The CFPB intends to issue a proposed rule to address the impact of credit reporting relating to accounts of survivors of domestic violence, elder abuse, and other forms of financial abuse.

The bureau has issued an Advance Notice of Proposed Rulemaking (ANPR) to gather input on potential amendments to the regulation that implements the Fair Credit Reporting Act. Comments on the ANPR are due March 7, 2025.

The ANPR was prompted by a petition for rulemaking from the National Consumer Law Center and the Center for Survivor Agency and Justice. The petition requested that the CFPB:

• Modify the definition of “identity theft” to include “without effective consent” to provide relief for persons with coerced debt and specify what constitutes effective consent.
• Modify the definition of “identity theft report” to reflect the modified definition of “identity theft.”
• Allow the modified definition of “identity theft” to enable persons with coerced debt to utilize the block of information resulting from identity theft.
• Clarify that no consumer reporting agency (CRA), including specialty CRASs can refuse to block information under the FCRA if the consumer is a person with coerced debt.

“Expanding identity theft protections could help survivors rebuild their financial lives and would ensure that our credit reporting system is not used as a tool for domestic and elder abuse,” bureau Director Rohit Chopra said.

The bureau said that abusers often use coerced debt as a tool of control, forcing their partner or other family members to take out credit cards or loans through threats, physical violence, or manipulation. Studies show this type of financial abuse creates substantial, long-lasting harm for survivors, according to the CFPB.

The ANPR asks consumer advocates, credit reporting companies, and the public to comment on various topics, including:

• Whether the CFPB should consider alternatives to what is considered “coerced debt,” which the petition for rulemaking defines as “all non-consensual, credit-related transactions that occur in a relationship where one person uses coercive control to dominate the other person.”
• The prevalence and extent of harm to people with coerced debt, including through the credit reporting system.
• Evidence regarding how relevant coerced debt is to a survivor’s credit risk.
• Barriers to accessing existing protections under federal or state law for survivors of economic abuse.
• Challenges resulting from coerced debt facing specific populations including survivors of intimate partner violence and gender-based violence, older Americans, and children in foster care.
• Potential documentation or self-attestation requirements for showing that a person’s debt was coerced.
• Whether there are there circumstances that should give rise to a presumption of coercion.

As with all recent CFPB pending and final rules, this proposal faces an uncertain future. The comment due date of March 7 is well after President-Elect Donald Trump takes office. Trump and his aides have been outspoken critics of the CFPB, with some going so far as to call for abolishment of the agency.

Recognizing the uncertain future of agency actions, Senate Banking Committee ranking Republican Sen. Tim Scott, R-S.C., has called on financial regulators, including the CFPB, to pause all rulemaking and enforcement actions until the new administration takes office. Several agencies agreed to that request.

However, the CFPB did not. In fact, the bureau has been particularly active, recently issuing a final rule governing overdrafts, a proposed FCRA rule that would greatly expand the scope of the statute and taking several enforcement actions.