In which situation can consumers request a free credit report from nationwide CRAs?

Consumers have the right to request a free credit report from nationwide credit reporting agencies under several circumstances, and this is established by the Fair Credit Reporting Act (FCRA).

Firstly, consumers can request a free credit report once every year from each of the three nationwide CRAs — Equifax, Experian, and TransUnion. This annual entitlement allows consumers to regularly monitor their credit reports for accuracy and any signs of identity theft.

Secondly, if a consumer receives an adverse action notice, such as a denial of credit or a higher interest rate based on their credit report, they are entitled to request a free report within 60 days of receiving this notification. This provision helps consumers understand the reasons behind adverse actions taken against them and check for accuracy in their credit reports.

Lastly, when a fraud alert is placed on a consumer's credit file, they can also request a free credit report. A fraud alert indicates that the consumer suspects they may be a victim of identity theft, making it crucial for them to check their credit report for any unauthorized activity.

Thus, the correct answer encompassing all these scenarios reflects the multiple ways consumers can access their credit reports at no cost, aimed at promoting consumer awareness and protection against inaccuracies and fraud.