Introduction

Initial Statement

This User Service Agreement has been established by Western Reporting Inc., (hereafter referred to as Western Reporting or WR) as of 1/13/2013. It contains requirements imposed upon all Users of Consumer Reports and/or any ancillary services as may be available for sale by WR. It is the responsibility of the User to fully understand and comply with all of its legal obligations as a User of Consumer Reports under the Federal Fair Credit Reporting Act, Gramm-Leach-Bliley Act Financial Privacy and Safeguarding Rules, FTC Disposal Rule and any other federal, state or local laws that may apply to the services WR provides.

Definitions

Consumer Information refers to Consumer Reports and other non-public, personally identifiable consumer information obtained from Western Reporting.
Consumer Report shall have the meaning set forth in the Fair Credit Reporting Act (“FCRA”), 15 USC 1681(a)(d), as may be amended from time to time. For purposes of this Policy, the term Consumer Reports refers to those consumer reports or any information derived therefrom including, but not limited to scores, obtained from Western Reporting.
End User/User refers to prospective and current customers of Western Reporting, to whom Western Reporting will furnish consumer information
FCRA refers to the Federal Fair Credit Reporting Act, 15 USC 1681 et seq., as amended from time to time.

Compliance Agreement

I have read and understand the “FCRA Requirements” as listed in “Exhibit A” or “Exhibit B” and “Exhibit C- Notice to Users of Consumer Reports: Obligations of Users under the FCRA” and Western Reporting’s “Access Security Requirements” and will take all reasonable measures to enforce them within my facility. I certify that we will use Western Reporting’s consumer report information solely for the purpose outlined in the “Permissible Purpose/Appropriate Use” section of this application, and for the type of business listed on this application. I will not sell the report to any consumer directly or indirectly. I understand that if this information is used improperly by company personnel, or if company access codes are made available to any unauthorized personnel due to carelessness on the part of any employee of the company, I may be held responsible for financial losses, fees, or monetary charges that may be incurred and that my access privilege may be terminated.

I agree to comply with all policies and procedures instituted by Western Reporting and required by Western Reporting consumer reporting Vendors. I understand that by not complying with any policies or procedures instituted by the FCRA, Western Reporting, Western Reporting Vendors, any Federal, State or Local Laws that are applicable to consumer reports, my account may be subject to termination. I agree that Western Reporting or any of Western Reporting’s consumer reporting vendors shall have the right to audit my records that are relevant to the provision of services set forth in this Agreement. I further agree that I will respond within the requested time frame for the information requested. In accordance with the Agreement, I understand that Western Reporting may immediately suspend and/or terminate the Agreement in the event I fail to comply with any of the above.

Policies and Procedures

Knowledge Based Authentication Policy

I understand that in order to receive a Partial Credit Product, I must successfully verify my identity through a “Knowledge Based Authentication” administered by Western Reporting. I understand that there is no guarantee of being accepted for an account with Western Reporting. I understand that if the Knowledge Based Authentication results in a “Failed” status, additional measures and additional costs may be required in order to continue the application process with Western Reporting.

Fees & Payment

I am aware that the Business or Owner/Authorized Officer as listed on the New Client Application of this Agreement will be charged for all requests entered online and that a setup fee will be charged upon account origination and an annual renewal fee will be required to keep the account active. Please be aware that all fees charged are non-refundable. Unless other payment arrangements are accepted by Western Reporting Inc., credit cards will be billed upon order for owners of 50 units or less and once per month for owners of over 50 units. Late fees in the amount of $20 or 18% of the balance (whichever is greater) will be assessed to balances over 30 days old. Late fees in the amount of $20 or 18% of the balance (whichever is greater) will be assessed to balances over 30 days old.

Turn-Around Policy

All applications received after 3:00pm MST will be considered the next business day’s work. Most reports not requiring Verifications or County Searches are returned in 1 to 2 hours after receipt.

Verification Policy

3 attempts will be made to verify all references provided. A “Final Report” will be sent after the 3rd attempt has been made on these references. A “Preliminary Report” will be sent to the client within 1 business day after receipt. The “Final Report” will be sent within 3 business days after a 3rd attempt has been made on all pending verifications.

Criminal Searches

Criminal searches are pulled by name and verified by DOB. Western Reporting advises that you use government-issued ID to verify your applicant’s name, DOB and SSN prior to ordering your report. MultiState database searches, while expansive and cost-effective, are subject to limitations in coverage and of information related to offense descriptions and applicant identifiers. For the most thorough screening, direct-court county criminal searches should accompany any database search for all counties in which an applicant has lived, worked or been educated. These criminal searches should also be run for all AKA’s.

Customer Service

Our Customer Service personnel are available from 9:00am to 5:00pm MST Monday - Friday to respond to your inquiries and process reports.

Access Security Requirements

We must work together to protect the privacy of consumers. The following measures are designed to reduce unauthorized access of consumer credit reports. In signing the Consumer Reporting Agency Membership Agreement, you agree to follow these measures.

1. You must protect your Consumer Reporting Agency account number and password so that only key personnel know this sensitive information. Unauthorized persons should never have knowledge of your password. Do not post the information in any manner within your facility.
2. System access software, whether developed by your company or purchased from a third party vendor, must have your Consumer Reporting Agency account number and password “hidden” or embedded and be known only by supervisory personnel. Assign each user of your system access software a unique logon password.
3. Do not discuss your Consumer Reporting Agency account number and passwords by telephone with any unknown caller, even if the caller claims to be an employee of the Consumer Reporting Agency.
4. Restrict the ability to obtain credit information to a few key personnel. Please remember that credit information is confidential.
5. Place all terminal devices used to obtain credit information in a secure location within your facility. You should secure these devices so that unauthorized persons cannot easily access them.
6. After normal business hours, be sure to turn off and lock all devices or systems used to obtain credit information.
7. Secure hard copies and electronic files of consumer reports within your facility so that unauthorized persons cannot easily access them.
8. Shred or destroy, all hard copy consumer reports when no longer needed
9. Erase or scramble electronic files containing consumer information when no longer needed and when applicable regulation(s) permit destruction.
10. Make all employees aware that your company can access credit information only for the permissible purposes listed in the Permissible Purpose Information section of your membership application. You and/or your employees may not access your/their own report or the report of a family member or friend if your company does not have permissible purpose for doing so.
11. Please be aware that there are laws governing the release of a credit report to an individual. In cases of Tenant Screening - If you wish to deny the applicant on the basis of credit, give him/her a denial letter. They can submit that to us along with their Driver License/State ID Card within 60 days of the report date and we will provide them a copy of their credit report. If you wish, you may provide a “Consumer Copy” of the report to your applicant within 30 days of the application date. Copies of the denial letter and Consumer Copy forms are available through www.westernreporting.com or by calling Customer Service. For Employment - Special provisions under the FCRA apply. Please call our office to obtain copies of the "pre-adverse condition" and "adverse condition" letters that need to accompany a copy of the report being sent to the applicant.

Record Retention

It is important that you keep credit applications with a signed release on file for a period of 5 years. This will help to facilitate the investigative process if a consumer claims that your company inappropriately accessed their credit report. However, you may keep the actual copy of the credit report on file for only 6 mos. (the credit report may be used only once). After 6 months you are obligated to shred the report. “Under Section 621 (a) (2) (A) of the FCRA, any person that violates any of the provisions of the FCRA may be liable for a civil penalty of not more than $2,500 per violation.

InstaCriminal Products Disclosure

The following information is provided as a criminal coverage reference document. InstaCriminal/MultiState Searches pull records from various databases available nationwide, but not every jurisdiction provides complete information. This document is intended to provide an indication of the types of records that will be searched in the different jurisdictions throughout the U.S. Coverage is not exhaustive and can change without notice.

Common Terms

AOC - Administrative Office of the Courts (District Court)


Courts - District Courts


DOC/Corrections - DOC/Corrections


DPS - Department of Public Safety


CP - Common Pleas

The following States can only be accessed via a walk-in County Search: Delaware, Massachusetts, South Dakota, and Wyoming. County Searches vary in price based on the County’s Court Access Fees. They start at $15.00 per jurisdiction and can be as high as $91.00.

Exhibit C

All users of consumer reports must comply with all applicable regulations. Information about applicable regulations currently in effect can be found at the Consumer Financial Protection Bureau’s website, www.consumerfinance.gov/learnmore.

Notice to Users of Consumer Reports: Obligations of Users Under the FCRA

The Fair Credit Reporting Act (FCRA), 15 U.S.C. §1681-1681y, requires that this notice be provided to inform users of consumer reports of their legal obligations. State law may impose additional requirements. The text of the FCRA is set forth in full at the Consumer Financial Protection Bureau’s (CFPB) website at www.consumerfinance.gov/learnmore. At the end of this document is a list of United States Code citations for the FCRA. Other information about user duties is also available at the Bureau’s website. Users must consult the relevant provisions of the FCRA for details about their obligations under the FCRA.

The first section of this summary sets forth the responsibilities imposed by the FCRA on all users of consumer reports. The subsequent sections discuss the duties of users of reports that contain specific types of information, or that are used for certain purposes, and the legal consequences of violations. If you are a furnisher of information to a consumer reporting agency (CRA), you have additional obligations and will receive a separate notice from the CRA describing your duties as a furnisher.

1. Obligations of all Users of Consumer Reports




1. Users Must Have a Permissible Purpose



Congress has limited the use of consumer reports to protect consumers' privacy. All users must have a permissible purpose under the FCRA to obtain a consumer report. Section 604 of the FCRA contains a list of the permissible purposes under the law. These are:





• As ordered by a court or a federal grand jury subpoena. Section 604(a)(1)


• As instructed by the consumer in writing. Section 604(a)(2)


• For the extension of credit as a result of an application from a consumer, or the review or collection of a consumer's account. Section 604(a)(3)(A)


• For employment purposes, including hiring and promotion, where the consumer has given written permission. Sections 604(a)(3)(B) and 604(b)


• For the underwriting of insurance as a result of an application from a consumer.Section 604(a)(3)(C)


• When there is a legitimate business need, in connection with a business transaction that is initiated by the consumer. Section 604(a)(3)(F)(i)


• To review a consumer's account to determine whether the consumer continues to meet the terms of the account. Section 604(a)(3)(F)(ii)


• To determine a consumer's eligibility for a license or other benefit granted by a governmental instrumentality required by law to consider an applicant's financial responsibility or status. Section 604(a)(3)(D)


• For use by a potential investor or servicer, or current insurer, in a valuation or assessment of the credit or prepayment risks associated with an existing credit obligation.Section 604(a)(3)(E)


• For use by state and local officials in connection with the determination of child support payments, or modifications and enforcement thereof. Sections 604(a)(4) and 604(a)(5)





In addition, creditors and insurers may obtain certain consumer report information for the purpose of making unsolicited offers of credit or insurance. The particular obligations of users of this "prescreened" information are described in Section V below



2. Users Must Provide Certifications



Section 604(f) of the FCRA prohibits any person from obtaining a consumer report from a consumer reporting agency (CRA) unless the person has certified to the CRA (by a general or specific certification, as appropriate) the permissible purpose(s) for which the report is being obtained and certifies that the report will not be used for any other purpose.



3. Users Must Notify Consumers When Adverse Actions Are Taken



The term "adverse action" is defined very broadly by Section 603 of the FCRA. "Adverse actions" include all business, credit, and employment actions affecting consumers that can be considered to have a negative impact -- such as unfavorably changing credit or contract terms or conditions, denying or canceling credit or insurance, offering credit on less favorable terms than requested, or denying employment or promotion.





1. Adverse Actions Based on Information Obtained From a CRA



If a user takes any type of adverse action that is based at least in part on information contained in a consumer report, the user is required by Section 615(a) of the FCRA to notify the consumer. The notification may be done in writing, orally, or by electronic means. It must include the following:





• The name, address, and telephone number of the CRA (including a toll-free telephone number, if it is a nationwide CRA) that provided the report.


• A statement that the CRA did not make the adverse action and is not able to explain why the action was made.


• A statement setting forth the consumer's right to obtain a free disclosure of the consumer's file from the CRA if the consumer requests the report within 60 days.


• A statement setting forth the consumer's right to dispute directly with the CRA the accuracy or completeness of any information provided by the CRA.




2. Adverse Actions Based on Information Obtained From Third Parties Who Are Not Consumer Reporting Agencies



If a person denies (or increases the charge for) credit for personal, family, or household purposes based either wholly or partly upon information from a person other than a CRA, and the information is the type of consumer information covered by the FCRA, Section 615(b)(1) of the FCRA requires that the user clearly and accurately disclose to the consumer his or her right to obtain disclosure of the nature of the information that was relied upon by making a written request within 60 days of notification. The user must provide the disclosure within a reasonable period of time following the consumer's written request.



3. Adverse Actions Based on Information Obtained From Affiliates



If a person takes an adverse action involving insurance, employment, or a credit transaction initiated by the consumer, based on information of the type covered by the FCRA, and this information was obtained from an entity affiliated with the user of the information by common ownership or control, Section 615(b)(2) requires the user to notify the consumer of the adverse action. The notification must inform the consumer that he or she may obtain a disclosure of the nature of the information relied upon by making a written request within 60 days of receiving the adverse action notice. If the consumer makes such a request, the user must disclose the nature of the information not later than 30 days after receiving the request. If consumer report information is shared among affiliates and then used for an adverse action, the user must make an adverse action disclosure set forth in I.C.1 above.





4. Users Have Obligations When Fraud and Active Duty Military Alerts are in Files



When a consumer has placed a fraud alert, including one relating to identity theft, or an active duty military alert with a nationwide consumer reporting agency as defined in Section 603(p) and resellers, Section, 605A(h) imposes limitations on users of reports obtained from the consumer reporting agency in certain circumstances, including the establishment of a new credit plan and the issuance of additional credit cards. For initial fraud alerts and active duty alerts, the user must have reasonable policies and procedures in place to form a belief that the user knows the identity of the applicant or contact the consumer at a telephone number specified by the consumer; in the case of extended fraud alerts, the user must contact the consumer in accordance with the contact information provided in the consumer's alert.



5. Users Have Obligations When Notified of an Address Discrepancy



Section 605(h) requires nationwide CRAs, as defined in Section 603(p), to notify users that request reports when the address for a consumer provided by the user in requesting the report is substantially different from the addresses in the consumer's file. When this occurs, users must comply with regulations specifying the procedures to be followed. Federal regulations are available at www.consumerfinance.gov/learnmore.



6. Users Have Obligations When Disposing of Records



Section 628 requires that all users of consumer report information have in place procedures to properly dispose of records containing this information. Federal regulations have been issued that cover disposal.





2. Creditors Must Make Additional Disclosures



If a person uses a consumer report in connection with an application for, or a grant, extension, or provision of, credit to a consumer on material terms that are materially less favorable than the most favorable terms available to a substantial proportion of consumers from or through that person, based in whole or in part on a consumer report, the person must provide a risk-based pricing notice to the consumer in accordance with regulations prescribed by the Consumer Financial Protection Bureau.




Section 609(g) requires a disclosure by all persons that make or arrange loans secured by residential real property (one to four units) and that use credit scores. These persons must provide credit scores and other information about credit scores to applicants, including the disclosure set forth in Section 609(g)(1)(D) ("Notice to the Home Loan Applicant").



3. Obligations When Investigative Consumer Reports are Used



Investigative consumer reports are a special type of consumer report in which information about a consumer's character, general reputation, personal characteristics, and mode of living is obtained through personal interviews. Consumers who are the subjects of such reports are given special rights under the FCRA. If a user intends to obtain an investigative consumer report, Section 606 of the FCRA requires the following:





• The user must disclose to the consumer that an investigative consumer report may be obtained. This must be done in a written disclosure that is mailed, or otherwise delivered, to the consumer not later than three days after the date on which the report was first requested. The disclosure must include a statement informing the consumer of his or her right to request additional disclosures of the nature and scope of the investigation as described below, and the summary of consumer rights required by Section 609 of the FCRA. (The summary of consumer rights will be provided by the CRA that conducts the investigation.)


• The user must certify to the CRA that the disclosures set forth above have been made and that the user will make the disclosure described below.


• • Upon the written request of a consumer made within a reasonable period of time after the disclosures required above, the user must make a complete disclosure of the nature and scope of the investigation that was requested. This must be made in a written statement that is mailed, or otherwise delivered, to the consumer no later than five days after the date on which the request was received from the consumer or the report was first requested, whichever is later in time.




4. Liability for Violations of the FCRA



Failure to comply with the FCRA can result in state government or federal government enforcement actions, as well as private lawsuits. Sections 616, 617, and 621. In addition, any person who knowingly and willfully obtains a consumer report under false pretenses may face criminal prosecution. Section 619.




The CFPB’s website, www.consumerfinance.gov/learnmore , has more information about the FCRA, including publications for businesses and the full text of the FCRA. Citations for the FCRA sections in the U.S. Code, 15 U.S.C.§ 1681 et seq.:

Introduction

Initial Statement

This User Service Agreement has been established by Western Reporting Inc., (hereafter referred to as Western Reporting or WR) as of 1/13/2013. It contains requirements imposed upon all Users of Consumer Reports and/or any ancillary services as may be available for sale by WR. It is the responsibility of the User to fully understand and comply with all of its legal obligations as a User of Consumer Reports under the Federal Fair Credit Reporting Act, Gramm-Leach-Bliley Act Financial Privacy and Safeguarding Rules, FTC Disposal Rule and any other federal, state or local laws that may apply to the services WR provides.

Definitions

Consumer Information refers to Consumer Reports and other non-public, personally identifiable consumer information obtained from Western Reporting.
Consumer Report shall have the meaning set forth in the Fair Credit Reporting Act (“FCRA”), 15 USC 1681(a)(d), as may be amended from time to time. For purposes of this Policy, the term Consumer Reports refers to those consumer reports or any information derived therefrom including, but not limited to scores, obtained from Western Reporting.
End User/User refers to prospective and current customers of Western Reporting, to whom Western Reporting will furnish consumer information
FCRA refers to the Federal Fair Credit Reporting Act, 15 USC 1681 et seq., as amended from time to time.

Compliance Agreement

I have read and understand the “FCRA Requirements” as listed in “Exhibit A” or “Exhibit B” and “Exhibit C- Notice to Users of Consumer Reports: Obligations of Users under the FCRA” and Western Reporting’s “Access Security Requirements” and will take all reasonable measures to enforce them within my facility. I certify that we will use Western Reporting’s consumer report information solely for the purpose outlined in the “Permissible Purpose/Appropriate Use” section of this application, and for the type of business listed on this application. I will not sell the report to any consumer directly or indirectly. I understand that if this information is used improperly by company personnel, or if company access codes are made available to any unauthorized personnel due to carelessness on the part of any employee of the company, I may be held responsible for financial losses, fees, or monetary charges that may be incurred and that my access privilege may be terminated.

I agree to comply with all policies and procedures instituted by Western Reporting and required by Western Reporting consumer reporting Vendors. I understand that by not complying with any policies or procedures instituted by the FCRA, Western Reporting, Western Reporting Vendors, any Federal, State or Local Laws that are applicable to consumer reports, my account may be subject to termination. I agree that Western Reporting or any of Western Reporting’s consumer reporting vendors shall have the right to audit my records that are relevant to the provision of services set forth in this Agreement. I further agree that I will respond within the requested time frame for the information requested. In accordance with the Agreement, I understand that Western Reporting may immediately suspend and/or terminate the Agreement in the event I fail to comply with any of the above.

Policies and Procedures

Knowledge Based Authentication Policy

I understand that in order to receive a Partial Credit Product, I must successfully verify my identity through a “Knowledge Based Authentication” administered by Western Reporting. I understand that there is no guarantee of being accepted for an account with Western Reporting. I understand that if the Knowledge Based Authentication results in a “Failed” status, additional measures and additional costs may be required in order to continue the application process with Western Reporting.

Fees & Payment

I am aware that the Business or Owner/Authorized Officer as listed on the New Client Application of this Agreement will be charged for all requests entered online and that a setup fee will be charged upon account origination and an annual renewal fee will be required to keep the account active. Please be aware that all fees charged are non-refundable. Unless other payment arrangements are accepted by Western Reporting Inc., credit cards will be billed upon order for owners of 50 units or less and once per month for owners of over 50 units. Late fees in the amount of $20 or 18% of the balance (whichever is greater) will be assessed to balances over 30 days old. Late fees in the amount of $20 or 18% of the balance (whichever is greater) will be assessed to balances over 30 days old.

Turn-Around Policy

All applications received after 3:00pm MST will be considered the next business day’s work. Most reports not requiring Verifications or County Searches are returned in 1 to 2 hours after receipt.

Verification Policy

3 attempts will be made to verify all references provided. A “Final Report” will be sent after the 3rd attempt has been made on these references. A “Preliminary Report” will be sent to the client within 1 business day after receipt. The “Final Report” will be sent within 3 business days after a 3rd attempt has been made on all pending verifications.

Criminal Searches

Criminal searches are pulled by name and verified by DOB. Western Reporting advises that you use government-issued ID to verify your applicant’s name, DOB and SSN prior to ordering your report. MultiState database searches, while expansive and cost-effective, are subject to limitations in coverage and of information related to offense descriptions and applicant identifiers. For the most thorough screening, direct-court county criminal searches should accompany any database search for all counties in which an applicant has lived, worked or been educated. These criminal searches should also be run for all AKA’s.

Customer Service

Our Customer Service personnel are available from 9:00am to 5:00pm MST Monday - Friday to respond to your inquiries and process reports.

Access Security Requirements

We must work together to protect the privacy of consumers. The following measures are designed to reduce unauthorized access of consumer credit reports. In signing the Consumer Reporting Agency Membership Agreement, you agree to follow these measures.

1. You must protect your Consumer Reporting Agency account number and password so that only key personnel know this sensitive information. Unauthorized persons should never have knowledge of your password. Do not post the information in any manner within your facility.
2. System access software, whether developed by your company or purchased from a third party vendor, must have your Consumer Reporting Agency account number and password “hidden” or embedded and be known only by supervisory personnel. Assign each user of your system access software a unique logon password.
3. Do not discuss your Consumer Reporting Agency account number and passwords by telephone with any unknown caller, even if the caller claims to be an employee of the Consumer Reporting Agency.
4. Restrict the ability to obtain credit information to a few key personnel. Please remember that credit information is confidential.
5. Place all terminal devices used to obtain credit information in a secure location within your facility. You should secure these devices so that unauthorized persons cannot easily access them.
6. After normal business hours, be sure to turn off and lock all devices or systems used to obtain credit information.
7. Secure hard copies and electronic files of consumer reports within your facility so that unauthorized persons cannot easily access them.
8. Shred or destroy, all hard copy consumer reports when no longer needed
9. Erase or scramble electronic files containing consumer information when no longer needed and when applicable regulation(s) permit destruction.
10. Make all employees aware that your company can access credit information only for the permissible purposes listed in the Permissible Purpose Information section of your membership application. You and/or your employees may not access your/their own report or the report of a family member or friend if your company does not have permissible purpose for doing so.
11. Please be aware that there are laws governing the release of a credit report to an individual. In cases of Tenant Screening - If you wish to deny the applicant on the basis of credit, give him/her a denial letter. They can submit that to us along with their Driver License/State ID Card within 60 days of the report date and we will provide them a copy of their credit report. If you wish, you may provide a “Consumer Copy” of the report to your applicant within 30 days of the application date. Copies of the denial letter and Consumer Copy forms are available through www.westernreporting.com or by calling Customer Service. For Employment - Special provisions under the FCRA apply. Please call our office to obtain copies of the "pre-adverse condition" and "adverse condition" letters that need to accompany a copy of the report being sent to the applicant.

Record Retention

It is important that you keep credit applications with a signed release on file for a period of 5 years. This will help to facilitate the investigative process if a consumer claims that your company inappropriately accessed their credit report. However, you may keep the actual copy of the credit report on file for only 6 mos. (the credit report may be used only once). After 6 months you are obligated to shred the report. “Under Section 621 (a) (2) (A) of the FCRA, any person that violates any of the provisions of the FCRA may be liable for a civil penalty of not more than $2,500 per violation.

InstaCriminal Products Disclosure

The following information is provided as a criminal coverage reference document. InstaCriminal/MultiState Searches pull records from various databases available nationwide, but not every jurisdiction provides complete information. This document is intended to provide an indication of the types of records that will be searched in the different jurisdictions throughout the U.S. Coverage is not exhaustive and can change without notice.

Common Terms

AOC - Administrative Office of the Courts (District Court)


Courts - District Courts


DOC/Corrections - DOC/Corrections


DPS - Department of Public Safety


CP - Common Pleas

The following States can only be accessed via a walk-in County Search: Delaware, Massachusetts, South Dakota, and Wyoming. County Searches vary in price based on the County’s Court Access Fees. They start at $15.00 per jurisdiction and can be as high as $91.00.

Exhibit C

All users of consumer reports must comply with all applicable regulations. Information about applicable regulations currently in effect can be found at the Consumer Financial Protection Bureau’s website, www.consumerfinance.gov/learnmore.

Notice to Users of Consumer Reports: Obligations of Users Under the FCRA

The Fair Credit Reporting Act (FCRA), 15 U.S.C. §1681-1681y, requires that this notice be provided to inform users of consumer reports of their legal obligations. State law may impose additional requirements. The text of the FCRA is set forth in full at the Consumer Financial Protection Bureau’s (CFPB) website at www.consumerfinance.gov/learnmore. At the end of this document is a list of United States Code citations for the FCRA. Other information about user duties is also available at the Bureau’s website. Users must consult the relevant provisions of the FCRA for details about their obligations under the FCRA.

The first section of this summary sets forth the responsibilities imposed by the FCRA on all users of consumer reports. The subsequent sections discuss the duties of users of reports that contain specific types of information, or that are used for certain purposes, and the legal consequences of violations. If you are a furnisher of information to a consumer reporting agency (CRA), you have additional obligations and will receive a separate notice from the CRA describing your duties as a furnisher.

1. Obligations of all Users of Consumer Reports




1. Users Must Have a Permissible Purpose



Congress has limited the use of consumer reports to protect consumers' privacy. All users must have a permissible purpose under the FCRA to obtain a consumer report. Section 604 of the FCRA contains a list of the permissible purposes under the law. These are:





• As ordered by a court or a federal grand jury subpoena. Section 604(a)(1)


• As instructed by the consumer in writing. Section 604(a)(2)


• For the extension of credit as a result of an application from a consumer, or the review or collection of a consumer's account. Section 604(a)(3)(A)


• For employment purposes, including hiring and promotion, where the consumer has given written permission. Sections 604(a)(3)(B) and 604(b)


• For the underwriting of insurance as a result of an application from a consumer.Section 604(a)(3)(C)


• When there is a legitimate business need, in connection with a business transaction that is initiated by the consumer. Section 604(a)(3)(F)(i)


• To review a consumer's account to determine whether the consumer continues to meet the terms of the account. Section 604(a)(3)(F)(ii)


• To determine a consumer's eligibility for a license or other benefit granted by a governmental instrumentality required by law to consider an applicant's financial responsibility or status. Section 604(a)(3)(D)


• For use by a potential investor or servicer, or current insurer, in a valuation or assessment of the credit or prepayment risks associated with an existing credit obligation.Section 604(a)(3)(E)


• For use by state and local officials in connection with the determination of child support payments, or modifications and enforcement thereof. Sections 604(a)(4) and 604(a)(5)

Introduction

Initial Statement

This User Service Agreement has been established by Western Reporting Inc., (hereafter referred to as Western Reporting or WR) as of 1/13/2013. It contains requirements imposed upon all Users of Consumer Reports and/or any ancillary services as may be available for sale by WR. It is the responsibility of the User to fully understand and comply with all of its legal obligations as a User of Consumer Reports under the Federal Fair Credit Reporting Act, Gramm-Leach-Bliley Act Financial Privacy and Safeguarding Rules, FTC Disposal Rule and any other federal, state or local laws that may apply to the services WR provides.

Definitions

Consumer Information refers to Consumer Reports and other non-public, personally identifiable consumer information obtained from Western Reporting.
Consumer Report shall have the meaning set forth in the Fair Credit Reporting Act (“FCRA”), 15 USC 1681(a)(d), as may be amended from time to time. For purposes of this Policy, the term Consumer Reports refers to those consumer reports or any information derived therefrom including, but not limited to scores, obtained from Western Reporting.
End User/User refers to prospective and current customers of Western Reporting, to whom Western Reporting will furnish consumer information
FCRA refers to the Federal Fair Credit Reporting Act, 15 USC 1681 et seq., as amended from time to time.

Compliance Agreement

I have read and understand the “FCRA Requirements” as listed in “Exhibit A” or “Exhibit B” and “Exhibit C- Notice to Users of Consumer Reports: Obligations of Users under the FCRA” and Western Reporting’s “Access Security Requirements” and will take all reasonable measures to enforce them within my facility. I certify that we will use Western Reporting’s consumer report information solely for the purpose outlined in the “Permissible Purpose/Appropriate Use” section of this application, and for the type of business listed on this application. I will not sell the report to any consumer directly or indirectly. I understand that if this information is used improperly by company personnel, or if company access codes are made available to any unauthorized personnel due to carelessness on the part of any employee of the company, I may be held responsible for financial losses, fees, or monetary charges that may be incurred and that my access privilege may be terminated.

I agree to comply with all policies and procedures instituted by Western Reporting and required by Western Reporting consumer reporting Vendors. I understand that by not complying with any policies or procedures instituted by the FCRA, Western Reporting, Western Reporting Vendors, any Federal, State or Local Laws that are applicable to consumer reports, my account may be subject to termination. I agree that Western Reporting or any of Western Reporting’s consumer reporting vendors shall have the right to audit my records that are relevant to the provision of services set forth in this Agreement. I further agree that I will respond within the requested time frame for the information requested. In accordance with the Agreement, I understand that Western Reporting may immediately suspend and/or terminate the Agreement in the event I fail to comply with any of the above.

Policies and Procedures

Knowledge Based Authentication Policy

I understand that in order to receive a Partial Credit Product, I must successfully verify my identity through a “Knowledge Based Authentication” administered by Western Reporting. I understand that there is no guarantee of being accepted for an account with Western Reporting. I understand that if the Knowledge Based Authentication results in a “Failed” status, additional measures and additional costs may be required in order to continue the application process with Western Reporting.

Fees & Payment

I am aware that the Business or Owner/Authorized Officer as listed on the New Client Application of this Agreement will be charged for all requests entered online and that a setup fee will be charged upon account origination and an annual renewal fee will be required to keep the account active. Please be aware that all fees charged are non-refundable. Unless other payment arrangements are accepted by Western Reporting Inc., credit cards will be billed upon order for owners of 50 units or less and once per month for owners of over 50 units. Late fees in the amount of $20 or 18% of the balance (whichever is greater) will be assessed to balances over 30 days old. Late fees in the amount of $20 or 18% of the balance (whichever is greater) will be assessed to balances over 30 days old.

Turn-Around Policy

All applications received after 3:00pm MST will be considered the next business day’s work. Most reports not requiring Verifications or County Searches are returned in 1 to 2 hours after receipt.

Verification Policy

3 attempts will be made to verify all references provided. A “Final Report” will be sent after the 3rd attempt has been made on these references. A “Preliminary Report” will be sent to the client within 1 business day after receipt. The “Final Report” will be sent within 3 business days after a 3rd attempt has been made on all pending verifications.

Criminal Searches

Criminal searches are pulled by name and verified by DOB. Western Reporting advises that you use government-issued ID to verify your applicant’s name, DOB and SSN prior to ordering your report. MultiState database searches, while expansive and cost-effective, are subject to limitations in coverage and of information related to offense descriptions and applicant identifiers. For the most thorough screening, direct-court county criminal searches should accompany any database search for all counties in which an applicant has lived, worked or been educated. These criminal searches should also be run for all AKA’s.

Customer Service

Our Customer Service personnel are available from 9:00am to 5:00pm MST Monday - Friday to respond to your inquiries and process reports.

Access Security Requirements

We must work together to protect the privacy of consumers. The following measures are designed to reduce unauthorized access of consumer credit reports. In signing the Consumer Reporting Agency Membership Agreement, you agree to follow these measures.

1. You must protect your Consumer Reporting Agency account number and password so that only key personnel know this sensitive information. Unauthorized persons should never have knowledge of your password. Do not post the information in any manner within your facility.
2. System access software, whether developed by your company or purchased from a third party vendor, must have your Consumer Reporting Agency account number and password “hidden” or embedded and be known only by supervisory personnel. Assign each user of your system access software a unique logon password.
3. Do not discuss your Consumer Reporting Agency account number and passwords by telephone with any unknown caller, even if the caller claims to be an employee of the Consumer Reporting Agency.
4. Restrict the ability to obtain credit information to a few key personnel. Please remember that credit information is confidential.
5. Place all terminal devices used to obtain credit information in a secure location within your facility. You should secure these devices so that unauthorized persons cannot easily access them.
6. After normal business hours, be sure to turn off and lock all devices or systems used to obtain credit information.
7. Secure hard copies and electronic files of consumer reports within your facility so that unauthorized persons cannot easily access them.
8. Shred or destroy, all hard copy consumer reports when no longer needed
9. Erase or scramble electronic files containing consumer information when no longer needed and when applicable regulation(s) permit destruction.
10. Make all employees aware that your company can access credit information only for the permissible purposes listed in the Permissible Purpose Information section of your membership application. You and/or your employees may not access your/their own report or the report of a family member or friend if your company does not have permissible purpose for doing so.
11. Please be aware that there are laws governing the release of a credit report to an individual. In cases of Tenant Screening - If you wish to deny the applicant on the basis of credit, give him/her a denial letter. They can submit that to us along with their Driver License/State ID Card within 60 days of the report date and we will provide them a copy of their credit report. If you wish, you may provide a “Consumer Copy” of the report to your applicant within 30 days of the application date. Copies of the denial letter and Consumer Copy forms are available through www.westernreporting.com or by calling Customer Service. For Employment - Special provisions under the FCRA apply. Please call our office to obtain copies of the "pre-adverse condition" and "adverse condition" letters that need to accompany a copy of the report being sent to the applicant.

Record Retention

It is important that you keep credit applications with a signed release on file for a period of 5 years. This will help to facilitate the investigative process if a consumer claims that your company inappropriately accessed their credit report. However, you may keep the actual copy of the credit report on file for only 6 mos. (the credit report may be used only once). After 6 months you are obligated to shred the report. “Under Section 621 (a) (2) (A) of the FCRA, any person that violates any of the provisions of the FCRA may be liable for a civil penalty of not more than $2,500 per violation.

InstaCriminal Products Disclosure

The following information is provided as a criminal coverage reference document. InstaCriminal/MultiState Searches pull records from various databases available nationwide, but not every jurisdiction provides complete information. This document is intended to provide an indication of the types of records that will be searched in the different jurisdictions throughout the U.S. Coverage is not exhaustive and can change without notice.

Common Terms

AOC - Administrative Office of the Courts (District Court)


Courts - District Courts


DOC/Corrections - DOC/Corrections


DPS - Department of Public Safety


CP - Common Pleas

The following States can only be accessed via a walk-in County Search: Delaware, Massachusetts, South Dakota, and Wyoming. County Searches vary in price based on the County’s Court Access Fees. They start at $15.00 per jurisdiction and can be as high as $91.00.

Exhibit C

All users of consumer reports must comply with all applicable regulations. Information about applicable regulations currently in effect can be found at the Consumer Financial Protection Bureau’s website, www.consumerfinance.gov/learnmore.

Notice to Users of Consumer Reports: Obligations of Users Under the FCRA

The Fair Credit Reporting Act (FCRA), 15 U.S.C. §1681-1681y, requires that this notice be provided to inform users of consumer reports of their legal obligations. State law may impose additional requirements. The text of the FCRA is set forth in full at the Consumer Financial Protection Bureau’s (CFPB) website at www.consumerfinance.gov/learnmore. At the end of this document is a list of United States Code citations for the FCRA. Other information about user duties is also available at the Bureau’s website. Users must consult the relevant provisions of the FCRA for details about their obligations under the FCRA.

The first section of this summary sets forth the responsibilities imposed by the FCRA on all users of consumer reports. The subsequent sections discuss the duties of users of reports that contain specific types of information, or that are used for certain purposes, and the legal consequences of violations. If you are a furnisher of information to a consumer reporting agency (CRA), you have additional obligations and will receive a separate notice from the CRA describing your duties as a furnisher.

1. Obligations of all Users of Consumer Reports




1. Users Must Have a Permissible Purpose



Congress has limited the use of consumer reports to protect consumers' privacy. All users must have a permissible purpose under the FCRA to obtain a consumer report. Section 604 of the FCRA contains a list of the permissible purposes under the law. These are:





• As ordered by a court or a federal grand jury subpoena. Section 604(a)(1)


• As instructed by the consumer in writing. Section 604(a)(2)


• For the extension of credit as a result of an application from a consumer, or the review or collection of a consumer's account. Section 604(a)(3)(A)


• For employment purposes, including hiring and promotion, where the consumer has given written permission. Sections 604(a)(3)(B) and 604(b)


• For the underwriting of insurance as a result of an application from a consumer.Section 604(a)(3)(C)


• When there is a legitimate business need, in connection with a business transaction that is initiated by the consumer. Section 604(a)(3)(F)(i)


• To review a consumer's account to determine whether the consumer continues to meet the terms of the account. Section 604(a)(3)(F)(ii)


• To determine a consumer's eligibility for a license or other benefit granted by a governmental instrumentality required by law to consider an applicant's financial responsibility or status. Section 604(a)(3)(D)


• For use by a potential investor or servicer, or current insurer, in a valuation or assessment of the credit or prepayment risks associated with an existing credit obligation.Section 604(a)(3)(E)


• For use by state and local officials in connection with the determination of child support payments, or modifications and enforcement thereof. Sections 604(a)(4) and 604(a)(5)





In addition, creditors and insurers may obtain certain consumer report information for the purpose of making unsolicited offers of credit or insurance. The particular obligations of users of this "prescreened" information are described in Section V below



2. Users Must Provide Certifications



Section 604(f) of the FCRA prohibits any person from obtaining a consumer report from a consumer reporting agency (CRA) unless the person has certified to the CRA (by a general or specific certification, as appropriate) the permissible purpose(s) for which the report is being obtained and certifies that the report will not be used for any other purpose.



3. Users Must Notify Consumers When Adverse Actions Are Taken



The term "adverse action" is defined very broadly by Section 603 of the FCRA. "Adverse actions" include all business, credit, and employment actions affecting consumers that can be considered to have a negative impact -- such as unfavorably changing credit or contract terms or conditions, denying or canceling credit or insurance, offering credit on less favorable terms than requested, or denying employment or promotion.





1. Adverse Actions Based on Information Obtained From a CRA



If a user takes any type of adverse action that is based at least in part on information contained in a consumer report, the user is required by Section 615(a) of the FCRA to notify the consumer. The notification may be done in writing, orally, or by electronic means. It must include the following:





• The name, address, and telephone number of the CRA (including a toll-free telephone number, if it is a nationwide CRA) that provided the report.


• A statement that the CRA did not make the adverse action and is not able to explain why the action was made.


• A statement setting forth the consumer's right to obtain a free disclosure of the consumer's file from the CRA if the consumer requests the report within 60 days.


• A statement setting forth the consumer's right to dispute directly with the CRA the accuracy or completeness of any information provided by the CRA.




2. Adverse Actions Based on Information Obtained From Third Parties Who Are Not Consumer Reporting Agencies



If a person denies (or increases the charge for) credit for personal, family, or household purposes based either wholly or partly upon information from a person other than a CRA, and the information is the type of consumer information covered by the FCRA, Section 615(b)(1) of the FCRA requires that the user clearly and accurately disclose to the consumer his or her right to obtain disclosure of the nature of the information that was relied upon by making a written request within 60 days of notification. The user must provide the disclosure within a reasonable period of time following the consumer's written request.



3. Adverse Actions Based on Information Obtained From Affiliates



If a person takes an adverse action involving insurance, employment, or a credit transaction initiated by the consumer, based on information of the type covered by the FCRA, and this information was obtained from an entity affiliated with the user of the information by common ownership or control, Section 615(b)(2) requires the user to notify the consumer of the adverse action. The notification must inform the consumer that he or she may obtain a disclosure of the nature of the information relied upon by making a written request within 60 days of receiving the adverse action notice. If the consumer makes such a request, the user must disclose the nature of the information not later than 30 days after receiving the request. If consumer report information is shared among affiliates and then used for an adverse action, the user must make an adverse action disclosure set forth in I.C.1 above.





4. Users Have Obligations When Fraud and Active Duty Military Alerts are in Files



When a consumer has placed a fraud alert, including one relating to identity theft, or an active duty military alert with a nationwide consumer reporting agency as defined in Section 603(p) and resellers, Section, 605A(h) imposes limitations on users of reports obtained from the consumer reporting agency in certain circumstances, including the establishment of a new credit plan and the issuance of additional credit cards. For initial fraud alerts and active duty alerts, the user must have reasonable policies and procedures in place to form a belief that the user knows the identity of the applicant or contact the consumer at a telephone number specified by the consumer; in the case of extended fraud alerts, the user must contact the consumer in accordance with the contact information provided in the consumer's alert.



5. Users Have Obligations When Notified of an Address Discrepancy



Section 605(h) requires nationwide CRAs, as defined in Section 603(p), to notify users that request reports when the address for a consumer provided by the user in requesting the report is substantially different from the addresses in the consumer's file. When this occurs, users must comply with regulations specifying the procedures to be followed. Federal regulations are available at www.consumerfinance.gov/learnmore.



6. Users Have Obligations When Disposing of Records



Section 628 requires that all users of consumer report information have in place procedures to properly dispose of records containing this information. Federal regulations have been issued that cover disposal.





2. Creditors Must Make Additional Disclosures



If a person uses a consumer report in connection with an application for, or a grant, extension, or provision of, credit to a consumer on material terms that are materially less favorable than the most favorable terms available to a substantial proportion of consumers from or through that person, based in whole or in part on a consumer report, the person must provide a risk-based pricing notice to the consumer in accordance with regulations prescribed by the Consumer Financial Protection Bureau.




Section 609(g) requires a disclosure by all persons that make or arrange loans secured by residential real property (one to four units) and that use credit scores. These persons must provide credit scores and other information about credit scores to applicants, including the disclosure set forth in Section 609(g)(1)(D) ("Notice to the Home Loan Applicant").



3. Obligations When Investigative Consumer Reports are Used



Investigative consumer reports are a special type of consumer report in which information about a consumer's character, general reputation, personal characteristics, and mode of living is obtained through personal interviews. Consumers who are the subjects of such reports are given special rights under the FCRA. If a user intends to obtain an investigative consumer report, Section 606 of the FCRA requires the following:





• The user must disclose to the consumer that an investigative consumer report may be obtained. This must be done in a written disclosure that is mailed, or otherwise delivered, to the consumer not later than three days after the date on which the report was first requested. The disclosure must include a statement informing the consumer of his or her right to request additional disclosures of the nature and scope of the investigation as described below, and the summary of consumer rights required by Section 609 of the FCRA. (The summary of consumer rights will be provided by the CRA that conducts the investigation.)


• The user must certify to the CRA that the disclosures set forth above have been made and that the user will make the disclosure described below.


• • Upon the written request of a consumer made within a reasonable period of time after the disclosures required above, the user must make a complete disclosure of the nature and scope of the investigation that was requested. This must be made in a written statement that is mailed, or otherwise delivered, to the consumer no later than five days after the date on which the request was received from the consumer or the report was first requested, whichever is later in time.




4. Liability for Violations of the FCRA



Failure to comply with the FCRA can result in state government or federal government enforcement actions, as well as private lawsuits. Sections 616, 617, and 621. In addition, any person who knowingly and willfully obtains a consumer report under false pretenses may face criminal prosecution. Section 619.




The CFPB’s website, www.consumerfinance.gov/learnmore , has more information about the FCRA, including publications for businesses and the full text of the FCRA. Citations for the FCRA sections in the U.S. Code, 15 U.S.C.§ 1681 et seq.:

Introduction

Initial Statement

This User Service Agreement has been established by Western Reporting Inc., (hereafter referred to as Western Reporting or WR) as of 1/13/2013. It contains requirements imposed upon all Users of Consumer Reports and/or any ancillary services as may be available for sale by WR. It is the responsibility of the User to fully understand and comply with all of its legal obligations as a User of Consumer Reports under the Federal Fair Credit Reporting Act, Gramm-Leach-Bliley Act Financial Privacy and Safeguarding Rules, FTC Disposal Rule and any other federal, state or local laws that may apply to the services WR provides.

Definitions

Consumer Information refers to Consumer Reports and other non-public, personally identifiable consumer information obtained from Western Reporting.
Consumer Report shall have the meaning set forth in the Fair Credit Reporting Act (“FCRA”), 15 USC 1681(a)(d), as may be amended from time to time. For purposes of this Policy, the term Consumer Reports refers to those consumer reports or any information derived therefrom including, but not limited to scores, obtained from Western Reporting.
End User/User refers to prospective and current customers of Western Reporting, to whom Western Reporting will furnish consumer information
FCRA refers to the Federal Fair Credit Reporting Act, 15 USC 1681 et seq., as amended from time to time.

Compliance Agreement

I have read and understand the “FCRA Requirements” as listed in “Exhibit A” or “Exhibit B” and “Exhibit C- Notice to Users of Consumer Reports: Obligations of Users under the FCRA” and Western Reporting’s “Access Security Requirements” and will take all reasonable measures to enforce them within my facility. I certify that we will use Western Reporting’s consumer report information solely for the purpose outlined in the “Permissible Purpose/Appropriate Use” section of this application, and for the type of business listed on this application. I will not sell the report to any consumer directly or indirectly. I understand that if this information is used improperly by company personnel, or if company access codes are made available to any unauthorized personnel due to carelessness on the part of any employee of the company, I may be held responsible for financial losses, fees, or monetary charges that may be incurred and that my access privilege may be terminated.

I agree to comply with all policies and procedures instituted by Western Reporting and required by Western Reporting consumer reporting Vendors. I understand that by not complying with any policies or procedures instituted by the FCRA, Western Reporting, Western Reporting Vendors, any Federal, State or Local Laws that are applicable to consumer reports, my account may be subject to termination. I agree that Western Reporting or any of Western Reporting’s consumer reporting vendors shall have the right to audit my records that are relevant to the provision of services set forth in this Agreement. I further agree that I will respond within the requested time frame for the information requested. In accordance with the Agreement, I understand that Western Reporting may immediately suspend and/or terminate the Agreement in the event I fail to comply with any of the above.

Policies and Procedures

Knowledge Based Authentication Policy

I understand that in order to receive a Partial Credit Product, I must successfully verify my identity through a “Knowledge Based Authentication” administered by Western Reporting. I understand that there is no guarantee of being accepted for an account with Western Reporting. I understand that if the Knowledge Based Authentication results in a “Failed” status, additional measures and additional costs may be required in order to continue the application process with Western Reporting.

Fees & Payment

I am aware that the Business or Owner/Authorized Officer as listed on the New Client Application of this Agreement will be charged for all requests entered online and that a setup fee will be charged upon account origination and an annual renewal fee will be required to keep the account active. Please be aware that all fees charged are non-refundable. Unless other payment arrangements are accepted by Western Reporting Inc., credit cards will be billed upon order for owners of 50 units or less and once per month for owners of over 50 units. Late fees in the amount of $20 or 18% of the balance (whichever is greater) will be assessed to balances over 30 days old. Late fees in the amount of $20 or 18% of the balance (whichever is greater) will be assessed to balances over 30 days old.

Turn-Around Policy

All applications received after 3:00pm MST will be considered the next business day’s work. Most reports not requiring Verifications or County Searches are returned in 1 to 2 hours after receipt.

Verification Policy

3 attempts will be made to verify all references provided. A “Final Report” will be sent after the 3rd attempt has been made on these references. A “Preliminary Report” will be sent to the client within 1 business day after receipt. The “Final Report” will be sent within 3 business days after a 3rd attempt has been made on all pending verifications.

Criminal Searches

Criminal searches are pulled by name and verified by DOB. Western Reporting advises that you use government-issued ID to verify your applicant’s name, DOB and SSN prior to ordering your report. MultiState database searches, while expansive and cost-effective, are subject to limitations in coverage and of information related to offense descriptions and applicant identifiers. For the most thorough screening, direct-court county criminal searches should accompany any database search for all counties in which an applicant has lived, worked or been educated. These criminal searches should also be run for all AKA’s.

Customer Service

Our Customer Service personnel are available from 9:00am to 5:00pm MST Monday - Friday to respond to your inquiries and process reports.

Access Security Requirements

We must work together to protect the privacy of consumers. The following measures are designed to reduce unauthorized access of consumer credit reports. In signing the Consumer Reporting Agency Membership Agreement, you agree to follow these measures.

1. You must protect your Consumer Reporting Agency account number and password so that only key personnel know this sensitive information. Unauthorized persons should never have knowledge of your password. Do not post the information in any manner within your facility.
2. System access software, whether developed by your company or purchased from a third party vendor, must have your Consumer Reporting Agency account number and password “hidden” or embedded and be known only by supervisory personnel. Assign each user of your system access software a unique logon password.
3. Do not discuss your Consumer Reporting Agency account number and passwords by telephone with any unknown caller, even if the caller claims to be an employee of the Consumer Reporting Agency.
4. Restrict the ability to obtain credit information to a few key personnel. Please remember that credit information is confidential.
5. Place all terminal devices used to obtain credit information in a secure location within your facility. You should secure these devices so that unauthorized persons cannot easily access them.
6. After normal business hours, be sure to turn off and lock all devices or systems used to obtain credit information.
7. Secure hard copies and electronic files of consumer reports within your facility so that unauthorized persons cannot easily access them.
8. Shred or destroy, all hard copy consumer reports when no longer needed
9. Erase or scramble electronic files containing consumer information when no longer needed and when applicable regulation(s) permit destruction.
10. Make all employees aware that your company can access credit information only for the permissible purposes listed in the Permissible Purpose Information section of your membership application. You and/or your employees may not access your/their own report or the report of a family member or friend if your company does not have permissible purpose for doing so.
11. Please be aware that there are laws governing the release of a credit report to an individual. In cases of Tenant Screening - If you wish to deny the applicant on the basis of credit, give him/her a denial letter. They can submit that to us along with their Driver License/State ID Card within 60 days of the report date and we will provide them a copy of their credit report. If you wish, you may provide a “Consumer Copy” of the report to your applicant within 30 days of the application date. Copies of the denial letter and Consumer Copy forms are available through www.westernreporting.com or by calling Customer Service. For Employment - Special provisions under the FCRA apply. Please call our office to obtain copies of the "pre-adverse condition" and "adverse condition" letters that need to accompany a copy of the report being sent to the applicant.

Record Retention

It is important that you keep credit applications with a signed release on file for a period of 5 years. This will help to facilitate the investigative process if a consumer claims that your company inappropriately accessed their credit report. However, you may keep the actual copy of the credit report on file for only 6 mos. (the credit report may be used only once). After 6 months you are obligated to shred the report. “Under Section 621 (a) (2) (A) of the FCRA, any person that violates any of the provisions of the FCRA may be liable for a civil penalty of not more than $2,500 per violation.

InstaCriminal Products Disclosure

The following information is provided as a criminal coverage reference document. InstaCriminal/MultiState Searches pull records from various databases available nationwide, but not every jurisdiction provides complete information. This document is intended to provide an indication of the types of records that will be searched in the different jurisdictions throughout the U.S. Coverage is not exhaustive and can change without notice.

Common Terms

AOC - Administrative Office of the Courts (District Court)


Courts - District Courts


DOC/Corrections - DOC/Corrections


DPS - Department of Public Safety


CP - Common Pleas

The following States can only be accessed via a walk-in County Search: Delaware, Massachusetts, South Dakota, and Wyoming. County Searches vary in price based on the County’s Court Access Fees. They start at $15.00 per jurisdiction and can be as high as $91.00.

Exhibit C

All users of consumer reports must comply with all applicable regulations. Information about applicable regulations currently in effect can be found at the Consumer Financial Protection Bureau’s website, www.consumerfinance.gov/learnmore.

Notice to Users of Consumer Reports: Obligations of Users Under the FCRA

The Fair Credit Reporting Act (FCRA), 15 U.S.C. §1681-1681y, requires that this notice be provided to inform users of consumer reports of their legal obligations. State law may impose additional requirements. The text of the FCRA is set forth in full at the Consumer Financial Protection Bureau’s (CFPB) website at www.consumerfinance.gov/learnmore. At the end of this document is a list of United States Code citations for the FCRA. Other information about user duties is also available at the Bureau’s website. Users must consult the relevant provisions of the FCRA for details about their obligations under the FCRA.

The first section of this summary sets forth the responsibilities imposed by the FCRA on all users of consumer reports. The subsequent sections discuss the duties of users of reports that contain specific types of information, or that are used for certain purposes, and the legal consequences of violations. If you are a furnisher of information to a consumer reporting agency (CRA), you have additional obligations and will receive a separate notice from the CRA describing your duties as a furnisher.

1. Obligations of all Users of Consumer Reports




1. Users Must Have a Permissible Purpose



Congress has limited the use of consumer reports to protect consumers' privacy. All users must have a permissible purpose under the FCRA to obtain a consumer report. Section 604 of the FCRA contains a list of the permissible purposes under the law. These are:





• As ordered by a court or a federal grand jury subpoena. Section 604(a)(1)


• As instructed by the consumer in writing. Section 604(a)(2)


• For the extension of credit as a result of an application from a consumer, or the review or collection of a consumer's account. Section 604(a)(3)(A)


• For employment purposes, including hiring and promotion, where the consumer has given written permission. Sections 604(a)(3)(B) and 604(b)


• For the underwriting of insurance as a result of an application from a consumer.Section 604(a)(3)(C)


• When there is a legitimate business need, in connection with a business transaction that is initiated by the consumer. Section 604(a)(3)(F)(i)


• To review a consumer's account to determine whether the consumer continues to meet the terms of the account. Section 604(a)(3)(F)(ii)


• To determine a consumer's eligibility for a license or other benefit granted by a governmental instrumentality required by law to consider an applicant's financial responsibility or status. Section 604(a)(3)(D)


• For use by a potential investor or servicer, or current insurer, in a valuation or assessment of the credit or prepayment risks associated with an existing credit obligation.Section 604(a)(3)(E)


• For use by state and local officials in connection with the determination of child support payments, or modifications and enforcement thereof. Sections 604(a)(4) and 604(a)(5)





In addition, creditors and insurers may obtain certain consumer report information for the purpose of making unsolicited offers of credit or insurance. The particular obligations of users of this "prescreened" information are described in Section V below



2. Users Must Provide Certifications



Section 604(f) of the FCRA prohibits any person from obtaining a consumer report from a consumer reporting agency (CRA) unless the person has certified to the CRA (by a general or specific certification, as appropriate) the permissible purpose(s) for which the report is being obtained and certifies that the report will not be used for any other purpose.



3. Users Must Notify Consumers When Adverse Actions Are Taken



The term "adverse action" is defined very broadly by Section 603 of the FCRA. "Adverse actions" include all business, credit, and employment actions affecting consumers that can be considered to have a negative impact -- such as unfavorably changing credit or contract terms or conditions, denying or canceling credit or insurance, offering credit on less favorable terms than requested, or denying employment or promotion.





1. Adverse Actions Based on Information Obtained From a CRA



If a user takes any type of adverse action that is based at least in part on information contained in a consumer report, the user is required by Section 615(a) of the FCRA to notify the consumer. The notification may be done in writing, orally, or by electronic means. It must include the following:





• The name, address, and telephone number of the CRA (including a toll-free telephone number, if it is a nationwide CRA) that provided the report.


• A statement that the CRA did not make the adverse action and is not able to explain why the action was made.


• A statement setting forth the consumer's right to obtain a free disclosure of the consumer's file from the CRA if the consumer requests the report within 60 days.


• A statement setting forth the consumer's right to dispute directly with the CRA the accuracy or completeness of any information provided by the CRA.




2. Adverse Actions Based on Information Obtained From Third Parties Who Are Not Consumer Reporting Agencies



If a person denies (or increases the charge for) credit for personal, family, or household purposes based either wholly or partly upon information from a person other than a CRA, and the information is the type of consumer information covered by the FCRA, Section 615(b)(1) of the FCRA requires that the user clearly and accurately disclose to the consumer his or her right to obtain disclosure of the nature of the information that was relied upon by making a written request within 60 days of notification. The user must provide the disclosure within a reasonable period of time following the consumer's written request.



3. Adverse Actions Based on Information Obtained From Affiliates



If a person takes an adverse action involving insurance, employment, or a credit transaction initiated by the consumer, based on information of the type covered by the FCRA, and this information was obtained from an entity affiliated with the user of the information by common ownership or control, Section 615(b)(2) requires the user to notify the consumer of the adverse action. The notification must inform the consumer that he or she may obtain a disclosure of the nature of the information relied upon by making a written request within 60 days of receiving the adverse action notice. If the consumer makes such a request, the user must disclose the nature of the information not later than 30 days after receiving the request. If consumer report information is shared among affiliates and then used for an adverse action, the user must make an adverse action disclosure set forth in I.C.1 above.





4. Users Have Obligations When Fraud and Active Duty Military Alerts are in Files



When a consumer has placed a fraud alert, including one relating to identity theft, or an active duty military alert with a nationwide consumer reporting agency as defined in Section 603(p) and resellers, Section, 605A(h) imposes limitations on users of reports obtained from the consumer reporting agency in certain circumstances, including the establishment of a new credit plan and the issuance of additional credit cards. For initial fraud alerts and active duty alerts, the user must have reasonable policies and procedures in place to form a belief that the user knows the identity of the applicant or contact the consumer at a telephone number specified by the consumer; in the case of extended fraud alerts, the user must contact the consumer in accordance with the contact information provided in the consumer's alert.



5. Users Have Obligations When Notified of an Address Discrepancy



Section 605(h) requires nationwide CRAs, as defined in Section 603(p), to notify users that request reports when the address for a consumer provided by the user in requesting the report is substantially different from the addresses in the consumer's file. When this occurs, users must comply with regulations specifying the procedures to be followed. Federal regulations are available at www.consumerfinance.gov/learnmore.



6. Users Have Obligations When Disposing of Records



Section 628 requires that all users of consumer report information have in place procedures to properly dispose of records containing this information. Federal regulations have been issued that cover disposal.





2. Creditors Must Make Additional Disclosures



If a person uses a consumer report in connection with an application for, or a grant, extension, or provision of, credit to a consumer on material terms that are materially less favorable than the most favorable terms available to a substantial proportion of consumers from or through that person, based in whole or in part on a consumer report, the person must provide a risk-based pricing notice to the consumer in accordance with regulations prescribed by the Consumer Financial Protection Bureau.




Section 609(g) requires a disclosure by all persons that make or arrange loans secured by residential real property (one to four units) and that use credit scores. These persons must provide credit scores and other information about credit scores to applicants, including the disclosure set forth in Section 609(g)(1)(D) ("Notice to the Home Loan Applicant").



3. Obligations When Investigative Consumer Reports are Used



Investigative consumer reports are a special type of consumer report in which information about a consumer's character, general reputation, personal characteristics, and mode of living is obtained through personal interviews. Consumers who are the subjects of such reports are given special rights under the FCRA. If a user intends to obtain an investigative consumer report, Section 606 of the FCRA requires the following:





• The user must disclose to the consumer that an investigative consumer report may be obtained. This must be done in a written disclosure that is mailed, or otherwise delivered, to the consumer not later than three days after the date on which the report was first requested. The disclosure must include a statement informing the consumer of his or her right to request additional disclosures of the nature and scope of the investigation as described below, and the summary of consumer rights required by Section 609 of the FCRA. (The summary of consumer rights will be provided by the CRA that conducts the investigation.)


• The user must certify to the CRA that the disclosures set forth above have been made and that the user will make the disclosure described below.


• • Upon the written request of a consumer made within a reasonable period of time after the disclosures required above, the user must make a complete disclosure of the nature and scope of the investigation that was requested. This must be made in a written statement that is mailed, or otherwise delivered, to the consumer no later than five days after the date on which the request was received from the consumer or the report was first requested, whichever is later in time.




4. Liability for Violations of the FCRA



Failure to comply with the FCRA can result in state government or federal government enforcement actions, as well as private lawsuits. Sections 616, 617, and 621. In addition, any person who knowingly and willfully obtains a consumer report under false pretenses may face criminal prosecution. Section 619.




The CFPB’s website, www.consumerfinance.gov/learnmore , has more information about the FCRA, including publications for businesses and the full text of the FCRA. Citations for the FCRA sections in the U.S. Code, 15 U.S.C.§ 1681 et seq.:

Introduction

Initial Statement

This User Service Agreement has been established by Western Reporting Inc., (hereafter referred to as Western Reporting or WR) as of 1/13/2013. It contains requirements imposed upon all Users of Consumer Reports and/or any ancillary services as may be available for sale by WR. It is the responsibility of the User to fully understand and comply with all of its legal obligations as a User of Consumer Reports under the Federal Fair Credit Reporting Act, Gramm-Leach-Bliley Act Financial Privacy and Safeguarding Rules, FTC Disposal Rule and any other federal, state or local laws that may apply to the services WR provides.

Definitions

Consumer Information refers to Consumer Reports and other non-public, personally identifiable consumer information obtained from Western Reporting.
Consumer Report shall have the meaning set forth in the Fair Credit Reporting Act (“FCRA”), 15 USC 1681(a)(d), as may be amended from time to time. For purposes of this Policy, the term Consumer Reports refers to those consumer reports or any information derived therefrom including, but not limited to scores, obtained from Western Reporting.
End User/User refers to prospective and current customers of Western Reporting, to whom Western Reporting will furnish consumer information
FCRA refers to the Federal Fair Credit Reporting Act, 15 USC 1681 et seq., as amended from time to time.

Compliance Agreement

I have read and understand the “FCRA Requirements” as listed in “Exhibit A” or “Exhibit B” and “Exhibit C- Notice to Users of Consumer Reports: Obligations of Users under the FCRA” and Western Reporting’s “Access Security Requirements” and will take all reasonable measures to enforce them within my facility. I certify that we will use Western Reporting’s consumer report information solely for the purpose outlined in the “Permissible Purpose/Appropriate Use” section of this application, and for the type of business listed on this application. I will not sell the report to any consumer directly or indirectly. I understand that if this information is used improperly by company personnel, or if company access codes are made available to any unauthorized personnel due to carelessness on the part of any employee of the company, I may be held responsible for financial losses, fees, or monetary charges that may be incurred and that my access privilege may be terminated.

I agree to comply with all policies and procedures instituted by Western Reporting and required by Western Reporting consumer reporting Vendors. I understand that by not complying with any policies or procedures instituted by the FCRA, Western Reporting, Western Reporting Vendors, any Federal, State or Local Laws that are applicable to consumer reports, my account may be subject to termination. I agree that Western Reporting or any of Western Reporting’s consumer reporting vendors shall have the right to audit my records that are relevant to the provision of services set forth in this Agreement. I further agree that I will respond within the requested time frame for the information requested. In accordance with the Agreement, I understand that Western Reporting may immediately suspend and/or terminate the Agreement in the event I fail to comply with any of the above.

Policies and Procedures

Knowledge Based Authentication Policy

I understand that in order to receive a Partial Credit Product, I must successfully verify my identity through a “Knowledge Based Authentication” administered by Western Reporting. I understand that there is no guarantee of being accepted for an account with Western Reporting. I understand that if the Knowledge Based Authentication results in a “Failed” status, additional measures and additional costs may be required in order to continue the application process with Western Reporting.

Fees & Payment

I am aware that the Business or Owner/Authorized Officer as listed on the New Client Application of this Agreement will be charged for all requests entered online and that a setup fee will be charged upon account origination and an annual renewal fee will be required to keep the account active. Please be aware that all fees charged are non-refundable. Unless other payment arrangements are accepted by Western Reporting Inc., credit cards will be billed upon order for owners of 50 units or less and once per month for owners of over 50 units. Late fees in the amount of $20 or 18% of the balance (whichever is greater) will be assessed to balances over 30 days old. Late fees in the amount of $20 or 18% of the balance (whichever is greater) will be assessed to balances over 30 days old.

Turn-Around Policy

All applications received after 3:00pm MST will be considered the next business day’s work. Most reports not requiring Verifications or County Searches are returned in 1 to 2 hours after receipt.

Verification Policy

3 attempts will be made to verify all references provided. A “Final Report” will be sent after the 3rd attempt has been made on these references. A “Preliminary Report” will be sent to the client within 1 business day after receipt. The “Final Report” will be sent within 3 business days after a 3rd attempt has been made on all pending verifications.

Criminal Searches

Criminal searches are pulled by name and verified by DOB. Western Reporting advises that you use government-issued ID to verify your applicant’s name, DOB and SSN prior to ordering your report. MultiState database searches, while expansive and cost-effective, are subject to limitations in coverage and of information related to offense descriptions and applicant identifiers. For the most thorough screening, direct-court county criminal searches should accompany any database search for all counties in which an applicant has lived, worked or been educated. These criminal searches should also be run for all AKA’s.

Customer Service

Our Customer Service personnel are available from 9:00am to 5:00pm MST Monday - Friday to respond to your inquiries and process reports.

Access Security Requirements

We must work together to protect the privacy of consumers. The following measures are designed to reduce unauthorized access of consumer credit reports. In signing the Consumer Reporting Agency Membership Agreement, you agree to follow these measures.

1. You must protect your Consumer Reporting Agency account number and password so that only key personnel know this sensitive information. Unauthorized persons should never have knowledge of your password. Do not post the information in any manner within your facility.
2. System access software, whether developed by your company or purchased from a third party vendor, must have your Consumer Reporting Agency account number and password “hidden” or embedded and be known only by supervisory personnel. Assign each user of your system access software a unique logon password.
3. Do not discuss your Consumer Reporting Agency account number and passwords by telephone with any unknown caller, even if the caller claims to be an employee of the Consumer Reporting Agency.
4. Restrict the ability to obtain credit information to a few key personnel. Please remember that credit information is confidential.
5. Place all terminal devices used to obtain credit information in a secure location within your facility. You should secure these devices so that unauthorized persons cannot easily access them.
6. After normal business hours, be sure to turn off and lock all devices or systems used to obtain credit information.
7. Secure hard copies and electronic files of consumer reports within your facility so that unauthorized persons cannot easily access them.
8. Shred or destroy, all hard copy consumer reports when no longer needed
9. Erase or scramble electronic files containing consumer information when no longer needed and when applicable regulation(s) permit destruction.
10. Make all employees aware that your company can access credit information only for the permissible purposes listed in the Permissible Purpose Information section of your membership application. You and/or your employees may not access your/their own report or the report of a family member or friend if your company does not have permissible purpose for doing so.
11. Please be aware that there are laws governing the release of a credit report to an individual. In cases of Tenant Screening - If you wish to deny the applicant on the basis of credit, give him/her a denial letter. They can submit that to us along with their Driver License/State ID Card within 60 days of the report date and we will provide them a copy of their credit report. If you wish, you may provide a “Consumer Copy” of the report to your applicant within 30 days of the application date. Copies of the denial letter and Consumer Copy forms are available through www.westernreporting.com or by calling Customer Service. For Employment - Special provisions under the FCRA apply. Please call our office to obtain copies of the "pre-adverse condition" and "adverse condition" letters that need to accompany a copy of the report being sent to the applicant.

Record Retention

It is important that you keep credit applications with a signed release on file for a period of 5 years. This will help to facilitate the investigative process if a consumer claims that your company inappropriately accessed their credit report. However, you may keep the actual copy of the credit report on file for only 6 mos. (the credit report may be used only once). After 6 months you are obligated to shred the report. “Under Section 621 (a) (2) (A) of the FCRA, any person that violates any of the provisions of the FCRA may be liable for a civil penalty of not more than $2,500 per violation.

InstaCriminal Products Disclosure

The following information is provided as a criminal coverage reference document. InstaCriminal/MultiState Searches pull records from various databases available nationwide, but not every jurisdiction provides complete information. This document is intended to provide an indication of the types of records that will be searched in the different jurisdictions throughout the U.S. Coverage is not exhaustive and can change without notice.

Common Terms

AOC - Administrative Office of the Courts (District Court)


Courts - District Courts


DOC/Corrections - DOC/Corrections


DPS - Department of Public Safety


CP - Common Pleas