Sponsor
Mark Alford
Representative · R-MO
Representative · R-MO
The bill protects covered employees' credit records and speeds CFPB rulemaking to reduce short-term harm from shutdowns, but it shifts costs and information gaps onto lenders and reporting agencies and may produce uneven relief or future borrowing consequences for affected households.
Federal and other covered employees (including low- and middle-income federal workers) will avoid late/missed-payment entries for the shutdown-covered period, helping preserve credit scores and access to credit.
Consumers gain faster clarity and implementation because the CFPB must issue implementing rules within 30 days, accelerating relief and standardizing how covered-period delinquencies are handled on credit reports.
Covered employees may face fewer immediate out-of-pocket costs and less short-term financial stress if lenders voluntarily waive late fees/penalties or offer temporary forbearance and payment flexibility during the covered period.
Borrowers generally could face higher borrowing costs or reduced credit availability over time because lenders and underwriters will lack shutdown-period payment history, increasing perceived credit risk and underwriting complexity.
Relief is non-binding on private lenders, so many covered employees may receive uneven or no fee waivers or forbearance, leaving the most vulnerable without promised protections.
If lenders grant forbearance without clear, enforceable terms, affected borrowers could later face larger balances due to accrued interest, deferred charges, or unclear repayment schedules.
Based on analysis of 3 sections of legislative text.
Bars consumer reports from listing shutdown-period late or missed payments by furloughed or unpaid federal employees and directs CFPB rulemaking within 30 days.
Official title: To amend the Fair Credit Reporting Act to prohibit certain adverse information related to late or missed payments during a Government shutdown by a furloughed or unpaid Government employee from being included in consumer reports, and for other purposes.
Introduced July 22, 2026 by Mark Alford · Last progress July 22, 2026
Prohibits consumer reporting agencies from listing adverse credit items (late or missed payments) that occurred while federal employees were furloughed or required to work without pay during a lapse in appropriations, and directs the CFPB to issue implementing rules within 30 days. It also expresses Congress's nonbinding view that private lenders should offer temporary forbearance, waive fees and penalties, and refrain from furnishing negative credit information for those affected during the covered period.