Credit report control may be in Virginians’ futures

February 25, 2007

RICHMOND – Virginians soon could be allowed to freeze access to their credit reports under legislation pending in the General Assembly.

House Bill 1311, sponsored by Delegate Kathy J. Byron, R-Lynchburg, and Senate Bill 576, sponsored by Sen. Richard L. Saslaw, D-Springfield, would prevent consumer reporting agencies from releasing credit reports without the Virginia consumer’s permission.

“Everyone is aware of the importance of protecting our personal information, and almost all of us know someone who has been the victim of identity theft or credit card fraud,” Gov. Tim M. Kaine (D) stated in a press release.

Earlier this year, the governor announced legislative initiatives to protect consumers from identity theft and credit fraud at Richmond’s AARP headquarters.

A 26-member group, including assembly members, business leaders and consumer advocates, helped recommend consumer-protection legislation for the governor. Madge Bush, state director of advocacy for AARP, was part of the advisory group.

“Our members are very concerned about identity theft and wanted to have this protection available in our state,” Bush said.

Bush also said the kind of bipartisan support received by the legislature is positive and shows the legislature “clearly can break the gridlock” and respond to the real needs of the commonwealth’s consumers.

“While there is no single solution to the many challenges we face in this area, I believe these proposals strike a reasonable balance between the interests of the commonwealth’s citizens and the legitimate interests of the business community,” Kaine said.

If passed, the protection would be available to all consumers. The freeze could be initiated electronically, by telephone or standard mail.

“This legislation will give Virginians greater control over access to their credit,” Kaine said.

Three major credit reporting agencies, Experian, Transunion and Equifax, voluntarily allowed credit report freezes last year. The proposed bills would allow the reporting agencies to charge a fee of $10 to each agency for placing and removing a freeze, with no charge to temporarily lift one. The service would be free to identity theft victims.

Source: http://www.fairfaxtimes.com