAPBS). This difficult standard required a complete review of our policies and procedures as well as an on-site visit by an independent auditor. This process provided us with the opportunity to make improvements within our organization. Every PeopleFacts employee is responsible for understanding the importance of protecting consumers. Senior management, those on the sales and service teams and especially those directly involved in the production of consumer reports are certified in the FCRA by the NAPBS. New employees are required to obtain their certification within the first ninety days of their employment.
We are closely reviewing the details of this case and are evaluating whether we can make additional improvements to our policies and procedures. We acknowledge and accept our responsibility for the protection of consumers and our responsibility to deliver quality information on which our clients can make informed decisions.
