[Federal Register Volume 64, Number 239 (Tuesday, December 14, 1999)]
[Notices]
[Page 69769]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-32391]
[[Page 69769]]
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FEDERAL TRADE COMMISSION
Charges for Certain Disclosures
AGENCY: Federal Trade Commission.
ACTION: Notice Regarding Charges for Certain Disclosures.
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SUMMARY: The Federal Trade Commission announces that the current
ceiling on allowable charges under section 612(a) of the Fair Credit
Reporting Act (``FCRA'') will increase from $8.00 to $8.50 on January
1, 2000. Under 1996 amendments to the FCRA, the Federal Trade
Commission is required to increase the $8.00 amount referred to in
paragraph (1)(a)(i) of section 612(a) on January 1 of each year, based
proportionally on changes in the Consumer Price Index (``CPI''), with
fractional changes rounded to the nearest fifty cents. The CPI
increased 4.16 percent between September 1997, the date the FCRA
amendments took effect, and September 1999. This increase in the CPI
and the requirement that any increase be rounded to the nearest fifty
cents results in an increase in the maximum allowable charge to $8.50.
EFFECTIVE DATE: January 1, 2000.
ADDRESSES: Federal Trade Commission, Washington, DC 20580.
FOR FURTHER INFORMATION CONTACT: Keith B. Anderson, Bureau of
Economics, Federal Trade Commission, Washington, DC 20580, 202-326-
3428.
SUPPLEMENTARY INFORMATION: Section 612(a)(1)(A) of the Fair Credit
Reporting Act, as amended in 1996, states that, where a consumer
reporting agency is permitted to impose a reasonable charge on a
consumer for making a disclosure to the consumer pursuant to section
609, the charge shall not exceed $8 and shall be indicated to the
consumer before making the disclosure. Section 612(a)(2) goes on to
state that the Federal Trade Commission (``the Commision'') shall
increase the $8.00 maximum amount on January 1 of each year, based
proportionally on changes in the Consumer Price Index, with fractional
changes rounded to the nearest fifty cents.
The Commission considers the $8 amount referred to in paragraph
(1)(A)(i) of section 612(a) to be the baseline for the effective
ceiling on reasonable charges dating from the effective date of the
amended FCRA, i.e., September 30, 1997. In November of each year, the
Commission calculates the proportional increase in the Consumer Price
Index (using the most general CPI, which is for all urban consumers,
all items) from September 1997 to September of the current year. The
Commission then determines what modification, if any, from the original
base of $8 should be made effective on January 1 of each subsequent
year, given the requirement that fractional changes be rounded to the
nearest fifty cents.
Between September 1997 and September 1999, the Consumer Price Index
for all urban consumers and all items increased by 4.16 percent--from
an index value of 161.2 in September 1997 to a value of 167.9 in
September 1999. An increase of 4.16 percent in the $8.00 base figure
would lead to a new figure of $8.33. However, because the statute
directs that the resulting figure be rounded to the nearest $0.50, the
allowable charge should be increased to $8.50.
The Commission therefore determines that the allowable charge for
the year 2000 will be $8.50.
By direction of the Commission.
Donald S. Clark,
Secretary.
[FR Doc. 99-32391 Filed 12-13-99; 8:45 am]
BILLING CODE 6750-01-M
