Question

Which entity does not fall under the category of a consumer reporting agency according to the Fair Credit Reporting Act (FCRA)?

a) Institution engaging in assembling consumer credit information.
b) Regulatory agency overseeing consumer reports.
c) Institution not regularly assembling consumer credit information for third parties.
d) Consumer reporting agency providing reports to third parties.

Answer 1

A regulatory agency overseeing consumer reports does not qualify as a consumer reporting agency under the FCRA.

Step-by-step explanation:

The entity that does not fall under the category of a consumer reporting agency according to the Fair Credit Reporting Act (FCRA) is b) Regulatory agency overseeing consumer reports.

An entity that is responsible for the regulation and oversight of consumer reports, such as the Consumer Financial Protection Bureau, is not a consumer reporting agency because it does not assemble or evaluate consumer credit information for the purpose of furnishing consumer reports to third parties.

Instead, it oversees the entities that do.

According to the Fair Credit Reporting Act (FCRA), the entity that does not fall under the category of a consumer reporting agency is option b) Regulatory agency overseeing consumer reports.

The FCRA defines a consumer reporting agency as any person or business that regularly assembles or evaluates consumer credit information and provides reports to third parties for a fee.

However, a regulatory agency is a government organization responsible for overseeing and regulating various industries or sectors, including consumer reports.