This article reviews the risk-based pricing notice requirements, exceptions, model forms, and common questions that may help credit unions clarify the applicability of some of the requirements.
The Fair Credit Reporting Act’s (FCRA) implementing regulation, Regulation V, includes in section 1022.72 a requirement for credit unions to send risk-based pricing notices (RBPNs) to members. Risk-based pricing occurs when credit unions offer different terms to different members based on the member's risk of nonpayment to compensate for the higher risk of default. Each credit union uses its own process to determine the risk that members may default on a loan, but most use information such as a member’s credit score, employment status, income and other outstanding debts, among other factors, when making the determination.
Already a member? Log in
NAFCU Members Get More
This page contains member-only content.
Membership is open to all federally insured credit unions in the United States, both federally and state-chartered. Members enjoy:
If you are already logged in and believe you should have access to member-only content, please contact us for assistance at firstname.lastname@example.org.