Sec. 1681c-1. Identity theft prevention; fraud alerts and active
duty alerts

(a) One-call fraud alerts
(1) Initial alerts
Upon the direct request of a consumer, or an individual acting
on behalf of or as a personal representative of a consumer, who
asserts in good faith a suspicion that the consumer has been or
is about to become a victim of fraud or related crime, including
identity theft, a consumer reporting agency described in section
1681a(p) of this title that maintains a file on the consumer and
has received appropriate proof of the identity of the requester
shall -
(A) include a fraud alert in the file of that consumer, and
also provide that alert along with any credit score generated
in using that file, for a period of not less than 90 days,
beginning on the date of such request, unless the consumer or
such representative requests that such fraud alert be removed
before the end of such period, and the agency has received
appropriate proof of the identity of the requester for such
purpose; and
(B) refer the information regarding the fraud alert under
this paragraph to each of the other consumer reporting agencies
described in section 1681a(p) of this title, in accordance with
procedures developed under section 1681s(f) of this title.
(2) Access to free reports
In any case in which a consumer reporting agency includes a
fraud alert in the file of a consumer pursuant to this
subsection, the consumer reporting agency shall -
(A) disclose to the consumer that the consumer may request a
free copy of the file of the consumer pursuant to section
1681j(d) of this title; and
(B) provide to the consumer all disclosures required to be
made under section 1681g of this title, without charge to the
consumer, not later than 3 business days after any request
described in subparagraph (A).
(b) Extended alerts
(1) In general
Upon the direct request of a consumer, or an individual acting
on behalf of or as a personal representative of a consumer, who
submits an identity theft report to a consumer reporting agency
described in section 1681a(p) of this title that maintains a file
on the consumer, if the agency has received appropriate proof of
the identity of the requester, the agency shall -
(A) include a fraud alert in the file of that consumer, and
also provide that alert along with any credit score generated
in using that file, during the 7-year period beginning on the
date of such request, unless the consumer or such
representative requests that such fraud alert be removed before
the end of such period and the agency has received appropriate
proof of the identity of the requester for such purpose;
(B) during the 5-year period beginning on the date of such
request, exclude the consumer from any list of consumers
prepared by the consumer reporting agency and provided to any
third party to offer credit or insurance to the consumer as
part of a transaction that was not initiated by the consumer,
unless the consumer or such representative requests that such
exclusion be rescinded before the end of such period; and
(C) refer the information regarding the extended fraud alert
under this paragraph to each of the other consumer reporting
agencies described in section 1681a(p) of this title, in
accordance with procedures developed under section 1681s(f) of
this title.
(2) Access to free reports
In any case in which a consumer reporting agency includes a
fraud alert in the file of a consumer pursuant to this
subsection, the consumer reporting agency shall -
(A) disclose to the consumer that the consumer may request 2
free copies of the file of the consumer pursuant to section
1681j(d) of this title during the 12-month period beginning on
the date on which the fraud alert was included in the file; and
(B) provide to the consumer all disclosures required to be
made under section 1681g of this title, without charge to the
consumer, not later than 3 business days after any request
described in subparagraph (A).
(c) Active duty alerts
Upon the direct request of an active duty military consumer, or
an individual acting on behalf of or as a personal representative
of an active duty military consumer, a consumer reporting agency
described in section 1681a(p) of this title that maintains a file
on the active duty military consumer and has received appropriate
proof of the identity of the requester shall -
(1) include an active duty alert in the file of that active
duty military consumer, and also provide that alert along with
any credit score generated in using that file, during a period of
not less than 12 months, or such longer period as the Commission
shall determine, by regulation, beginning on the date of the
request, unless the active duty military consumer or such
representative requests that such fraud alert be removed before
the end of such period, and the agency has received appropriate
proof of the identity of the requester for such purpose;
(2) during the 2-year period beginning on the date of such
request, exclude the active duty military consumer from any list
of consumers prepared by the consumer reporting agency and
provided to any third party to offer credit or insurance to the
consumer as part of a transaction that was not initiated by the
consumer, unless the consumer requests that such exclusion be
rescinded before the end of such period; and
(3) refer the information regarding the active duty alert to
each of the other consumer reporting agencies described in
section 1681a(p) of this title, in accordance with procedures
developed under section 1681s(f) of this title.
(d) Procedures
Each consumer reporting agency described in section 1681a(p) of
this title shall establish policies and procedures to comply with
this section, including procedures that inform consumers of the
availability of initial, extended, and active duty alerts and
procedures that allow consumers and active duty military consumers
to request initial, extended, or active duty alerts (as applicable)
in a simple and easy manner, including by telephone.
(e) Referrals of alerts
Each consumer reporting agency described in section 1681a(p) of
this title that receives a referral of a fraud alert or active duty
alert from another consumer reporting agency pursuant to this
section shall, as though the agency received the request from the
consumer directly, follow the procedures required under -
(1) paragraphs (1)(A) and (2) of subsection (a) of this
section, in the case of a referral under subsection (a)(1)(B) of
this section;
(2) paragraphs (1)(A), (1)(B), and (2) of subsection (b) of
this section, in the case of a referral under subsection
(b)(1)(C) of this section; and
(3) paragraphs (1) and (2) of subsection (c) of this section,
in the case of a referral under subsection (c)(3) of this
section.
(f) Duty of reseller to reconvey alert
A reseller shall include in its report any fraud alert or active
duty alert placed in the file of a consumer pursuant to this
section by another consumer reporting agency.
(g) Duty of other consumer reporting agencies to provide contact
information
If a consumer contacts any consumer reporting agency that is not
described in section 1681a(p) of this title to communicate a
suspicion that the consumer has been or is about to become a victim
of fraud or related crime, including identity theft, the agency
shall provide information to the consumer on how to contact the
Commission and the consumer reporting agencies described in section
1681a(p) of this title to obtain more detailed information and
request alerts under this section.
(h) Limitations on use of information for credit extensions
(1) Requirements for initial and active duty alerts
(A) Notification
Each initial fraud alert and active duty alert under this
section shall include information that notifies all prospective
users of a consumer report on the consumer to which the alert
relates that the consumer does not authorize the establishment
of any new credit plan or extension of credit, other than under
an open-end credit plan (as defined in section 1602(i) of this
title), in the name of the consumer, or issuance of an
additional card on an existing credit account requested by a
consumer, or any increase in credit limit on an existing credit
account requested by a consumer, except in accordance with
subparagraph (B).
(B) Limitation on users
(i) In general
No prospective user of a consumer report that includes an
initial fraud alert or an active duty alert in accordance
with this section may establish a new credit plan or
extension of credit, other than under an open-end credit plan
(as defined in section 1602(i) of this title), in the name of
the consumer, or issue an additional card on an existing
credit account requested by a consumer, or grant any increase
in credit limit on an existing credit account requested by a
consumer, unless the user utilizes reasonable policies and
procedures to form a reasonable belief that the user knows
the identity of the person making the request.
(ii) Verification
If a consumer requesting the alert has specified a
telephone number to be used for identity verification
purposes, before authorizing any new credit plan or extension
described in clause (i) in the name of such consumer, a user
of such consumer report shall contact the consumer using that
telephone number or take reasonable steps to verify the
consumer's identity and confirm that the application for a
new credit plan is not the result of identity theft.
(2) Requirements for extended alerts
(A) Notification
Each extended alert under this section shall include
information that provides all prospective users of a consumer
report relating to a consumer with -
(i) notification that the consumer does not authorize the
establishment of any new credit plan or extension of credit
described in clause (i), other than under an open-end credit
plan (as defined in section 1602(i) of this title), in the
name of the consumer, or issuance of an additional card on an
existing credit account requested by a consumer, or any
increase in credit limit on an existing credit account
requested by a consumer, except in accordance with
subparagraph (B); and
(ii) a telephone number or other reasonable contact method
designated by the consumer.
(B) Limitation on users
No prospective user of a consumer report or of a credit score
generated using the information in the file of a consumer that
includes an extended fraud alert in accordance with this
section may establish a new credit plan or extension of credit,
other than under an open-end credit plan (as defined in section
1602(i) of this title), in the name of the consumer, or issue
an additional card on an existing credit account requested by a
consumer, or any increase in credit limit on an existing credit
account requested by a consumer, unless the user contacts the
consumer in person or using the contact method described in
subparagraph (A)(ii) to confirm that the application for a new
credit plan or increase in credit limit, or request for an
additional card is not the result of identity theft.

EFFECTIVE DATE
Section subject to joint regulations establishing effective dates
as prescribed by Federal Reserve Board and Federal Trade
Commission, except as otherwise provided, see section 3 of Pub. L.
108-159, set out as an Effective Date of 2003 Amendment note under
section 1681 of this title.
REGULATIONS
Pub. L. 108-159, title I, Sec. 112(b), Dec. 4, 2003, 117 Stat.
1959, provided that: "The Commission shall prescribe regulations to
define what constitutes appropriate proof of identity for purposes
of sections 605A , 605B, and 609(a)(1) of the Fair Credit Reporting
Act [15 U.S.C. 1681c-1, 1681c-2, 1681g(a)(1)], as amended by this
Act."
[For definitions of terms used in section 112(b) of Pub. L.
108-159, set out above, see section 2 of Pub. L. 108-159, set out
as a Definitions note under section 1681 of this title.]
PUBLIC CAMPAIGN TO PREVENT IDENTITY THEFT
Pub. L. 108-159, title I, Sec. 151(b), Dec. 4, 2003, 117 Stat.
1964, provided that: "Not later than 2 years after the date of
enactment of this Act [Dec. 4, 2003], the Commission shall
establish and implement a media and distribution campaign to teach
the public how to prevent identity theft. Such campaign shall
include existing Commission education materials, as well as radio,
television, and print public service announcements, video
cassettes, interactive digital video discs (DVD's) or compact audio
discs (CD's), and Internet resources."
[For definitions of terms used in section 151(b) of Pub. L.
108-159, set out above, see section 2 of Pub. L. 108-159, set out
as a Definitions note under section 1681 of this title.]