Major Credit Bureaus Issue Furnisher Data Reporting Process Changes

insideARM has learned that the three major credit bureaus — Equifax, Experian, and TransUnion — have distributed this document detailing new Furnisher Data Reporting and Process Requirement Changes.

Some of the changes are effective as soon as June 15, 2016 while others take effect over a year from now, September 15, 2017. However, the memo urges furnishers to implement the changes in advance of these dates.

The purpose of the changes is to provide consumers more transparency when interacting with consumer reporting agencies about their credit reports. The plan was produced in conjunction with the Attorneys General of several states.

The following chart summarizes the changes:

insideARM Perspective

It will be interesting to see what impact these changes have on the ARM industry.  Will there be fewer companies or clients that want to report to the Credit Bureaus? Will these changes lead to more or less consumer litigation on credit bureau reporting?

Additionally, anytime there are changes to a process or new rules promulgated there are often issues that appear that were not originally contemplated. Often there are unintended consequences to the changes. insideARM would love to hear from its readers of any such concerns, issues or unintended consequences.  We will be happy to share the information with the industry.