Regulation allows potential creditors access to medical records
On the Money From the April 7, 2006 print edition The last time you applied for a loan, the fact you had measles at age 9 probably didn’t enter your mind. Likewise, the application didn’t ask about your plans to repair that pesky left knee meniscus tear. Nevertheless, a new federal rule that went into effect April 1 — Regulation FF — grants exceptions that allow creditors to obtain or use medical information for determining credit-worthiness. Although limited to circumstances that creditors believe are “necessary and appropriate,” they may use certain health information as part of their evaluation process. Also, the rule allows creditors to share medical information with affiliates in certain situations. The Fair Credit Reporting Act (FCRA), defines “medical information” as information or data, whether oral or recorded, in any form or medium, created by or derived from a health care provider or the consumer that relates to 1) the past, present or future physical, mental, behavioral health or condition of an individual; 2) health care provided to...
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