Comments Off on Why you need to add Birth Date Field to Application

The CFPB (Consumer Financial Protection Bureau) is changing the rules for Credit Bureau reporting and these changes will significantly affect you if you check credit or have information reported to a Credit Bureau.

The purpose of these changes is to improve the accuracy of credit information. Currently there is a 17% error rate. The new rules should dramatically reduce this percentage providing you better information along with improved credibility for items reported to a Credit Bureau.

The new rules would require a Creditor to provide some additional information on a Credit Check Applicant and have Verification of the applicant’s identity. Specifically here is what you should start doing as soon as possible.

Add A DATE OF BIRTH FIELD TO YOUR APPLICATION. This information will be required for any data submitted to a Credit Bureau in the future. If you do not provide a date of birth you will not be able to obtain a credit report or have a consumer reported for failing to pay a debt.

IDENTITY WILL REQUIRE VALIDATION: You will also be required to validate the information provided on your Application. This includes full name including generation markers, social security numbers and date of birth for all Applicants.

Finally, you must have documentation showing that the signature used by the Applicant matches a previous signature from the applicant on an identification card or document.

The easy way to do this is to make a copy of the Applicant’s Drivers License. Make sure the copy is clear and provides a recognizable picture of the face of the Applicant. Save this in a file for 7 years after your final bill for consumers who do not pay your bill.

YOUR BILL MUST BE VERIFIED: You will be required to review each bill for accuracy. You must also keep any proof on file for charges not clearly specified in your contract.

When it comes to Consumer disputes, you will be required to provide evidence that the consumer disputing a bill is the same consumer who signed your contract and that the unpaid bill for that consumer is accurate and backed up with evidence. Fortunately, only a few small changes should get you there.

Make sure applications are filled in completely and easy to read. Copy a photo ID. Make sure you keep physical records validating the accuracy of your bills. Finally, don’t forget to add a Date of Birth field and make sure it is filled in.

You already do most of this now so it shouldn’t be much extra. Add a birth date, make sure EVERYTHING is filled in in legible handwriting and save a photo ID.


Add date of birth field to your Application.

Check identity and signature on photo ID and save a copy.

Review your unpaid bill for accuracy and make sure you can verify ALL items not expressly defined in your contract.

Most of you will be checking credit and virtually all of you will want to proceed against a former customer who does not pay your bill. If you follow these suggestions the process will be easier and you will succeed more often. If you don’t make any changes it will become increasingly difficult to collect your bad debt.

Seems like an easy choice to me.


Executive Credit Management is a full-service Debt Collection and Applicant Screening agency with over 20 years’ experience located in Central New Jersey. We provide excellent service in the following areas: Employment Screening, Business Screening, and Tenant Screening. Executive Credit Management belongs to a number of Skip Tracing databases and offers services to help locate and confirm the current address of missing debtors. Other services provided are: litigation evaluation on all lawsuit decisions, improvement of the quality of the applicant data, Lawsuit Monitoring, Handling of Debtor Disputes. Executive Credit Management features the best Call Monitoring System in the Debt Collection industry.