The Federal Reserve and the Federal Trade Commission on March 1 released a proposed rule to implement the credit score disclosure requirements of the Dodd-Frank Act. The statute requires creditors to make certain disclosures to consumers in risk-based pricing and adverse action notices under the Fair Credit Reporting Act if a credit score was used in setting the credit terms or taking adverse action.
Notes: The proposed rule would amend Regulation V (Fair Credit Reporting) to revise the content requirements for risk-based pricing notices and to add related model forms to reflect the new credit score disclosure requirements. The Federal Reserve also proposed conforming amendments to certain model notices in Regulation B (Equal Credit Opportunity). Comments on the proposed rules are due 30 days after publication in the Federal Register, which is expected shortly.