The address tool is a valuable resource for uncovering an individual’s residential history, but recent trends in class action litigation highlight the importance of understanding the rules and regulations of using the tool properly. Misuse or overreliance on address trace data can lead to legal complications due to the potential impact on consumer privacy rights. Consumer reporting agencies (CRAs) have been under fire in recent years for allegedly violating the Fair Credit Reporting Act (FCRA) by including address trace information on consumer reports without proper authorization. CRAs should only use the tool for internal verification purposes and must prioritize accuracy and reliability to compile residential history information.
