a marketer wants to have prospective customers sign an authorization to pull their credit report. In addition to the bank being able to evaluate the propective customer, the bank would also give the prospective customer a copy of their report so that the prospective customer can also see what is on it.
It seems to me that this is allowed, but I would like 2nd opinion.

Being able to give a person a copy of their credit report has been discussed may times. It is permissible but not advisable. There is too much information that could do considerable damage if the person lost their copy and it fell into the wrong hands. It is much safer for the customer to get a "consumer's" copy from the credit reporting agencies.

Without knowing more about the marketing program, I am having trouble putting a "legitimate business purpose" with this scenario also. Just because a customer request you to pull a credit report for them so they can see what is on it is not a "legitimate business purpose" IMO.

Check the contract you have with your credit bureaus. Ours prohibits us from giving copies to the applicant. Another post during the last week or two brought up the possibility of identity theft - are you sure you're giving the credit report to the correct person? If you make a mistake and give one away in error, what's your liability?