An Express Article from the California Land Title Association
Bulletin 13/14-29 - September 20, 2013
Assembly Bill 1169 (Daly), a bill that would require escrow agent rating services to comply with select portions of the Consumer Credit Reporting Agencies Act (CCRAA), has been passed by the Legislature and awaits the Governor’s signature. The bill had no negative votes in the Legislature.
The legislation was sponsored by the California Escrow Association and defines escrow agent rating service as a “a person or entity that prepares a report for compensation…for use by a creditor in evaluating the capacity of an escrow agent to perform escrow services in connection with an extension of credit.” An escrow rating service must comply with the following requirements:
Escrow agent reporting services will also be subject to any requirements applicable to a reseller of credit information if they act in such a capacity. Furthermore, escrow agent rating services must also establish policies and procedures to protect any personal information obtained from escrow agents. An escrow agent that suffers damages as a result of any failure on part of the escrow agent rating service to comply with the safeguard provisions is allowed file an action against the rating service.