The Fair Credit Reporting Act (1970)

Congress enacted the Fair Credit Reporting Act ("FCRA") to protect consumers from the disclosure of inaccurate and arbitrary personal information held by consumer reporting agencies. While the FCRA regulates the disclosure of personal information, it does not restrict the amount or type of information that can be collected. Under the FCRA, consumer reporting agencies may only disclose personal information to third parties under specified conditions. Additionally, information may be released to a third party with the written consent of the subject of the report or when the reporting agency has reason to believe the requesting party intends to use the information:

1. for a credit, employment or insurance evaluation;
   
2. in connection with the grant of a license or other government benefit; or
   
3. for another "legitimate business need" involving the consumer.