How often must lenders provide consumers with a free credit report under the FCRA?

Under the Fair Credit Reporting Act (FCRA), lenders are required to provide consumers with a free credit report at least once every 12 months. This regulation is designed to ensure that consumers have the opportunity to review their credit reports for accuracy and to monitor their credit status, which can help detect identity theft or fraudulent activities.

By receiving a free credit report annually, consumers can take proactive steps to manage their credit health. It enables them to understand their creditworthiness and make informed financial decisions. The provision aims to enhance transparency and empower consumers in their credit journey. Other options do not align with the FCRA's requirement, as they either suggest a frequency that is too frequent or not frequent enough for consumers to access their credit information.