Consumer Reports, a nonprofit guide for consumers across the country, has called upon President Barack Obama’s newly-established Consumer Financial Protection Bureau (CFPB) to make a number of changes that will benefit buyers.
The CFPB is one part of Obama’s financial reform bill, signed into law over the summer. The bill is supposed to be a safeguard against another economic collapse, with the new organization playing a key role in standing up for consumers. As of now, however, it is unclear what specific responsibilities and powers the new government body will have.
Among the reforms that Consumer Reports asked the group to look at were a change in the credit reporting system of the major credit bureaus. The consumer guide contends that too many errors slip through, severely affecting credit scores for many people and affecting their ability to apply for car loans. In the same vein, it asked the group to crack down on debt collection groups, which often use tricks like re-reporting a debt to a credit agency in order for that to weigh doubly on a user’s score.
Drivers with poor credit shouldn’t automatically assume that they won’t qualify for a car loan. By filling out a bad credit auto loan application online, they can find out what kinds of rates their score will allow them to receive.