Prescreen Opt-Out Notice Rule, 50848-50854 [2021-19465]
Download as PDF
<![CDATA[
50848
Federal Register / Vol. 86, No. 174 / Monday, September 13, 2021 / Rules and Regulations
Jackson, WY, Jackson Hole, GEYSER SIX
Graphic DP
[FR Doc. 2021–19643 Filed 9–10–21; 8:45 am]
BILLING CODE 4910–13–P
FEDERAL TRADE COMMISSION
16 CFR Parts 642 and 698
RIN 3084–AB63
Prescreen Opt-Out Notice Rule
Federal Trade Commission.
Final rule.
AGENCY:
ACTION:
The Federal Trade
Commission (‘‘FTC’’ or ‘‘Commission’’)
is issuing a final rule (‘‘Final Rule’’) to
amend its Prescreen Opt-Out Notice
Rule to correspond to changes made to
the Fair Credit Reporting Act (‘‘FCRA’’)
by the Dodd-Frank Act and to reinstate
and amend a model prescreen opt-out
notice.
DATES: This rule is effective October 13,
2021.
FOR FURTHER INFORMATION CONTACT:
David Lincicum (202–326–2773),
Division of Privacy and Identity
Protection, Bureau of Consumer
Protection, Federal Trade Commission,
600 Pennsylvania Avenue NW,
Washington, DC 20580.
SUPPLEMENTARY INFORMATION:
SUMMARY:
lotter on DSK11XQN23PROD with RULES1
I. Background
A. The Prescreen Opt-Out Notice Rule
Section 615(d) of the FCRA 1 requires
that any person who uses a consumer
report in order to make an unsolicited
firm offer of credit or insurance to the
consumer (‘‘prescreened offer’’ or
‘‘prescreened solicitation’’) shall
provide with each written solicitation a
clear and conspicuous statement that:
(A) Information contained in the
consumer’s consumer report was used
in connection with the transaction; (B)
the consumer received the offer of credit
or insurance because the consumer
satisfied the criteria for credit
worthiness or insurability under which
the consumer was selected for the offer;
(C) if applicable, the credit or insurance
may not be extended if, after the
consumer responds to the offer, the
consumer does not meet the criteria
used to select the consumer for the offer
or any applicable criteria bearing on
credit worthiness or insurability or does
not furnish any required collateral; (D)
the consumer has a right to prohibit
information contained in the
consumer’s file with any consumer
reporting agency from being used in
1 15
U.S.C. 1681m(d).
VerDate Sep<11>2014
16:20 Sep 10, 2021
Jkt 253001
connection with any credit or insurance
transaction that is not initiated by the
consumer; and (E) the consumer may
exercise the opt-out right by notifying a
notification system established under
section 604(e) of the FCRA.
The Fair and Accurate Credit
Transactions Act of 2003 (‘‘FACT Act’’)
was signed into law on December 4,
2003. Public Law 108–159, 117 Stat.
1952. Section 213(a) of the FACT Act
amended FCRA section 615(d) to
require that the statement mandated by
section 615(d) ‘‘be presented in such
format and in such type size and
manner as to be simple and easy to
understand, as established by the
Commission, by rule, in consultation
with the Federal banking agencies and
the National Credit Union
Administration.’’ On August 1, 2005,
the FTC issued its Prescreen Opt-Out
Notice Rule.2
that were no longer necessary due to the
Dodd-Frank Act’s change to its
rulemaking authority.10 The prescreen
opt-out model notice was included in
this rescission.
B. Dodd-Frank Act
The Dodd-Frank Wall Street Reform
and Consumer Protection Act (‘‘DoddFrank Act’’) was signed into law in
2010.3 The Dodd-Frank Act
substantially changed the federal legal
framework for financial services
providers. Among the changes, the
Dodd-Frank Act transferred to the
Consumer Financial Protection Bureau
(‘‘CFPB’’) the Commission’s rulemaking
authority under portions of the FCRA.4
Accordingly, in 2012, the Commission
rescinded several of its FCRA rules,
which had been replaced by rules
issued by the CFPB.5 The FTC retained
rulemaking authority for other rules to
the extent the rules apply to motor
vehicle dealers described in section
1029(a) of the Dodd-Frank Act 6 that are
predominantly engaged in the sale and
servicing of motor vehicles, the leasing
and servicing of motor vehicles, or both
(‘‘motor vehicle dealers’’).7 The retained
rules include the Prescreen Opt-Out
Notice Rule, which now applies only to
motor vehicle dealers.8 Consumer report
users originally covered by the
Prescreen Opt-Out Notice Rule that are
not motor vehicle dealers are covered by
the CFPB’s rule.9
On May 22, 2019, the FTC rescinded
several FCRA model notices and forms
III. Overview of Final Rule
The Commission promulgated the
Prescreen Opt-Out Notice Rule at a time
when it had rulemaking authority for a
broader group of consumer report users.
While the Dodd-Frank Act did not
change the Commission’s enforcement
authority for the Prescreen Opt-Out
Notice Rule, it did narrow the
Commission’s rulemaking authority
with respect to the Rule. It now covers
only motor vehicle dealers.12 The
amendments in the Dodd-Frank Act
necessitate technical revisions to the
Prescreen Opt-Out Notice Rule to ensure
that the regulation is consistent with the
text of the amended FCRA. Accordingly,
the Commission amends the Prescreen
Opt-Out Notice Rule to properly reflect
the Rule’s scope.
The amendment to section 642.1
narrows the scope of the Prescreen OptOut Notice Rule to those entities set
forth in the Dodd-Frank Act that are
predominantly engaged in the sale and
servicing of motor vehicles, excluding
those dealers that directly extend credit
to consumers and do not routinely
assign the extensions of credit to an
unaffiliated third party.13 It does so by
replacing the general term ‘‘person’’
with the term ‘‘motor vehicle dealers,’’
as defined in amended section 642.2.
One commenter argued the Rule should
use the term ‘‘MVD’’ in the place of
‘‘motor vehicle dealers’’ in order to
reduce the word count of the Rule.14
The Commission believes the term
2 70
FR 5021 (Aug. 1, 2005).
Law 111–203 (2010).
4 15 U.S.C. 1681 et seq. The Dodd-Frank Act does
not transfer to the CFPB rulemaking authority for
section 615(e) of the FCRA (‘‘Red Flag Guidelines
and Regulations Required’’) and section 628 of the
FCRA (‘‘Disposal of Records’’). See 15 U.S.C.
1681s(e).
5 77 FR 22200 (April 13, 2012); 12 U.S.C. 5519.
6 15 U.S.C. 5519.
7 77 FR 22200 (April 13, 2012).
8 Id.
9 12 CFR 1022.54.
3 Public
PO 00000
Frm 00012
Fmt 4700
Sfmt 4700
II. Regulatory Review of the Prescreen
Opt-Out Notice Rule
On September 21, 2020, the
Commission solicited comments on the
Prescreen Opt-Out Notice Rule. The
Commission sought information about
the costs and benefits of the Rule, and
its regulatory and economic impact. In
addition, the Commission proposed
amending sections 642.1 and 642.2 to
narrow the scope of the Rule to motor
vehicle dealers excluded from CFPB
jurisdiction as described in the DoddFrank Act and reinstating the Prescreen
Opt-Out Notice Rule model notice. The
Commission received two comments
concerning the Rule.11
10 84
FR 23471 (May 22, 2019).
comments can be found at
www.regulations.gov/document/FTC-2020-00660001/comment.
12 15 U.S.C. 1681s(e)(1); 12 U.S.C. 5519.
13 12 U.S.C. 5519.
14 Devin Davis (Comment 2).
11 The
E:\FR\FM\13SER1.SGM
13SER1
Federal Register / Vol. 86, No. 174 / Monday, September 13, 2021 / Rules and Regulations
‘‘motor vehicle dealers’’ is more easily
understood than an abbreviation and
declines to make this change.
The amendment to section 642.2 adds
a definition of ‘‘motor vehicle dealer’’
that defines motor vehicle dealers as
entities excluded from CFPB
jurisdiction as described in the DoddFrank Act.15
The amendments also reinstate the
model prescreen opt-out notice that was
rescinded in 2019 on the basis that
motor vehicle dealers could use the
CFPB-provided model form.16 The
model notice, Appendix C to Part 698,
remains largely unchanged from the one
previously provided except, as noted
below, the model now includes a
reference to the consumer reporting
agencies’ opt-out website. The
amendments also revise section 698.2 to
include Appendix C in the list of model
notices. The amendments make no
substantive changes to the Rule.
The South Carolina Department of
Consumer Affairs (the ‘‘Department’’)
stated that there is a continuing need for
the Prescreen Opt-Out Notice Rule and
it benefits consumers by informing them
their information has been shared for a
prescreen offer and educating them of
their rights to opt out of such offers.17
The Department also suggested that the
Commission amend the Rule to require
companies to provide the URL for the
consumer reporting agencies’ opt-out
website, www.optoutprescreen.com.
Although the Commission agrees that
the opt-out website is a valuable
resource for consumers, it declines to
change the Rule to require dealers to
include it. Changing the Rule in this
way would cause the Commission’s
Rule to differ substantively from the
CFPB’s rule, which applies much more
broadly. The Commission believes that
consumers and businesses are better
served by uniformity in the rules.
However, because the Commission
agrees that including the address for the
optoutprescreen.com site would be
helpful to consumers who choose to opt
15 12
U.S.C. 5519.
FR 23471 (May 22, 2019).
17 The Department also argued the Commission
should issue regulations that would modify
prescreened offers of credit under the FCRA by: (1)
Limiting the information motor vehicle dealers can
obtain for prescreened offers to that which is
necessary for determining eligibility for the
prescreened offer, (2) requiring motor vehicle
dealers to extend the prescreened offer within a
specified time frame after they receive the
information from the consumer reporting agency;
and (3) requiring all information related to a
prescreened offer be deleted after the offer has
expired. We welcome the Department’s suggestions
on these issues. As the Department recognized in
its comment, however, these changes would require
changes to statutory provisions not at issue in this
rulemaking.
lotter on DSK11XQN23PROD with RULES1
16 84
VerDate Sep<11>2014
16:20 Sep 10, 2021
Jkt 253001
out, the Commission has revised the
model notice to include a reference to
the optoutprescreen.com website. While
motor vehicle dealers are not required to
use the model notice, the Commission
believes that many will choose to do
so.18 The Commission has consulted
with the CFPB concerning this change
to the Commission’s model notice.
IV. Paperwork Reduction Act
Under the Paperwork Reduction Act
of 1995 (PRA),19 federal agencies are
generally required to seek Office of
Management and Budget (‘‘OMB’’)
approval for information collection
requirements prior to implementation.
The Final Rule amends 16 CFR part
642 and 698. The Rule does not contain
information collection requirements as
defined by the PRA. The rule requires
certain motor vehicle dealers using
consumer report to provide consumers
with opt-out notices and the
amendments include a model notice
that motor vehicle dealers may use. The
public disclosure of information
originally supplied by the Federal
Government for the purpose of
disclosure to the public is not included
within the definition of the collection of
information.20 Therefore, the
Commission does not believe that the
amendments will add any ‘‘collections
of information’’ as defined by the PRA.
V. Regulatory Flexibility Act
The Regulatory Flexibility Act
(‘‘RFA’’), as amended by the Small
Business Regulatory Enforcement
Fairness Act of 1996, requires an agency
to either provide an Initial Regulatory
Flexibility Analysis (‘‘IRFA’’) with a
proposed rule, or certify that the
proposed rule will not have a significant
impact on a substantial number of small
entities.21 The Commission published
an Initial Regulatory Flexibility
Analysis in order to inquire into the
impact of the proposed Rule on small
entities.22 The Commission received no
responsive comments.
18 The South Carolina Department of Consumer
Affairs also suggests that the Commission revise the
model notice so that the fictional offer of credit in
the notice is being sent from a motor vehicle dealer
rather than a credit card company. The Commission
understands this change would further the goal of
making clear that the Commission’s Rule applies
only to motor vehicle dealers. However, as much of
the notice’s content is dummy text, it is clear the
model notice is meant to illustrate the formatting
and content of the Rule’s required disclosures, and
there is value in maintaining consistency with the
CFPB’s Rule. Accordingly, the Commission declines
to make this change.
19 44 U.S.C. 3501 et seq.
20 See 5 CFR 1320.3(c)(2).
21 5 U.S.C. 603–605.
22 85 FR 59226, 59228 (Sept. 21, 2020).
PO 00000
Frm 00013
Fmt 4700
Sfmt 4700
50849
The Commission does not believe that
these amendments have the threshold
impact on small entities. The
amendments effectuate changes to the
Dodd-Frank Act and will not impose
costs on small motor vehicle dealers
because the amendments are for
clarification purposes and will not
result in any increased burden on any
motor vehicle dealer. Thus, a small
entity that complies with current law
need not take any different or additional
action under the Final Rule. Although
the Final Rule adopts a slightly revised
model notice, motor vehicle dealers are
not obligated to use the model notice.
Therefore, the Commission certifies that
amending the Prescreen Opt-Out Notice
Rule will not have a significant
economic impact on a substantial
number of small businesses.
Although the Commission certifies
under the RFA that the Final Rule will
not have a significant impact on a
substantial number of small entities,
and hereby provides notice of that
certification to the Small Business
Administration, the Commission
nonetheless has determined that
publishing a final regulatory flexibility
analysis (‘‘FRFA’’) is appropriate to
ensure that the impact of the rule is
fully addressed. Therefore, the
Commission has prepared the following
analysis:
A. Need for and Objectives of the Final
Rule
To address the Dodd-Frank Act’s
changes to the Commission’s
rulemaking authority, the amendments
clarify that the Rule applies only to
motor vehicle dealers and reinstate a
model form.
B. Significant Issues Raised in Public
Comments in Response to the IRFA
The Commission did not receive any
comments that addressed the burden on
small entities. In addition, the
Commission did not receive any
comments filed by the Chief Counsel for
Advocacy of the Small Business
Administration (‘‘SBA’’).
C. Estimate of Number of Small Entities
to Which the Final Rule Will Apply
The Commission anticipates that
many covered motor vehicle dealers
may qualify as small businesses
according to the applicable SBA size
standards. As explained in the IRFA,
however, determining a precise estimate
of the number of small entities is not
readily feasible. No commenters
addressed this issue. Nonetheless, as
discussed above, these amendments do
not add any additional burdens on any
covered small businesses.
E:\FR\FM\13SER1.SGM
13SER1
50850
Federal Register / Vol. 86, No. 174 / Monday, September 13, 2021 / Rules and Regulations
D. Projected Reporting, Recordkeeping,
and Other Compliance Requirements,
Including Classes of Covered Small
Entities and Professional Skills Needed
To Comply
The amendments impose no new
reporting, recordkeeping, or other
compliance requirements.
E. Description of Steps Taken To
Minimize Significant Economic Impact,
if Any, on Small Entities, Including
Alternatives
The Commission did not propose any
specific small entity exemption or other
significant alternatives because the
amendments will not increase reporting
requirements and will not impose any
new requirements or compliance costs.
VI. Other Matters
Pursuant to the Congressional Review
Act (5 U.S.C. 801 et seq.), the Office of
Information and Regulatory Affairs
designated this rule as not a ‘‘major
rule,’’ as defined by 5 U.S.C. 804(2).
Final Rule Language
List of Subjects in 16 CFR Parts 642 and
698
Consumer protection, Credit, Trade
practices.
For the reasons stated above, the
Federal Trade Commission amends title
16 of the Code of Federal Regulations as
follows:
PART 642—PRESCREEN OPT–OUT
NOTICE
1. Revise the authority section for part
642 to read as follows:
lotter on DSK11XQN23PROD with RULES1
■
VerDate Sep<11>2014
16:20 Sep 10, 2021
Jkt 253001
Authority: Pub. L. 108–159, sec. 311; 15
U.S.C. 1681m(d); 12 U.S.C. 5519(d).
2. In § 642.1, revise paragraph (b) to
read as follows:
■
§ 642.1
Purpose and scope.
*
*
*
*
*
(b) Scope. This part applies to any
motor vehicle dealer as defined in
§ 642.2 of this part that uses a consumer
report on any consumer in connection
with any credit or insurance transaction
that is not initiated by the consumer,
and that is provided to that motor
vehicle dealer under section 604(c)(1)(B)
of the FCRA (15 U.S.C. 1681b(c)(1)(B)).
■ 3. In § 642.2, redesignate paragraph (b)
as paragraph (c) and add a new
paragraph (b) to read as follows:
§ 642.2
Definitions.
*
*
*
*
*
(b) Motor vehicle dealer means any
person excluded from Consumer
Financial Protection Bureau jurisdiction
as described in 12 U.S.C. 5519.
*
*
*
*
*
■ 4. In § 642.3, revise the introductory
text to read as follows:
§ 642.3
Prescreen opt-out notice.
Any motor vehicle dealer that uses a
consumer report on any consumer in
connection with any credit or insurance
transaction that is not initiated by the
consumer, and that is provided to that
person under section 604(c)(1)(B) of the
FCRA (15 U.S.C. 1681b(c)(1)(B)), shall,
with each written solicitation made to
the consumer about the transaction,
provide the consumer with the
following statement, consisting of a
PO 00000
Frm 00014
Fmt 4700
Sfmt 4700
short portion and a long portion, which
shall be in the same language as the
offer of credit or insurance:
*
*
*
*
*
PART 698—MODEL FORMS AND
DISCLOSURES
5. The authority citation continues to
read as follows:
■
Authority: 12 U.S.C. 5519; 15 U.S.C.
1681m(h); 15 U.S.C. 1681s–3; Sec. 214(b),
Pub. L. 108–159.
■
6. Revise § 698.2 to read as follows:
§ 698.2
Legal effect.
The model forms and disclosures
prescribed by the FTC in this part do
not constitute a trade regulation rule.
The issuance of the model forms and
disclosures set forth in appendices A, B,
and C of this part carry out the directive
in the statute that the FTC prescribe
these forms and disclosures. Use or
distribution of the model forms and
disclosures in this part will constitute
compliance with any section or
subsection of the FCRA requiring that
such forms and disclosures be used by
any motor vehicle dealer subject to the
FTC’s rulemaking authority.
7. Add appendix C to part 698 to read
as follows:
■
Appendix C to Part 698—Model
Prescreen Opt-Out Notices
In order to comply with 16 CFR part 642,
the following model notices may be used:
(a) English language model notice—(1)
Short notice.
BILLING CODE 6750–01–P
E:\FR\FM\13SER1.SGM
13SER1
Federal Register / Vol. 86, No. 174 / Monday, September 13, 2021 / Rules and Regulations
r
(IOO~
f..
50851
:I OOO!l
Ptl-'0~
" 1.S..NAMf
Here's a Line About Credit
L!lName
m,,srll345
:1D4&&ii!nd!Jani!et
PRIIIIIIIIICIIII
Dellrlllk. .....
R&DMC
Bd.•-lastD9111Dy,-,_llllw1l!dlnalagy"""' ~ • ...., ......
mlllioll'.&t-•-•-adie--..Y,W1!5illlllinwlel;hnalogyllla5
dlangiiclllewafpeaplemlhillC"-lladinllleliistiCl!llbily,.-.sawhaw.
ledinalogyWi15cflandnlllllewafpeapled&ihq;s.Sb-Jlllil:IKlt11>--a
...,_........,,,._11aw~-dtanglllglhewarpeapte•
.
~
.
•
MUllll:Elll
RlltlliU111$ll5
•
Bdilid,efaaQlllltilly,-:,_1111w~WlfSc:haq;il,cllle'!filY:......
clollliillp.S.....,..a11111m_a_litdaf m!llitanl.llatkn--
__,........,.......
mnllll'f, ----1l!dlnall.w-~tlil!MIJ" Backiillhe !m
-,.;-.saw1111w~-........lhe.waf'IJll!lllllfetklthinj;sc So
---•-•:111e1ast~.--a-~wasm..,..
.itad: • - tastQlllltilly, w
n- s,;,.,.
,_.,_tedlniiagy wasmu,gjng111e-, JE1p1e
d&llliillp..5a!ft:.ar:Dlll: ID_a_litdafaaditanl.Bad<
lasE
--,,111!BsawhN 1l!!d'lnlita&y IIAll~the
llliillp.
aa11tG111LW mt11e1ast<ll!lllltllY,,.,_._
ll!dlinclngy-cflandnlllh!-r...,..*llliillp.!it-setmltto.....,a
war~•
--••ns•ea-linilaf
■
__.-SRBIIIIY
5IEl.1llllft
•
OMINEflrMIDllll'O
-till!l<l.aedlta-"lindafaedi'-.t.
&IIUUIIH
l!ID-•-•-a,,ma,UinolafOl!dilc:anUladtili---.Y.5illll.,_11!idmnlagy'111i15dtangillg-war:pl!fltl1ec tlai:li:m the lastG!llliaf,
•
111esawl!tM1il!dnralogJ_dtangillg_warpenpll!do~Sn.-Hntaltlcinll af aalir:GINI.
---
.
'NIURIIAUINCE
W.,,awhaWlll!idlill>li,gNil!i.diangmg ..............~Sa.lllll!sl!t
MHDliUIIU.
-•-asm.i:tindaf·Ol!dilGINl..a..:ttirt-last--,,--ladiiaolillY.
•
RE-HEEIIF&!IIIDS
PIID6IUIIII
w..w.u...
~Cnditcml~
.YOII catca-to5tq1,remwillgRpresaeener '1fferof ltnditar.-).fnnt t:biiad~l:rJIIIIIIIIUII
VerDate Sep<11>2014
16:20 Sep 10, 2021
Jkt 253001
PO 00000
Frm 00015
Fmt 4700
Sfmt 4725
E:\FR\FM\13SER1.SGM
13SER1
ER13SE21.001</GPH>
lotter on DSK11XQN23PROD with RULES1
11V alllling~(IDll-fn2numllef'J; or lli&ilinf (~l!Pl--lllN!blil:e]. See PllfSCIIEBt & OPFOlffRODCE on 1:11bersil.le for~lollln:lonl f i . 1 1 ' ~ ~ llbcillt~affi!ls.
50852
Federal Register / Vol. 86, No. 174 / Monday, September 13, 2021 / Rules and Regulations
(2) Long notice.
.~-
l'!oml1!l:
•lll!ii.ieflir
~---
;·~1-:
· ~~.·- .~
·aiia::atili,;-C,
lliidi..lr.1ni,imt
~~J;l'il
·~~
~ .
~~:..,.~
~~,if
•an··
e
-:Bad<ii:IM!lim
- ~ . , . . . . ... ;il,idt;;;~
,_.;~
·,aut.tii:ailat,ni'.
.lli,i;to~oi .
j;,iilirj:i&Ql'.i:;i!"
•Cl'l!Oitcwil
~-~
··~.ir,ll,,,;41is1c~.~SIN(~~....~lhec~~.~~-.•s..~~~·
....~~~~~~iillhec,tld;~,
'"""l'r¥0!>.~iia..,11tt-1111'1wOl'Clll!O,;:'
VerDate Sep<11>2014
16:20 Sep 10, 2021
Jkt 253001
PO 00000
Frm 00016
Fmt 4700
Sfmt 4725
E:\FR\FM\13SER1.SGM
13SER1
ER13SE21.002</GPH>
lotter on DSK11XQN23PROD with RULES1
~•~-tit~~
:~5Ti;r~=r~$~Z;~l;~~~~~ii!-~:::;~
lotter on DSK11XQN23PROD with RULES1
f,c;izl··t
Jkt 253001
1
I'll' I
PO 00000
Frm 00017
·.,.!.
<IJ .,.·. ' .vii. ·1 .'JJJl!.lf
I rl.r.J....
1,' I ,~.· .· m,
.·.1. :;:~11: J
,'f,rf
·••·..·'·•.'·:.l . i.i
;ll l. 1tr'l ·d,.1· 1
•.:.•.-.·.'·
;•••.. ·..•·.1.·
. . .·!·•·•.•.•.·•·I.·.•.·
·.··1. ir····.·.1..•.··.··.·.J.•:.•·. ·.·. t..•.•.· . 1·.•.'..·.1.··•. ·
1
.•
.
·.;
. .i!•.•.·.··.'·
, .·.··••···,..
JI!
.·l·.···.
•.·.···i,.•·
.·.1•.•··•.1.•.t
.. ·.·····.,.1.•·.·.•
·.·.•.•.1.·
..
1il'.·•·.·•.···'J•:.J..
i
. . .·
.•.• ....
'a'..,
Fmt 4700
Sfmt 4725
., ;:Z.·.';'. i;·..:·~.··~.:
5 f·.:
I: <Jll
=-- "
s. .·. '·'.•.
~gli
!!
iii'.
!a.···...
l'i'l l!r'
•·l··.•.1.1.1. ·•.·'.
-
·.•.· •.•...
·.i.·..
E:\FR\FM\13SER1.SGM
u.
· •
~.·
:l1:.- •
(I
·1•·
;;......··,::,··• :;;..p ·•
~,
.·.·.i..
. .lli'
t :1···1.111-
A .....
.· ·
1·.
i. ·. "'.·. .
t.··. ·. . "I·.·. ·...~·. ·. ...·.
it,11
1
1.·•.·.·.·.i. .•. •.· •. ·
flt'll··1•·1 :r
~t
1
•.·. 'l i•lli"'•fTI
rt.·:.•.·.•.· : •.i.·.:.
"' 1
1·.•·•·••.•·.·.·.•.f•.•.
f,tl
i
1f:.1. . l)'
'·•.··•.
·.·!···•.:·•.••.•
··.·.••.1.·.·;..·.•·,·:.····•.
II".··.· .
.
!f§i
·.-1:1.-...•.••··~
. .· ·....
•
;.•. • .. ,
'..;,..
·
·. ·'
&.·•1
.
Ir·•··
•.· .;
M
I·•··.
.·'··. ·. .
· 11.·· .
111.
.. ·. ..
l
•.·.·.•.•·'·.·.:·•.·.•
f.j/i
•.··a·•·'.·r····
!:;ar•m
i~~ ·1•.•··i·;
Jt;.•.l.•.•.i.r I
·........ ·····.· ...· .. ·
i "' ~-'
· .•.·.J.
'f ·'t 'Ji'lf· *l
1..•.1.1.• r: '•·.1.r1.
•·1ll
r.,f_Jl ·. ·rt ,_t
It
J..·.!
• "'. .•·j·:·•··i
·vJ1·. i•
ff!
i 1
!r. i ; ·.·It... · ·. i·
'
w I
···•.•.!;·•·.··.!.,.·.•••· ·1·&"··.·•····l·.•.:.•.i.
•.. ·••.. .•
i.••.Q1J
\f···l•-.··.1.·
. I!!. m·. •
.·.·,.·BT
·. •
..···1: Ill
lili:. ;
. '_. 1. f·l.·:'!~l
·•.·
· ,iIflrj
lt
·.iii'.
~·· ~.. f.·.··.1.· ·.
,1 l4,~•.
'11.<.:,.:11:
·. - ·...;. ••·
.•.
~
a:[ . I.
1
. . ·.' ,.
f
li:5!
II•
9 . •·
1:.
t i··;.!·
f.
i!r
111·
.·· ·!!J
lttl~
•.111..·.
=.·····.·•
l.
·11.-.~
l·. ·.J•·:Q·l·,·1ill"·.
•iii'.~·
..
.··;
. ,··•·
Jij'·•·
rt
'111(.ff
.. II)',
·11'
.. ".· ·•· ·•·•· ·'•.· .·. .
•· ·. •· .•. •·.··.>.•
.
;t·.I·.
"
·1·.··•··.···
•t,.·1.1··,111'.
}1'···.··•·•.i
fl.··.•. :.'" -,. . · .
..•.·
;;.:... •. .
'1.·
•'
ill
•111
ill'·.
.. Ir•
"
-·[:
II'
.
(·•
··.··.
•
.11t
'!,f
11,'
. ·"'
·,
rD
'.
fJI
::,
·.·:i;.·.·.·
.:. :irt.·
I
··1!
.· ·•
13SER1
t-l, :,
Ii''-<~
r !!. . .
•
i
.:'. !ill·.•··.·.·.•Ii..·
lli
a.. ~·
,, ... , . . :.·.·.·•.'...·... '.·.
t.·
:
:1)1:
· .·.
.. · ·:··
.
II'
,,
1.I
:r-.
,
·· ....·. •
. .. ·
,..
!
·l
·,· •·
. ·: ·..
.1.·.::.I=· i1.. •
..
l.1·:.1· • .• I·~.'.
>:
·:
11.
l.l. . •
.1 .. . .·. : .• . l
r .",
Q......
·. 1.··
JI
""
r:
..._,
.-~
. · f;···l·•.•.•:~·iir
ilf;
'i:!i
...
,.....
·..
·.. ..
..............
.ir.·.•.·.·.[••···.!.ll
.. ·. . t···•.··.· ·
,ff,,
i
'I.·I·.•· • aiI.
fflJ
I
- !Ii
:,
JD
Dl
V,
n
··~
·It
.-,....·
-■
'0'
Federal Register / Vol. 86, No. 174 / Monday, September 13, 2021 / Rules and Regulations
16:20 Sep 10, 2021
lf -,
(b) Spanish language model notice—(1)
Short notice.
VerDate Sep<11>2014
ilf< .·
50853
ER13SE21.003</GPH>
lotter on DSK11XQN23PROD with RULES1
Federal Register / Vol. 86, No. 174 / Monday, September 13, 2021 / Rules and Regulations
...
·''1".1,1,. ,. .''t.
DEPARTMENT OF HEALTH AND
HUMAN SERVICES
Food and Drug Administration
21 CFR Part 1141
[Docket No. FDA–2019–N–3065]
Tobacco Products; Required Warnings
for Cigarette Packages and
Advertisements; Delayed Effective
Date
RIN 0910–AI39
!1
Food and Drug Administration,
Fmt 4700
11·
I'·
Sfmt 4700
'1 .
E:\FR\FM\13SER1.SGM
13SER1
SUMMARY: As required by an order
issued by the U.S. District Court for the
Eastern District of Texas, this action
delays the effective date of the final rule
(‘‘Tobacco Products; Required Warnings
for Cigarette Packages and
Advertisements’’), which published on
March 18, 2020. The new effective date
is October 11, 2022.
DATES: The effective date of the rule
amending 21 CFR part 1141 published
March 18, 2020, at 85 FR 15638, and
delayed at 85 FR 32293, May 29, 2020;
86 FR 3793, January 15, 2021; and 86 FR
36509, July 12, 2021, is further delayed
until October 11, 2022.
FOR FURTHER INFORMATION CONTACT:
Courtney Smith, Office of Regulations,
Center for Tobacco Products, Food and
Drug Administration, Document Control
t-'
·.
1.•1
..
I
••·1.'.1'1
U'."1·.•.1·r·1·
~. ,1. . . . .
I
li
I
1.•.jll
•
I'
Final rule; delay of effective
AGENCY:
HHS.
ACTION:
Frm 00018
date.
PO 00000
•1
1 •.
j
I
II
UH.J
,,
111•1• II
,
IIIt
1Ullf'
•1· I, :
1
1u lfi'
1
uu
!I'
'J.'
!1.t tl1it ii~t'i ti tttWt NfitltdU'f
1
11
1
41·b.1.li.f1.•.lll'.'.l
1·.l 1.IJ.,J.1. . 1
.f ,,.11\
.frl.
i
.
l
f
.1dl
i}.
tll.t:i·.·1·H.·l 1, ••111
-. !1·.lti l!1n11-•.•.•.t
i••1ilh1, 11
1
l }• ; . 1f.
d Ir ll• } 1f . llrr
ff.Ii'
l', J1 1 J.11l!•· il JI 1'1'111: I 11i 11·1 Ht
11·.J
I
1.111.·.
il,U
50854
(2) Long notice.
By direction of the Commission.
April J. Tabor,
Secretary.
Jkt 253001
[FR Doc. 2021–19465 Filed 9–10–21; 8:45 am]
16:20 Sep 10, 2021
BILLING CODE 6750–01–C
VerDate Sep<11>2014
ER13SE21.004</GPH>
1
1
,f1'.1 n
1·1.•lt-.
1,. !-if h 1J1f1 1.1..,.h. 11,1·1·l.·1l1.nJ~,i.irh
. ,. •-l-1·• ,.Ip, . l•1 l"·l1r•·1p·.
. 111:f' ,ai1f
1.·.•1 lI IT
l
t
,·
,
.
i .. r JlI !J11111
l ·•illI
" I rt ·I.'·•1. 11·1'
.
!I' .. I
1'.1·l.·1·.'·l, I
h•
J·.lt.tJ·
1.111'
.
·
.
.
~
.
·
'
.
1
.
,1•·1.
HJ
l••lll +I l-1: · f Ul "·:l• A-t1• 1 IH
..1·11,1
1
l
....
1
:
lhf
.t1·;.ll·i.·.11,.i11.J.f.rt11.:tl.l t1i.ll.t{1
~:.•.ft1.
If.It l t fl1•lb,••lf:1•ll r1!lh• lP1l1
m,. ,h,1ff •ff. it.t'ifH.1~1."tt.·.111
n.1~.·1.111.t1
rfli r·f 1f ..•i l,11-r•11
!f• i
l!tUl
•rt·l 'li · 1!1
1
1
1l.rn•. ~
f1'l. itru
.
·,
11.'
l
.lUf
W
HHttJt.
,..1 •· 11• IPldl"·,l'J.l"·••".1 •r'1'l·i'P1".l
l1
1
11i.tnru.·
. r Jf lh
(-1 f ·111•1· l,
111·
I g
1111n11ru • t1f
IJ11Jli~t'
r.
. lt 'I f1
.,,I''
Ulti,
1h
-I I'
1U
1•t
11.t.UlJ
11
]]>Agencies
[Federal Register Volume 86, Number 174 (Monday, September 13, 2021)]
[Rules and Regulations]
[Pages 50848-50854]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-19465]
=======================================================================
-----------------------------------------------------------------------
FEDERAL TRADE COMMISSION
16 CFR Parts 642 and 698
RIN 3084-AB63
Prescreen Opt-Out Notice Rule
AGENCY: Federal Trade Commission.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: The Federal Trade Commission (``FTC'' or ``Commission'') is
issuing a final rule (``Final Rule'') to amend its Prescreen Opt-Out
Notice Rule to correspond to changes made to the Fair Credit Reporting
Act (``FCRA'') by the Dodd-Frank Act and to reinstate and amend a model
prescreen opt-out notice.
DATES: This rule is effective October 13, 2021.
FOR FURTHER INFORMATION CONTACT: David Lincicum (202-326-2773),
Division of Privacy and Identity Protection, Bureau of Consumer
Protection, Federal Trade Commission, 600 Pennsylvania Avenue NW,
Washington, DC 20580.
SUPPLEMENTARY INFORMATION:
I. Background
A. The Prescreen Opt-Out Notice Rule
Section 615(d) of the FCRA \1\ requires that any person who uses a
consumer report in order to make an unsolicited firm offer of credit or
insurance to the consumer (``prescreened offer'' or ``prescreened
solicitation'') shall provide with each written solicitation a clear
and conspicuous statement that: (A) Information contained in the
consumer's consumer report was used in connection with the transaction;
(B) the consumer received the offer of credit or insurance because the
consumer satisfied the criteria for credit worthiness or insurability
under which the consumer was selected for the offer; (C) if applicable,
the credit or insurance may not be extended if, after the consumer
responds to the offer, the consumer does not meet the criteria used to
select the consumer for the offer or any applicable criteria bearing on
credit worthiness or insurability or does not furnish any required
collateral; (D) the consumer has a right to prohibit information
contained in the consumer's file with any consumer reporting agency
from being used in connection with any credit or insurance transaction
that is not initiated by the consumer; and (E) the consumer may
exercise the opt-out right by notifying a notification system
established under section 604(e) of the FCRA.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 1681m(d).
---------------------------------------------------------------------------
The Fair and Accurate Credit Transactions Act of 2003 (``FACT
Act'') was signed into law on December 4, 2003. Public Law 108-159, 117
Stat. 1952. Section 213(a) of the FACT Act amended FCRA section 615(d)
to require that the statement mandated by section 615(d) ``be presented
in such format and in such type size and manner as to be simple and
easy to understand, as established by the Commission, by rule, in
consultation with the Federal banking agencies and the National Credit
Union Administration.'' On August 1, 2005, the FTC issued its Prescreen
Opt-Out Notice Rule.\2\
---------------------------------------------------------------------------
\2\ 70 FR 5021 (Aug. 1, 2005).
---------------------------------------------------------------------------
B. Dodd-Frank Act
The Dodd-Frank Wall Street Reform and Consumer Protection Act
(``Dodd-Frank Act'') was signed into law in 2010.\3\ The Dodd-Frank Act
substantially changed the federal legal framework for financial
services providers. Among the changes, the Dodd-Frank Act transferred
to the Consumer Financial Protection Bureau (``CFPB'') the Commission's
rulemaking authority under portions of the FCRA.\4\ Accordingly, in
2012, the Commission rescinded several of its FCRA rules, which had
been replaced by rules issued by the CFPB.\5\ The FTC retained
rulemaking authority for other rules to the extent the rules apply to
motor vehicle dealers described in section 1029(a) of the Dodd-Frank
Act \6\ that are predominantly engaged in the sale and servicing of
motor vehicles, the leasing and servicing of motor vehicles, or both
(``motor vehicle dealers'').\7\ The retained rules include the
Prescreen Opt-Out Notice Rule, which now applies only to motor vehicle
dealers.\8\ Consumer report users originally covered by the Prescreen
Opt-Out Notice Rule that are not motor vehicle dealers are covered by
the CFPB's rule.\9\
---------------------------------------------------------------------------
\3\ Public Law 111-203 (2010).
\4\ 15 U.S.C. 1681 et seq. The Dodd-Frank Act does not transfer
to the CFPB rulemaking authority for section 615(e) of the FCRA
(``Red Flag Guidelines and Regulations Required'') and section 628
of the FCRA (``Disposal of Records''). See 15 U.S.C. 1681s(e).
\5\ 77 FR 22200 (April 13, 2012); 12 U.S.C. 5519.
\6\ 15 U.S.C. 5519.
\7\ 77 FR 22200 (April 13, 2012).
\8\ Id.
\9\ 12 CFR 1022.54.
---------------------------------------------------------------------------
On May 22, 2019, the FTC rescinded several FCRA model notices and
forms that were no longer necessary due to the Dodd-Frank Act's change
to its rulemaking authority.\10\ The prescreen opt-out model notice was
included in this rescission.
---------------------------------------------------------------------------
\10\ 84 FR 23471 (May 22, 2019).
---------------------------------------------------------------------------
II. Regulatory Review of the Prescreen Opt-Out Notice Rule
On September 21, 2020, the Commission solicited comments on the
Prescreen Opt-Out Notice Rule. The Commission sought information about
the costs and benefits of the Rule, and its regulatory and economic
impact. In addition, the Commission proposed amending sections 642.1
and 642.2 to narrow the scope of the Rule to motor vehicle dealers
excluded from CFPB jurisdiction as described in the Dodd-Frank Act and
reinstating the Prescreen Opt-Out Notice Rule model notice. The
Commission received two comments concerning the Rule.\11\
---------------------------------------------------------------------------
\11\ The comments can be found at www.regulations.gov/document/FTC-2020-0066-0001/comment.
---------------------------------------------------------------------------
III. Overview of Final Rule
The Commission promulgated the Prescreen Opt-Out Notice Rule at a
time when it had rulemaking authority for a broader group of consumer
report users. While the Dodd-Frank Act did not change the Commission's
enforcement authority for the Prescreen Opt-Out Notice Rule, it did
narrow the Commission's rulemaking authority with respect to the Rule.
It now covers only motor vehicle dealers.\12\ The amendments in the
Dodd-Frank Act necessitate technical revisions to the Prescreen Opt-Out
Notice Rule to ensure that the regulation is consistent with the text
of the amended FCRA. Accordingly, the Commission amends the Prescreen
Opt-Out Notice Rule to properly reflect the Rule's scope.
---------------------------------------------------------------------------
\12\ 15 U.S.C. 1681s(e)(1); 12 U.S.C. 5519.
---------------------------------------------------------------------------
The amendment to section 642.1 narrows the scope of the Prescreen
Opt-Out Notice Rule to those entities set forth in the Dodd-Frank Act
that are predominantly engaged in the sale and servicing of motor
vehicles, excluding those dealers that directly extend credit to
consumers and do not routinely assign the extensions of credit to an
unaffiliated third party.\13\ It does so by replacing the general term
``person'' with the term ``motor vehicle dealers,'' as defined in
amended section 642.2. One commenter argued the Rule should use the
term ``MVD'' in the place of ``motor vehicle dealers'' in order to
reduce the word count of the Rule.\14\ The Commission believes the term
[[Page 50849]]
``motor vehicle dealers'' is more easily understood than an
abbreviation and declines to make this change.
---------------------------------------------------------------------------
\13\ 12 U.S.C. 5519.
\14\ Devin Davis (Comment 2).
---------------------------------------------------------------------------
The amendment to section 642.2 adds a definition of ``motor vehicle
dealer'' that defines motor vehicle dealers as entities excluded from
CFPB jurisdiction as described in the Dodd-Frank Act.\15\
---------------------------------------------------------------------------
\15\ 12 U.S.C. 5519.
---------------------------------------------------------------------------
The amendments also reinstate the model prescreen opt-out notice
that was rescinded in 2019 on the basis that motor vehicle dealers
could use the CFPB-provided model form.\16\ The model notice, Appendix
C to Part 698, remains largely unchanged from the one previously
provided except, as noted below, the model now includes a reference to
the consumer reporting agencies' opt-out website. The amendments also
revise section 698.2 to include Appendix C in the list of model
notices. The amendments make no substantive changes to the Rule.
---------------------------------------------------------------------------
\16\ 84 FR 23471 (May 22, 2019).
---------------------------------------------------------------------------
The South Carolina Department of Consumer Affairs (the
``Department'') stated that there is a continuing need for the
Prescreen Opt-Out Notice Rule and it benefits consumers by informing
them their information has been shared for a prescreen offer and
educating them of their rights to opt out of such offers.\17\ The
Department also suggested that the Commission amend the Rule to require
companies to provide the URL for the consumer reporting agencies' opt-
out website, www.optoutprescreen.com. Although the Commission agrees
that the opt-out website is a valuable resource for consumers, it
declines to change the Rule to require dealers to include it. Changing
the Rule in this way would cause the Commission's Rule to differ
substantively from the CFPB's rule, which applies much more broadly.
The Commission believes that consumers and businesses are better served
by uniformity in the rules. However, because the Commission agrees that
including the address for the optoutprescreen.com site would be helpful
to consumers who choose to opt out, the Commission has revised the
model notice to include a reference to the optoutprescreen.com website.
While motor vehicle dealers are not required to use the model notice,
the Commission believes that many will choose to do so.\18\ The
Commission has consulted with the CFPB concerning this change to the
Commission's model notice.
---------------------------------------------------------------------------
\17\ The Department also argued the Commission should issue
regulations that would modify prescreened offers of credit under the
FCRA by: (1) Limiting the information motor vehicle dealers can
obtain for prescreened offers to that which is necessary for
determining eligibility for the prescreened offer, (2) requiring
motor vehicle dealers to extend the prescreened offer within a
specified time frame after they receive the information from the
consumer reporting agency; and (3) requiring all information related
to a prescreened offer be deleted after the offer has expired. We
welcome the Department's suggestions on these issues. As the
Department recognized in its comment, however, these changes would
require changes to statutory provisions not at issue in this
rulemaking.
\18\ The South Carolina Department of Consumer Affairs also
suggests that the Commission revise the model notice so that the
fictional offer of credit in the notice is being sent from a motor
vehicle dealer rather than a credit card company. The Commission
understands this change would further the goal of making clear that
the Commission's Rule applies only to motor vehicle dealers.
However, as much of the notice's content is dummy text, it is clear
the model notice is meant to illustrate the formatting and content
of the Rule's required disclosures, and there is value in
maintaining consistency with the CFPB's Rule. Accordingly, the
Commission declines to make this change.
---------------------------------------------------------------------------
IV. Paperwork Reduction Act
Under the Paperwork Reduction Act of 1995 (PRA),\19\ federal
agencies are generally required to seek Office of Management and Budget
(``OMB'') approval for information collection requirements prior to
implementation.
---------------------------------------------------------------------------
\19\ 44 U.S.C. 3501 et seq.
---------------------------------------------------------------------------
The Final Rule amends 16 CFR part 642 and 698. The Rule does not
contain information collection requirements as defined by the PRA. The
rule requires certain motor vehicle dealers using consumer report to
provide consumers with opt-out notices and the amendments include a
model notice that motor vehicle dealers may use. The public disclosure
of information originally supplied by the Federal Government for the
purpose of disclosure to the public is not included within the
definition of the collection of information.\20\ Therefore, the
Commission does not believe that the amendments will add any
``collections of information'' as defined by the PRA.
---------------------------------------------------------------------------
\20\ See 5 CFR 1320.3(c)(2).
---------------------------------------------------------------------------
V. Regulatory Flexibility Act
The Regulatory Flexibility Act (``RFA''), as amended by the Small
Business Regulatory Enforcement Fairness Act of 1996, requires an
agency to either provide an Initial Regulatory Flexibility Analysis
(``IRFA'') with a proposed rule, or certify that the proposed rule will
not have a significant impact on a substantial number of small
entities.\21\ The Commission published an Initial Regulatory
Flexibility Analysis in order to inquire into the impact of the
proposed Rule on small entities.\22\ The Commission received no
responsive comments.
---------------------------------------------------------------------------
\21\ 5 U.S.C. 603-605.
\22\ 85 FR 59226, 59228 (Sept. 21, 2020).
---------------------------------------------------------------------------
The Commission does not believe that these amendments have the
threshold impact on small entities. The amendments effectuate changes
to the Dodd-Frank Act and will not impose costs on small motor vehicle
dealers because the amendments are for clarification purposes and will
not result in any increased burden on any motor vehicle dealer. Thus, a
small entity that complies with current law need not take any different
or additional action under the Final Rule. Although the Final Rule
adopts a slightly revised model notice, motor vehicle dealers are not
obligated to use the model notice. Therefore, the Commission certifies
that amending the Prescreen Opt-Out Notice Rule will not have a
significant economic impact on a substantial number of small
businesses.
Although the Commission certifies under the RFA that the Final Rule
will not have a significant impact on a substantial number of small
entities, and hereby provides notice of that certification to the Small
Business Administration, the Commission nonetheless has determined that
publishing a final regulatory flexibility analysis (``FRFA'') is
appropriate to ensure that the impact of the rule is fully addressed.
Therefore, the Commission has prepared the following analysis:
A. Need for and Objectives of the Final Rule
To address the Dodd-Frank Act's changes to the Commission's
rulemaking authority, the amendments clarify that the Rule applies only
to motor vehicle dealers and reinstate a model form.
B. Significant Issues Raised in Public Comments in Response to the IRFA
The Commission did not receive any comments that addressed the
burden on small entities. In addition, the Commission did not receive
any comments filed by the Chief Counsel for Advocacy of the Small
Business Administration (``SBA'').
C. Estimate of Number of Small Entities to Which the Final Rule Will
Apply
The Commission anticipates that many covered motor vehicle dealers
may qualify as small businesses according to the applicable SBA size
standards. As explained in the IRFA, however, determining a precise
estimate of the number of small entities is not readily feasible. No
commenters addressed this issue. Nonetheless, as discussed above, these
amendments do not add any additional burdens on any covered small
businesses.
[[Page 50850]]
D. Projected Reporting, Recordkeeping, and Other Compliance
Requirements, Including Classes of Covered Small Entities and
Professional Skills Needed To Comply
The amendments impose no new reporting, recordkeeping, or other
compliance requirements.
E. Description of Steps Taken To Minimize Significant Economic Impact,
if Any, on Small Entities, Including Alternatives
The Commission did not propose any specific small entity exemption
or other significant alternatives because the amendments will not
increase reporting requirements and will not impose any new
requirements or compliance costs.
VI. Other Matters
Pursuant to the Congressional Review Act (5 U.S.C. 801 et seq.),
the Office of Information and Regulatory Affairs designated this rule
as not a ``major rule,'' as defined by 5 U.S.C. 804(2).
Final Rule Language
List of Subjects in 16 CFR Parts 642 and 698
Consumer protection, Credit, Trade practices.
For the reasons stated above, the Federal Trade Commission amends
title 16 of the Code of Federal Regulations as follows:
PART 642--PRESCREEN OPT-OUT NOTICE
0
1. Revise the authority section for part 642 to read as follows:
Authority: Pub. L. 108-159, sec. 311; 15 U.S.C. 1681m(d); 12
U.S.C. 5519(d).
0
2. In Sec. 642.1, revise paragraph (b) to read as follows:
Sec. 642.1 Purpose and scope.
* * * * *
(b) Scope. This part applies to any motor vehicle dealer as defined
in Sec. 642.2 of this part that uses a consumer report on any consumer
in connection with any credit or insurance transaction that is not
initiated by the consumer, and that is provided to that motor vehicle
dealer under section 604(c)(1)(B) of the FCRA (15 U.S.C.
1681b(c)(1)(B)).
0
3. In Sec. 642.2, redesignate paragraph (b) as paragraph (c) and add a
new paragraph (b) to read as follows:
Sec. 642.2 Definitions.
* * * * *
(b) Motor vehicle dealer means any person excluded from Consumer
Financial Protection Bureau jurisdiction as described in 12 U.S.C.
5519.
* * * * *
0
4. In Sec. 642.3, revise the introductory text to read as follows:
Sec. 642.3 Prescreen opt-out notice.
Any motor vehicle dealer that uses a consumer report on any
consumer in connection with any credit or insurance transaction that is
not initiated by the consumer, and that is provided to that person
under section 604(c)(1)(B) of the FCRA (15 U.S.C. 1681b(c)(1)(B)),
shall, with each written solicitation made to the consumer about the
transaction, provide the consumer with the following statement,
consisting of a short portion and a long portion, which shall be in the
same language as the offer of credit or insurance:
* * * * *
PART 698--MODEL FORMS AND DISCLOSURES
0
5. The authority citation continues to read as follows:
Authority: 12 U.S.C. 5519; 15 U.S.C. 1681m(h); 15 U.S.C. 1681s-
3; Sec. 214(b), Pub. L. 108-159.
0
6. Revise Sec. 698.2 to read as follows:
Sec. 698.2 Legal effect.
The model forms and disclosures prescribed by the FTC in this part
do not constitute a trade regulation rule. The issuance of the model
forms and disclosures set forth in appendices A, B, and C of this part
carry out the directive in the statute that the FTC prescribe these
forms and disclosures. Use or distribution of the model forms and
disclosures in this part will constitute compliance with any section or
subsection of the FCRA requiring that such forms and disclosures be
used by any motor vehicle dealer subject to the FTC's rulemaking
authority.
0
7. Add appendix C to part 698 to read as follows:
Appendix C to Part 698--Model Prescreen Opt-Out Notices
In order to comply with 16 CFR part 642, the following model
notices may be used:
(a) English language model notice--(1) Short notice.
BILLING CODE 6750-01-P
[[Page 50851]]
[GRAPHIC] [TIFF OMITTED] TR13SE21.001
[[Page 50852]]
(2) Long notice.
[GRAPHIC] [TIFF OMITTED] TR13SE21.002
[[Page 50853]]
(b) Spanish language model notice--(1) Short notice.
[GRAPHIC] [TIFF OMITTED] TR13SE21.003
[[Page 50854]]
(2) Long notice.
[GRAPHIC] [TIFF OMITTED] TR13SE21.004
By direction of the Commission.
April J. Tabor,
Secretary.
[FR Doc. 2021-19465 Filed 9-10-21; 8:45 am]
BILLING CODE 6750-01-C
