According to FCRA rights, individuals can explain negative information on their reports. What is the maximum word count allowed for this explanation?

Under the Fair Credit Reporting Act (FCRA), individuals have the right to add an explanation for negative information found in their credit reports. This is intended to provide context or to clarify any discrepancies that may affect their creditworthiness. The maximum word count allowed for this type of explanation is 100 words. This limitation encourages conciseness while allowing consumers to present their side of the story, promoting transparency and fairness in the credit reporting process.

By setting a cap at 100 words, the FCRA aims to ensure that individuals can communicate important details without overwhelming the credit report with excessive information, thus maintaining the clarity of the report while still giving consumers a chance to voice their explanations.