What is the Fair Credit Reporting Act?

The Fair Credit Reporting Act (FCRA) is fundamentally a federal law designed to regulate the collection, dissemination, and usage of consumer credit information. It aims to ensure that personal information is handled fairly and ensures transparency in how this information is collected and used. This law is particularly relevant in the context of property management and landlord-tenant relationships, as it governs how property managers and landlords can obtain and use consumer credit reports when screening potential tenants.

The FCRA provides consumers with rights regarding their credit information, including the right to access their credit records, dispute inaccuracies, and receive disclosures about how their information is used in decisions like tenant screening. Thus, the correct answer captures the essence of what the Fair Credit Reporting Act is and its significance in protecting consumer rights in the context of credit information.