FCRA Liability Harmonization Act

This bill sets clear limits on class action lawsuits against credit reporting companies for violations of the Fair Credit Reporting Act (FCRA). For intentional failures to follow FCRA rules, it caps individual damages at $100,000 or 40% of total damages, and total class recovery at $500,000 or 1% of the company’s net worth. For negligent failures, it similarly limits total class recovery to $500,000, 1% of net worth, or 40% of actual damages. These changes directly affect credit bureaus (like Equifax or TransUnion) and creditors handling consumer credit data, preventing excessive damages in class actions. The bill harmonizes existing liability rules by adding specific, predictable financial limits to court awards.