Providing for congressional disapproval under chapter 8 of title 5, United States Code, of the rule submitted by the Bureau of Consumer Financial Protection relating to the withdrawal of the rule relating to "Fair Credit Reporting; Permissible Purposes for Furnishing, Using, and Obtaining Consumer Reports".
- Bill Number
- H.J.Res. 165
- Origin Chamber
- House
- Congress
- 119th Congress, Session 2
- Policy Area
- Finance and Financial Sector
- Status
- Introduced
- Latest Action
- 2026-04-30: Referred to the House Committee on Financial Services.
- Last Updated
- 2026-05-14T20:06:20Z
AI-Generated Summary
Purpose
This joint resolution (H.J. Res. 165) uses the Congressional Review Act (a law allowing Congress to overturn certain federal agency rules) to disapprove a Bureau of Consumer Financial Protection (CFPB) action. Specifically, it targets the CFPB's 2025 decision to withdraw a 2022 rule on "Fair Credit Reporting; Permissible Purposes for Furnishing, Using, and Obtaining Consumer Reports." By blocking the withdrawal, the resolution aims to keep the 2022 rule in effect.
Key Provisions
- Disapproval of CFPB rule: Congress explicitly disapproves the CFPB's withdrawal notice (published May 12, 2025, at 90 Fed. Reg. 20084).
- No force or effect: The withdrawal rule is nullified and cannot be implemented.
Significant Changes to Existing Law
- Reverses the CFPB's attempt to eliminate its own 2022 rule (published July 12, 2022, at 87 Fed. Reg. 41243), which defined "permissible purposes" under the Fair Credit Reporting Act (FCRA).
- The FCRA governs how consumer credit reports (records of payment history, debts, etc.) can be shared, used, or obtained. The 2022 rule likely added restrictions on these purposes (e.g., for debt collection or marketing); blocking its withdrawal maintains those limits instead of reverting to prior, broader interpretations.
Potential Impacts
- Government agencies: Limits CFPB's ability to change its own rules via withdrawal, potentially increasing congressional oversight of consumer finance regulations.
- Citizens: Consumers may benefit from continued protections against unauthorized use of their credit reports (e.g., reduced risk of reports being used for ineligible collections).
- Financial sector: Businesses using credit reports (e.g., lenders, debt collectors) face ongoing compliance burdens from the 2022 rule, rather than relief from its removal.
- No direct impact on international relations.
Main Stakeholders Affected
- Consumers: Gain sustained FCRA protections on credit report usage.
- CFPB: Regulatory authority curtailed by congressional override.
- Financial institutions and credit agencies: Must adhere to the 2022 rule's restrictions on handling consumer reports (e.g., Equifax, TransUnion; banks, debt collectors).
- Congress: Asserts power over agency rulemaking.
Notable Legal, Constitutional, or Political Implications
- Legal: Invokes the Congressional Review Act (5 U.S.C. Chapter 8), a streamlined process for overturning rules without full debate; if passed and signed/enacted, the withdrawal cannot be reissued without new statutory authority.
- Constitutional: Reinforces Congress's oversight of executive agencies under Article I (legislative power), potentially checking administrative rulemaking.
- Political: Highlights partisan divides on consumer protections vs. business flexibility; introduced by Rep. Pettersen (D-CO) and referred to House Financial Services Committee, signaling debate on CFPB's role in credit reporting.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Rep. Pettersen, Brittany [D-CO-7]
Recent Actions
- 2026-04-30: Referred to the House Committee on Financial Services.
- 2026-04-30: Introduced in House
- 2026-04-30: Introduced in House
Bill Versions
- Providing for congressional disapproval under chapter 8 of title 5, United States Code, of the rule submitted by the Bureau of Consumer Financial Protection relating to the withdrawal of the rule relating to "Fair Credit Reporting; Permissible Purposes for Furnishing, Using, and Obtaining Consumer Reports". — issued 2026-04-30 — PDF (2 pages)