Final answer:
The Fair Credit Reporting Act of 1970 is the law that requires a reporting agency to take action upon consumer disputes over inaccurate information.Option 3 is the correct answer.
Step-by-step explanation:
The act which requires a reporting agency to take action if a consumer complains about inaccurate information is the Fair Credit Reporting Act of 1970. This act protects personal financial information collected by credit reporting agencies and includes provisions that require such agencies to investigate and correct any inaccurate information when a consumer files a dispute. It is one of the many laws designed to protect consumer rights and maintain the integrity of personal data.
The Fair Credit Reporting Act (FCRA) of 1970 plays a pivotal role in safeguarding consumer rights and personal financial information. Enacted to regulate credit reporting agencies, the FCRA mandates these agencies to promptly investigate and rectify inaccuracies upon receiving consumer complaints. This proactive measure ensures the accuracy and fairness of individuals' credit reports. The act not only empowers consumers to dispute errors but also imposes obligations on reporting agencies to maintain data integrity. As a cornerstone of consumer protection, the FCRA contributes to the responsible handling of personal data, fostering trust and transparency in the credit reporting system.