---
kind: "section"
citation: "29 C.F.R. § 1450.16"
title: "29"
number: "1450.16"
heading: "Use of consumer reporting agencies."
url: "https://uscodex.org/cfr/29/1450.16"
---

# §1450.16. Use of consumer reporting agencies.

- (a) The term individual means a natural person, and the term “consumer reporting agency” has the meaning provided in the Federal Claims Collection Act, as amended, at [31 U.S.C. 3701(a)(3)](/usc/31/3701.md?p=a-3) or the Fair Credit Reporting Act, at [15 U.S.C. 1681a(f)](/usc/15/1681a.md?p=f).
- (b) FMCS may disclose to a consumer reporting agency, from a system of records, information that an individual is responsible for a claim if—
  - (1) Notice required by section [5 U.S.C. 552(a)(e)(4)](/usc/5/552.md?p=a-e-4) indicates that information in the system may be disclosed to a consumer reporting agency;
  - (2) The claim has been reviewed and it is decided that the claim is valid and overdue;
  - (3) **FMCS has notified the individual in writing—**
    - (i) That payment of the claim is overdue;
    - (ii) That, within not less than 60 days after sending the notice, FMCS intends to disclose to a consumer reporting agency that the individual is responsible for that claim;
    - (iii) Of the specific information to be disclosed to the consumer reporting agency; and
    - (iv) Of the rights the individual has to a complete explanation of the claim, to dispute information in the records of the agency about the claim, and to administrative appeal or review of the claim; and
  - (4) **The individual has not—**
    - (i) Repaid or agreed to repay the claim under a written repayment plan that the individual has signed and the agency has agreed to; or
    - (ii) Filed for review of the claim under [paragraph (g)](#g) of this section;
- (c) FMCS will also—(1) Disclose promptly, to each consumer reporting agency to which the original disclosure was made, a substantial change in the condition or amount of the claim;
  - (2) Verify or correct promptly information about the claim, on request of a consumer reporting agency for verification of information disclosed; and
  - (3) Get satisfactory assurances from each consumer reporting agency that they are complying with all laws of the United States related to providing consumer credit information; and assure that
- (d) The information disclosed to the consumer reporting agency is limited to (1) Information necessary to establish the identity of the individual, including name, address, and taxpayer identification number;
  - (2) The amount, status, and history of the claim; and
  - (3) **The agency or program under which the claim arose.**
- (e) All accounts in excess of $100 that have been delinquent more than 31 days will normally be referred to a consumer reporting agency.
- (f) Before disclosing information to a consumer reporting agency FMCS shall take reasonable action to locate an individual for whom the head of the agency does not have a current address to send the notice.
- (g) Before disclosing information to a consumer reporting agency FMCS shall provide, on request of an individual alleged by the agency to be responsible for the claim, a review of the obligation of the individual including an opportunity for reconsideration of the initial decision on the claim.
- (h) Under the same provisions as described above in this section, FMCS may disclose to a credit reporting agency, information relating to a debtor other than a natural person. Such commercial debt accounts are not covered, however, by the Privacy Act.

## Notes

### Authority

Authority: 31 U.S.C. 3701-3719; 5 U.S.C. 5514; 4 CFR parts 101-105; 5 CFR part 550.

### Source

Source: 51 FR 24817, July 9, 1986, unless otherwise noted.