Federal Law Compliance
Optimum Financial Services LLC is committed to full compliance with the Fair Credit Reporting Act (15 U.S.C. §1681 et seq.) and all applicable federal and state consumer protection laws.
Effective Date: January 1, 2025 | Version 4.0
1. FCRA OVERVIEW AND APPLICABILITY
1.1 Purpose and Scope
The Fair Credit Reporting Act (FCRA) promotes accuracy, fairness, and privacy of information in the files of consumer reporting agencies. This notice explains your rights under the FCRA and how Optimum Financial Services complies with these federal requirements.
1.2 Definitions Under FCRA
- Consumer Report
- Any written, oral, or other communication of information by a consumer reporting agency bearing on creditworthiness, credit standing, credit capacity, character, general reputation, personal characteristics, or mode of living.
- Consumer Reporting Agency (CRA)
- Any person which, for monetary fees, dues, or on a cooperative nonprofit basis, regularly engages in the practice of assembling or evaluating consumer credit information.
- Adverse Action
- A denial or revocation of credit, a change in the terms of an existing credit arrangement, or a refusal to grant credit in substantially the amount or on substantially the terms requested.
2. YOUR RIGHTS UNDER THE FCRA
2.1 Access to Your Credit Information
Free Annual Credit Reports
You are entitled to a free copy of your credit report from each of the three major credit bureaus once every 12 months.
Authorized Source: www.annualcreditreport.com
Phone: 1-877-322-8228
Mail: Annual Credit Report Request Service, P.O. Box 105281, Atlanta, GA 30348-5281
2.2 Additional Free Reports
You may also obtain a free credit report if:
- You are unemployed and plan to look for employment within 60 days
- You are on welfare
- Your report is inaccurate because of fraud, including identity theft
- You have been denied credit, employment, or insurance within the past 60 days
- You are a victim of identity theft and place a fraud alert in your file
2.3 Dispute Rights
Disputing Inaccurate Information
If you find errors in your credit report, you have the right to dispute the information with both the credit reporting agency and the information furnisher (such as Optimum).
- • Credit bureaus must investigate disputes within 30 days (45 days if additional information is provided)
- • Inaccurate or unverifiable information must be corrected or deleted
- • You must be notified of the results of the investigation
- • Corrected reports must be sent to anyone who received your report in the past 6 months
3. OPTIMUM'S FCRA COMPLIANCE PRACTICES
3.1 Credit Reporting Procedures
| Information Type | Reporting Frequency | Retention Period |
|---|
| Payment History | Monthly | 7 years from first delinquency |
| Account Status | Monthly | 10 years from account closure |
| Credit Limit/High Balance | Monthly | 10 years from account closure |
| Charge-offs | Upon occurrence | 7 years from charge-off date |
3.2 Data Accuracy and Quality Control
- Automated Data Validation: All reported data undergoes systematic accuracy checks
- Monthly Reconciliation: Account information verified against internal records
- Dispute Investigation: Dedicated team for handling consumer disputes within required timeframes
- Staff Training: Regular FCRA compliance training for all personnel handling consumer data
- Third-Party Audits: Annual compliance audits by independent firms
4. ADVERSE ACTION PROCEDURES
4.1 Pre-Adverse Action Notice
Before taking adverse action based on information in a consumer report, we will provide you with:
- A copy of the consumer report we relied upon
- A written description of your rights under the FCRA
- Reasonable time to review the report and dispute any inaccuracies
4.2 Adverse Action Notice
Required Disclosures
If we take adverse action, we will provide written notice containing:
- • The specific action taken
- • Name, address, and phone number of the consumer reporting agency
- • Statement that the CRA did not make the decision
- • Your right to obtain a free copy of your credit report within 60 days
- • Your right to dispute the accuracy or completeness of information
5. IDENTITY THEFT PROTECTION
5.1 Fraud Alerts
Initial Fraud Alert
90-day alert for suspected identity theft
Extended Fraud Alert
7-year alert for identity theft victims
Active Duty Alert
1-year alert for military personnel
5.2 Security Freeze
You have the right to place a security freeze on your credit report, which restricts access to your credit report without your consent. Security freezes are free for all consumers.
6. DISPUTE RESOLUTION PROCESS
6.1 How to Dispute Information
Contact Methods
Online Dispute Portal
www.optimumcard.com/dispute
Phone
1-800-OPTIMUM (1-800-678-4686), Option 3
Mail
Optimum Financial Services LLC
FCRA Dispute Department
P.O. Box 54321
New York, NY 10001
6.2 Investigation Timeline
| Timeframe | Action | Communication |
|---|
| Within 5 days | Acknowledge receipt of dispute | Email/mail confirmation |
| Within 30 days | Complete investigation | Results notification |
| Within 5 days of completion | Report corrections to CRAs | Confirmation to consumer |
7. CREDIT BUREAU CONTACT INFORMATION
Experian
P.O. Box 4000
Allen, TX 75013
1-888-397-3742
www.experian.com
Equifax
P.O. Box 740241
Atlanta, GA 30374
1-800-685-1111
www.equifax.com
TransUnion
P.O. Box 1000
Chester, PA 19016
1-800-916-8800
www.transunion.com
8. REGULATORY OVERSIGHT
8.1 Federal Agencies
FCRA compliance is overseen by multiple federal agencies depending on the type of entity:
- Consumer Financial Protection Bureau (CFPB): Primary enforcement for most consumer financial services
- Federal Trade Commission (FTC): Enforcement for non-bank entities
- Federal Deposit Insurance Corporation (FDIC): State-chartered banks
- Office of the Comptroller of the Currency (OCC): National banks
8.2 Filing Complaints
Consumer Financial Protection Bureau
Website: www.consumerfinance.gov/complaint
Phone: 1-855-411-2372
TTY: 1-855-729-2372
Mail: Consumer Financial Protection Bureau, P.O. Box 4503, Iowa City, IA 52244
Optimum FCRA Compliance Contact
FCRA Compliance Officer: compliance@optimumcard.com
Phone: 1-800-OPTIMUM (1-800-678-4686), Option 9
Mailing Address:
Optimum Financial Services LLC
FCRA Compliance Department
P.O. Box 54321
New York, NY 10001
Document Version: 4.0 | Last Updated: January 1, 2025 |Effective Date: January 1, 2025 | Next Review: January 1, 2026