If our bank is purchasing contracts from a car dealership can the dealership share the credit report they pull?? It was always my understanding that credit reports could not be shared in any circumstance.

From the FCRA commentary:

8. Joint Users of Consumer Reports

Entities that share consumer reports with others that are jointly involved in decisions for which there are permissible purposes to obtain the reports may be ``joint users'' rather than consumer reporting agencies. For example, if a lender forwards consumer reports to governmental agencies administering loan guarantee programs (or to other prospective loan insurers or guarantors), or to other parties whose approval is needed before it grants credit, or to another creditor for use in considering a consumer's loan application at the consumer's request, the lender does not become a consumer reporting agency by virtue of such action. An agent or employee that obtains consumer reports does not become a consumer reporting agency by sharing such reports with its principal or employer in connection with the purposes for which the reports were initially obtained.

Would this apply in this situation as well? We have a customer that we will do the construction loan for; however, they are wanting to do the permanent financing elsewhere. The customer has granted us permission to share their credit report with the other institution to get a take-out letter. Are we allowed to do that or should the other institution pull their own credit report?

I should also include that the other institution does not offer construction loans and thus is how we are involved.