Metro 2 is a standard format for all businesses reporting credit data to the four major credit bureaus. This format was created in 1997 by the Consumer Data Industry Association (CDIA). If you want to report consumer or commercial credit to the bureaus, you’ll want to learn more about Metro 2.
Why Do the Bureaus Require Metro 2 Format?
A universal credit reporting format is important for lots of reasons. Metro 2 format:
- Provides one standard format for reporting to all four major credit bureaus.
- Is a lot easier to understand and use than other formats.
- Meets the requirements of the Fair Credit Reporting Act (FCRA) and Fair Credit Billing Act (FCBA).
- Improves accuracy with four-digit year fields
- Allows reporting of consumer payment history up to 24 months.
- Provides businesses the ability to report detailed information at both the account and consumer level.
Basically, Metro 2 format ensures that the four credit bureaus receive all the information they need from data furnishers. When you send this relevant information on time, your data will show up on your customers’ credit reports more quickly.
How Do I Use It?
The CDIA limits access to the Metro 2 format. Only data furnishers and credit reporting service companies like Datalinx can use it. It also requires special software to convert data into this format. The CDIA expects you to find credit reporting software that converts your data to Metro 2 format. They also want you to use a system that allows for accurate and timely reporting.
Once you find the right software, your steps to report include:
- Compiling your customers’ or tenants’ credit information
- Entering this data into your credit reporting software
- Uploading your file to your preferred credit bureau(s)
- Validating your data through the bureau(s)
- Adding your data to customers’ credit reports
Our software is simple and easy to use, with basic templates for required fields. It also integrates easily with your existing systems, so there’s no need to buy new programming. Contact Datalinx today and get started reporting credit!