Method and system of verifying and authenticating background and consumer records

[0001] This is a utility application of provisional application Ser. No. 60/593769, filed Feb. 11, 2005.

[0002] 1. Field of Invention:

[0003] A method for verifying and authenticating public and private consumer records about consumers, applicants, employees, individuals, and organizations based on a system of self-reporting verification and subsequent reinvestigation or validation of the information contained in consumer reports.

[0004] 2. Description of the Prior Art:

[0005] There are numerous data bases available to acquire and verify personal information for numerous reasons such as individuals seeking or continuing employment, financial transactions such as loans and other selection or qualifying processes.

[0006] Unfortunately, information obtained from various data bases is often incomplete or inaccurate. This can result in wrongfully denying an applicant or individual an opportunity he or she might otherwise be eligible for. If an individual were permitted to review the information prior to a decision being made based upon the erroneous information, the deficiency could generally be rectified. Moreover, when the information is derogatory, individuals may not be afforded the opportunity to explain or mitigate the negative information.

[0007] Thus, there is a need for a method or system that provides a means for an individual to review, verify, authenticate and explain data or information obtained on his or her personal history that may impact on the decision making process.

[0008] The present invention relates to a Method and System of verifying and authenticating background records, such as those found in consumer, credit, criminal, security clearance, security access, insurance, medical, and background reports or records derived from public and private sources, databases, criminal courts, and law enforcement. Records are commonly based on court records, public and private databases containing information about consumers' credit, criminal, security clearance, security access authorization, insurance, medical, and background history, among others.

[0009] The subject invention provides a mode to authenticate and verify applicant, employee, or consumer information such as criminal records, credit reports, security clearances or access, medical records, insurance claims history, and other personal and public information using a self-reporting questionnaire based system that allows a subject to verify his or her information through a series of authentication and verification questions.

[0010] The system may use remote computers operatively coupled or linked to at least one data base provider by corresponding data communication links capable of transferring data and information therebetween.

[0011] The method and system for verifying and authenticating personal history data of a subject obtained from a data base provider requested by a third party comprises authorizing the third party to conduct a personal history data base search of the subject from the data base provider, requesting the personal history data of the subject from the data base provider, searching the data base of the data base provider for the personal history data of the subject, transmitting the personal history data of the subject to the requesting third party, providing the subject with the received personal history data for examination and verification, verifying and authenticating the personal history data by the subject and reviewing the authenticated personal history data by the third party.

[0012] The invention accordingly comprises the features of construction, combination of elements, and arrangement of parts, which will be exemplified in the construction hereinafter set forth, and the scope of the invention will be indicated in the claims.

[0019] The present invention relates to a method and system of verifying and authenticating personal and public information of an individual or subject obtain from public and private records, such as criminal history records, credit reports, security clearances, medical claims history, workers compensation claims, injury claims, insurance claims, and consumer reports, among others.

[0020] The system provides a mode to authenticate and verify applicant, employee, consumer, or individual (hereafter “subject”) information (hereafter “consumer report”, “record”, or “report”, such as found in criminal history records, credit reports, security clearances, permissible security access, medical claims or records history, workers compensation claims, injury claims, insurance claims, and consumer reports. The invention is a self-reporting questionnaire based system that permits an individual to verify the accuracy of his or her consumer or background report through a series of authentication and verification biographical based questions. These reports and authentication questionnaires are delivered to and returned by the consumer or applicant using various means, such as hand, email, facsimile, securely online, email, mail, overnight express, courier, or other delivery methods. A process of self-reporting and authenticating adverse or derogatory information uncovered during a background or consumer investigation that provides open transparency between the consumer and user of these records. Records are aggregated from public and private sources often collected by Credit Reporting Agencies (CRA) found in court files and records, law enforcement records, employment history records, public and private databases, and other sources and delivered to consumers, employees, vendors, vendor employees, federal contractors, military bases, government facilities, credit providers, financial institutions, employers, applicants for employment, and others. By self-authentication of the information by the consumer saves valuable time, costs and legal liabilities associated with a delay in reinvestigating the accuracy or authenticity of the records by contacting the original sources or repositories of the records. The authenticated records and rehabilitative efforts undertaken by the consumer, job candidate, or individual are transmitted to the user of the reports (employers, prospective employers, organization, government entities, and others) by hand, email, facsimile, securely online, mail, overnight express, courier, or other delivery methods. The authenticated report helps users of reports make improved decisions, including hiring, retention, credit, financial, insurance, security clearance or permissible access, or other business or government decisions based on the verified and authenticated information. Moreover, the system allows consumers, applicants, employees, or individuals to provide detailed reasons why they should be granted credit, employment, continued employment, security access or clearance, insurance, medical benefits, contractor status, or other benefits despite adverse or derogatory information found in the report. The business process creates a cost effective and efficient method that saves time, expense, misidentification or reliance on erroneous information that are not the individuals' records due to similarities in names or other personal identifying information, such as social security numbers, residential addresses, dates of birth, and other information commonly used to match records or data to individuals. The process further mitigates damages by reporting or using inaccurate information about consumers through open and transparent reporting of the information to the individual in a timely, if not instant manner.

[0021] Consumer complaints, litigation, and frustration over the use, abuse, or unauthorized use of reports containing inaccurate information heretofore described left consumers to rely on the limited and restrictive remedies afforded by the FCRA and other federal and state laws. The FCRA process gives CRAs up to 30 days to reinvestigate disputed inaccuracies. This delay often damages the consumer or subject, as the job, clearance, credit, insurance, or other benefit are retracted or offered to another consumer or individual that does not require a reinvestigation of the original report. The preferred embodiment of the present invention can be implemented through the use of the Internet, hand delivery, email, facsimile, securely online, mail, overnight express, courier, or other delivery methods (hereinafter “delivery systems”) wherein the individual or consumer using FIG. 1, or similar printed or online form, agrees to use the invention to review his or her report contemporaneous to the user of the report for inaccuracies and ability to report information to possibly explain negative or derogatory information contained therein. The invention creates fairness for consumers to view and comment on his or her report before adverse action or final decisions are taken by the user thereby mitigating or eliminating future claims of damages heretofore insoluble in this manner.

[0022] The method of the present invention is best understood with reference to FIG. 2. Specifically, the method and system transmits by the preferred or elected “delivery system” the consumer report or record to the consumer and user as exampled in FIG. 2. FIG. 2 shows a typical background report from pages 1 to 6. The invention includes on page 1 of FIG. 2 the identified language, “VERIFICATION REQUIRED” and “CONSUMER MUST COMPLETE AND RETURN THE iReviewNow QUESTIONNAIRE”, or similar alerts and warnings heretofore not found in such reports. The invention also includes language as found on page 7 of

[0023] FIG. 2, which provides unique instructions for users and individuals to complete the unique verification questionnaire system found on pages 8 to 11. The individual or consumer using the preferred or elected delivery system transmits his or her responses to the questionnaire found in FIG. 2 to the user or entity creating or using the report. Wherein the report contains no adverse, derogatory, or other information that might adversely affect the individual, the content of pages 8 to 11 and the warnings, alerts or instructions found on pages 1 and 7 are not incorporated in the consumer report. Wherein the report contains adverse, derogatory or other information that might negatively affect the consumer, the subject completes a questionnaire system and returns his or her responses by the preferred or elected delivery system to the user and entity reporting the adverse or derogatory information. Thereafter, a “stop alert” or “pending status” notification is transmitted to the user, CRA, and/or entity reporting the adverse information as found in FIG. 3, or by similar language. These entities or CRAs are instructed to begin an immediate reinvestigation of disputed information found in the report, as identified by the consumer or individual. The reinvestigation is thus expedited and mitigates the consumer or individual's frustration as he or she becomes part of the verification and background investigation system. Once the reinvestigation is completed, a reinvestigation report, such as found in FIG. 4, is transmitted using the preferred or elected delivery system to the user, consumer, or entities as described herein. Information is removed from the background screening or CRA providers of the adverse information when found to be inaccurate or not the record of the subject in question with a new report transmitted to the user and consumer.

[0024] FIG. 5 shows examples of questionnaires and questions used to authenticate the consumer record, verify the accuracy of the report, identify discrepancies or inaccuracies, and allow the individual or consumer to help verify or correct the report and explain potentially damaging or derogatory information.

[0025] It will thus be seen that the objects set forth above, among those made apparent from the preceding description are efficiently attained and since certain changes may be made in the above construction without departing from the scope of the invention, it is intended that all matter contained in the above description or shown in the accompanying drawings shall be interpreted as illustrative and not in a limiting sense.

[0026] It is also to be understood that the following claims are intended to cover all of the generic and specific features of the invention herein described, and all statements of the scope of the invention, which, as a matter of language, might be said to fall there between.

[0027] Now that the invention has been described,