The Credit Access and Inclusion Act of 2017

Floor Speech

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Mr. Speaker, I want to thank my friend from Arkansas and the bipartisan group that came together to make this passage of The Credit Access and Inclusion Act possible.

Mr. Speaker, let me just ask you, and anyone, a question. If you could help millions of people get access to an apartment, get a lower- cost loan, a lower phone or utility deposit all without creating a new government program, without spending any government money, without a government mandate, and virtually no new tax dollars, would you take that deal?

I think that is a good deal. This is what we are proposing here. I know I would take that deal.

Mr. Speaker, I am urging all Members to vote in favor of the passage of The Credit Access and Inclusion Act, because that is what it would do simply by saying we are going to use all the data that consumers rely on now that is not necessarily credit related but does show that they pay their bills to be included in the construction of that credit score.

That is why I am proud to be here today, because the passage of this bipartisan Credit Access and Inclusion Act is going to help Americans be more successful in this economy. It will reward people who pay their utility and their phone bills on time, because it is important to note that when those bills are not paid on time, they are already reported.

People get credit, under this bill, for the bills that they pay on time, and still are able and in a position to be able to get perhaps lower interest rates, get lower deposits they have to put down, and be able to lead more prosperous economic lives.

This bill is about bringing some basic fairness to the credit scoring system. I mean, credit is currently a currency in our society. It unlocks access to goods and services hardworking Americans need to build some economic security for themselves and their families.

But there are currently, Mr. Speaker, 26 million, or at least one in ten Americans, who do not have a credit record. They are what they call invisibles. Another 19 million Americans do not have enough information to score. Low-income individuals and racial and ethnic minorities are often in the worst shape.

If we want to do something about closing the wealth gap between different peoples of different backgrounds and really bringing economic opportunity to all, this is the right bill to take a step.

About one in four Latinos and African Americans either don't have a credit record or don't have enough of a record to score, and almost half of the residents of low-income communities do not have a score.

That doesn't mean they don't have needs, Mr. Speaker. That doesn't mean they don't get phones and they don't pay bills and they don't get apartments. It just means they tend to pay more for them.

In fact, we have heard the old adage that the poor pay more. It is expensive to be poor. Those things are true. This bill can make that a little less true and bring a little bit more happiness and economic prosperity to people.

This bill allows credit rating agencies to use on-time rent, phone, and utility payments when determining credit scores. As a result, more than a third of previously unscoreable Americans will now have access to prime credit and the opportunities that come with it.

This bill isn't just about access to credit, though. It is about a little bit more than that. It is also about saving hardworking Americans real money, thousands of dollars, Mr. Speaker, on their car loans and on their mortgages, because if you are unscoreable or if your score is unnecessarily high because that non-loan data is not counted, you may get the loan, but you will pay more for it.

That is money that could be used to help build a family's wealth, create some savings, Mr. Speaker, so that when you get into an emergency, you can use your own money as opposed to going to a payday lender.

This is a good bill. That is why it has bipartisan support and that is why I am glad that Congressman French Hill and I were able to work together on it.

Mr. Speaker, I ask for a favorable vote, and I yield back the balance of my time.

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