Which agencies enforce FACT Act compliance and handle consumer disputes?

• A. The Federal Reserve and Department of Commerce.
• B. The Federal Trade Commission (FTC) and federal banking regulators; state attorneys general may also enforce.
• C. The Internal Revenue Service.
• D. The Environmental Protection Agency.

Answer: (B)

The fundamental point is who enforces the FACT Act and handles consumer disputes. The enforcement hinges on consumer protection and banking regulation: the Federal Trade Commission is the main federal watchdog for consumer protection in credit reporting, and federal banking regulators enforce FACT Act provisions for banks and other regulated lenders. State attorneys general can also step in to enforce or pursue actions at the state level.

The other options miss this setup. The Federal Reserve is a regulator for banks, but enforcement of FACT Act-specific provisions is primarily through the FTC and banking regulators, not the Fed alone or the Department of Commerce. The Internal Revenue Service and Environmental Protection Agency deal with tax and environmental issues, not consumer credit reporting or FACT Act enforcement.