What does the FACT Act entitle consumers to do?

The FACT Act, formally known as the Fair and Accurate Credit Transactions Act, entitles consumers to obtain one free credit report annually from each of the three national credit bureaus. This provision is designed to promote transparency in the credit reporting process and empower consumers with the ability to monitor their credit history for accuracy and potential errors.

By allowing access to free credit reports from Experian, TransUnion, and Equifax once a year, the FACT Act helps consumers stay informed about their credit status, which is crucial for maintaining good credit health and making informed financial decisions. This initiative seeks to protect consumers from identity theft and ensures that they can take action if they uncover inaccuracies or fraudulent activities in their credit reports.

Other options serve different purposes but are not specific entitlements granted by the FACT Act. For instance, while consumers can indeed dispute negative items on their credit reports, this is a standard right under the Fair Credit Reporting Act rather than a specific entitlement under the FACT Act. Similarly, credit freeze regulations or consultations may vary by state and are not encompassed within the provisions of the FACT Act itself.