Which statement is true regarding credit card lenders and prescreening?

The correct understanding focuses on the concept of prescreening in relation to credit card offers. Prescreening allows lenders to identify potential borrowers based on specific criteria and obtain lists of consumers who meet those criteria from credit bureaus. Option C accurately reflects this process, as it indicates that prescreening involves a credit bureau pulling credit reports for specific consumers that the lender intends to target for credit offers. This procedure enables lenders to streamline their marketing efforts by ensuring they are offering credit to consumers who are more likely to qualify based on their credit profiles.

In the context of prescreening, credit card lenders aren't required to extend a firm offer of credit to all consumers but rather target those who meet certain risk parameters. This is distinct from making a blanket offer to an entire population. Additionally, the activities of prescreening don't necessitate consumer approval prior to the credit report pull, nor do they restrict lenders from verifying creditworthiness of consumers included on prescreen lists, thus making option C the only accurate statement.