International Baccalaureate (IB) Practice Exam

Disable ads (and more) with a membership for a one time $2.99 payment

Study International Baccalaureate Exams with tailored multiple choice quizzes and flashcards. Gain confidence with explanations and hints for every question. Ace your exams!

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

Practice this question and more.

Which of the following is a function of the Fair Credit Reporting Act?

To provide consumers unlimited access to credit history.
To ensure the accuracy of consumer credit reports.
To regulate online credit card transactions.
To eliminate all credit-related fees.

The correct answer is: To ensure the accuracy of consumer credit reports.

The Fair Credit Reporting Act (FCRA) primarily aims to promote the accuracy, fairness, and privacy of information in the files of consumer reporting agencies. One of its fundamental functions is to ensure the accuracy of consumer credit reports. This involves setting guidelines for how credit reporting agencies must handle and report consumer information, thereby giving consumers the right to dispute inaccuracies and ensuring that they have access to correct financial information that reflects their actual creditworthiness. While consumer access to credit history is encouraged under the FCRA, it is not described as "unlimited," as consumers must typically request their reports periodically. The act does not include regulations concerning online credit card transactions, which fall under different financial regulations, and it does not seek to eliminate all credit-related fees, as some fees in credit transactions are necessary and legal under certain conditions. Thus, the emphasis on accuracy aligns closely with the main objectives laid out in the FCRA.