Bureau looks at effects of inaccurate credit reports on survivors of domestic violence, elder abuse; intends to issue proposed rule

The harmful effects of inaccurate credit reporting affecting survivors of domestic violence, elder abuse, and other forms of financial abuse would be considered under a rule being contemplated by the federal consumer financial protection agency, it said Monday.

The Consumer Financial Protection Bureau (CFPB) said in a release that it issued an advance notice of proposed rulemaking (ANPR) for comment to “gather additional public input on potential amendments to the regulation that implements the Fair Credit Reporting Act (FCRA).”

After gathering comments, the agency said it intends to issue a proposed rule. The comment period runs for 90 days.

Key issues the bureau seeks comments on include:

• The prevalence and extent of harms to people with coerced debt, including through the credit reporting system. Evidence regarding the relevance of coerced debt to a survivor’s credit risk.
• Barriers to accessing existing protections under federal or state law for survivors of economic abuse.
• Challenges resulting from coerced debt facing specific populations including survivors of intimate partner violence and gender-based violence, older Americans, and children in foster care.
• Potential documentation or self-attestation requirements for showing that a person’s debt was coerced.

The ANPR, the agency said, was prompted by a request by two consumer groups – the National Consumer Law Center and the Center for Survivor Agency and Justice – through the agency’s petition process, established in 2022.

CFPB Kicks Off Rulemaking to Help Mitigate the Financial Consequences of Domestic Violence and Elder Abuse