New Jersey Assembly Bill A3536

New Jersey 2022-2023 Regular Session

• Introduced: 3/8/22
• Refer: 3/8/22

Caption

Requires reporting agencies to report to Division of Consumer Affairs number of free consumer reports furnished to New Jersey resident consumers annually.

Impact

The implementation of A3536 is expected to strengthen consumer protection in New Jersey by ensuring that residents are aware of the availability of free consumer reports. This bill will empower consumers to monitor their credit standing and endorse financial literacy. Moreover, by tracking the distribution of free reports, the Division of Consumer Affairs can better understand consumer utilization and improve outreach and educational efforts regarding credit reports.

Summary

Assembly Bill A3536 requires every reporting agency that compiles and maintains consumer files on a nationwide basis to report to the Division of Consumer Affairs the number of free consumer reports they have furnished to New Jersey resident consumers each year. The agencies must provide this report annually by March 1, detailing how many consumers received one free report and how many received two. This requirement aims to enhance transparency regarding access to personal credit information for residents of New Jersey.

Contention

While the bill generally received support for enhancing transparency, certain points of contention arose regarding the compliance requirements placed on the reporting agencies. Critics argue that the penalties for non-compliance, which can go up to $10,000, might impose undue burdens on smaller agencies. Further, there is concern regarding how the reporting will affect overall practices in consumer reporting, particularly whether it will lead to increased demand for consumer reports and the subsequent management of those requests.