The Small Business Credit Protection Act of 2023 requires credit reporting agencies to quickly notify small businesses if their private data is breached. It also prevents these agencies from charging small businesses for credit reports after a breach. The bill also directs the Government Accountability Office to study the financial harm caused to small businesses by data breaches at credit reporting agencies.
Latest Action
Read twice and referred to the Committee on Small Business and Entrepreneurship.
AI Summary
Plain-English explanation of this bill
The Small Business Credit Protection Act of 2023 requires credit reporting agencies to quickly notify small businesses if their private data is breached. It also prevents these agencies from charging small businesses for credit reports after a breach. The bill also directs the Government Accountability Office to study the financial harm caused to small businesses by data breaches at credit reporting agencies.
Last updated: 12/29/2025
Official Summary
Congressional Research Service summary
<p><b>Small Business Credit Protection Act of 2023</b></p> <p>This bill establishes requirements related to breaches of data belonging to small businesses.</p> <p>Specifically, a consumer reporting agency must promptly report any breach of nonpublic small business data. In the event of a breach, a consumer reporting agency may not charge a small business for a credit report. Additionally, the Government Accountability Office must report on the economic harm to small businesses resulting from data breaches at consumer reporting agencies.</p>
Key Points
Main provisions of the bill
Requires credit reporting agencies to promptly report breaches of small business data
Prevents credit reporting agencies from charging small businesses for credit reports after a breach
Directs the Government Accountability Office to study the economic impact of data breaches on small businesses
How This Impacts Americans
Potential effects on citizens and communities
This bill would directly benefit small businesses by providing them with faster notification of data breaches and preventing additional costs from credit reporting agencies in the aftermath. It could help small businesses better understand and recover from the financial harm caused by data breaches. The GAO report could also lead to new policies or regulations to further protect small businesses from the consequences of data security failures.
Policy Areas
Primary Policy Area
Commerce
Scope & Jurisdiction
Jurisdiction Level
federal
Congressional Session
119th Congress
Citation Reference
1371, 119th Congress (2025). "S-CAP Act of 2025". Source: Voter's Right Platform. https://votersright.org/bills/118-s-1371
