Report Title:

Credit Reports; Annual Free Copy

Description:

Requires consumer reporting agencies to disclose consumer information to consumer.

HOUSE OF REPRESENTATIVES

H.B. NO.

22

TWENTY-SECOND LEGISLATURE, 2003

 

STATE OF HAWAII

 


 

A BILL FOR AN ACT

 

RELATING TO consumer CREDIT REPORTING.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. Chapter 481B, part I, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§481B- Consumer report; free copy per year. (a) Each consumer reporting agency, upon written or verbal request and proper identification of a consumer, shall provide the consumer with one disclosure copy of the consumer's file per year at no charge. If the consumer requests more than one disclosure copy of the consumer's file per year, the consumer reporting agency may charge the consumer up to $8 for each additional disclosure copy.

(b) A consumer reporting agency shall disclose to the consumer, clearly, accurately, in writing and in a manner that is clear, accurate, and understandable, all information in its files at the time of the request pertaining to the consumer, including:

(1) The names of all persons requesting credit information pertaining to the consumer during the prior twelve-month period and the date of each request; and

(2) A set of instructions, presented in a manner that is understandable to the consumer, describing how information is presented.

(c) For the purposes of this section, unless the context otherwise requires:

"Consumer" means a natural person residing in the State.

"Consumer report" means any written, oral, or other communication or any information by a consumer reporting agency bearing on a consumer's credit worthiness, credit standing, credit capacity, debts, character, general reputation, personal characteristics, or mode of living, which is used or expected to be used or collected, in whole or in part, as a factor to establish a consumer's eligibility for credit or insurance to be used for personal, family, or household purposes, employment purposes, or any other purpose authorized pursuant to applicable provisions of the federal "Fair Credit Reporting Act", 15 U.S.C. section 1681a and 1681b, as amended.

A "consumer report" does not include:

(1) Any report containing information solely as to a transaction between the consumer and the person making the report;

(2) Any authorization or approval of a specific extension of credit, directly or indirectly, by the issuer of a credit card or similar device;

(3) Any report in which a person who has been requested by a third party to make a specific extension of credit, directly or indirectly, to a consumer conveys a decision with respect to the request; provided that the third party advises the consumer of the name and address of the person to whom the request was made, and the person makes the disclosures that must be made to the consumer pursuant to the provisions of the federal "Fair Credit Reporting Act", 15 U.S.C. section 1681m, as amended, in the event of adverse action.

"Consumer reporting agency" means any person or entity that, for monetary fees, dues, or on a cooperative nonprofit basis, regularly engages, in whole or in part, in the practice of assembling or evaluating consumer credit information or other information on consumers for the purpose of furnishing consumer reports to third parties. "Consumer reporting agency" shall not include any business entity that provides check verification or check guarantee services only.

"File" means all of the information on the consumer that is recorded and retained by a consumer reporting agency regardless of how the information is stored."

SECTION 2. New statutory material is underscored.

SECTION 3. This Act shall take effect upon its approval.

INTRODUCED BY:

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