Legislative Voice

Consumers United Association Legislative Update April 15, 2005

Bills Highlighted in this Issue Identity Theft Using Credit Scores for Insurance Landlord and Tenant Relations Greetings! Consumers United Association is involved with advocacy efforts on issues that impact your personal finances. Consumers United Association works with the Colorado legislature and other partners in our efforts and encourage our members to become involved. To find out who the elected officials are for your district, go to: Project Vote Smart. You will need your nine-digit zip code. Renee Beauregard, Executive Director Identity Theft Identity theft has been on the forefront during this legislative session. Several bills have been considered so far. Some have failed to pass but progress is still being made. The identity theft bills that have been considered, so far are: SB05-137 - Identity Theft Security Freezes Sponsors: Senator Grossman, Representatives Paccione and Frangas This bill has become known as the "security freeze" bill because it allows any consumer who wants to do so to put a security freeze on his or her credit report. The security freeze would then keep a potential creditor from accessing the credit report until or unless the freeze is lifted by the consumer. A consumer does not already have to be a victim of identity theft to place a security freeze on his or her report. Security freezes can be especially effective for stopping the type of identity theft where a criminal obtains your personal information and uses it to open new credit accounts. With a security freeze, you would lift the freeze long enough to apply for the credit you need and you would be assured that nobody is opening accounts in your name. If a credit reporting agency inadvertently releases your information, they would be required to notify you. Another benefit of this bill that is the protection it could offer to vulnerable populations such as seniors and the disabled. This bill is very close to being passed. As of this writing, this bill has passed a Senate Committee, the Appropriations Committee, House Committee and second reading in the House. Read this bill Consumers United Association urges our members to contact your Representatives in support of this bill. Bill sponsor contact information: Sen. Dan Grossman (Denver & Jefferson) - 303-866- 4852 Rep. Angela Paccione (Larimer) - 303-866-2917 Rep. K. Jerry Frangas (Denver) - 303-866-2954 Identity theft bills that did not pass House Bill 1226 Sponsored by Representative Frangas and Senator Grossman would have helped to criminalize using a false identity to gain personal information over the Internet and stealing personal information from trash receptacles. The bill also had provisions for businesses to protect personal information. House Bill 1116 Sponsored by Representative Crane would have added applying for a government document under false identity to the crime of criminal impersonation. It would have made identity theft a class 4 felony. Unfortunately, neither of these bills passed out of the appropriations committee. By increasing the felony level of the crime or adding new crimes under the umbrella of identity theft, there would have been added costs to the state for law enforcement, court systems and jails. The appropriations committee determined the state budget could not support this. We commend Representative Crane who has attempted to pass similar legislation before and we hope he will continue to try. We also thank Representative Frangas and Senator Grossman who have been working very hard at trying to pass meaningful identity theft legislation. Using Credit Scores for Insurance Senate Bill 195 Concerning a prohibition against the use of credit- based insurance scoring for insurance underwriting purposes. Sponsors: Senator Tochtrop and Representative Butcher Just as the bill title implies, it would prohibit insurance companies from using your credit score for underwriting insurance. Many consumers are not aware that insurance companies consider your credit report when determining your rates. This bill is the second bill of its kind in the legislature this year. The other bill failed to pass. As of this writing, this bill passed a Senate Committee was sent to the Senate for consideration. It appears that the legislative session may end before this bill can be passed. Read this bill Bill sponsor contact information: Sen. Lois Tochtrop (Adams) - 303-866-4863 Rep. Dorothy Butcher (Pueblo) - 303-866-2968 Landlord and Tenant Relations House Bill 1061 Concerning Landlord and Tenant Relations Sponsors: Representative Merrifield and Senator Entz This bill reduces the maximum time a landlord may retain a security deposit to a time period not to exceed forty-five days. It also states that a landlord cannot keep a security deposit due to normal wear and tear and that a late charge for rent cannot exceed two percent of the monthly rent for each day the rent is late and the total late fee cannot exceed fifteen percent of the monthly rent. The bill also outlines specific requirements for the landlord to follow to notify a tenant of late rent and eviction. Read this Bill This bill has passed and been sent to the Governor Quick Links... Consumers United Association Colorado Legislature Project Vote Smart

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