13C.001 DEFINITIONS.
    Subdivision 1. Scope. The definitions in this section apply to this chapter.
    Subd. 2. Consumer. "Consumer" means an individual.
    Subd. 3. Consumer report. (a) "Consumer report" means a written, oral, or other
communication of information by a consumer reporting agency bearing on a consumer's credit
worthiness, credit standing, credit capacity, character, general reputation, personal characteristics,
or mode of living that is used or expected to be used or collected in whole or in part for:
(1) the purpose of serving as a factor in establishing the consumer's eligibility for credit or
insurance to be used primarily for personal, family, or household purposes;
(2) employment purposes; or
(3) other purposes authorized under United States Code, title 15, section 1681b.
(b) Consumer report does not include:
(1) a report containing information solely as to transactions or experiences between the
consumer and the person making the report;
(2) an authorization or approval of a specific extension of credit directly or indirectly by
the issuer of a credit card or similar device; or
(3) a report in which a person who has been requested by a third party to make a specific
extension of credit directly or indirectly to a consumer conveys a decision with respect to the
request, if the third party advises the consumer of the name and address of the person to whom
the request was made and the person makes the disclosures to the consumer required under
United States Code, title 15, section 1681m.
    Subd. 4. Consumer reporting agency. "Consumer reporting agency" means a person that,
for monetary fees, dues, or on a cooperative nonprofit basis, regularly engages in whole or in part
in the practice of assembling or evaluating consumer credit information or other information on
consumers for the purpose of furnishing consumer reports to third parties.
    Subd. 5. Employment purposes. "Employment purposes" means evaluating a consumer
for hiring, compensation, promotion, reassignment, retention, or with respect to other terms and
conditions of employment.
    Subd. 6. Investigative consumer report. "Investigative consumer report" means a
consumer report in which information on a consumer's character, general reputation, personal
characteristics, or mode of living is obtained through personal interviews with neighbors, friends,
or associates of the consumer or with others with whom the consumer is acquainted or who may
have knowledge concerning the information. "Investigative consumer report" does not include
specific factual information on a consumer's credit record obtained directly from a creditor of the
consumer or from a consumer reporting agency when the information was obtained directly from
a creditor of the consumer or from the consumer.
History: 1993 c 292 s 1

13C.01 ACCESS TO CONSUMER REPORTS PREPARED BY CONSUMER REPORTING
AGENCIES.
    Subdivision 1. Fee for report. (a) A consumer who is the subject of a consumer report
maintained by a consumer reporting agency is entitled to request and receive by mail, for a charge
not to exceed $3, a copy of the consumer report once in any 12-month period. The mailing must
contain a statement of the consumer's right to dispute and correct any errors and of the procedures
set forth in the federal Fair Credit Reporting Act, United States Code, title 15, sections 1681
et seq., for that purpose. The consumer reporting agency shall respond to a request under this
subdivision within 30 days.
(b) A consumer who exercises the right to dispute and correct errors is entitled, after doing
so, to request and receive by mail, without charge, a copy of the consumer report in order to
confirm that the consumer report was corrected.
(c) A consumer is entitled to a free copy of a consumer report if the consumer satisfies
the procedures set forth in the federal Fair Credit Reporting Act, United States Code, title 15,
sections 1681 et seq.
    Subd. 2.[Repealed, 1993 c 292 s 6]
History: 1992 c 569 s 5; 1993 c 292 s 2; 1999 c 244 s 1

13C.016 CONSUMER SECURITY FREEZE.
    Subdivision 1. Definitions. (a) For purposes of this section and sections 13C.017 to 13C.019,
the terms defined in this section have the meanings given.
(b) "Security freeze" means a notice placed in a consumer's consumer report, at the request
of the consumer and subject to certain exceptions, that prohibits the consumer reporting agency
from releasing the consumer report or any information from it, in connection with the extension
of credit or the opening of a new account, without the express authorization of the consumer. If a
security freeze is in place, information from a consumer's consumer report may not be released to
a third party, in connection with the extension of credit or the opening of an account, without
prior express authorization from the consumer. This paragraph does not prevent a consumer
reporting agency from advising a third party that a security freeze is in effect with respect to
the consumer report.
(c) "Victim of identity theft" means a consumer who has a copy of a valid police report
evidencing that the consumer has alleged to be a victim of identity theft as defined in section
609.527.
    Subd. 2. Right to obtain security freeze. A consumer may elect to place a security freeze
on the consumer's consumer report by making a request to a consumer reporting agency. The
consumer may make the request:
    (1) by certified mail;
    (2) by telephone by providing certain personal identification required by the consumer
reporting agency; or
    (3) directly to the consumer reporting agency through a secure electronic mail connection if
the connection is made available by the consumer reporting agency.
    Subd. 3. Response of consumer reporting agency. (a) A consumer reporting agency shall
place a security freeze on a consumer's consumer report no later than three business days after
receiving a request under subdivision 2 from the consumer.
(b) The consumer reporting agency, within ten business days after receiving the request,
shall send a written confirmation of the security freeze to the consumer and provide the consumer
with a unique personal identification number or password to be used by the consumer when
providing authorization for the release of the consumer's consumer report for a specific party or
period of time.
(c) When a consumer requests a security freeze, the consumer reporting agency shall
disclose the process of placing and temporarily lifting a freeze, including the process for allowing
access to information from the consumer's consumer report for a specific party or period of time
while the freeze is in place.
    Subd. 4. Temporary lifting or permanent removal of freeze. (a) If the consumer wishes to
allow the consumer's consumer report to be accessed for a specific party or period of time while
a freeze is in place, the consumer shall contact the consumer reporting agency, request that the
freeze be temporarily lifted, and provide the following:
(1) proper identification, which means that information generally deemed sufficient
to identify a person. Only if the consumer is unable to sufficiently provide self-identifying
information may a consumer reporting agency require additional information concerning the
consumer's employment and personal or family history in order to verify the consumer's identity;
(2) the unique personal identification number or password provided by the credit reporting
agency under subdivision 3, paragraph (b); and
(3) the proper information regarding the third party who is to receive the consumer report or
the time period for which the report is to be available to users of the consumer report.
(b) A consumer reporting agency that receives a request from a consumer to temporarily lift
a freeze on a consumer report under paragraph (a) shall comply with the request no later than
three business days after receiving the request.
(c) A consumer reporting agency may develop procedures involving the use of telephone,
fax, the Internet, or other electronic media to receive and process a request from a consumer to
temporarily lift a freeze on a consumer report under paragraph (a) in an expedited manner, with
the goal of processing a request within 15 minutes after the request.
(d) A consumer reporting agency shall remove or temporarily lift a freeze placed on a
consumer report only in the following cases:
(1) upon consumer request under paragraph (a) or (e); or
(2) when the consumer report was frozen due to a material misrepresentation of fact by the
consumer. When a consumer reporting agency intends to remove a freeze on a consumer report
under this clause, the consumer reporting agency shall notify the consumer in writing three
business days prior to removing the freeze on the consumer report.
(e) A security freeze remains in place until the consumer requests that the security freeze be
removed. A consumer reporting agency shall remove a security freeze within three business days
of receiving a request for removal from the consumer, who provides both of the following:
(1) proper identification, as defined in paragraph (a), clause (1); and
(2) the unique personal identification number or password referenced in paragraph (a),
clause (2).
    Subd. 5. Response by third party to denial of access. When a third party requests access
to a consumer report on which a security freeze is in effect, and this request is in connection
with an application for credit or the opening of an account and the consumer does not allow the
consumer's consumer report to be accessed for that specific party or period of time, the third
party may treat the application as incomplete.
    Subd. 6. Nonapplicability. This section does not apply to the use of a consumer report by
any of the following:
(1) a person or entity, or a subsidiary, affiliate, or agent of that person or entity, or an assignee
of a financial obligation owing by the consumer to that person or entity, or a prospective assignee
of a financial obligation owing by the consumer to that person or entity in conjunction with
the proposed purchase of the financial obligation, with which the consumer has or had prior to
assignment an account or contract, including a demand deposit account, or to whom the consumer
issued a negotiable instrument, for the purposes of reviewing the account or collecting the
financial obligation owing for the account, contract, or negotiable instrument. For purposes of this
clause, "reviewing the account" includes activities related to account maintenance, monitoring,
credit line increases, and account upgrades and enhancements;
(2) a subsidiary, affiliate, agent, assignee, or prospective assignee of a person to whom
access has been granted under subdivision 4 for purposes of facilitating the extension of credit or
other permissible use;
(3) any federal, state, or local governmental entity, including but not limited to a law
enforcement agency, court, or its agents or assigns;
(4) a private collection agency acting under a court order, warrant, or subpoena;
(5) any person or entity for the purposes of prescreening as provided for by the federal
Fair Credit Reporting Act;
(6) any person or entity administering a credit file monitoring subscription service to which
the consumer has subscribed; and
(7) any person or entity for the purpose of providing a consumer with a copy of the
consumer's consumer report upon the consumer's request.
    Subd. 7. Information to government agencies not affected. This section does not prohibit
a consumer reporting agency from furnishing to a governmental agency a consumer's name,
address, former address, places of employment, or former places of employment.
    Subd. 8. Fees. (a) A consumer reporting agency may charge a fee of $5 for placing,
temporarily lifting, or removing a security freeze unless:
(1) the consumer is a victim of identity theft as defined in subdivision 1, paragraph (c); and
(2) the consumer provides the consumer reporting agency with a valid copy of a police report
or a police case number documenting the identity theft.
(b) In addition to the charge, if any, permitted under paragraph (a), a consumer may be
charged no more than $5 if the consumer fails to retain the original personal identification number
given to the consumer by the agency, but the consumer may not be charged for a onetime reissue
of the same or a new personal identification number. The consumer may be charged no more than
$5 for subsequent instances of loss of the personal identification number.
History: 2006 c 233 s 2

13C.017 SECURITY FREEZE; CHANGES TO INFORMATION; WRITTEN
CONFIRMATION REQUIRED.
If a security freeze is in place, a consumer reporting agency may not change any of the
following official information in a consumer report without sending a written confirmation of
the change to the consumer within 30 days of the change being posted to the consumer's file:
name, date of birth, Social Security number, and address. Written confirmation is not required
for technical modifications of a consumer's official information, including name and street
abbreviations, complete spellings, or transposition of numbers or letters. In the case of an address
change, the written confirmation shall be sent to both the new address and to the former address.
History: 2006 c 233 s 3

13C.018 SECURITY FREEZE; NOT APPLICABLE TO CERTAIN CONSUMER
REPORTING AGENCIES.
A consumer reporting agency is not required to place a security freeze in a consumer report
under section 13C.016 if it acts only as a reseller of credit information by assembling and merging
information contained in the database of another consumer reporting agency or multiple consumer
reporting agencies, and does not maintain a permanent database of credit information from which
new consumer reports are produced. However, a consumer reporting agency must honor any
security freeze placed on a consumer report by another consumer reporting agency.
History: 2006 c 233 s 4

13C.019 SECURITY FREEZE; EXEMPT ENTITIES.
The following entities are not required to place a security freeze on a consumer report
under section 13C.016:
(1) a check services or fraud prevention services company that issues reports on incidents
of fraud or authorizations for the purpose of approving or processing negotiable instruments,
electronic funds transfers, or similar methods of payments; and
(2) a deposit account information service company that issues reports regarding account
closures due to fraud, substantial overdrafts, ATM abuse, or similar negative information
regarding a consumer, to inquiring banks or other financial institutions for use only in reviewing a
consumer request for a deposit account at the inquiring bank or financial institution.
History: 2006 c 233 s 5

13C.02 DISCLOSURE OF USE OF CONSUMER REPORTS FOR EMPLOYMENT
PURPOSES.
    Subdivision 1. Disclosure required. A person may not obtain or cause to be prepared a
consumer report on a consumer for employment purposes unless the person clearly and accurately
discloses to the consumer that a consumer report may be obtained or caused to be prepared. The
disclosure must inform the consumer of the right to request additional information on the nature
of the report under subdivision 3. In the case of an investigative consumer report, the disclosure
under this subdivision must inform the consumer that the report may include information obtained
through personal interviews regarding the consumer's character, general reputation, personal
characteristics, or mode of living.
    Subd. 2. Form; copy. The disclosure required under subdivision 1 must be in writing and
must be provided to the consumer before the consumer report is obtained or caused to be prepared.
If a written application is provided for employment purposes by an employer or prospective
employer, the disclosure must be included in or accompany the application. The disclosure must
include a box that the person may check off and return to receive a copy of the consumer report.
If the consumer requests a copy of the report, the person requesting the report shall request
the person preparing the report to provide a copy to the consumer. The report must be sent to
the consumer by the person preparing the report within 24 hours of providing it to the person
requesting the report. The report to the consumer must include a statement of the consumer's right
to dispute and correct any errors and of the procedures under United States Code, title 15, sections
1681 to 1681t. A consumer may not be charged for a report provided under this section. If no
report exists, the consumer reporting agency has no obligation to the consumer under this section.
    Subd. 3. Further disclosure if requested. A consumer reporting agency shall, upon written
request from the consumer, make a complete and accurate disclosure of the nature and scope
of the report. The disclosure under this subdivision must be in writing and must be mailed or
delivered to the consumer within five days after the request for the disclosure was received or the
consumer report was requested, whichever date is later.
    Subd. 4. Exception. This section does not apply to:
(1) a consumer report to be used for employment purposes for which the consumer has
not specifically applied; or
(2) a consumer report used for an investigation of a current violation of a criminal or civil
statute by a current employee or an investigation of employee conduct for which the employer
may be liable, until the investigation is completed.
History: 1993 c 292 s 3

13C.03 NOTICE OF ADVERSE ACTION.
If employment is denied or other adverse action for employment purposes is taken against a
consumer wholly or partly because of information contained in a consumer report, the user of the
report shall so advise the consumer and notify the consumer of the consumer's right to receive
a copy of the report if a copy was not received pursuant to section 13C.02, subdivision 2. The
user of the report shall also give the consumer the name and address of the consumer reporting
agency making the report and a notice of the consumer's right to dispute and correct any errors
and of the procedures under United States Code, title 15, sections 1681 to 1681t. Upon written
request from the consumer, the consumer reporting agency shall provide a copy of the report to
the consumer within five days of receipt of the request. A consumer may not be charged for a
report provided under this section.
History: 1993 c 292 s 4

13C.04 ENFORCEMENT; REMEDIES.
This chapter may be enforced by the attorney general or the county attorney pursuant to
section 8.31 or 325F.70 and the public and private remedies available under those sections apply
to this chapter.
History: 1993 c 292 s 5