| There are many different laws and
rules that exist to protect the consumer in all matters pertaining to credit,
credit repair companies and those who offer credit. It is important for any consumer
to understand these laws that are designed to protect them. The Federal Trade
Commission (FTC) is charged with enforcing many of these laws and for providing
consumers with information about them. Rules and Acts The
Consumer Leasing Act requires leasing companies to inform a consumer about
the facts and details regarding the cost and terms of their contracts.
The Credit Repair Organizations Act was designed to ensure that those seeking
credit repair services from credit repair organizations are provided with the
information necessary to make an informed decision regarding the purchase of credit
repair services and that consumers are protected from deceptive or unfair advertising
and business practices.
The Equal Credit Opportunity Act prohibits
the denial of credit because of sex, marital status, race, religion, national
origin, age or because a person receives public assistance.
The Fair
Credit Billing Act sets out guidelines and procedures for resolving billing
errors that may appear on credit card accounts.
The Fair Credit Reporting
Act (FCRA) gives any individual the right to know what information is being
distributed about them by any credit reporting agency.
The Fair Debt
Collection Practices Act (FDCPA) sets out guidelines and procedures for collections
companies that prevents debt collectors from using unfair or deceptive practices
to collect overdue bills.
The Home Ownership and Equity Protection
Act (HOEPA) is designed to protect consumers by restricting certain terms
of high cost home loans (where the interest rate or fees are above a specified
level).
The Identity Theft and Assumption Deterrence Act makes
identity theft a Federal crime punishable with penalties up to 15 years imprisonment
and a maximum fine of $250,000, and clearly defines the individual whose identity
was stolen as a 'victim'. Notices of Rights and Duties
under the FCRA (July 1, 1997) were created to promote accuracy, fairness and
the privacy of information in the credit files created by all credit reporting
agencies.
The Truth in Lending Act demands that any lender give
a consumer written disclosures of the costs of credit and the terms of repayment
prior to entering into a credit transaction. | 
