                                 CODE OF VIRGINIA

IDENTITY FRAUD; CONSUMER REPORTING AGENCIES; POLICE REPORTS (§ 18.2-186.3:1)

A. A consumer may report a case of identity theft to the law-enforcement agency
in the jurisdiction where he resides. If a consumer, as defined by the Fair
Credit Reporting Act, 15 U.S.C. &#xA7; 1681 et seq., submits to a consumer
reporting agency, as defined by the Fair Credit Reporting Act, 15 U.S.C. &#xA7;
1681 et seq., a copy of a valid police report, the consumer reporting agency
shall, within 30 days of receipt thereof, block the reporting of any information
that the consumer alleges appears on his credit report, as defined by the Fair
Credit Reporting Act, 15 U.S.C. &#xA7; 1681 et seq., as a result of a violation
of &#xA7; 18.2-186.3. The consumer reporting agency shall promptly notify the
furnisher of the information that a police report has been filed, that a block
has been requested, and the effective date of the block.

B. Consumer reporting agencies may decline to block or may rescind any block of
consumer information if, in the exercise of good faith and reasonable judgment,
the consumer reporting agency believes that: (i) the information was blocked due
to a misrepresentation of a material fact by the consumer; (ii) the information
was blocked due to fraud, in which the consumer participated, or of which the
consumer had knowledge, and which may for purposes of this section be
demonstrated by circumstantial evidence; (iii) the consumer agrees that portions
of the blocked information or all of it were blocked in error; (iv) the consumer
knowingly obtained or should have known that he obtained possession of goods,
services, or moneys as a result of the blocked transaction or transactions; or
(v) the consumer reporting agency, in the exercise of good faith and reasonable
judgment, has substantial reason based on specific, verifiable facts to doubt
the authenticity of the consumer&#8217;s report of a violation of &#xA7;
18.2-186.3.

C. If blocked information is unblocked pursuant to this section, the consumer
shall be notified in the same manner as consumers are notified of the
reinsertion of information pursuant to the Fair Credit Reporting Act at 15
U.S.C. &#xA7; 1681i, as amended. The prior presence of the blocked information
in the consumer reporting agency&#8217;s file on the consumer is not evidence of
whether the consumer knew or should have known that he obtained possession of
any goods, services, or moneys.

D. A consumer reporting agency shall accept the consumer&#8217;s version of the
disputed information and correct the disputed item when the consumer submits to
the consumer reporting agency documentation obtained from the source of the item
in dispute or from public records confirming that the report was inaccurate or
incomplete, unless the consumer reporting agency, in the exercise of good faith
and reasonable judgment, has substantial reason based on specific, verifiable
facts to doubt the authenticity of the documentation submitted and notifies the
consumer in writing of that decision, explaining its reasons for unblocking the
information and setting forth the specific, verifiable facts on which the
decision is based.

E. A consumer reporting agency shall delete from a consumer credit report
inquiries for credit reports based upon credit requests that the consumer
reporting agency verifies were initiated as a result of a violation of &#xA7;
18.2-186.3.

F. The provisions of this section do not apply to (i) a consumer reporting
agency that acts as a reseller of credit information by assembling and merging
information contained in the databases of other consumer reporting agencies, and
that does not maintain a permanent database of credit information from which new
consumer credit reports are produced, (ii) a check services or fraud prevention
services company that issues reports on incidents of fraud or authorizations for
the purpose of approving or processing negotiable instruments, electronic funds
transfers, or similar payment methods, or (iii) a demand deposit account
information service company that issues reports regarding account closures due
to fraud, substantial overdrafts, automatic teller machine abuse or similar
negative information regarding a consumer to inquiring banks or other financial
institutions for use only in reviewing a consumer request for a demand deposit
account at the inquiring bank or financial institution.

HISTORY: 2003, cc. 914, 918; 2006, c. 298.