If the furnisher identifies an error during an investigation, what must they do?

When a furnisher identifies an error during an investigation, they are required to provide the findings of their investigation to the Credit Reporting Agency (CRA). This step is crucial because it ensures that the CRA has the most accurate and up-to-date information regarding the consumer’s credit report.

The Fair Credit Reporting Act (FCRA) mandates that furnishers must report any corrections relevant to the investigation's outcome. This requirement plays a key role in maintaining the integrity of credit reporting by ensuring that any inaccuracies are promptly addressed and corrected in the credit reporting system. Additionally, the CRA then has a responsibility to update the consumer's credit report based on the provided investigation results.

While correcting the error and notifying the consumer are important aspects of responsible credit reporting, the primary obligation upon identifying an error is to relay the investigation results to the CRA. This ensures that the broader credit reporting ecosystem remains accurate and reliable for all users, including lenders and consumers.