What does the FACT Act stand for?

The FACT Act stands for the Fair and Accurate Credit Transaction Act. This legislation was enacted in 2003 to enhance consumer protections relating to credit reporting and to prevent identity theft. One of its key provisions allows consumers to request and obtain a free annual credit report from the three major credit bureaus, empowering individuals to monitor their credit histories for accuracy and to detect any fraudulent activities.

The Act also provides guidelines for how data furnishes must handle and securely dispose of consumer information, ensuring that personal financial information is dealt with responsibly. This focus on accuracy and consumer rights is central to the intent of the Act, reinforcing its title and objectives.

In contrast, the other options do not accurately represent the established legislation. While some of them contain relevant concepts (like accountability and transparency in the context of finance), they do not match the actual title of the FACT Act, which emphasizes both fairness and accuracy in credit transactions.