A bill to prevent consumer abuses by credit repair organizations.

Summary

Amends the Consumer Credit Protection Act to set forth the Credit Reporting Reform Act as revised title IV. Prohibits any credit services organization (any person who provides a service for the purpose of improving a buyer's credit record or obtaining an extension of credit for a buyer) from: (1) charging or receiving money prior to the completion of its services (unless it has obtained a $10,000 surety bond); (2) charging or receiving money solely for the referral of a buyer to a retailer if the credit which may be extended is upon substantially the same terms as those available to the general public; (3) advising any client to make an untrue or misleading statement; and (4) using any untrue or misleading statement in the offer or sale of its services. Requires the organization to provide the buyer with a written statement which includes a description of: (1) the buyer's rights; (2) the approximate price the buyer will be charged for the service; and (3) the services to be performed by the organization. Sets forth contract requirements and the rights of the buyer with regard to cancellation of such contract. Subjects any organization which fails to comply with any provision of this Act to civil liability. Grants any appropriate U.S. district court jurisdiction in such actions (without regard to the amount in controversy). Provides a two-year statute of limitations for such actions (unless the defendant has materially and willfully misrepresented any information required under this Act). Provides for the administrative enforcement of this Act by the Federal Trade Commission, as provided in the Federal Trade Commission Act.

This text is taken from the official record. PoliticalRepo does not editorialize.

Timeline

1. 14 May 1987

   Introduced

   Read twice and referred to the Committee on Banking.

   Source: IntroReferral

2. 14 May 1987

   Introduced

   Introduced in Senate

   Source: IntroReferral

Votes

No vote records are attached yet.

Versions

No version snapshots stored. Document URLs remain at the source.

Documents

1 official file

• Introduced in Senate

  summary · EN · 14 May 1987

  Open at official source

Sponsors

• Sen. Proxmire, William [D-WI] · D · Sponsor
• Sen. Inouye, Daniel K. [D-HI] · D · Sponsor
• Rep. Cochran, Thad [R-MS-4] · R · Cosponsor
• Sen. Riegle, Donald W., Jr. [D-MI] · D · Cosponsor
• Rep. Simon, Paul [D-IL-24] · D · Cosponsor
• Sen. Sanford, Terry [D-NC] · D · Cosponsor
• Sen. Sasser, Jim [D-TN] · D · Cosponsor
• · ssbk00 · Standing

Related records

No cross-record relationships stored yet.