The Regulatory Environment

1. Do I need to be concerned about FCRA regulations? 2. Are there differences by state, or more opportunities within certain regions?

Do I need to be concerned about FCRA regulations?

Prescreened offers are FCRA-regulated. You should consult with an attorney to ensure you are compliant with all laws regulating prescreen offers.

Carriers also often find it helpful to work with an experienced third-party processor. These organizations are well versed in prescreen and help manage campaigns.

Are there differences by state, or more opportunities within certain regions?

There are states that do not allow credit information in the underwriting process. However, we do see prescreen campaigns used in some of these states to assess a consumer’s eligibility for certain payment plans.

State and regional differences are governed more by a carrier’s competitiveness in any area. In this case, deciding where to market with prescreen is a business decision based on where a carrier feels they can win the most business. That being said, the fact that prescreen data is cleaner than ITA data remains a valid reason to use prescreen regardless of the state.