Reporting of Child Support Debts to Consumer Reporting Agencies

PURPOSE: The purpose of this rule is to establish procedures where a consumer reporting agency may request debt information from the Family Support Division (FSD). It also contains procedures for FSD to report an obligor who has an arrearage of $1000 or more to consumer reporting agencies. This rule references 13 CSR 40-100.020, regarding procedures where an obligor, whose debt is to be reported to a consumer reporting agency, may request and receive an administrative hearing regarding the report. The information given to consumer reporting agencies will be used to update individual consumer records. (1) Definitions. (A) “Consumer reporting agency” (CRA), or a credit bureau, is any person, corporation, association, partnership, or other entity which, for monetary fees, dues, or on a cooperative nonprofit basis, regularly engages in assembling and/or evaluating consumer credit information or other information on consumers for the purpose of furnishing credit reports to third parties, and which uses any means or facility of interstate commerce for the purpose of preparing or furnishing consumer reports. (B) “Division” means the Missouri Family Support Division (FSD) and its employees. (C) “Arrearage” means an amount of money owed for past-due child support, spousal support, or a state debt arising from Temporary Assistance for Needy Families (TANF), which includes, but is not limited to, a cash grant, funds expended for medical services, and alternative care payments. (D) “Obligor” means any person who is ordered to pay support by a court or administrative authority. (2) Division (IV-D) Responsibilities. (A) If an obligor— 1. Is at least two (2) months delinquent in the payment of support and the arrearage is one thousand dollars ($1,000) or more, the division shall periodically report to consumer reporting agencies an obligor’s name and other identifying information specified in subsection (2)(D) and may continue to do so after the arrearage is less than one thousand dollars ($1000); or 2. Has an arrearage of one thousand dollars (1,000) or more and is not two (2) months delinquent in the payment of support, the division may periodically report to consumer reporting agencies the obligor’s name and other identifying information specified in subsection (2)(D), and may continue to do so after the arrearage is less than one thousand dollars ($1,000). (B) A CRA may request information on an obligor from the division. The request must always be in writing, signed by a CRA’s managerial officer and sent to the division at its main office address contained in 13 CSR 401.010. The officer must possess authority to make the request and that authority must be cited in the request. If the obligor already has been referred to a CRA, the division must provide the information within a reasonable time. If a referral has never been made to a CRA, and the obligor is at least two (2) months delinquent in the payment of support, the division must send advance notice to the obligor as provided in subsection (2)(C), prior to providing the CRA with the requested information. (C) Prior to the referral to a CRA under subsection (2)(A) or (2)(B), the division must provide notice to the obligor that consists of the arrearage information the division intends to give the CRA and the obligor’s right to contest the accuracy of that information. The advance notice to the obligor will be sent by first class mail. The advance notice must contain—a statement that the division intends to report the obligor’s arrearage to one (1) or more CRAs; the date the CRA(s) will be sent the arrearage information; the arrearage amount as calculated by the division; identifying information specified in subsection (2)(D); a statement that the obligor may contest the arrearage amount by requesting an administrative hearing within twenty (20) calendar days after the notice is mailed; and the name, address, and telephone number of the person from whom the obligor can request a hearing. The division shall not refer an obligor’s name and other identifying information to a CRA under this rule while the request for hearing is pending. (D) The division will generate a monthly file of all obligors meeting the criteria under subsection (2)(A) and electronically transmit the file to each CRA. The file shall include, but not be limited to, the obligor’s name, Social Security number, current arrearage figure, and other identifying information as determined necessary by the division. (E) Nonwithstanding the provisions of subsections (2)(A) and (2)(B) to the contrary, the division shall not make information available to— 1. A consumer reporting agency which the division determines does not have sufficient capability to systematically and timely make accurate use of such information; or 2. An entity which has not furnished evidence satisfactory to the division that the entity is a consumer reporting agency. (3) CRA Responsibilities. (A) Each CRA must agree to the following provisions. The CRA must develop a computer program which will allow the division’s electronic information to be entered in its records in a systematic and timely manner, agree to use information provided by the division in a lawful manner and safeguard information received from the division in accordance with federal and state confidentiality requirements. (4) Fees. The division shall not charge the credit bureau a fee. (5) Disputing Arrearage Amounts on File with the CRA. (A) An obligor may seek to contest arrearage figures on file with a CRA. If the obligor contacts the division, s/he must do so in writing and clearly state the grounds on which the arrearage figure is being contested. An administrative hearing will not be held, but the division will review the case and respond to the obligor regarding the results of the review. (B) If the arrearage figure does change, the CRA will be notified on the next monthly electronic file listing. If the CRA representative contacts the division to verify the accuracy of information which is disputed by the obligor, the division will then review the case for accuracy in the same manner as if contacted directly by the obligor. AUTHORITY: sections 454.400 and 660.017, RSMo 2016.* This rule originally filed as 13 CSR 30-6.010. Original rule filed Dec. 13, 1989, effective April 26, 1990. Emergency amendment filed June 2, 1995, effective July 15, 1995, expired Nov. 11, 1995. Amended: Filed June 2, 1995, effective Sept. 30, 1995. Moved to 13 CSR 40-104.020 and amended: Filed Oct. 1, 2018, effective May 30, 2019. *Original authority: 454.400, RSMo 1982, amended 1985, 1986, 1990, 1993, 1995, 1997, 2014 and 660.017, RSMo 1993, amended 1995.