HR8143-118

Introduced

To establish requirements relating to credit scores and educational credit scores, and for other purposes.

118th Congress Introduced Apr 29, 2024

Analysis under review: This bill has generated analysis that may be too generic or incomplete. Clause-level evidence remains available below.

Summary

What This Bill Does

This bill amends the Fair Credit Reporting Act to require consumer reporting agencies (like Equifax, Experian, and TransUnion) to provide consumers with free credit scores along with their annual free credit reports. It also mandates prominent disclosures explaining the differences between actual credit scores used by lenders and educational credit scores sold to consumers, and requires CRAs to maintain 2 years of credit score history.

Who Benefits and How

Consumers benefit by receiving free credit scores (currently charged separately) along with their annual credit reports, saving money and gaining better insight into their creditworthiness. Consumers also receive clearer explanations of what affects their scores and specific actions to improve them. Consumer advocacy groups achieve a long-sought policy goal of credit score transparency.

Who Bears the Burden and How

Nationwide consumer reporting agencies (Equifax, Experian, TransUnion) lose revenue from credit score sales to consumers and face new compliance costs for enhanced disclosures, data retention, and website modifications. Credit scoring model developers (like FICO and VantageScore) may face reduced revenue from consumer-facing score products. Credit monitoring services that bundle scores with subscriptions face increased competition from free alternatives.

Key Provisions

  • Requires free credit scores with annual free credit reports upon consumer request
  • Mandates CRAs maintain 2-year credit score history accessible to consumers
  • Requires prominent disclaimers on all CRA websites explaining that credit scores vary and educational scores differ from lender scores
  • Expands free report/score access to consumers who file disputes, obtain fraud alerts, or receive adverse actions
  • Requires CRAs to provide actionable advice on how to improve credit scores

Evidence Chain:

This summary is generated from the full bill text using AI analysis. Expand "Detailed Analysis" below for identified beneficiaries/burden bearers.

At a Glance

What This Bill Does

Requires consumer reporting agencies to provide free credit scores along with annual free credit reports, mandates enhanced disclosures about the differences between credit scores and educational credit scores, and expands consumer access to credit information

Key Policy Areas

Consumer Protection, Financial Services, Credit Reporting

Primary Purpose

Requires consumer reporting agencies to provide free credit scores along with annual free credit reports, mandates enhanced disclosures about the differences between credit scores and educational credit scores, and expands consumer access to credit information

Policy Domains

Consumer Protection Financial Services Credit Reporting

Section 3 - Definitions

Identified Gains
Contextual inference, no direct clause citation
  • Consumers seeking credit score transparency
Model: N/A | Version: bill_summary_v2 | Source: ih

Contextual inference, no direct clause citation

Identified Costs
Contextual inference, no direct clause citation
  • Consumer reporting agencies
Model: N/A | Version: bill_summary_v2 | Source: ih

Contextual inference, no direct clause citation

Sections 4-5 - Credit Score Disclosures

Identified Gains
Contextual inference, no direct clause citation
  • Consumers
  • Consumer advocacy organizations
Model: N/A | Version: bill_summary_v2 | Source: ih

Contextual inference, no direct clause citation

Identified Costs
Contextual inference, no direct clause citation
  • Nationwide consumer reporting agencies (Equifax, Experian, TransUnion)
  • Credit scoring model companies (FICO, VantageScore)
  • Credit monitoring services
Model: N/A | Version: bill_summary_v2 | Source: ih

Contextual inference, no direct clause citation

Section 6 - Free Credit Score Provisions

Identified Gains
Contextual inference, no direct clause citation
  • Consumers requesting credit reports
  • Fraud victims
  • Unemployed individuals
  • Welfare recipients
Model: N/A | Version: bill_summary_v2 | Source: ih

Contextual inference, no direct clause citation

Identified Costs
Contextual inference, no direct clause citation
  • Consumer reporting agencies
  • Credit score product sellers
Model: N/A | Version: bill_summary_v2 | Source: ih

Contextual inference, no direct clause citation

Legislative Progress

Introduced
Introduced Committee Passed
Apr 29, 2024

Mrs. Beatty introduced the following bill; which was referred to …

Stakeholder Effects

cui bono?

How this legislation distributes effects. Mention counts reflect frequency, not effect magnitude.

Individual And Family Services
6 mentions across 6 clauses
+6 positive

Auto loan and lease consumers, Consumers, Consumers in qualifying circumstances

Credit Bureaus
6 mentions across 6 clauses
-6 negative

Consumer reporting agencies, Consumer reporting agencies selling educational scores, Nationwide consumer reporting agencies

-1 negative

Credit scoring model companies (FICO, VantageScore)

General Public
1 mention across 1 clause
-1 negative

Credit score marketing services

Other Information Services
1 mention across 1 clause
-1 negative

Credit monitoring subscription services

Financial Services
1 mention across 1 clause
-1 negative

Private student loan lenders

Automotive
1 mention across 1 clause
-1 negative

Auto dealers and indirect auto lenders

Sales Financing
1 mention across 1 clause
-1 negative

Auto finance companies

13/14
sections analyzed
Full impact breakdown

Bill Structure & Actor Mappings

Who is "The Secretary" in each section?

Domains
Credit Reporting
Actor Mappings
"the_bureau"
→ Consumer Financial Protection Bureau
Domains
Consumer Protection Credit Reporting
Actor Mappings
"the_bureau"
→ Consumer Financial Protection Bureau
Domains
Consumer Protection Credit Reporting
Actor Mappings
"the_bureau"
→ Consumer Financial Protection Bureau

Key Definitions

Terms defined in this bill

4 terms
"credit score" §3(1)

A numerical value or categorization derived from a statistical tool or modeling system used by a person who makes or arranges a loan or extends credit to predict the likelihood of certain credit behaviors, including default

"educational credit score" §3(2)

A numerical value or categorization derived from a statistical tool or modeling system based upon information from a consumer report that assists consumers in understanding how a lender or creditor may view the consumer's creditworthiness

"key factors" §3(3)

Relevant elements or reasons affecting the credit score for the particular individual, listed in order of importance based on the effect of each element or reason on the credit score

"credit scoring model" §3(4)

A scoring algorithm, formula, model, program, or mechanism used to generate a credit score or an educational credit score

We use a combination of our own taxonomy and classification in addition to large language models to assess meaning and potential beneficiaries. High confidence means strong textual evidence. Always verify with the original bill text.

Learn more about our methodology