[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1286 Introduced in House (IH)]
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116th CONGRESS
1st Session
H. R. 1286
To prohibit consumer credit reporting agencies and lenders from taking
adverse action against federal employees and contractors impacted by
the government shutdown, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
February 14, 2019
Mr. Sherman (for himself, Ms. Norton, Mr. McGovern, Mr. Kilmer, and Mr.
Rouda) introduced the following bill; which was referred to the
Committee on Financial Services
_______________________________________________________________________
A BILL
To prohibit consumer credit reporting agencies and lenders from taking
adverse action against federal employees and contractors impacted by
the government shutdown, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Federal Employee Credit Score
Protection Act of 2019''.
SEC. 2. PROHIBITION ON LOWERING THE CREDIT SCORES OF COVERED
INDIVIDUALS.
(a) In General.--The Fair Credit Reporting Act (15 U.S.C. 1681 et
seq.) is amended by adding at the end the following new sections:
``Sec. 630. Prohibitions relating to credit scores during a shutdown
``(a) In General.--Subject to subsection (b), a covered entity may
not lower the credit score of a covered individual who fails to pay any
qualified expense or obligation during the period beginning on the
first day of a shutdown and ending on the date that is 60 days after
the date on which the shutdown ends, if the covered individual pays the
qualified expense or obligation within such period.
``(b) Requirements and Procedures.--
``(1) Identification.--A covered entity shall, to the
extent practicable, identify covered individuals eligible under
subsection (a).
``(2) Assistance from the office of personnel management.--
The Director of the Office of Personnel Management shall, to
the extent practicable, assist covered entities in identifying
covered individuals.
``(3) Notification by individuals.--Not later than 1 year
after the date that is 60 days after the date on which a
shutdown ends, a covered individual may notify a covered entity
that the covered entity may not lower the credit score of the
covered individual pursuant to subsection (a), and if such
credit score has been lowered, such covered individual may seek
a reversal of that action.
``(c) Notification by Entities.--A covered entity shall notify the
public--
``(1) of the requirement described under subsection (a);
and
``(2) how a covered individual may--
``(A) inform the entity of the eligibility of the
individual under subsection (a); and
``(B) submit such reasonable materials deemed
necessary to confirm such eligibility.
``(d) Duties of Consumer Reporting Agencies.--A consumer reporting
agency that receives a credible notification that a covered individual
is eligible under subsection (a) shall--
``(1) notify covered entities of the eligibility of such
covered individual;
``(2) to the extent practicable, inform other consumer
reporting agencies of the eligibility of such covered
individual; and
``(3) in the event the credit score of a covered individual
was lowered prior to receipt of such credible notification,
take all necessary measures to reverse that action and restore
the credit score of the covered individual such that it
reflects the credit score such covered individual would have
received absent the consideration of the nonpayment of a
qualified expense or obligation.
``(e) Enforcement.--Upon petition by a covered individual, the
Bureau may--
``(1) require a covered entity to make appropriate
adjustments to the credit score of the covered individual; and
``(2) issue a fine or take another enforcement action, as
determined by the Bureau.
``(f) Definitions.--In this section:
``(1) Covered entity.--The term `covered entity' means an
entity that develops a credit score.
``(2) Covered individual.--The term `covered individual'
means--
``(A) an employee of the Federal Government who is
furloughed or excepted from furlough during the
shutdown;
``(B) a Federal contractor who, during any lapse in
Federal appropriations, is not receiving pay by reason
of such lapse; and
``(C) a spouse of an individual described under
subparagraph (A) or (B).
``(3) Credit score.--The term `credit score' has the
meaning given in section 609(f)(2).
``(4) Qualified expense or obligation.--The term `qualified
expense or obligation' means any payment, including a partial
payment, of a covered individual relating to a mortgage loan,
rent, credit cards, medical expenses, automobile purchases or
leases, student loans, insurance premiums, utilities, and other
recurring payments or expenses ordinarily incurred by such
covered individual (as determined by the Bureau).
``(5) Shutdown.--The term `shutdown' means the period of a
lapse in appropriations beginning on or after December 22,
2018, and that ends before October 1, 2019.
``Sec. 631. Prohibition on adverse lending determinations for covered
individuals
``(a) Prohibition.--A creditor (as defined in section 103 of the
Truth in Lending Act) may not knowingly deny credit, or knowingly
provide credit on less favorable terms than would otherwise be
provided, to a covered individual who fails to pay any qualified
expense or obligation during the period beginning on the first day of a
shutdown and ending on the date that is 60 days after the date on which
the shutdown ends, if the covered individual pays the qualified expense
or obligation within such period.
``(b) Enforcement.--The Bureau may issue a fine or take another
enforcement action, as determined by the Bureau, against a creditor
that violates subsection (a) if the Bureau determines by a
preponderance of the evidence that the fact that the covered individual
failed to pay a qualified expense while not receiving pay by reason of
a lapse in Federal appropriations, or during the 60-day period
immediately following such lapse in Federal appropriations, was a
substantial factor in the action taken by the creditor that violated
subsection (a).
``(c) Definitions.--The terms `covered individual', `qualified
expense or obligation', and `shutdown' have the meanings given those
terms, respectively, in section 631.''.
(b) Table of Contents Amendment.--The table of contents of the Fair
Credit Reporting Act is amended by adding at the end the following new
items:
``630. Prohibitions relating to credit scores during a shutdown.
``631. Prohibition on adverse lending determinations for covered
individuals.''.
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