 TITLE: What Are Credit Bureaus and How Do They Work? CONTENT: The Fair Credit Reporting Act Regulates Credit Bureaus\n------------------------------------------------------\nFederal and state laws govern what can and cannot appear in your credit reports and who can request a copy of your credit report.\nThe Fair Credit Reporting Act (FCRA), which was passed in 1970 and has been amended several times, is one of the most important federal credit reporting laws. Some of its major rules include:\n*   Consumers can request a free copy of their credit report from each credit bureau once every 12 months.\n*   Negative information, such as late payments, generally must be removed from credit reports after seven years, although certain bankruptcies can remain for 10 years.\n*   A person or company must have a \"permissible purpose\" to request a copy of a consumer's credit report. These include the consumer's permission or to make a lending decision after receiving an application.\n*   Consumers have the right to dispute information in their credit reports. The credit bureau must investigate non-frivolous disputes and verify, correct or delete the disputed information.\nThe FCRA applies to all consumer reporting agencies, not just the big three. END