Penalty Amount
$2,250,000
The FTC alleged that RentGrow, a tenant screening company, violated the FCRA by failing to use reasonable procedures to ensure the accuracy of its consumer reports, failing to disclose sources of data, and mishandling consumer disputes. RentGrow agreed to pay a $2.25 million penalty and is prohibited from further violations.
RentGrow will pay a $2.25 million monetary penalty and is prohibited from failing to maintain reasonable procedures to ensure the accuracy of its consumer reports, including preventing duplicate records, and from misrepresenting that it provides updated screening reports after a successful dispute.
In-house legal teams should review contracts with tenant screening vendors and data providers to ensure they include FCRA compliance obligations, accuracy requirements, and dispute handling procedures. They should also review customer agreements with landlords to ensure that any representations about updating reports after disputes are accurate. Clauses related to data accuracy, indemnification for FCRA violations, audit rights, and notification of disputes should be strengthened.
Entity
RentGrow Inc.
Industry
Data BrokerOfficial Press Release
https://www.ftc.gov/news-events/news/press-releases/2026/07/rentgrow-pay-225-million-settle-ftc-allegations-company-violated-fair-credit-reporting-act-ftc-act
RentGrow Complaint
https://www.ftc.gov/system/files/ftc_gov/pdf/RentGrow-Complaint.pdf
RentGrow OrderMtn
https://www.ftc.gov/system/files/ftc_gov/pdf/RentGrow-OrderMtn.pdf
Federal Trade Commission Enforcement Page
https://www.ftc.gov/enforcement
"Massachusetts-based RentGrow Inc."
"pay a $2.25 million monetary penalty"
"violated the Fair Credit Reporting Act (FCRA)"
"the FTC Act"
"Failing to maintain reasonable procedures to ensure the maximum possible accuracy of its consumer reports"
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$1.9M
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