ESCRA Act

This bill changes rules for credit repair companies that help people fix their credit reports. It makes it illegal for these companies to knowingly lie to government agencies like the Consumer Financial Protection Bureau or Federal Trade Commission about a person's credit. Credit repair companies cannot charge customers until they prove they successfully helped fix the customer's credit, and they must wait at least six months before charging. The companies must keep phone call recordings and other records for five years instead of two years, give customers copies of all letters sent on their behalf, and get a state license to operate. The bill also stops companies from sending multiple disputes about the same credit information and sets a minimum penalty of $500 for each violation of credit repair laws.

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