FTC Final Rule on Opt-Out Disclosures Relating to Prescreened Offers for Credit or Insurance

CUNA
February 21, 2005

The Federal Trade Commission (FTC) has issued a final rule to require entities that make prescreened offers for credit or insurance to provide enhanced disclosures regarding the consumer’s right to decline, or “opt-out” of, receiving such offers in the future, instead of the current disclosures now being used to comply with the existing provisions of the Fair Credit Reporting Act. This rule implements the Fair and Accurate Credit Transactions (FACT) Act provisions that direct the FTC to issue a rule to make these disclosures simple and easy to understand. The rule will be effective as of August 1, 2005. Attached is CUNA's Final Rule Analysis, which provides additional information.

http://www.cuna.org/regadvocacy/member/analysis/ftc021405.html