Personal Finance 1st Edition by Jack R. Kapoor

Exercise 27

1   What federal laws protect you if you have a complaint regarding consumer credit?

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2   What are your rights under the consumer credit laws?

Action Application Use the Internet to obtain information about consumer credit protection laws.

Step 1 of 2

1. Laws to complaint regarding consumer credit:

There are several federal laws to protect you if you have a complaint regarding consumer credit.

a) Truth in Lending and Consumer Leasing Acts- If a creditor fails to disclose information required, gives inaccurate information or does not comply with the rules you may sue for actual damages.

b) Equal Credit Opportunity Act-If a creditor has discriminated against you for any reason you may sue for damages of up to $10,000.

c)Fair Credit Billing Act- A creditor that fails to comply with the rules applying to the correction of billing errors automatically forfeits the amount owed on the item in question and any finance charges on it, up to a combined total of $50, even if the bill was correct. You may sue for actual damages plus twice the amount of any finance charges.

d)Fair Credit Reporting Act- You may sue any credit reporting agency or creditor for violating the rules regarding access to your credit records and correction of errors in your credit file.

e) Consumer Credit Reporting Reform Act- This act places the burden of proof for accurate credit information on the credit reporting agency rather than on you. The creditor must certify that disputed data are accurate. If a creditor or the credit bureau verifies incorrect data, you can sue for damages.