U.S. Sen. Tim Scott (R-SC) recently unveiled legislation that would expand access to credit for an estimated 45 million Americans having little to no credit history.
“Too many Americans are denied the opportunity to build wealth through buying a home or car, or taking out a loan for school, because they don’t have a credit score,” Sen. Scott said. “If you pay your bills on time, you should be able to build credit — simple as that.”
Sen. Scott on July 21 sponsored the bipartisan Credit Access and Inclusion Act of 2021, S. 2417, with lead original cosponsor U.S. Sen. Joe Manchin (D-WV), which would permit landlords and utility and telecommunications providers to report on-time payments data to credit reporting agencies, according to a bill summary provided by Sen. Scott’s staff.
Such reporting would give consumers the opportunity to develop a positive credit history by establishing a track record of on-time bill payments, the summary says.
“We must remove barriers to opportunity by fixing a broken system that currently locks out millions of people in South Carolina and across the country,” said Sen. Scott.
U.S. Sens. Steve Daines (R-MT), Mike Rounds (R-SD), and Thom Tillis (R-NC) also signed on as original cosponsors of S. 2417, which has been referred for consideration to the U.S. Senate Banking, Housing, and Urban Affairs Committee.