This Bill in Congress Will End the Credit Report Strikes in Four Years
Bad credit can haunt you for years. It affects everything from buying a house to bills and renting an apartment . Some employers even check your report before hiring you. A recently proposed bill aims to improve the system.
California’s Maxine Waters recently introduced the Comprehensive Consumer Credit Reporting Reform Act, which requires some fairly significant changes to credit reporting. Ideally, these changes will protect consumers from misinformation and bad debts. The bill would also give the Consumer Financial Protection Bureau the power to monitor credit scoring practices.
The bill offers many interesting updates, including section 401, which “shortens the period of time that the most unfavorable credit information remains in consumer reports.” Typically, most of the negative points will remain on your report for seven years, but in the bill, this number will change to four.
In addition, the bill aims to make credit reports more accessible to consumers, give consumers more time before medical debts are added to the report, and make it easier for debtor students to pay off loans. This is a proposed bill, so there is obviously no guarantee that these changes will be implemented, but you can always contact local members of Congress and tell them what you think of him. For more details, check out the full invoice at the link below.