Mar 11, 2011 Brian Bradley
Lawmakers recently took another step toward ensuring all consumers have access to a free credit score, according to The Wall Street Journal. The paper reports that the Federal Reserve and Federal Trade Commission proposed new regulations on Tuesday that will comply with the Dodd-Frank consumer protection bill that will become law in July. The Federal Reserve and FTC's new law would ensure that consumers can access a free credit score when their credit reports are being used to determine lending rates or loan dollar amounts. The law will be especially useful for those with below-average credit who are not getting the best rate available. John Ulzheimer of SmartCredit.com told the WSJ that the new regulations will "empower consumers" and "any financial-services product you apply for where you're denied or adversely approved based on a score, you're going to get the score, which is historical." A similar law figures to be proposed by the Consumer Financial Protect Bureau when its authority goes into effect in mid-July. However, the FTC and Federal Reserve said their proactive behavior will allow for a smoother transition to the Dodd-Frank Act.