Bill Text: MI HB5094 | 2017-2018 | 99th Legislature | Introduced
Bill Title: Consumer credit; credit reports and reporting agencies; free security freeze for consumers; provide for. Amends title & secs. 11, 14, 17, 21, 23 & 31 of 2013 PA 229 (MCL 445.2521 et seq.).
Spectrum: Partisan Bill (Republican 1-0)
Status: (Passed) 2018-03-20 - Assigned Pa 76'18 With Immediate Effect [HB5094 Detail]
Download: Michigan-2017-HB5094-Introduced.html
HOUSE BILL No. 5094
October 12, 2017, Introduced by Rep. Bellino and referred to the Committee on Financial Services.
A bill to amend 2013 PA 229, entitled
"Security freeze act,"
by amending the title and sections 11, 14, 17, 21, 23, and 31 (MCL
445.2521, 445.2524, 445.2527, 445.2531, 445.2533, and 445.2541).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
TITLE
An act to require certain consumer reporting agencies to place
security freezes for consumers under certain circumstances; to
provide
for the removal of those security freezes; to authorize and
limit
fees; to prescribe the powers and
duties of certain state
agencies and officials; and to provide remedies.
Sec. 11. (1) A consumer reporting agency shall place a
security freeze on a consumer's credit report if all of the
following are met:
(a) The consumer reporting agency receives a request from the
consumer for the placement of the security freeze under this act.
(b) The consumer does all of the following:
(i) Submits the request described in subdivision (a) to the
consumer reporting agency at the address or other point of contact
and in the manner specified by the consumer reporting agency.
(ii) Provides to the consumer reporting agency sufficient
proof of identification of the consumer.
(iii) Pays to the consumer reporting agency the
appropriate
fee
under section 31.
(2) Within 5 business days after receiving a request that
meets the requirements of subsection (1), a consumer reporting
agency shall place a security freeze for the consumer.
Sec. 14. (1) A consumer who does all of the following may
temporarily lift a security freeze to allow access to the
consumer's credit report by a specific person or for a specific
period of time while the security freeze is in place:
(a) Contacts the consumer reporting agency at the address or
other point of contact and in the manner specified by the consumer
reporting agency for making a request under subdivision (b).
(b) Requests that the consumer reporting agency temporarily
lift the security freeze.
(c) Provides to the consumer reporting agency sufficient proof
of identification of the consumer.
(d) Includes with the request under subdivision (b) the unique
personal identification number or password provided to the consumer
under section 12(b).
(e) Provides the proper information regarding the person that
is to receive the credit report or the time period during which the
credit report is to be available to users of the credit report.
(f)
Pays the appropriate fee under section 31.
(2) Except as provided in subsection (3), a consumer reporting
agency that receives a request to temporarily lift a security
freeze under subsection (1) shall comply with the request within 3
business days after receiving the request.
(3) If a consumer reporting agency receives a request to
temporarily lift a security freeze under subsection (1) by
telephone, by electronic mail, or by secure connection on the
website of the consumer reporting agency, the consumer reporting
agency shall comply with the request within 15 minutes after
receiving the request. However, a consumer reporting agency is not
required to temporarily lift a security freeze within 15 minutes if
a delay in complying with the request is caused by any of the
following:
(a) An act of God, including, but not limited to, a fire,
earthquake, hurricane, storm, or similar natural disaster or
phenomena.
(b) An unauthorized or illegal act by a third party,
including, but not limited to, an act of terrorism, sabotage, riot,
or vandalism, a labor strike or other labor dispute that disrupts
the consumer reporting agency's operations, or a similar
occurrence.
(c) An interruption of the consumer reporting agency's
operations, including, but not limited to, an electrical failure,
an unanticipated delay in equipment or replacement part delivery, a
computer hardware or software failure that inhibits response time,
or a similar disruption.
(d) Governmental action, including, but not limited to, an
emergency order or regulation, judicial or law enforcement action,
or a similar directive.
(e) Regularly scheduled maintenance of, or updates to, the
consumer reporting agency's systems that occurs outside of normal
business hours.
(f) Commercially reasonable maintenance of, or repair to, the
consumer reporting agency's systems that is unexpected or
unscheduled.
Sec. 17. (1) A consumer reporting agency shall remove a
security freeze on a consumer's credit report if the consumer does
all of the following:
(a) Contacts the consumer reporting agency at the address or
other point of contact and in the manner specified by the consumer
reporting agency for making a request to remove a security freeze.
(b) Requests the removal of the security freeze on his or her
credit report.
(c) Provides to the consumer reporting agency sufficient proof
of identification of the consumer.
(d) Includes with the request under subdivision (b) the unique
personal identification number or password provided to the consumer
under section 12(b).
(e)
Pays the appropriate fee under section 31.
(2) A consumer reporting agency that receives a request for
removal of a security freeze under subsection (1) shall comply with
the request within 3 business days after receiving the request.
Sec. 21. (1) A consumer reporting agency shall place a
security freeze on a protected consumer's credit report if all of
the following are met:
(a) The consumer reporting agency receives a request from the
representative of the protected consumer for the placement of the
security freeze.
(b) The protected consumer's representative does all of the
following:
(i) Submits the request to the consumer reporting agency at
the address or other point of contact and in the manner specified
by the consumer reporting agency.
(ii) Provides to the consumer reporting agency sufficient
proof of identification for the protected consumer and the
representative.
(iii) Provides to the consumer reporting agency his or her
sufficient proof of authority.
(iv) Pays to the consumer reporting agency the
appropriate fee
under
section 31.
(2) If a consumer reporting agency does not have a file
pertaining to a protected consumer when the consumer reporting
agency receives a request under subsection (1), the consumer
reporting agency shall create a record for the protected consumer.
(3) Within 30 days after receiving a request that meets the
requirements of subsection (1), a consumer reporting agency shall
place a security freeze for the protected consumer.
Sec. 23. A consumer reporting agency shall remove a security
freeze for a protected consumer placed under section 21 within 30
days after the protected consumer or the protected consumer's
representative does all of the following:
(a) Submits a request for the removal of the security freeze
to the consumer reporting agency at the address or other point of
contact and in the manner specified by the consumer reporting
agency.
(b) Provides 1 of the following to the consumer reporting
agency:
(i) If the request for removal is submitted by the protected
consumer, all of the following:
(A) Proof that the sufficient proof of authority for the
protected consumer's representative to act on behalf of the
protected consumer is no longer valid.
(B) Sufficient proof of identification of the protected
consumer.
(ii) If the request for removal is submitted by the
representative of a protected consumer, all of the following:
(A) Sufficient proof of identification of the protected
consumer and the representative.
(B) Sufficient proof of authority to act on behalf of the
protected consumer.
(c)
Pays the consumer reporting agency the appropriate fee
under
section 31.
Sec.
31. (1) A consumer reporting agency may charge the
following
fees:
(a)
Subject to subsection (2), a fee that does not exceed
$10.00
for the placement, temporary lifting, or removal of a
security
freeze for a consumer under article 2.
(b)
Subject to subsection (3), a fee that does not exceed
$10.00
for the placement or removal of a security freeze for a
protected
consumer under article 3, charged to a protected consumer
or
his or her representative.
(2)
A consumer reporting agency may not charge a fee
authorized
under subsection (1)(a) to a consumer for the placement,
temporary
lifting, or removal of a security freeze for a consumer
under
article 2 if the consumer has filed a police report of
alleged
identity theft against the consumer under section 4a, 33b,
or
64a of the William Van Regenmorter crime victim's rights act,
1985
PA 87, MCL 780.754a, 780.783b, and 780.814a, and provides a
copy
of the report to the consumer reporting agency.
(3)
A consumer reporting agency may not charge a fee
authorized
under subsection (1)(b) if either of the following are
met:
(a)
The protected consumer or his or her representative has
filed
a police report of alleged identity theft against the
protected
consumer under section 4a, 33b, or 64a of the William Van
Regenmorter
crime victim's rights act, 1985 PA 87, MCL 780.754a,
780.783b,
and 780.814a, and provides a copy of the report to the
consumer
reporting agency.
(b)
The request for the placement or removal of a security
freeze
is for a protected consumer who is under the age of 16 years
at
the time of the request and the consumer reporting agency has a
credit
report pertaining to the protected consumer.A consumer
reporting agency may not charge a fee for the placement, temporary
lifting, or removal of a security freeze for a consumer under
article 2 or for a protected consumer under article 3.
Enacting section 1. This amendatory act takes effect 90 days
after the date it is enacted into law.
